X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2017 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
Thomas Cook net down 9% YoY - Views on News from Equitymaster
 
 
  • PRINT
  • E-MAIL
  • FEEDBACK
  • A  A  A
  • Jul 20, 2000

    Thomas Cook net down 9% YoY

    Thomas Cook (India) Ltd, a leading forex and tourism company has reported a 14% YoY growth in sales to Rs 204 m for 2QFY01. However the company's operating margins dropped by over 4% to 32.4% in 2QFY01, due to a 22% increase in operating expenditure. The main increase to operating expenditure was driven by a 49% increase in staff costs.

    (Rs m) 2QFY00 2QFY01 Change
    Sales 179 204 14.0%
    Other Income 2 4 115.8%
    Expenditure 113 138 21.7%
    Operating Profit (EBDIT) 66 66 0.8%
    Operating Profit Margin (%) 36.7% 32.4%  
    Interest 8 7 -12.0%
    Depreciation 13 13 7.2%
    Profit before Tax 47 49 6.1%
    Other Adjustments 0 4  
    Tax 15 16 10.3%
    Profit after Tax/(Loss) 32 29 -9.2%
    Net profit margin (%) 18.0% 12.2%  
    No. of Shares (eoy) (m) 8.8 8.8  
    Diluted number of shares 14.6 14.6  
    Diluted Earnings per share* 8.8 8.0  
    *(annualised)     12.4

    Due to lower interest costs in 2QFY01, TCIL's profit before tax went up by 6% YoY in this quarter. However due to amortisation of start up costs for its wholly owned subsidiary Thomas Cook (Mauritius) Holding Company Ltd of the amount of Rs 4.3 m in 2QFY01 the company's net profit declined by 9% YoY to Rs29 m for 2QFY01.

    TCIL is in an advanced stage of negotiations to acquire the business of Travel Corporation (India) Ltd. The benefits of this acquisition for TCIL is that by this the company will become very strong in the area of inbound travel, which is currently the forte of Travel Corporation of India.

    This fits in well with TCIL's strategy of becoming the "one stop travel shop" as it is currently strong in the areas of foreign exchange and outbound travel.

    This year seems positive for the company as the second half performance should improve as inbound tourist arrivals are buoyant (9% growth reported in the 1QFY01). Outbound travel is growing at a rate of 25%-30% per annum, this too will boost the company's earnings.

    Thomas Cook India Ltd (TCIL) continues to be a leading player in the forex travel market with a network of 49 branches in 15 cities. The company has become very aggressive on the leisure travel front and its revenues from this business are on the rise. As a result the company's revenues from leisure travel business has gone up from 6 percent of turnover in 1996 to 11 percent in 1999.

    On the current price of Rs 424, TCIL is trading at 34x FY2000 EPS of Rs 12.4.

     

     

    Equitymaster requests your view! Post a comment on "Thomas Cook net down 9% YoY". Click here!

      
     

    More Views on News

    Securities & Intelligence Services Ltd. (IPO)

    Jul 31, 2017

    Should you subscribe to the IPO of Securities & Intelligence Services Ltd?

    Why Super Investors are Underperforming in This Market (The 5 Minute Wrapup)

    Jul 8, 2017

    If Super Investors can wait for the right pitch, so can you.

    Tejas Networks Ltd. (IPO)

    Jun 14, 2017

    Should you subscribe to the IPO of Tejas Networks Ltd?

    Discover the Secrets of Hidden Smallcaps From These AGMs (The 5 Minute Wrapup)

    May 26, 2017

    Don't be surprised to come across some Super Investors there!

    A Trader's Nightmare. A Business Owner's Delight. (The 5 Minute Wrapup)

    May 19, 2017

    Not all small-cap investors see themselves as traders. Some see themselves as business owners.

    More Views on News

    Most Popular

    A 'Backdoor' to Multibaggers: It's Like Investing in Asian Paints Ten Years Ago(The 5 Minute Wrapup)

    Aug 10, 2017

    Don't miss these proxy bets on growing companies or in a few years you will be looking back with regret.

    The Most Profitable Investment in the History of the World(Vivek Kaul's Diary)

    Aug 8, 2017

    'Yes, it looks like a bubble. And, yes, it's like buying a lottery ticket. But there's something happening that has never happened before. It's an evolutionary leap in money itself.'

    Should You Invest In Bharat-22 ETF? Know Here...(Outside View)

    Aug 8, 2017

    Bharat-22 is one of the most diverse ETFs offered so far by the Government. Know here if you should invest...

    Signs of Life in the India VIX(Daily Profit Hunter)

    Aug 12, 2017

    The India VIX is up 36% in the last week. Fear has gone up but is still low by historical standards.

    Bitcoin Continues Stellar Rise(Chart Of The Day)

    Aug 10, 2017

    Bitcoin hits an all-time high, is there more upside left?

    More
    Copyright © Equitymaster Agora Research Private Limited. All rights reserved.
    Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

    LEGAL DISCLAIMER: Equitymaster Agora Research Private Limited (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA or Canada, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.

    SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

    Equitymaster Agora Research Private Limited. 103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
    Telephone: +91-22-61434055. Fax: +91-22-22028550. Email: info@equitymaster.com. Website: www.equitymaster.com. CIN:U74999MH2007PTC175407
     

    Become A Smarter Investor In
    Just 5 Minutes

    Multibagger Stocks Guide 2017
    Get our special report, Multibagger Stocks Guide (2017 Edition) Now!
    We will never sell or rent your email id.
    Please read our Terms

    THOMAS COOK INDIA SHARE PRICE


    Aug 21, 2017 10:51 AM

    TRACK THOMAS COOK INDIA

    • Track your investment in THOMAS COOK INDIA with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
    • Add To MyStocks

    MORE ON THOMAS COOK INDIA

    THOMAS COOK INDIA 5-YR ANALYSIS

    Detailed Financial Information With Charts

    COMPARE THOMAS COOK INDIA WITH

    MARKET STATS