Sun shines on Riviera sales
By Stephanie Bartup, Midlands Correspondent
Tour operator Riviera Tours (Holdings) has increased turnover by almost £15m over the last year, Insider can reveal. The Burton-upon-Trent-based company said its limited risk strategy and a successful move into the US market helped secure a turnover of £61.4m.
Owner and managing director Michael Wright told Insider he expected the company to record higher profits over the next year as the market continues to improve.
Riviera Tours (Holdings) primarily operates excursions, river cruises and short breaks throughout the world. During the company's latest financial year to 10 November 2010, it began operating in North America under the brand Riviera Tours LLC.
Wright said the company's US office, which is based in Connecticut, was performing in line with expectations.
The company's accounts include results from Riviera Tours (Holdings) and its subsidiary businesses Riviera Tours, Riviera Tours (Transport) and Riviera Tours LLC.
During the year, pre-tax profit increased from £1m in 2009 to £1.7m. Turnover rose to £61.4m, up from £46m the previous year.
Of the revenues recorded, £60.4m came from the company's UK operations and the remaining £1m was received through its US-based subsidiary.
In a statement, the company said current bookings were up on 2010, and added that booking levels in January this year were particularly strong.
Wright added: "The market is looking up and we are definitely expecting to produce even better results in our next financial report. Our business model is working well and things are definitely getting busier."
The company's balance sheet also grew near the end of 2010, with net assets increasing from £4.1m to £5.5m.
Riviera Tours (Holdings) spent £4.2m on staff wages in its most recent financial year, compared with £3.7m the previous year.
Although he would not commit to any detailed expansion plans, Wright said: "Watch this space – they say a week is a long time in politics – a year is an awfully long time as a travel operator. You never know what could happen."
