Finances of the Novaturas group for 9M: vacation destinations

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In the first 9 months of this year the company made a net profit of 1.1 million euros, while in the same period last year it suffered a loss of 3.7 million euros. The group’s EBITDA during the first three quarters reached 1.98 million euros, compared to a loss of 1.58 million euros during the same period last year.

In the three quarters of 2021, the group served more than 123,000 travelers, 191% more than in the corresponding period last year. The group’s turnover in the 9 months of 2021 reached 74.7 million euros and exceeded the results for the same period in 2020 by almost 145%.

“This year’s summer holiday season has been a success. In terms of available holiday destinations, we have addressed the pre-pandemic years and exclusive holiday destinations of the“ Novaturas ”group such as Montenegro, Corfu and Cephalonia, have influenced good profitability ratios. Net profit achieved during the 9 months of this year differs only 18% from the same period of success in 2019. Meanwhile, during the same period in 2020, we suffered a net loss of 3.7 million euros, ”said Audronė Keinytė, head of“ Novaturas ”group.

Active in the third quarter

The third quarter of the tourism industry is traditionally the busiest time of the year when the greatest number of serviced travelers are generated. This year is no exception. Italy, Sicily, Portugal, Madeira and Egypt completed the usual portfolio of summer destinations, and the supply of holiday destinations has moved closer to the pre-pandemic period. The company closed the third quarter of this year serving more than 20,000 travelers and generating more than € 15 million in revenue each month group-wide. In terms of the number of travelers served, the third quarter doubled the second quarter results.

“If the first quarter of 2021 we called for a restart of operations, then the second and especially the third quarter clearly show the recovery of the tourism market, the growth in operating volumes and the increase in sales. This summer season generated not only good operational but also financial performance. results. We tend to reinvest the revenues generated in strengthening our processes, improving the quality of the services provided and meeting the changing needs of our travelers. We are constantly looking for ways to make it easier to plan their future trips. quarantine, we introduced the “COVID break” service, and in September we launched additional travel protection – “self-isolation break”. in advance, as more attractive prices, a wider choice of destinations or hotels, without fear of having to cancel their trips because of infection on, ”says A. Keinytė.

A growing number of early bookings

The third quarter of 2021 and especially September shows a growing number of early booking sales. “By analyzing the third quarter results, we see that the tourism market is gradually reverting to usual vacation planning in advance and last minute sales are declining. Planning a vacation in advance is very typical for travelers to the Baltic States. Such behavior is determined by the rational desire to buy future trips at a better price, to be able to plan vacation budgets, to choose from the largest available offer ”, explains the general manager of the“ Novaturas ”group.

People not only from the Baltic States actively traveled this summer. After a break, Western European markets also opened. Travelers from France, Great Britain, Germany returned to their favorite resorts. Due to the return of tourist flows and the probable improvement in the epidemiological situation, the next summer season should be extremely active, with the most popular hotels having to be booked well before the start of the summer season. “With these trends in mind, we want to offer our travelers the best conditions for their future vacations. We have opened advance bookings for the most popular destinations in the 2022 summer season – Turkey, Greece and Bulgaria as of June. We will soon be launching advance reservations for the other summer 2022 destinations, ”shares A. Keinytė.

The start of the winter holiday season

This year, after a year’s break, the winter holiday season is also back. People can plan their vacations not only to Egypt, Tenerife or the United Arab Emirates, but also ski destinations and long-haul destinations. The “Novaturas” group was the first tour operator in the Baltic countries to open sales to ski resorts in August. According to the general manager, the remaining vacant seats on planes bound for ski resorts are filling up quickly. Travel to long-haul destinations is also gradually returning. This year people can already book their vacations in exotic countries like Cuba, Mexico, Mauritius, Seychelles.

Repaid loans

The growing volumes of the group’s operations, the revenues generated and the positive market outlook allow the group to enter into agreements with financial partners before the agreed terms. At the end of July, the company redeemed part of the convertible bonds issued for an amount of 2.5 million euros. The bonds were redeemed before the agreed terms without any further restrictions. In September, the company repaid the long-term loan “Luminor Bank” AS worth 3.04 million euros also before the term stipulated in the agreement and at the same time agreed to convert the long-term loan. term repaid 3.04 million euros in a line of credit that can be used at any time if necessary. The line of credit is a tool for managing current cash flows in tourism businesses that balances potential fluctuations in cash flows due to the specificities of the tourism activity and seasonality.

9M 2021 financial results:

9M 2021 9M 2020 9M 2019
Returned 74,729 30,554 139,571
Gross profit 8,505 3429 16 158
EBITDA 1 980 -1 581 3,015
Net profit 1,096 -3,694 1341

About the group “Novaturas”

The AB “Novaturas” group is the largest tour operator in the Baltic States, offering summer and winter package holidays to more than 30 destinations around the world and more than 100 tourist routes. In 2019, the group served more than 293,000 customers.

Financial director
Giedrius Ribakovas
[email protected],
+370 616 79601

  • Novaturas FS Group 9M2021 FR

  • Presentation of the Novaturas 9M 2021 Group

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