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Sea Link Travel Group Reports 1H FY20 Results

Max Molinari

Max is an Equity Analyst with ASR Wealth Advisers. He has studied a Bachelor of Business and a Bachelor of Laws at the University of Technology, Sydney. Max currently holds RG146 qualifications.

Sea Link Travel Group (ASX: SLK) announced their 1H20 results this morning, however as the acquisition of Transit Systems Group was completed on 16th Jan 2020 the results are not reflective of combined group performance. First half performance for SLK was roughly in line with consensus with EBITDA of $26.1m.



Sea Link Travel Group (ASX: SLK) has reported their first half financials for FY20 this morning. The company reported EBITDA of $26.1m – roughly in line with consensus expectations. This comes despite the January acquisition of Transit Systems Group not being reflected in the performance. (Credit: SeaLinkTravelGroup).


SLK has provided an update regarding bushfires and the coronavirus, with the bushfires affecting vehicle, passenger and touring numbers. COVID 19 has had an impact on Captain Cook Cruises, though China represents less than 4% of tourism revenue – and now less than 1% of total Group revenue after Transit Systems acquisition. The combined impact on 2nd half EBITDA is expected to be $5 million.

As SLK has transitioned from 67% revenue from tourism to 15% after the Transit Systems acquisition the results reflect that the business is largely unaffected by the bushfires and coronavirus.

SLK’s earnings remains a defensive in nature – mostly from contracted revenue for commuter transport, which is expected to grow to around 5.5% dividend yield in FY22 as the acquisition of Transit Systems and synergies are fully realised.




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