Accounts for the 18-month period to 30 April 2021 saw a loss before tax of £34.2 million, compared to a profit in the 12 months ended 31 October 2019 of £4.9 million.
The 18 months were described as “the most challenging period in the history of Hays Travel Group”. During it, total transaction value fell 34%, with £1.47 billion in new bookings, but £726 million in cancellations and amendments.
In an introduction to the Companies House filing, Hays Travel chair Dame Irene Hays said: “Not only were we severely impacted by the Covid-19 pandemic in March 2020, in November 2020, we lost our founder John Hays.”
Hays said it had saved 44% of roles threatened with redundancy and had negotiated rent-free periods and rent reductions for its shops. Meanwhile, the number of self-employed homeworkers rose to 353.
Hays said: “As with any period of adversity, businesses that are strong and well-funded react well, diversify and build better, more sustainable long-term businesses for the future. Throughout the pandemic we have successfully maintained existing customer confidence and on average are seeing over 50% of new customers booking.”
It added: “Throughout the pandemic, we managed to save £220 million of holidays, representing 27.7% of impacted bookings.”
Hays has cash “in excess of £96 million with no utilisation of debt”. In May 2021, the agency secured a £10 million revolving credit facility for three years. The report said: “The group does not intend to utilise this facility, however, has secured funding to support future growth.”
The report said the Hays business model was sound, with “significant pent-up demand for holidays”.
“The business is in a strong position, having streamlined costs and has the resources and capabilities to deliver when the business returns and consumers are once again able to travel freely.”
