HRG, one of the UK's largest travel management companies, reported increased revenues and pre-tax profits in its first set of results since its re-listing on the London Stock Exchange (LSE).
The company said for the year ending March 31st, 2007, revenue was up 4.8% from £297.2m to £311.4m.
In the same period pre-tax earnings rose by 9.2% from £40.4m to £44.1m.
But operating profits for the year fell by 9.9% from £39.3m to £35.4m.
The news led to an immediate drop of 9% from 90p to 82.25p in its share price.
After some sharp criticism of the company in UK national newspapers, HRG's share price continued to fall during the week to 68.5p when the markets closed on Wednesday evening (July 4).
In the announcement of its results, HRG said the 12 months had been a "year of transition" with the company re-floated on the LSE last October.
The company was also re-branded HRG after it split from its former partner, BCD Holdings.
It also acquired new companies in the USA, the Czech Republic, Poland, Slovakia and the UK
David Radcliffe, HRG's ceo, said: "I am pleased to report satisfactory results after a year of transition at HRG.
"They are testament to the hard work of our staff. Our IPO and the re-branding of HRG have been successfully completed and we are positioned well for another year of growth."
In a mixed week for the company, HRG also announced a new acquisition while HRG UK said it had won the contracts to manage the travel for the British Ministry of Defence and the Foreign and Commonwealth Office.
The new acquisition was the Belgium-based company Weinberg Travel.
Weinberg, based in Antwerp, is the largest independent, family-run travel company in Belgium.
The company, founded in1952, has multi-national clients and also an events and meetings division.
It had previously been a member of the HRG network since 2006.
Weinberg's management team of Sabine Schanzer, Georges Rivel and Carolines Rivel will stay on in their current positions and report to Reto Bacher, HRG's regional president for Europe.
Ms Schanzer, founder president of Weinberg, said: "This is a fantastic opportunity for us and a significant chapter in our company's development."
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