Wednesday, 22 November 2017

Shares in Thomas Cook hit as UK earnings fall

Shares in Thomas Cook have fallen sharply after the travel firm reported a drop in earnings at its UK business.

Earnings at its UK division fell by 40% in the year to 30 September to £52m and the company's share price sank by as much as 13% in early trade.

Rising hotel prices, the fall in the pound and competition in the Spanish market all affected the holiday firm.

Its costs rose because of a spate of fraudulent illness claims and helping customers caught up in Hurricane Irma.

Despite the weak performance at its UK division, underlying earnings across the Thomas Cook group as a whole rose by £24m to £330m, helped by a recovery at its German airline Condor.

BBC      News.