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UK travel group Thomas Cook is adopting a “cautious” outlook on the rest of the year as it reported first quarter results in line with forecasts.
The FTSE 250 company, which makes around two-thirds of its revenues outside of the UK, said like for like revenues rose by 14 per cent in the three months to the end of December while underlying losses improved by £1m to £49m over the same period in 2015.
Thomas Cook said its winter holiday bookings for the year were in line with expectations, while summer bookings had risen 9 per cent compared to 2016 as the 175-year old package holiday operator has expanded its offerings in Greece and other parts of southern Europe.
The company suffered a year of disruption following major terror attacks in Turkey and Brussels last year, while the plunge in sterling has made foreign holidays less attractive for British tourists.
“We remain cautious about the rest of the year, given the uncertain political and economic outlook”, said Peter Fankhauser, chief executive.
“It’s still relatively early in the selling cycle for summer holidays, but based on current trading, and supported by further financial benefits from implementing our strategy, we expect our full year operating results to be in line with current market expectations.”
Shares are up nearly 80 per cent since the Brexit vote, which has also seen a more an 16 per cent fall in the value of the pound against the dollar.
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