Preliminary August results for Novaturas: confident continuation of the summer season, strong pre-sales positions
Novaturas Group, the market leader in the Baltic tourism market, recorded revenues of EUR 18.9 million in August, compared to around EUR 18 million at this time last year. The company served around 27,000 customers, up from around 27,000 last year.
In total, between January and August, the company recorded revenues of 139.6 million, 8.2 per cent more than in the same period in 2022. 181,000 customers were served, compared to around 185,000 in the same period last year.
“As the summer season continues, we have strategically thought through the remaining months and welcome September and October with a level of programme fulfilment that we have only seen in 2019. In addition, as we have seen the growing demand from our customers to plan their holidays in advance, we have lived up to their expectations by once again being the first in the market to announce next summer’s travel programme – the 25th summer season of Novaturas.
Winter pre-sales are also on the rise, and we are seeing the interest in exotic travel that usually picks up in autumn. Looking at the period from the launch to the end of August, winter pre-sales are 2 times higher than last year,” says Vitalij Rakovski, Novaturas Group CEO.
Diversifying its destinations and thus securing a competitive advantage, the company has increased its offer to Montenegro by 30% this summer, and for the first time flights are scheduled to run longer – until the end of October. Travellers have appreciated the high quality of the company’s service to this destination, with 95% of the year’s programme sold so far.
In August, Novaturas Group announced successful results for the first half of the year. The company’s recorded EBITDA (EUR 5.8 million) has already exceeded the result for the full year 2019 (EUR 4.3 million). Diversified travel destinations, prompt response to changes in travel demand, improved service quality and managed fuel price risk have led to a threefold increase in this year’s financial forecast. Novaturas, which is already implementing its growth strategy, has renewed it for the better after the first quarter. EBITDA of EUR 3-5 million, which was expected at the beginning of the year, has increased to EUR 6-8 million, while net profit has changed from EUR 1-3 million to EUR 4-6 million*.
Also, at the beginning of August, the company was the first in the Baltic tourism market to announce the start of the 2024 summer season and to open early bookings for trips to Turkey. In September, the full 2024 summer holiday programme was launched, as well as new destinations – Cyprus and Mallorca.
The company, the longest-established in the market and now in its 25th summer season, is also expanding its offer to the Greek islands, Spanish resorts, Montenegro, Croatia and Madeira. In addition, Novaturas offers an attractive package of additional services, which gives travellers flexibility, security guarantees and additional opportunities, and encourages them to plan their trips during the pre-sale period.
*These estimates were published prior to the decision of Vilnius Regional Court of 11 September in the case between the Company and UAB GetJet Airlines, in which the Company was awarded EUR 1.15 million in liquidated damages, together with interest at 8% per annum from 1 January 2021. This decision is not expected to have a material impact on operations. Furthermore, the judgment of the Court of First Instance is not final and not conclusive and can be appealed against to the Court of Appeal within 30 days. The Company will analyse this judgment and decide on possible further actions.
About the company
Novaturas Group is the largest and the only charter flights‘ local tour operator in the Baltic States, offering summer and winter trips to more than 30 destinations worldwide and more than 100 tours. In 2022, Novaturas Group recorded revenues of EUR 197 million and served 267 000 passengers in Lithuania, Latvia and Estonia.
Vygantas Reifonas
CFO of AB Novaturas
