Domestic tourism: SeaLink records $74 million profit
The transport operator has benefitted from travel-at-home initiatives.
While many Australian tourism businesses are struggling in the wake of the COVID-19 pandemic, one company has recorded a large profit.
Thanks to government clients and travellers exploring domestic tourism options, transport operator SeaLink has recorded an underlying profit of $74.4 million, a 152 percent increase from last year.
Based in Adelaide, SeaLink has made the most of travel-at-home initiatives, building its client base and expanding to serve other Australian cities. In May, the company acquired Go West Tours in Western Australia.
According to SeaLink CEO Clint Feuerherdt, a large portion of the company’s revenue is a result of government and corporate clients, but over a third of earning come from marine and tourism work.
“Whilst the Marine and Tourism division is exposed to the turmoil that the COVID-19 pandemic inflicts, SeaLink is well positioned to capture the heightened level of domestic travel demand, providing marine transport, holiday and general tourism product to very unique island destinations around the country,” he said.
SeaLink’s empire continues to grow, with CityCat, CityHopper and Cross River Ferry networks under a 15-year contract in Brisbane, along with several recently renewed bus and new tram contracts in Adelaide.
Throughout the COVID-19 pandemic, SeaLink has received $11.9 million in government support via JobKeeper payments, with similar schemes supporting the company’s international branches.
Now, with such significant financial growth, SeaLink’s market value has increased, with share prices doubling since this time last year.
“We are looking forward to another successful year ahead, and I thank our entire team for their continued hard work and commitment during some of the most challenging times we have faced as a team, a community and an industry,” said Mr Feuerherdt.
With ongoing border restrictions preventing Australians from travelling abroad, it appears that domestic tourism will continue to play an important role in the country’s travel and tourism industry, hopefully offering a boost for local businesses and economies.
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