Overview
Saga plc, the British travel and insurance group, said first‑half cruise bookings exceeded expectations and holiday revenue rose, while cautioning that full‑year passenger numbers could fall because of the Middle East conflict. The company reaffirmed its full‑year guidance and noted that its shares slipped roughly 1% after the announcement.
Cruise Revenue Performance
Ocean cruise revenue for the first half is expected to be higher than the prior year, driven by a 13 % increase in booked per‑diems. River cruise booked per‑diems were 4 % higher year‑on‑year, also supporting growth in river cruise revenue for the period.
Insurance Operations
The restructured insurance business, now operating under a partnership with Ageas, surpassed its early‑target milestones, resulting in a £10.5 million payment to Saga.
Full‑Year Outlook
Holiday revenue for the full year is projected to be marginally ahead of the prior year, although passenger numbers may be slightly behind. The company highlighted a shift toward shorter, short‑haul holidays as customers avoid long‑haul trips amid the Middle East conflict.
Risk Management
Saga stated that commodity and foreign‑exchange risk is fully hedged through the end of 2027, and it expressed a high level of confidence in meeting its full‑year targets, citing advance bookings.