Corporate Travel Management has reported an underlying after tax profit of $13.1 million, a rise of 16% on last year, despite a deterioration in trading conditions since January.
Total transaction value grew 30% to $884 million while revenue was up 21% to $78.8m. Underlying earnings before interest and tax climbed 20% to $21m.
The result excludes one-off $700,000 cost associated with acquisition and restructuring costs in North America.
Including those costs, CTM reported a 5% rise in net profit after tax of $12.4m.
“Our team successfully executed on the key business drivers we can control, allowing us to achieve an underlying EBITDA of $21, in line with upgraded guidance, despite a softening in the Australian economy and lower average ticket prices experienced in the second half of the FY13.”
CTM’s Australian and NZ business reported like-for-like earnings growth of 10.3% while in North American earnings soared 96%.
The company said current trading is in line with its forecast earnings growth of 15-20% “despite tough and uncertain economic conditions, particularly in ANZ”.
Pherous said the focus for 2014 is enhancing technology developments that would drive organic growth, retain clients and win new business.
CTM will also leverage scale from its acquisition of Travelcorp in North America and continue to examine acquisitions.
