Thomas Cook India Q4 net profit falls 40% amid geopolitical tensions; declares dividend

Omnichannel travel services company Thomas Cook (India) Ltd on Tuesday (May 12) reported a 40.2% year-on-year decline in net profit for the fourth quarter at ₹39 crore, compared with ₹65 crore in the same period last year.

Revenue for the quarter declined 10.1% year-on-year to ₹1,771 crore from ₹1,969 crore in the corresponding quarter of the previous year.



EBITDA fell 20.4% year-on-year to ₹78.2 crore from ₹98.2 crore a year earlier. EBITDA margin stood at 4.4% for the quarter, compared with 5% in the same period last year.

Thomas Cook India's standalone profit before tax (before exceptional items) for FY26 rose 2% year-on-year to ₹169 crore from ₹165 crore in FY25. Consolidated profit before tax (before exceptional items) for FY26 stood at ₹332.8 crore compared with ₹385.2 crore in FY25. It reported consolidated total income of ₹8,557.8 crore for FY26, up 3% year-on-year despite geopolitical disruptions during the year.

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The company said FY26 was impacted by geopolitical disruptions beginning with the Pahalgam attack and Operation Sindoor in April 2025, followed by airspace closures, weaker travel sentiment and later the Israel-US-Iran conflict in February 2026. The company said these events affected westbound flights, traveller confidence, fuel costs and currency movements, while also impacting peak summer booking and travel seasons.

Among Indian businesses, the company said earnings before tax remained stable for FY26 and grew 16% in Q4 FY26, supported by financial services, short-haul outbound travel, domestic leisure travel, corporate travel, India inbound business and MICE operations excluding government event business.

In the financial services segment, retail turnover increased 16% year-on-year in FY26 and 27% in Q4 FY26. EBIT remained stable for FY26 and rose 17% in Q4 FY26. EBIT margin stood at 45.8% for FY26 and 48.3% in Q4 FY26. In travel services, income from operations for Indian businesses rose 4% in FY26 and declined 5% in Q4 FY26.

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Leisure hospitality business comprising Sterling Holidays and Nature Trails reported a 7% rise in income from operations for FY26 and 19% growth in Q4 FY26. EBIT remained stable for FY26 and increased 4% in Q4 FY26. EBIT margin stood at 24.2% for FY26 and 17.5% in Q4 FY26.

The company said overseas subsidiaries reported 3% growth in income from operations during FY26, but Q4 FY26 performance was impacted by a 24% year-on-year decline, particularly in GCC-based destination management business Desert Adventures due to the regional conflict and absence of high-volume MICE events executed in the previous year. GCC-based Digital Imaging was also affected by the ongoing conflict.

The company has recommended a dividend of ₹0.50 per equity share of Re 1 each for FY26, equivalent to a 50% dividend payout. This translates into a dividend payout ratio of 20% on standalone PAT, compared with a 45% dividend declared in FY25. The dividend is subject to shareholders’ approval at the ensuing Annual General Meeting.

Shares of Thomas Cook (India) Ltd ended at ₹92.99, down by ₹0.050, or 0.054%, on the BSE.

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