Not Enough from Flight Centre to Prevent FY 2027 Consensus Cuts

Dow Jones
Yesterday

0125 GMT - There isn't enough in Flight Centre's annual result and trading update to stave off FY 2027 consensus cuts of a mid-to-low single digit, says Jarden. Flight Centre's underlying pretax profit of A$277.6 million was within the A$275 million to A$295 million range that management provided to investors in mid-June when it downgraded earlier guidance. "Given more recent positive global travel updates, we and market thought could come in mid-upper end," analyst Ben Gilbert says. Also, guidance commentary for corporate was softer than expected. "Balance sheet in good shape, capital management ongoing and leverage to a global travel recovery remains but, in our view, not enough in this result," Jarden says. It had a buy call and A$15.90 price target before today's result. Flight Centre falls 3.8% to A$12.47.

 

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