Last checked at 29 Jul 2009 07:00
29 July 2009: For immediate release
HOLIDAYBREAK PLC
Interim Management Statement and Directorate Change
Following successful completion of its £33.2m rights issue, Holidaybreak, the education, leisure and activity travel group, today releases its interim management statement for the period from 31 March 2009 to 28 July 2009, two months before the end of its current financial year.
In addition, Carl Michel, Group Chief Executive, has decided to stand down from the role for personal reasons unconnected with the business. John Coleman has taken on the role of executive Chairman with immediate effect and will remain so until a new Chief Executive is appointed. A recruitment process is commencing immediately. Carl will step down from the Board officially on 30 September 2009.
The Group continues to perform well in what remains a difficult trading environment, and the trading prospects for the current financial year remain satisfactory and in line with management expectations for the full year. Overall, the Group is now booked at 94% of our target sales, with year to date sales up 2% on last year.
The Group now has additional expansion capital, following the completion of the rights issue earlier this month. We are continuing to progress with negotiations for the acquisition of a large PGL outdoor education centre, as previously announced.
Education Division sales for 2008/9 are up 11% (7% on a like-for-like basis), in line with expectations. For 2009/10, the division is 50% booked. PGL outdoor education centres are 74% booked and are showing revenue growth of 6% year on year.
Hotel Breaks sales for 2008/9 are down 4%, a marginal improvement from the trend previously announced. Sales are encouraging as trading improves and the division is now moving into a period of less challenging comparatives. We continue to benefit from improved supplier offers (lower room rates and train fares) and better availability.
The adventure travel market remains difficult. 2008/09 sales for the Adventure Travel Division are up 3% but 4% down at constant exchange rates.
Camping Division sales for 2008/9 are up 1% but 4% down at constant exchange rates, on 4% lower capacity than last year, with later booking patterns in line with expectations.
John Coleman, Executive Chairman said:
"The current financial year is progressing as expected and we are on track to meet management expectations for the full year. With some key selling weeks remaining, later bookings, particularly in the Camping Division, are coming through, as expected. Education, our largest division, continues to perform well and we are pleased with our newest facility, Windmill Hill, which opened for business in May. In Hotel Breaks, we are seeing continued signs of an improvement in booking volumes. The previously announced restructuring programme for the Adventure Travel Division is progressing as planned. There has been no material impact on our businesses arising from the swine flu pandemic."
"The Education Division's visibility for 2009/10 provides a healthy outlook. However, the global economic environment remains challenging and we continue to manage the entire business tightly, with a focus on cash generation and cost control. With the resources now available to expand our education businesses, we hope to capitalise on appropriate investment opportunities in due course."
"We have a strong management team in place at Holidaybreak and I look forward to leading the team and running the business day to day while we find a suitable successor to Carl. On behalf of the Board I thank Carl for his contribution to the business over the last four years."
Enquiries:
| Holidaybreak John Coleman / Bob Baddeley | +44 (0) 1606 787100 |
| Brunswick Catherine Hicks / Giles Croot/ Oliver Hughes | +44 (0)20 7404 5959 |
Notes to Editors
Holidaybreak (HBR.L) is an education, leisure and activity travel group listed on the London Stock Exchange. The Group's four operating divisions have market leading positions in the UK and other major European markets, organising educational and activity trips for UK school children, short breaks in the UK and Europe, worldwide adventure holidays and mobile-home and camping holidays on sites throughout Europe. For more information, please go to www.holidaybreak.co.uk.
This information in this release is based on management information.
Certain statements in this announcement are forward-looking statements. Such statements are based on current expectations and by their nature are subject to a number of risks and uncertainties that could cause actual results and performance to differ materially from any expected future results or performance expressed or implied by the forward-looking statement. These forward-looking statements are made only as at the date of this announcement. Except as required by law, Holidaybreak plc has no responsibility or obligation to update publicly or revise any of the forward-looking statements contained herein.