First Choice pleases City
In a positive trading update released this morning, First Choice said profits for the full year would be in line with expectations.
The company said that after the end of the Iraq conflict it saw a strong demand in summer bookings, leading to the high season being one of the “strongest ever” for the group. Overall, UK bookings were 5% higher than last year, with its specialist businesses also up 5% for the same period.
According to First Choice the timing of holiday bookings has changed since 9/11 with people reluctant to book early. But it claims its business model is flexible enough to cope with any changes in demand – such as the fall in bookings caused by the Iraq conflict – with only “minimal financial impact to the business.”
First Choice said winter was following a similar booking pattern as summer, with customers choosing to book later. It said: “Demand for the first half of winter 03/04 is strong with increased margins and fewer holidays left to sell.”
First Choice enters a closed period on November 1 and announces its full-year results on December 9.
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