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Unrest in Crimea and Ukraine had a “significant impact” on All Leisure Group this year, the cruise and tours group disclosed in a trading update.
Two Black Sea cruises and a connected cruise in the eastern Mediterranean were subject to cancellations and subsequent discounting to fill capacity.
The profit contribution was down £1.9 million as a result.
The number of cruises to the Crimean region has been cut from three to one in the current financial year due to the ongoing difficulties in the region.
A full-year pre-tax loss for the group of £7.4 million is expected against a loss of £13.6 million last year. The 2014 loss is anticipated after taking a £7.4 million charge for the disposal of the ship Discovery and a further £600,000 for other reorganisation costs.
Cruise passenger numbers in the year to October 31 rose by 8% to 17,900 but tour passengers were down from 44,000 to 40,000 due to 1,600 capacity cut combined with reduced business to Egypt due to political uncertainty.
Former Thomas Cook finance director Nigel Arthur has been named as group finance director.
All Leisure, which includes the Page & Moy, Travelsphere and Just You brands in addition to Voyages of Discovery Swan Hellenic and Hebridean, said 95% of winter 2014/15 cruise revenue is already booked against 88% a year earlier. The company said 84% of winter tours revenue is booked, down from 88%.
Revenue from tour bookings to the US and Italy, the most popular destinations, are both trading up, while tour bookings to certain Asian destinations such as China, India and Vietnam have declined in line with the overall market.
The group said it closed the year with cash of £11.6 million plus further restricted cash balances of £3.5 million.
The underlying operating profit before separately disclosed items is expected to be £900,000 against £800,000 last year.