Thomas Cook India Income Rises 3% To ₹85,578 Million Amid Geopolitical Disruptions

Mumbai: Thomas Cook India Ltd reported a 3 percent rise in consolidated total income to Rupees 85,578 million for FY26 despite geopolitical disruptions affecting global travel demand and flight operations during the year. However, total income for Q4 FY26 declined 11 percent year-on-year to Rupees 18,055 million, while consolidated profit before tax before exceptional items dropped 48 percent to Rupees 477 million from Rupees 916 million in the year-ago quarter.

The company said FY26 was marked by disruptions linked to the Pahalgam attack, Operation Sindoor, and the Israel-US-Iran conflict, which impacted airspace access, travel sentiment, fuel costs and currency movements. These developments also coincided with peak summer travel bookings, leading to elevated travel costs and lower outbound demand.

Travel Services And Hospitality Remain Resilient

Travel services revenue for FY26 grew 4 percent to Rupees 67,025 million despite a 14 percent decline in Q4 revenue to Rupees 13,569 million. The company said leisure travel sales across Thomas Cook and SOTC grew 8 percent year-on-year during both FY26 and Q4 FY26, while corporate travel turnover rose 19 percent during FY26 and 28 percent during Q4.

Leisure hospitality business Sterling Holidays and Nature Trails delivered one of the strongest performances during the quarter. Revenue from operations increased 19 percent year-on-year in Q4 FY26 to Rupees 1,385 million, while FY26 revenue rose 7 percent to Rupees 5,336 million. Occupancy improved to 61 percent during the quarter and room revenue climbed 38 percent year-on-year.

The foreign exchange business also remained stable with retail sales growth of 27 percent in Q4 FY26 and 16 percent for the full year. Digital transactions through WhatsApp, app and web platforms registered strong growth during the period.

Middle East Conflict Hits Overseas Operations

Thomas Cook said overseas subsidiaries, particularly GCC-based Desert Adventures and Digital Imaging Solutions (DEI), were significantly impacted by geopolitical tensions in the Middle East. Overseas destination management services revenue declined 24 percent year-on-year during Q4 FY26, while DEI revenue fell 4 percent in the quarter and EBIT slipped into losses due to operational disruptions in the UAE.

The company declared a 50 percent dividend on equity shares of face value Rupees 1 each for FY26, higher than the 45 percent dividend declared in FY25. Cash and bank balances stood at Rupees 26,162 million as of March 31, 2026. Thomas Cook India said it remains cautiously optimistic about demand recovery while continuing to focus on digitalisation, prudent fiscal management and expanding its omnichannel travel network.

Disclaimer: This report is based on company filings and management commentary and is not investment advice.