Trailfinders offers the whole package

By Rupert Steiner for the Daily Mail
Updated: 04:57 EDT, 24 June 2008

An expansion into package holidays has helped earnings take off at Trailfinders, Britain's largest independent travel agent.

Buoyant: The travel firm provides unique global experiences

Accounts filed for the privately run firm show pretax profit up from £15m to £18.5m for the 12 months to February 29 after it said large numbers of customers returned to its 23 stores following disappointing online experiences with rival companies.

Managing director Tony Russell said: 'We have won a lot of business back for our traditional markets of America, New Zealand and Australia from rivals who are not quite the force they once were.

'We have also entered into new markets offering tailor-made package holidays in the Indian Ocean and Caribbean which we have only become involved with in recent years.'

He said the business is weathering the credit crunch and expects growth for 2008.

With sales up 12.6% to £619m its performance echoes upbeat trading from Tui Travel and Thomas Cook (down 3½p to 234¼p) as the holiday sector continues to beat the credit crunch.

Travel agents are finding that holidays are the last thing cash-strapped consumers are cutting back on.

Despite the group continuing to perform well in 'almost all areas' Trailfinder's boss Mike Gooley took a chunky £3m pay cut. His salary dropped to £270,000 from £3.2m but the entrepreneur compensated himself with a £2.5m dividend.

The group, which employs 1,044 staff and has outlets in London, Manchester, Aberdeen, Cardiff and Canterbury, also keeps £178m cash in the bank.

Separately Tui Travel (down 3p to 205¾p) has raised £250m from a sale and leaseback of 19 of its aircraft some of which operate under the Thomsonfly brand.

• Price comparison site Cheapflights has ditched plans for a float citing credit crunch turbulence for grounding its plans.