Owners of Corporate Travel Management Ltd (ASX: CTD) shares have received an update about its UK remediation and financial reporting.
Corporate Travel Management is a sizeable player in the corporate travel space. The company is in the process of refunding UK customers (particularly the UK government) after overcharging them.
UK update
Corporate Travel Management said in an ASX announcement that significant progress has been made towards resolving the UK matters and it has developed a funding plan to address the “staged and orderly” refund arrangements for affected UK customers.
It plans to make the refunds through a combination of existing cash reserves, future operating cashflows and engagement with its lenders.
The company said it’s in the final stages of documenting and finalising commercial agreements with key impacted customers in the UK in relation to staged and orderly refund arrangements. These discussions are “well advanced” and are part of its process to resolve the UK matters in a “fair and complete manner”.
It also said it’s engaged in productive discussions with its lenders about proposed customer arrangements and related funding requirements.
Corporate Travel Management said it will provide a further update to the market once relevant agreements have been finalised.
Business performance and client retention
The company said that it continues to operate a resilient global business, with year-to-date global client retention at more than 97%. It said it remains fully focused on supporting its clients and delivering value through travel programs.
It said the 97% retention rate illustrates the resilience of its business and the consistency of the service it delivers, as it works through the UK issues.
When will its report be released?
The company said it’s progressing towards the release of its audited FY25 financial statements and reviewed the FY26 first half financial statements by 30 June 2026.
It’s aiming for a return to trade as soon as possible after that, subject to completion of financial reporting processes and receiving all relevant approvals.
Time will tell how this all plays out for the company and Corporate Travel Management shares.
