Libra Holidays Group (LHG) posted its first quarter results, ending January 31 2005 reporting a net loss after minority interest of CYP 4.49 mln compared to a loss of CYP 10.24 mln in the first quarter of 2004.
Libra said the results are not comparable since they don’t include the results of Excel Airways Group Plc (EAG), which was sold in 2004. Total turnover fell 59.25% to CYP 9.3 mln for the first quarter from CYP 22.8 mln a year ago in the same period due to the EAG sale.
However, the Group includes the results of its new subsidiary Helios Airways Ltd (HAL) which was acquired on November 12, 2004.
During the year, LHG sold the largest part of its stake (73.5%) in EAG to Air Atlanta Group, thus discontinuing the consolidation of EAG’s results. Excluding the aviation division, LHG’s revenues increased by 9.7% year-on-year.
Earnings before interest, tax and depreciation improved from a loss of CYP 9.6 mln in first quarter of 2004 to a loss of CYP 3.3 mln in the new quarter.
Despite the significant decrease in Group operating expenses by 33.2%, operating expenses as a percentage of revenues increased from 22.1% to 36.3%.
On a like for like basis (i.e. excluding the aviation division) operating performance improved from an operating loss of CYP 5.1 mln to an operating loss of CYP 1.9 mln.
As a result of the sale of EAG, the depreciation and amortization expenses decreased from CYP 1.6 mln to CYP 988.000.
Net after tax results improved from a net loss of CYP 10.24 mln in
first quarter 2004 to a net loss of CYP 4.49 mln in the first quarter of 2005, corresponding to a loss per share of 8.6 cent.
The Group’s loans decreased by CYP 6.2 mln from CYP 66.8 mln to CYP 60.6 mln. This was mainly attributed to the cash inflows from the disposal of EAG.
Finally, LHG’s management issued a positive profit warning for its 2005 results on the back of an improvement in all divisional units and especially the aviation unit, a material reduction in the amortisation of intangible assets, a positive contribution from investments and the expected benefits associated with the implementation of the Groups’ strategic plan as well as the structural measures applied.
