Thomas Cook (india) Limited · NSE:THOMASCOOK
Thomas Cook (india) — Investor Presentation (December 2002)
28 slides from Thomas Cook (india)'s investor presentation, Dec 5, 2002
Slide 1: Presentation To Analysts
Presentation To Analysts Thomas Cook (India) Limited Mumbai, 5th December 2002 Ashwini Kakkar C.E.O. & M.D.
Slide 2: Agenda
Agenda •Company •Environment •Business Review And Developments •Financial Performance •Summary -2-
Slide 3: Company
Company -3-
Slide 4: Thomas Cook AG
Thomas Cook AG Second largest travel group in Europe Third largest travel group in the world Operates the world’s largest charter fleet The fifth largest airline fleet in Europe Controls the largest travel agency network in Europe - 24 - Large, vertically integrated travel group -4-
Slide 5: Thomas Cook India
Thomas Cook India Share Holding Egypt •TC Overseas 60.00% India •SBI 8.33% Sri Lanka •UTI 2.66% •Public 29.01% Mauritius Board & Committees TC in India •Board of Directors •121 years in India •54 locations, 16 cities •Sub Committee of the Board •800 employees •Audit Committee •Oversee operations •Re
Slide 6: Best Products Honest Prices
Thomas Cook India Services & Foreign Insurance Exchange Web Leisure Business Travel Shops Travel Call Center Hotels Charter Airlines -6- Best Products Honest Prices
Slide 7: Objective and Guiding Principles
Objective # 1 integrated travel and related services company in all our geographies, in terms of profitability and volumes Guiding Principles • Enhance shareholder value • Leadership in all business segments • Capitalize on synergies with Parent • Sustained Profitability in consonance with local rel
Slide 8: Corporate Governance
Corporate Governance Ne ws Fl a Ethics & sh Values Anti Money Codes of Laundering Conduct Policy Golden Peacock Award for Corporate Governance Information Vigilance System Committees Policy Prevention of Insider Trading Strong Commitment to Values, Business Ethics and Transparency in- all 8 - our de
Slide 9: Service Quality
Ne Service Quality ws Fla s h TTG Best Travel Agency - India Award for year 2002 awarded to Thomas Cook India for the fourth consecutive year!!! Professional Service, Personal Care, Industry Choice -9-
Slide 10: Environment
Environment - 10 -
Slide 11: External Environment
Exte m a | E nvi ro Nn mM e nt TOURISM TRENDS: THE 9/11 EFFE Shivering lisa Industry Awaits Visitors AUS orried Over . Dipping Inbound Travel India to focus on sustainable tourism ‘New Deit, Oot 18 ‘Speaking.co FE after the ses- Jayasree Singh/ Kolkata While travel i on, f k L ‘ttadeisjubilant slot,
Slide 12: External Environment
External Environment (comput souvent arse | [fthe plans on its map stay om cowrse, the comparry may just reinvent itself Thomas Cook’s New Recipe INDUSTRY. ‘Thomas Cook india'ts n'a makeover mode. It is brewing plans which almsattransform- ing an essentially till-now travel agency and money changing
Slide 13: External Environment
External Environment Indian Tourism Industry expected to grow @ 20% p.a. (WTO) Reduction in seat availability by 1.40 mn p.a.( base 5 mn) Cash rich / time poor customers start to demand quality Geopolitical uncertainty Extremely tough trading conditions India presents an attractive tourism
Slide 14: Challenging Environment - 2002
Challenging Environment - 2002 • Business adversely impacted – Due to 9/11 aftermath, – Indo-Pak tension on the border – Gujarat riots – Unfavorable travel advisories in Q2/3 • Stiff competition and price wars • Signs of tail-wind coming back – Tourist arrivals show a positive trend for the first ti
Slide 15: Thomas Cook's Current Year Performance
