Member Article

Dart Group reports sustained pretax profit but dampens expectations with gloomy outlook

Leeds-based Dart Group has announced a pretax profit of 3.8%, down slightly on last year at 4.7% in their preliminary results.

However the Group’s turnover increased 29% from the prior year to £1.1 billion (2013: £869.2 million), driven by higher package holidays volumes and increased yields in their leisure airline and package holidays businesses.

This meant that pretax profit reached £42.1 million, an increase on 2013, at £40.5 million.

The group comprises three operating businesses, Leisure Airline, Package Holidays and Distribution & Logistics.

Group chairman Philip Meeson said: “Taking people on holiday, whether through the sale of a flight or a full holiday package, and the distribution of produce and prepared foods sold by supermarkets, are much-needed, high-potential businesses.

“Our scale, experience and competitiveness in each sector gives us optimism in our outlook for the long-term growth of the Group.

“In relation to the current financial year, we are finding demand for leisure travel, this summer, to the markets we serve, less buoyant than we would have hoped for and market pricing weak.

“This may be due to the weather, the World Cup, or because the financial recovery hasn’t yet taken hold in our home territory, the North of the UK.

“Unfortunately, therefore, in view of the current visibility we have of our remaining summer 2014 forward bookings, we now expect the current year operating profit outturn to be lower than previous market expectations.”

This was posted in Bdaily's Members' News section by Clare Burnett .