Adventure travel specialist Intrepid Travel expects to return to profitability in 2023 thanks to its “rapid turnaround to positive cashflow” after the pandemic.
In its 2022 integrated annual report, the company also said it aims to achieve its “best financial performance ever” during 2023, exceeding 2019 results.
The report described 2022 as a year of “rapid financial recovery” for Intrepid.
“It was a story of two very different halves of the year,” said the report, citing the Omicron surge, Russia’s illegal invasion of Ukraine, rapid global inflation, the rising price of oil and constrained airline capacity.
“However, by Q2 travel demand was starting to recover rapidly. By November, we achieved one of our best booking months on record, our highest ever sales day and exceeded our booking goal for the year.”
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The report shows the company had a “strong” operating cash inflow of A$34.2 million (£18.7m) last year compared to an A$31 million (£16.9m) outflow in 2021.
The company posted an A$17.4 million (£9.5m) Ebitda loss (earnings before interest and taxes) for 2022 compared to an Ebitda loss of A$42.2 million (£23m) in 2021.
It restarted operations in 86 countries and rebuilt its global workforce by recruiting for more than 500 new roles.
James Thornton, Intrepid Travel chief executive, said: “This report marks Intrepid’s transition from survival to revival mode.
“I’m incredibly proud that we’ve continued to invest in the business and as a result, have emerged as a thriving, transformed company.
“There were so many highs last year, including experiencing our best booking days in our history during November and December 2022.
“This was almost inconceivable at the start of the year and it’s truly remarkable how our business recovered, through the support of our industry partners and customers.”
Intrepid’s report also features new and expanded carbon reporting, which now includes emissions generated from technology services, marketing and more.
In their introduction to the report, Thornton and Intrepid chair Darrell Wade warned that the world’s environmental outlook is looking “bleak”.
“A 1.5°C future seems to be slipping away, posing an existential threat to the future of the travel industry,” they wrote.
“We believe greater action at all levels of society is required, particularly governments and businesses.
“For Intrepid, we’re looking to innovation to help transition our business to clean energies, reduce waste and protect nature but we need to act more quickly.”