Thomas Cook India records INR 848 mn PBT in Q2 FY27; India travel business sees recovery

The company's total income stood at INR 20,030 million in Q2 FY27, down 5% year-on-year. For the first half of FY27, total income was INR 41,560 million, registering a 9% decline compared with H1 FY26.

Thomas Cook (India) Limited (TCIL) reported a consolidated profit before tax (PBT) of INR 848 million for the second quarter of FY27, compared with INR 845 million in the corresponding period last year. The performance remained resilient despite geopolitical uncertainties and continued disruptions in parts of its international travel operations.

The company's total income stood at INR 20,030 million in Q2 FY27, down 5% year-on-year. For the first half of FY27, total income was INR 41,560 million, registering a 9% decline compared with H1 FY26. Revenue from Operations increased by 21% y-o-y for Q2 FY27 and 14% y-o-y for H1 FY27. EBIT grew by 10% for Q2 FY27 and 9% for H1 FY27

The India travel business recorded a recovery following a slower start in July, narrowing its year-on-year revenue gap to 6%. The segment reported EBIT margins of 3.8%, with domestic and short-haul travel emerging as key growth drivers. The company also reported healthy forward bookings for Q3 FY27, with bookings for its India leisure travel business approximately 30% higher year-on-year, indicating sustained demand despite elevated airfares and input costs.

Combined air and non-air volumes grew 18.15% year-on-year. Domestic air volumes increased 22.7%, while international air volumes rose 15.26%. Hotel volumes recorded particularly strong growth of 81.83%, with hotel transactions increasing 36.5%, reflecting greater adoption of managed accommodation programmes among corporate clients.

In the Meetings, Incentives, Conferences and Exhibitions (MICE) segment, the company managed more than 176 groups, ranging from 50 to 7,000 delegates. SOTC also managed a large-scale MICE movement in Bangkok involving 7,000 delegates from a leading Indian pharmaceutical company.

The company continued to expand its experiential outbound holiday portfolio, adding luxury rail journeys across South Africa, Canada, Australia, New Zealand and Egypt. Its cruise offerings were strengthened with curated itineraries covering Antarctica, the Arctic, the Mediterranean and Europe.

Seasonal holiday products featuring the Northern Lights, Arctic experiences, European Christmas markets and Alpine destinations were also introduced. Charter-led departures from Bengaluru to Lakshadweep and Mumbai to Bhutan were announced for the upcoming season. Additionally, the company partnered with Abu Dhabi's Department of Culture and Tourism to offer complimentary UAE entry visas on eligible holiday packages.

India Destination Management Services (DMS), operated by SITA, recorded 16% growth during the seasonally softer quarter, supported by business from key source markets including the UK, Germany, France, Portugal and Japan.

Overseas DMS revenue declined 7% year-on-year, primarily due to geopolitical disruptions in the Middle East and softer inbound tourism to the US. Desert Adventures and Allied T Pro were among the businesses affected. The decline was partly offset by growth in Asian Trails and the company's private safari operations in East and Southern Africa.

Asian Trails reported 9% revenue growth, supported by performances in China, Singapore and Thailand. Private Safaris recorded revenue growth of 31% in Southern Africa and 10% in East Africa.

Thomas Cook India's leisure hospitality business, comprising Sterling Holidays and Nature Trails, reported a 21% year-on-year increase in revenue from operations to INR1,259 million in Q2 FY27.

The business recorded growth in room demand and pricing, with room nights sold increasing 23%, average room rate (ARR) rising 9% to INR6,484 and total revenue per available room (RevPAR) improving 12%.

The resort network expanded to 83 properties, following the opening of seven resorts during the quarter – the highest number of openings in a single quarter for the company. The additions include properties in Jagdalpur, Sattal, Agra, Varanasi, Corbett, Tadoba and Jawai. The business also crossed 4,000 keys.

Nature Trails doubled its resort portfolio from three to six properties, while recording a 10% increase in revenue and a 79% expansion in room inventory year-on-year.

The company continued to strengthen its digital capabilities through enhancements to its AI-powered chatbot, integrating DynaPack, a customised itinerary feature. The tool enables customers to explore personalised holiday itineraries with dynamic pricing.

During Q2 FY27, Thomas Cook India and SOTC inaugurated six new leisure travel outlets across Bengaluru, Gorakhpur, Ahmedabad, Chennai, Tirupati and Jamshedpur.

Commenting on the results, Mahesh Iyer, Managing Director and CEO, Thomas Cook (India) Limited, said, “Q2 FY27 again demonstrated the resilience of the TCIL Group with PBT holding firm at INR 848 Mn despite the continued impact of the West Asia conflict. Disciplined execution with a clear focus on margins, helped us offset some shortfall in the travel business. Looking ahead, we are optimistic of continued momentum in India leisure travel, with forward bookings trending at a healthy 30% growth over last year - even in the face of elevated airfares and other input costs. This is a positive signal for the current quarter and beyond.”