Media Release
Webjet Delivers Strong First Half
5th February 2009
Half Year Results To 31 December 2008
- NPAT up 29%
- NPBT up 25%
- TTV up 15%
- INTERIM DIVIDEND 2.5 cents (previous corresponding period 2 cents)
- SPECIAL DIVIDEND of 0.5 cents
Webjet today announced the following results for the six months ended 31 December 2008:
Commenting, Webjet Managing Director David Clarke said:
Webjet is delighted to announce a 29% increase in profit after tax and an increase in interim dividend (including a special dividend of 0.5 cents) to three cents fully franked for the half compared with two cents for the half year to 31 December 2007, an increase of 50%.
The interim dividend including the special will be payable on 16 April 2009.
Operating results for the half year to 31 December 2008 by main indicator
Strong TTV growth of 15% exceeded general market guidance and has been achieved in an environment where most public data suggests a decline in ticket values and transactions. Transaction numbers increased by approximately 19% with unit values dropping due to substantial airline price discounts and the progressive reduction of fuel surcharges. That trend has continued into January 2009.
Operating margins of 7.1% (excluding interest) increased from 6.9% for the half year to December 2007 and are identical compared to the last full year.
Marketing costs at 1.95% of TTV, despite a reduction in relative unit values, remains below the control percentage of 2%. In absolute terms marketing costs increased by 14% against transaction numbers increasing by 19%.
NPAT As a result of increasing economy of scale, increased by 29% and before tax 25%.
Strategy and Guidance 2008/2009
At the present time there is unfortunately no consensus in macro environment forecasts relating to the overall economic factors in Australia. Indeed there is wide divergence between economists' projections and significant uncertainty in federal and state government forecasts.
Whilst Webjet has commenced calendar year 2009 with further gains in transaction numbers and we believe market share, in view of the unclear macro outlook it is not yet possible to provide any guidance on likely results to 30 June 2009.
Webjet will continue a disciplined but aggressive marketing campaign, significant investments in quality and customer care, and an overall focus on margin development and cost control to ensure all opportunities available are maximized.
As the year progresses Webjet will continue to ensure that the market is informed of developments.