Resilient trade at Holidaybreak

Nov 27 2009 By nebusiness

Travel specialist Holidaybreak hailed a "resilient" trading performance today after school trip bookings offset a loss-making year in adventure travel.

The group, which also offers camping and hotel breaks, posted pre-tax profits of £28.4m for the year to September 30, a drop of 13% from the £32.6m seen a year earlier.

Holidaybreak said its education division was not materially affected by the recession as parents continued to prioritise spending on their child’s school trip. Operating profits at the division, which runs outdoor trips and cultural tours under the PGL and NST brands, rose by 69% to £10.5 million.

In contrast, the Explore-branded adventure travel business posted losses of £6.7 million after weaker demand caused revenues to fall by 6% at constant exchange rates.

"The relatively high cost and aspirational nature of trips means that they are more likely to be deferred in difficult times," Holidaybreak said.

It expects trading conditions to remain difficult in the short to medium term, as shown by a 12% fall in adventure travel sales in the current financial year.