Thomas Cook India registers 36% rise in profit

The company's income from operations tripled to Rs 1,296 cr in in 2013, from Rs 430 cr in 2012

Thomas Cook India has registered a growth of 36 per cent its net profit at Rs 68.7 crore for the year ending December 2013 compared to last year. The company’s income from operations increased by 201 per cent to Rs 1,296 crore in in 2013, compared to Rs 430 crore in 2012.

Thomas Cook India’s income has risen significantly after it acquired the human resource firm Ikya in February last year. Earlier this month, the company announced its merger with Chennai based Sterling Holiday Resorts for RRs 870 crore. “"Last year was challenging for the entire industry, and that makes the impressive results via our core businesses even more significant," Madhavan Menon, managing director, Thomas Cook India said.  
 

Nearly 60 per cent of its total business comes from the foreign exchange. The company wants to steadily increase its income from its tour packages. Thomas Cook India’s core outbound business registered a revenue growth of 21 per cent with an 81 per cent improvement in free cash flows in 2013, over 2012. The Forex business posted a 16 per cent growth in Earnings Before Tax.





The company strategised to tap into the medical tourism market by setting up “shop in shops” through its kiosks and stores within hospitals. So far, there are four hospitals including Jaslok, Fortis Escorts where Thomas Cook has set shop. “We thought this is where medical tourists come and they often need the whole gamut of services from foreign exchange to stay. We can offer it all to them under one roof,” Menon added.

Not only is the company expanding its offline presence but also realising the importance of having a strong online product. Thomas Cook India, in order to cater to the younger audience is trying to bring more of its offerings online. Going a step further in becoming tech savvy, the company has also done away with brochures and pamphlets inside its stores. Instead, it has replaced them with more interactive tablets where customers can browse the brochures and also see video footage of client testimonials etc.