This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at http://www.bbc.co.uk/news/business-42078647
The article has changed 2 times. There is an RSS feed of changes available.
Previous version
1
Next version
Version 0 | Version 1 |
---|---|
Thomas Cook shares hit as UK earnings fall | Thomas Cook shares hit as UK earnings fall |
(about 3 hours later) | |
Shares in Thomas Cook have fallen sharply after the travel firm reported a drop in earnings at its UK business. | |
Earnings at its UK division fell by 40% in the year to 30 September to £52m and the company's share price sank by as much as 13% in early trade. | Earnings at its UK division fell by 40% in the year to 30 September to £52m and the company's share price sank by as much as 13% in early trade. |
Rising hotel prices, the fall in the pound and competition in the Spanish market all affected the holiday firm. | Rising hotel prices, the fall in the pound and competition in the Spanish market all affected the holiday firm. |
Its costs rose because of a spate of fraudulent illness claims and helping customers caught up in Hurricane Irma. | Its costs rose because of a spate of fraudulent illness claims and helping customers caught up in Hurricane Irma. |
Despite the weak performance at its UK division, underlying earnings across the Thomas Cook group as a whole rose by £24m to £330m, helped by a recovery at its German airline Condor. | Despite the weak performance at its UK division, underlying earnings across the Thomas Cook group as a whole rose by £24m to £330m, helped by a recovery at its German airline Condor. |
Chief executive Peter Fankhauser promised to arrest the slide in the UK: "While conditions are challenging in the UK, we have implemented a set of actions to improve performance." | Chief executive Peter Fankhauser promised to arrest the slide in the UK: "While conditions are challenging in the UK, we have implemented a set of actions to improve performance." |
The company said it planned to take legal action against people who make false illness claims. | The company said it planned to take legal action against people who make false illness claims. |
Thomas Cook is also focusing on destinations such as Turkey and Egypt as they begin to regain popularity. Demand for holidays in both countries had fallen after terror attacks. | Thomas Cook is also focusing on destinations such as Turkey and Egypt as they begin to regain popularity. Demand for holidays in both countries had fallen after terror attacks. |
The company said trading for the winter season was meeting expectations, with bookings up 5% thanks to steady demand for trips to the Canaries and a "strong recovery" in holidays to Egypt. | The company said trading for the winter season was meeting expectations, with bookings up 5% thanks to steady demand for trips to the Canaries and a "strong recovery" in holidays to Egypt. |
Previous version
1
Next version