Corporate Travel Management Ltd (ASX: CTD) reported a 14% rise in revenue to $371 million and a profit increase of 39% to $80.5 million for its 2018 financial year
In an ASX filing, Corporate Travel Management’s CEO, Jamie Pherous, said each of the company’s core divisions reported growth during the year and he was pleased the model was working so well.
“These results support the strategy that we have taken to build a global network and apply the CTM business model around winning and retaining customers, driving internal automation and client innovation and ensuring high staff engagement and client satisfaction,” Pherous said.
Total transaction volume (TTV) transacted across the company’s network rose 19% to $4.96 billion.
According to data collected by Bell Potter, analysts were expecting Corporate Travel Management to report a profit of $86.5 million. It appears analysts forecasts were broadly in-line with the reported result.
“We have continued to expand through increasing market share,” Pherous added.
“Growing market share has allowed CTM to achieve an underlying EBITDA of $125.4 million, representing 27% growth on the previous year, reflecting the Company’s ability to execute to plan.”
Corporate Travel announced it will pay a final dividend of 21 cents per share, taking the full year dividends to 36 cents per share fully franked.
Looking towards 2019, Corporate Travel Management expects to report underlying profit (EBITDA) of between $144 million and $150 million, representing growth of between 15% and 20%.
Corporate Travel Management shares rose modestly on Wednesday morning following the release of its results.
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