Shares of Corporate Travel Management Ltd (ASX: CTD) continued their smashing run this morning after the company increased its full-year earnings guidance and lifted its interim dividend. The stock rose as much as 4.7% to record a new all-time high at $12.49, giving the company a market capitalisation of around $1.21 billion.
So What: During the six-month period ended 31 December 2014, Corporate Travel Management recorded underlying net profit growth of 69% to $11 million. Total transaction value more than doubled, rising 127% to $1.12 billion, while revenues were up 93% to $83.8 million.
The company also recorded a 94% jump in underlying EBITDA (earnings before interest, tax, depreciation and amortisation) to $20.2 million, allowing it to increase full-year guidance to between $46-$48 million, up from its previous target of $45 million.
Commenting on the result, Corporate Travel Management's Managing Director Jamie Pherous said: "We have had a truly excellent half in light of the tough business conditions. Most pleasing was that all regions grew market share through winning and retaining clients, achieved record first-half profits, and the impact of our acquisitions continues to have a positive effect on the business globally."
The company also declared a 6 cent fully franked dividend for the period, which is up 33% from last year.
Now What: Corporate Travel Management has been an incredible performer for investors with the shares rising 835% since late 2010, and 147% over the last 12 months. The company will continue to explore acquisition opportunities in North America which could help it drive earnings growth and shareholder returns for years to come.
