14th Sep 2007 07:00
Holidaybreak PLC14 September 2007 14 September 2007: For immediate release HOLIDAYBREAK PLC Pre-close trading update Holidaybreak, the European specialist holiday group, today releases its normaltrading update prior to the end of its current financial year Summary Holidaybreak continues to perform well. The Board believes that the Group'sfinancial and trading prospects for the financial year ending 30 September 2007remain satisfactory. Holidaybreak expects to again deliver industry-leadingmargins. Following the recent acquisition of PGL for £100m, year end net debtwill be substantially higher than at the previous year end, as anticipated. Given the strength of its balance sheet and its cash generation, Holidaybreakremains well positioned to grow its operations, both organically and byacquisition. Carl Michel, Chief Executive, said: "With two weeks to the end of our current financial year, Holidaybreak remainson target to perform well. The poor summer weather was generally helpful to ourbusinesses, driving late bookings to Camping. We are particularly pleased withthe progress being made at PGL, our recent acquisition. We are market leaders in our specialist sectors. Looking ahead, there areseveral possible acquisitions in the pipeline and we will continue to look atall the opportunities to grow our expanded portfolio of brands within theHolidaybreak group." Trading update As we approach the end of the financial year to 30 September 2007, Holidaybreakis again expected to deliver industry-leading margins. The diversity ofHolidaybreak's businesses and their flexible cost structure gives the Grouprobustness. Hotel Breaks Hotel Breaks' overall sales intake for 2007 is currently 7% above 2006equivalents. London continues to perform strongly on the back of strong theatreand exhibition demand. We have benefited from the inclusion of West End TheatreBookings (acquired in January) and this has driven our 'packaged' share from 27%to 40%. Adventure Travel The Adventure Travel Division looks set to report on another good year. Salesare 4% up on 2006 equivalents. Results were however hit by geographical eventsthe Middle East throughout the year. The increase in air passenger duty had amodest impact. Camping Camping sales are level with last year with capacity cut by 4%, a pleasingperformance. Occupancy has improved and high season has been filled at goodyields. In particular, we have seen good growth in Ireland and had a successfullate booking campaign in the U.K. as a result of the poor summer weather. Education The Education division was created following the acquisition of PGL in thesummer. Trading continues to be strong. Sales for the current year are 13% aheadof 2006 equivalents and 18% ahead for 2008. Adventure centres are already 85%sold for 2008. Interest The acquisition of PGL increased the Group's borrowings. The Group's netinterest costs in the next financial year will therefore be higher. Outlook The Board continues to expect to achieve a satisfactory outcome for the fullyear 30 September 2007. It believes that the Group is well positioned to respondto changing conditions and to exploit market opportunities. Management continues to review acquisition opportunities and deliver industryleading margins. Enquiries: Holidaybreak: +44 (0)1606 787100Carl Michel / Bob Baddeley Brunswick +44 (0) 20 7404 5959 James Hogan / Craig Breheny / Ash Spiegelberg Note to Editors 1. Holidaybreak (HBR.L) is listed on the London Stock Exchange. The European specialist holiday group sold 3.1m holidays in the year ended 30 September 2006 (2005: 3.0m). Holidaybreak has four operating divisions: Hotel Breaks, Adventure Travel, Camping and Education. Each is a market leader in its respective specialist sector of the European holiday industry, has multi-channel distribution and is recognised for providing high standards of product and service quality. For more information, please go to www.holidaybreak.co.uk. 2. The company expects to announce its full year results on Thursday 29th November 2007. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Harbour Energy