The strength of the Swiss franc has hit Kuoni Group’s turnover for the first half of 2015.
Chief executive Peter Meier said organic growth was ahead of the market and ‘vindicates the new strategic direction’ of the group to focus on global B2B business areas.
But he said the strong Swiss franc had a significant negative impact on turnover.
Currency changes hit turnover by 7.4%, masking positive organic turnover growth from continuing operations of 6.8% and resulting in a 0.6% fall in turnover to CHF1.532 billion.
Gross profit was CHF278 million, down 3.5% from CHF288.
Meier said the sale of its tour operating business had happened faster than planned.
Kuoni UK and its operations in Switzerland, Scandinavia and the Benelux region were sold to German operator DER Touristik in June and its Indian Destination Management business as sold at the beginning of August.
Kuoni Group expects operating earnings (EBIT) from continuing operations in the range of CHF 40 to CHF 50 million for the full year.
Kuoni also announced today that group chief finance officer Thomas Peyer is to leave.
He had been with Kuoni since 1999 and took the top finance job in March 2014.
He will stay in the position until the first half of 2016 while a successor is found.
