Wotif suffers profit drop

wotif

 

Wotif faces a yearly profit drop of 15.4 per cent to AUD $43.2 million, following greater competition with its rivals and some uncertainty over regulatory approval for its purchase by Expedia.

The Australian company’s hotel room night bookings system for Australia and New Zealand declined by 9.4 per cent but its accommodation margins increased by 13.7 per cent because of increased hotel commission rates.

Expedia is currently offering AUD $3.06 a share and a AUD $0.24 fully franked dividend via a Wotif scheme of arrangement.

Wotif has previously struggled to compete against Booking.com and Expedia.

The ACCC is expected to make a decision on 10 September and the NZ regulator will make a ruling on 10 October.

Source = ETB News: Tom Neale
Pin It

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>