Corporate Travel Management (CTM) has reported its strongest ever full-year financial results, with earnings increasing 27 per cent year-on-year.
The TMC’s earnings reached AUD$125.4 million (£139.69 million), of which it says £21 million was contributed by organic growth in relation to the company’s global expansion strategy.
Last month, CTM acquired a majority stake in Hong Kong-based Lotus Travel Group, and in June Redfern Travel was rebranded to CTM after it was acquired by the company in 2016.
CTM’s total transaction value grew 19 per cent to £5.51 billion, while revenue was up 14 per cent to £414.63 million.
Europe proved to be the biggest growth market for the company – earnings were up 86 per cent year-on-year to £38.1 million. CTM says the performance was underpinned by a combination of increased online business, its SMART Technology suite and strong organic growth.
Australia and New Zealand saw earnings of £49 million, up 21 per cent on 2017, following record client wins and retention rates. CTM says 80 per cent of customer transactions are now complete online in this market.
North American earnings were up 8 per cent to £43.33 million and CTM expects good long-term results with its SMART Technology suite soon to be released to the market. Asia also performed well, recording earnings of £22.5 million – a 12 per cent increase on 2017.
Looking ahead, CTM expects growth to continue, predicting FY2019 results to come in at £160.41 million to £167.1 million, representing a 15-20 per cent increase on this year.
Jamie Pherous, founder and MD of CTM, commented: “We have had another strong year. Each region in our network has had a record result, demonstrating our business model and strategic investment decisions are working well for clients and investors.
“We remain committed to delivering superior results for clients through a consistent value proposition, including innovative customer-facing technology solutions underpinned by a highly personalised service offering, and delivering a return on investment to our clients.”
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