Club Med is returning to profit

The 2009 winter was mild for the group Club Mediterranee. During this semester, the first of its 2009-2010 fiscal year, the leisure group has indeed returned to profitability, generating a net profit of 3 million euros. Last year at the same time, it showed a loss of 22 million and in 2008, the winter had ended on a loss of 9 million euros.

The Group's turnover decreased by 5.5% during the winter of 2010 compared to the same tourist season in 2009. This decline reflects a market "sluggish" and the impact of the ash cloud generated by the volcanic eruption in Iceland, which paralyzed air traffic in April, the company said in a statement released Friday. This damage has impacted the group's net profit amounting to 5.6 million, including 3.7 million on operating profit (OCR) Activity Village.The ROC Villages is nevertheless clear to 28 million euros in the first half, marking an increase of 16% compared to winter 2009. The ROC Heritage rebounded, but remains negative: operating loss from this activity on a year from 20 million to three million.

The EBITDA margin of villages has increased by 3 points in four years, and now stands at 9.1%. The decrease in revenue per available bed (-5.7%) due to the decline in occupancy rates, which fell by 4.3 point. The average price of the day hôtellerière has indeed maintained: it stood at 146.40 euros, down 20 cents compared to prices recorded during the winter of 2009.

At the end of the half year, Club Med displays a cash balance of 21 million euros, against a borrowing of 18 million last year at the same time.Proceeds from disposals have reported that Club Med 2 million euros, an amount six times less than that received from sales of assets during the first half of 2009. The group's net debt has been pared down over 30% in one year, to $ 218 million.

Accelerating China

Club Med said it will accelerate its development in China this year, reaching 30,000 clients in the country and become "the leader of high quality vacation all inclusive. Chinese customers has grown 40% in winter 2010 compared to the same period in 2009.

Club Med will open its first holiday village in China "in November as scheduled. After this site that must leave land to Yabuli "famous ski resort in the north-east, four holiday villages should be built in China by 2015.At that time, Club Med is 200,000 customers in China. To achieve this goal and "to strengthen its development," the group says it "led discussions on an industrial partnership with a Chinese group."

Club Med is expecting a good summer

The Summer is also favorable for the group. Welcomed the results of winter, Henri Giscard d'Estaing, the CEO of Club Mediterranee, underlines that "the level of bookings was already showing the number of customers higher than last summer due to late booking. Bookings have increased 18% and over the last eight weeks. During the period, bookings have increased by 11.2% in Europe, 40.4% in the Americas and 42% in Asia.

The total volume to date of summer bookings remains "online" (-0.9%) with their level at the same time last year.Europe attracts fewer (-4.4%) while America and Asia recorded an increase in demand, respectively 13.8% and 18.1%.

Club Med says he will continue to move upmarket its holiday villages, so that two thirds of the accommodation capacity of the group are four or five "tridents", synonymous with luxury Club Med.

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June 12th, 2010 in events, finance, life, online, people | tags: , , , ,