Problems in Egypt, Kenya, Thailand, Ukraine hit turnover
Geopolitical problems in key destinations such as Kenya and Thailand hit half-year results at Kuoni with turnover falling 6% in the first six months of 2014.
Peter Meier, the Swiss-based company’s chief executive, said the operating environment remained challenging and will remain difficult for the rest of the year.
Total revenues fell to CHF 2.479 billion (€2.05 billion), but the adjusted operating loss (earnings before income and taxes) was trimmed by 5% to €14.1 million. Full-year operating earnings (EBIT) are expected to be between €70 million and €80 million.
“With all the negative geopolitical developments in Egypt, Kenya, Thailand and the Ukraine, the operating environment has been challenging. We expect it to remain so for the rest of this year,” said Peter Meier, chief executive of Kuoni Group.”
He added: “The medium-term financial goals for 2016 remain the same despite the fact that the current business environment has become more challenging.”
TTG Digital / TTG Nordic
[pictured: Kuoni flagship store, Zurich; photo courtesy Kuoni]