Thomas Cook Chalks Up 50 Percent Spike in Operating Profits

Thomas Cook has reported a 50 percent rise in operating profits to £366 million and an overall margin on sales of 4.2 percent for the 12 months to the end of September. The strong results led Europe’s second-biggest travel group to defy the economic gloom and forecast a further growth in margin in the current financial year and annual profits of £480 million in 2009-2010.

The group reported revenue of £8.8 billion for the 12 months was up 11.8 percent on the previous period –although the comparison is complicated by the merger of Thomas Cook and MyTravel that established the group last year, meaning figures have been adjusted.

The UK provided £143.4 million of group profits, 95 percent up on a year ago, despite a 1 percent fall in revenue to almost £3.1 billion. Just over two-thirds of Thomas Cook sales in the UK were through its own outlets and more than 26 percent online –a proportion the group said has now reached 27 percent.