Hogg sees return of business traveller

The Basingstoke-based firm, which provides travel services to clients worldwide including the UK’s Ministry of Defence and Foreign Office, said travel bookings surged 15 per cent in the four months to January.

Hogg said Arctic conditions in December had no financial impact on the business as travel bookings increased in all its regions, with the highest growth in Asia Pacific.

The company said the severe weather presented opportunities to provide travellers with alternative travel arrangements.

Hogg now expects underlying pre-tax profits to be slightly ahead of market forecasts after reporting a 13 per cent increase in revenue in the four months to January.

The group had to tighten its belt amid the recession as it bore down on businesses and hit corporate travel.

But the company experienced a turnaround in the market and tripled its pre-tax profits to £13.3m in the first half of its current financial year.

Hogg said the key markets in which it operates will continue to grow and it expects travel activity to increase as the global economic recovery continues.

Analysts at the Centre for Economics and Business Research said that recent international studies – including data received from Hogg – showed improving hotel room rates, which suggested the industry was experiencing a strong recovery.