Novaturas Group, the leader in the Baltic tourism market, recorded revenues of EUR 15.1 mln. in April, compared to EUR 19 mln. in the corresponding period last year.
The number of customers served was around 21 thsnd., compared to around 26 thsnd. in April last year. The lower passenger number this year is primarily due to the optimised travel offering to Turkey and Egypt, where profit margins are usually lowest due to intense competition. However, with the widest range of destinations in the region, Novaturas continues to pursue its diversification strategy and focuses on other more profitable travel destinations, which record growing sales. These include the increasing flows to Spain, Portugal, Tunisia, Greece, and Cyprus that has been introduced by the company this year.
In April and May, Novaturas, as usual, focuses on active preparation for the summer season and the launch of winter sales early bookings. The company has launched the 2024–2025 group-wide sales to the main winter holiday destinations of Egypt, Tenerife and Madeira. Lithuanian travellers can now plan their trips for all three destinations, while travellers from Latvia and Estonia are offered to travel to Egypt and Tenerife. Early bookings have also been launched for winter sightseeing trips from Lithuania by plane to Madeira and the Nile cruises in Egypt, which are a favourite with travellers. In June, Novaturas will present to travellers the full winter holiday programme for 2024–2025, as well as new destinations.
To improve the customer experience, the company is offering a wide range of flights, hotels, discounts and additional benefits during the early booking period. One of the benefits offered by Novaturas and appreciated by its customers is the possibility to make changes to the trip free of charge. It allows travellers to conveniently adjust the date, duration, hotel, room type, destination and/or season of their trip. Early bookers are also offered a name change option and other flexible discounts in case of changes in travel plans.
Strengthening its position in large corporate travel organisation
In April, Novaturas implemented a number of incentive trips for large telecommunications, media and other companies. The company is growing strongly in the organisation of large group travel and the increasingly popular workation trips. More than 15 trips of this type have already been implemented in Lithuania, Latvia and Estonia this spring, with Novaturas organising the flights and accommodation for a total of about 1500 travellers.
Additional workation and incentive trips for both large and medium-sized companies have been envisaged for the summer season. Novaturas also organises custom trips of this type. There is a trend that a significant number of companies organising workation return to Novaturas every year for these services.
As a reminder, the company published its audited performance report for 2023 and adjusted financial results at the end of April. According to them, Novaturas Group generated revenues of EUR 208.3 mln. in the Baltic States last year, which is an increase of 6%, compared to 2022. The EBITDA of the company reached EUR 5.5 mln. last year. The loss of EUR 0.7 mln. recorded the year before last was replaced by an annual profit of EUR 3.6 mln. last year. Novaturas served a total of 259 thsnd. customers across the Baltic States, which is a slight (3%) decrease, compared to 2022.
According to Kristijonas Kaikaris, CEO of Novaturas Group, the broadest offering of travel destinations in the region of the company and its prompt and flexible management in response to the dynamic market situation and customer needs were decisive factors for profitability. Novaturas will strive to further improve the traveller experience, offer new services, as well as more user-friendly tools for travel agencies and other strategic partners. The priorities of the company include strengthening of e-commerce tools and direct sales.
About the company
Novaturas Group is the largest and the only charter flights‘ local tour operator in the Baltic States, offering summer and winter trips to more than 30 destinations worldwide and more than 100 tours. Based on audited data, in 2023 Novaturas Group recorded revenues of EUR 208,3 million and served 259 000 passengers in Lithuania, Latvia and Estonia.