The Advantage Travel Partnership said its post-Covid transformation has seen the group’s pre-tax net profit almost double to nearly £1.2 million last year.
The consortium reported the profit for the year to September 30, 2023 on group turnover of £33.2 million – up from £619,815 on turnover of £21.5 million in 2022.
Total global sales turnover across the membership grew to £15.6 billion, according to its financial results for the year ended September 30, 2023. UK members contributed £7.6 billion to the turnover figure, up 69% year on year.
In the UK, £5.7 billion came from business travel and £1.9 billion from leisure.
As a result of the increase in trading, the group’s transactional turnover saw a significant increase to almost £116 million (2022: £88 million).
In a statement, the consortium said: “The overall financial results achieved for the year present a milestone achievement for the group, in as much as they represent the highest level of profitably since the appointment of its incumbent CEO Julia Lo Bue-Said, and the group’s ambitious vision for transforming the business.
“This robust set of results will provide members and business partners of the partnership with the reassurance and comfort of a strong balance sheet with the ability to continue investing in further services with the ability to leverage further growth and scale going forward.”
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Chairman Steven Esom said: “2023 was a year of significant recovery for the UK outbound travel industry. Despite a challenging economic backdrop throughout the year and a cost-of-living crises, British consumers demonstrated their passion for travel and prioritised their well-earned holidays above all else.
“Business travel also came back strongly during the year, as more and more companies resumed in-person meetings and events, and by the close of the year booking volumes across the sector finished at 92% of those seen in 2019.
“As part of our post-Covid growth plan, during the year we continued to grow the size of the membership, building on our 25% membership increase.”
He said the “significant” increase in group revenue positions the consortium well for its “ambitious growth plans…as more businesses look to join the group”.
Lo Bue-Said added: “This financial year delivered a buoyant market for the UK outbound travel industry and this positive backdrop led to an exceptionally strong year for Advantage, both financially and strategically. And, most importantly, a successful year for many of our stakeholders.
“During the year, at Advantage we diversified our talent pool and made investment in our remote working capabilities in order for us to focus on having the best people in role regardless of where in the UK they are located.
“During the financial year, we also strengthened our Global Business Travel division, reinforcing our position as the leading consortium for business travel in the UK.”
She warned that the conflicts in Ukraine, Israel and Palestine look unlikely to be resolved soon and consumer spending is likely to remain under pressure.
“However, on a positive note, many of the indicators show that holidays and travel remain of vital importance to people and business, so we can look forward with a degree of cautious optimism,” she continued.
“As our business further advances, our strong financial performance provides the catalyst for embarking on strategic options to further future proof the organisation.”