Australia's Flight Centre annual profit misses estimates on Mideast-linked travel disruptions

Flight Centre Travel

26/08/2026 02:18

Aug 26 (Reuters) - Australian travel retailer Flight Centre FLT.AX reported annual profit below market estimates on Wednesday, hurt by disruptions linked to the Middle East conflict, sending its shares sharply lower.
The company posted a statutory net profit after tax of A$149 million ($106.74 million) for the year ended June 30, missing the Visible Alpha consensus estimate of A$160 million.
Here are some further details:
Flight Centre said its leisure business took an A$60 million ($42.99 million) hit in the fourth quarter, weighing on full-year earnings.
Shares of Flight Centre fell as much as 9% to A$11.80 by 0055 GMT, hitting their lowest since July 24.
The travel manager flagged signs of a recovery in fiscal year 2027 trading, with total transaction value for the leisure business in July surpassing the pre-pandemic 2019 peak.
For fiscal year 2027, corporate segment profit is expected to be weighted to the second half.
The Middle East conflict continues to affect regional businesses for the firm's corporate segment, it said.
The company said long-haul travel from Australia, a key leisure profit driver, started to rebound in early fiscal year 2027.
The group posted fiscal year 2026 total transaction value of A$25.7 billion, compared with A$24.5 billion a year earlier.
The firm said it continues to monitor the Middle East volatility and its economic impact, while focusing on cost discipline, market-share gains and balance sheet strength.

($1 = 1.3959 Australian dollars)

 (Reporting by Shravya Marakini; Editing by Subhranshu Sahu)
 ((Shravya.Marakini@thomsonreuters.com;))