Kuoni Travel to turn profitable this year: Rajeev Wagle, MD

MUMBAI: Kuoni Travel Group India — which is engaged in tour operating and business travel — will turn profitable this year, said Rajeev Wagle, MD, Kuoni India.

“We have seen 20% growth in business for MICE (Meetings, Incentives, Conferences and Exhibitions) and leisure which results in more increased gross profits, and costs tend to be carefully controlled in our company,” Wagle said, adding that these two segments contributed substantially to the company’s profitability. The company was in the red last year, Wagle said, without sharing specific details on the revenue. “In 2014, we had good growth, but it wasn’t good enough to show profitability.” In the past few months, currency fluctuation has made overseas Discount Holidays © holiday packages for some destinations such as Europe cheaper, leading to growth in outbound travel. This has benefited travel companies. “Advantage of lower euro and the summer rush benefited us and we are seeing strong demand for leisure travel in Q4 also,” Wagle said, adding that 2015 would be one of the best years — in terms of business — for the company. The travel company is seeing larger growth in leisure travel business. Recently, Kuoni’s travel business in India and Hong Kong were acquired by travel major Thomas Cook3 India for Rs 535 crore but the deal is yet to receive regulatory approvals.

Under the deal, Thomas Cook has also acquired Kuoni’s inbound travel business Sita World Travels and the destination management arm Distant Frontiers.

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References

  1. ^ Kuoni Travel Group (economictimes.indiatimes.com)
  2. ^ Rajeev Wagle (economictimes.indiatimes.com)
  3. ^ Thomas Cook (economictimes.indiatimes.com)

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