Feeds

Ebookers cuts losses

Job cuts help

  • alert
  • submit to reddit

Build a business case: developing custom apps

Online travel agent Ebookers cut its losses in the third quarter thanks to a lower wage bill arising from job cuts. The firm said it is still in discussions about a possible sale and "a further announcement will be made in due course".

Gross sales for the three months ended 30 September 2004 were £159m, up from £145m for the same period of 2003. The firm made a loss for the period of £2m, down from a loss of £3.2m for the third quarter of 2003.

Ebookers has cut £1.3m from its annual wage bill. It has moved more sales online. In the third quarter of this year 62 per cent of sales were made online compared to 46 per cent in the third quarter of 2003.

The period also saw a small increase in non-air business - 36 per cent of total turnover up from 33 per cent in the same period of 2003. Online and web-enabled hotel bookings make up the majority of this business. Ebookers expects to introduce a "second generation dynamic packaging booking engine" in December. Its booking website hotelbookers.com should be live by the end of the year.

Ebookers expects trading in the fourth quarter to be satisfactory it expects the recovery of European mid and long haul travel to continue and more European consumers using the internet to make travel purchases.

Michael Healy, CFO at Ebookers, said: "This has been a quarter of improved performance. We have grown the top line, and maintained our margin. Through restructuring and staff reductions of 360 people, we have managed to improve profitability. This is despite continued investment in technology and non-air businesses, the full benefits of which will be realised next year."

More details here. ®

Related stories

InterActive Corp walks away from ebookers
Lastminute seeks £13m savings
Potential buyers sniff Ebookers

Build a business case: developing custom apps

More from The Register

next story
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Amazon says Hachette should lower ebook prices, pay authors more
Oh yeah ... and a 30% cut for Amazon to seal the deal
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Nintend-OH NO! Sorry, Mario – your profits are in another castle
Red-hatted mascot, red-colored logo, red-stained finance books
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
Chips are down at Broadcom: Thousands of workers laid off
Cellphone baseband device biz shuttered
Feel free to BONK on the TUBE, says Transport for London
Plus: Almost NOBODY uses pay-by-bonk on buses - Visa
Twitch rich as Google flicks $1bn hitch switch, claims snitch
Gameplay streaming biz and search king refuse to deny fresh gobble rumors
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.