Travelzest reported a positive outlook for 2008 as it issued a trading statement today.
“The Board of Travelzest is pleased with the progress the group has made during the year and anticipates that trading for the year will be in line with its expectations,” it said.
It said its 2007 acquisitions – Tapestry Collection, Wow House, Captivating Cuba and JMB Travel – will overall negatively impact the year, principally due to the seasonality of Captivating Cuba’s profits.
“However, Tapestry Collection will provide a positive contribution and, following the implementation of action plans by Travelzest management, we expect a positive contribution for these businesses in 2008,” it said.
Detailing its other UK businesses, Travelzest said its French and river cruise specialist VFB has continued to improve following its record performance last year.
It claimed Best of Morocco had a particularly strong first half of the year, its key selling season, and is well positioned for the 2007/2008 winter season.
Peng Travel, the naturist holiday company, has also enjoyed strong sales which, following the introduction of a new website, are up 11% up for the winter season.
But it said Farawayholidays.co.uk, the Far East specialist launched in August 2006, has had a challenging year “as it establishes itself within the online Far East and exotic holiday market”.
“A number of steps were taken during the summer to re-focus the business on four destinations, which has resulted in an increase in sales and margin, and bodes well for an improved performance in 2008,” said the statement.
Outlining its online agency distribution businesses, Travelzest said Fair’s Fare has signed a number of new contracts which should lead to further growth in 2008.
“We took the decision to launch flight.co.uk with new technology during the financial year and we have been pleased with this development although a contribution is yet to be achieved,” it said.
“It is our intention to use this technology to provide flights for holiday.co.uk and our UK tour operators. The development of holiday.co.uk has continued throughout 2007 and as such is not yet complete. We believe this will lead to a positive contribution in 2009, following completion of this project in 2008.”
By Bev Fearis
