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Johannesburg - Tourism and leisure group Cullinan Holdings [JSE:CUL] boosted headline earnings by 84% from R14.6m to R26.9m.
This translated into diluted headline earnings per share of 3.87 cents versus 2.50 cents the previous year.
This was despite a reduction in revenue from R469m to R405m.
"In the year under review, all divisions and subsidiaries have improved efficiencies and service levels. Market share has been retained throughout the group, and financial results across the divisions have generally improved.
"All operating divisions were profitable for the year. This is despite the effect of challenging economic conditions and a number of events which affected the travel industry during the year. These events included volcanic ash clouds, BA strikes, political problems in Bangkok and significant fluctuations in exchange rates," the group said.
It also said it was pleasing to note that during the year the group became BEE compliant and certified accordingly.
It noted that the year under review had witnessed a slight upturn in the local economy, while international tourism also saw a recovery.
"The year saw growth in the travel, coaching and touring businesses within the group. The World Cup had a positive impact on the Coaching and Touring inbound businesses, whilst the impact on the rest of the business was limited.
"The Marine and Boating businesses felt the effect of the global recession in 2010, having been protected in the prior year by the lengthy lead times in boat building. Whilst turnover deteriorated during the year, steps have been taken to improve the business in 2011.
"Group cash flow improved significantly with R68m generated by operations as compared to a decrease in cash from operations of R2m in the prior year," the group added.
Looking ahjead, it said: "While the 2010 results reflect a significant improvement on prior years, there remains room to increase profitability within the Group.
"Growth in sales in 2011 is expected to remain challenging due to current economic conditions. Despite these challenges, improved efficiencies should create opportunities to increase market share in various sectors in the business.
"The group's balance sheet is supportive of further acquisitions. Withsignificant improvements implemented throughout the operations of the group over the past 18 months, the Board will actively pursue acquisition opportunities in 2011."
