Corporate Travel Management keeps profits up despite tough year

North American growth soared 96%.

a woman

Corporate Travel Management (ASX: CTD) reported full-year 2013 earnings today, pushing up its top and bottom lines in spite of a tough climate for travel services providers. On the top line, the company reported $78.8 million in revenue, 21% higher than 2012’s number. Moving further down the financial chain, underlying EBITDA mirrored revenue gains with 20% hike to $21 million.

But for investors, the picking was slightly slimmer. Underlying EPS clocked in at $0.173, just 11% above 2012’s earnings. In a statement today, Managing Director Jamie Pherous still seemed happy with his company’s efforts. “Our team successfully executed on the key business drivers we can control, allowing us to achieve an underlying EBITDA of $21 million, in line with our upgraded guidance, despite a softening in the Australian economy and lower average ticket prices experienced in the second half of FY13.”

While the company’s Australia and New Zealand EBITDA growth clocked in at 10.3%, its North America growth soared 96% due to the introduction of new business models and processes. With profits up, the board declared a final $0.065 per share dividend, putting total 2013 distributions at $0.105.

Looking ahead, the company expects slightly subdued EBITDA growth between 15% and 20%. Corporate Travel will continue to focus on technology development and client services as it harnesses newfound scale from its May 2013 Travelcorp Acquisition in North America.

Companies are doling out dividends – and smart investors are grabbing them up. Get “3 Stocks for the Great Dividend Boom” in our special FREE report. Click here now to find out the names, stock symbols, and full research for our three favourite income ideas, all completely free!

More reading

Motley Fool contributor Justin Loiseau has no position in any stocks mentioned in this article. You can follow him on Twitter @TMFJLo.

Wondering where you should invest $1,000 right now?

When investing expert Scott Phillips has a stock tip, it can pay to listen. After all, the flagship Motley Fool Share Advisor newsletter he has run for over ten years has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

Scott just revealed what he believes could be the five best ASX stocks for investors to buy right now. These stocks are trading at near dirt-cheap prices and Scott thinks they could be great buys right now.

*Returns as of January 12th 2022

More on ⏸️ Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more »

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more »

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
⏸️ Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more »

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
⏸️ Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more »

asx share price competitions represented by businessmen arm wrestling
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more »

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more »

asx investor daydreaming about US shares
⏸️ How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more »

person reading news on mobile phone
⏸️ Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more »