11 October 2019 – trading update
The company has released another trading update, 5 weeks after its Annual General Meeting on 5 September. At that time Dart Group noted that the Leisure Travel business had received encouraging levels of later season bookings and this has continued, with overall demand for both flights and package holidays continuing to strengthen. Increased levels of customer demand have been seen since Thomas Cook Group entered into compulsory liquidation in late September, as one would have expected. This means that current market expectations for profit before foreign exchange revaluations and taxation for the year ending 31 March 2020 is likely to be exceeded and a further update will be provided with interim results on 21 November. The company remains ‘very cautious’ on the longer term due to cost pressures and the possible impact of Brexit. With the shares having rallied strongly in a short period of time we would now be reluctant to chase the price. BUY ON WEAKNESS.