Thomas Cook’s Current Year Performance Despite the trend Thomas Cook (India) managed to significantly better its performance over last period of 10 months, due to cogent strategies: • Sales up by 10% • Revenue up by 36% • Costs controlled • PAT up by 112% Despite adverse conditions, TCIL has managed
Slide 16: Business Review And Developments
Business Review And Developments - 16 -
Slide 17: Travel Related Services
Travel Related Services • No. 1 in charter handling, in India with a share of approximately 1/4th of the market • No 2. in Outbound Group / Incentive Travel with a share of approximately 1/3rd of the market • Leader in business travel services to companies with a market share* of 16% • Expected to g
Slide 18: Travel Related Services - Agenda for 2003
Travel Related Services - Agenda for 2003 • Maintain growth momentum Travel Services – Retain current growth rate of approx. 25%, year on year – Reach enhancement (shops & Passenger Sales Agents from 110 to 300) • Aggressively attack growth opportunities – Enlarge domestic leisure by growing rail an
Slide 19: Financial Services
Financial Services • Market Leader • Only non-banking Authorised Dealer in India • SWIFT Membership • Distribution Capabilities • Plan to strengthen relationship and introduce new products/services for niche segments • Entry of MNCs and competition • Expected to grow @ 10% Largest, diversified and u
Slide 20: Economics of our Website
Economics of our Website www.thomascook.co.in • Sales grew 150% • Revenue grew 66% • Traffic grew 25% • Profitable Website contributes approx 3% to Holidays Sales • Sales Breakup – Holiday Sales 54% – Flight Sales 34% – Forex Sales 7% (Launched in July 02, in Mumbai only) – Hotel Sales 5% • New part
Slide 21: TCIL Happenings
Ne TCIL Happenings w sF las h • TravelPerks launched on 27th November 2002 – A comprehensive ‘travel companion’ for the frequent traveller – A powerful International program offering 4 unique travel related advantages • IAPA membership • AT&T calling card • Latitude (Recovery & Discovery) card – Tra
Slide 22: Future-proofing the Organisation
Future-proofing the Organisation • Management in Chaos • “Best in Class” Management Team • Focus, clear direction, cogent strategies • Investments in Technology • Investments of the order of Rs. 20 Crores in setting up our LAN, WAN and upgrading hardware and software over a period of 5 years • Cost
Slide 23: Financial Performance
Financial Performance - 23 -
Slide 24: Financial Results for the Year ended
Financial Results for the Year ended (Rs. Lacs) 31st Oct-02 31st Oct-01 31st Oct-01 Variance 12 Months 10 Months 12 Months 10 mths % Revenue 10086 7440 9076 36% Costs 7070 5817 7276 22% Profit Before Tax 3016 1623 1800 86% Tax 1084 711 774 52% Net Profit 1932 912 1026 112% Strong fundamentals and pr
Slide 25: Profitability Ratios for the Year ended
Profitability Ratios for the Year ended Oct-02 Oct-01 12mths 10mths Net Profit Margin (% of Rev.) 19.2% 12.3% Return on Equity 17.5% 10.0% EPS Rs.13.3 Rs.6.3 - 26 -
Slide 26: What do the charts say?
What do the charts say ? Share Capital & Reserves Debt Equity Ratio Rs. In Lacs 0.7 0.6 No. of times 10000 9140 0.6 9000 7723 7688 8000 0.5 7000 6000 0.4 0.3 5000 0.3 4000 0.2 3000 0.2 1458 1458 1458 2000 1000 0.1 0 0 2000 2001 2002 2000 2001 2002 Share Capital Reserves Book Value Per Share Cost to
Slide 27: Summary
Summary A strong global brand A strong balance sheet Leadership through values and innovation Diversified one stop organisation for all travel related services TCIL has adopted strategies to enable it to be resilient, enhance operational and financial flexibility to outperform in competitive environ
Slide 28: www.thomascook.co.in
www.thomascook.co.in
Thomas Cook (India) — Investor Presentation (December 2002) on 6ix