A trend which sees consumers taking more holidays and travelling to far flung destinations has helped North East group Hays Travel to boost profits.
New accounts for the Sunderland-based business, which operates 530 branches across the Ƶ and employs more than 4,800 people, show turnover grew from £457.4m to £506.6m in the year to the end of April, as operating profits increased from £60.3m to £64.5m. Bosses say a strategy to balance its mix of short haul, long haul and cruise bookings has driven the results.
Hays said it continues to see consumers viewing holiday and travel plans as essential and expects the trend to continue. Around 30% of its customers during the year were new to the group, thanks, the firm said, to focus on customer service and healthy demand for holidays.
The group sells to customers via its network of Ƶ branches, a call centre operation and through a network for homeworkers. Turnover in its homeworking division increased by more than 12%, and its foreign exchange division boosted turnover to £26.6m, from £25.9m.
Dame Irene Hays, owner and chair of Hays Travel, said: “We are pleased to see our clear strategy is having a positive impact on our balance sheet. We are fiercely proud of our independence, which allows us to offer our customers the best choice and value across beach, city, cruise, touring and experiential holidays. Our growth has been consistent and always in line with our ambitious vision, while valuing our people, our customers and the communities where we operate.”
Dame Irene cautioned that added cost pressures and investment in technology and acquisitions mean a repeat of such strong results next year is unlikely. She added: "We delivered on planned growth in all areas of our group, acquiring two new businesses and attracting new customers across the Ƶ in our high street branches, via our personal travel consultants working at home and via our website and app, which launched in October 2024.
"Our customers are as keen as ever to invest in precious time with family and loved ones, with many trying a cruise or travelling further afield to long-haul destinations to experience more of the world. My thanks go to all our people for their important role in caring for our customers who trust their expertise and the reassurance that booking with a professional travel agent provides.”
Hays has talked of aiming to become the country's most profitable, privately owned travel company. Last year the group acquired established competitor Miles Morgan Travel, and since the year end it has snapped up Inspearational Travels Limited, Victoria Travel Limited and John Stewart Travel Limited, along with a 35% stake in Ocean Holidays. The group is now looking at further acquisition opportunities.
