CANBERA (dpa-AFX) - Flight Centre Travel Group Ltd (FLI.F) has cut its fiscal 2026 underlying profit before tax guidance to $275 million-$295 million from $310 million-$345 million, citing weaker fourth-quarter leisure travel demand and other headwinds.
The lower outlook reflects a $50 million impact from the Middle East conflict, a $5 million hit from UK touring cancellations, and a $5 million-$10 million foreign-exchange headwind. The company also removed about $5 million in profit contribution from the Pedal Group joint venture following its sale in May 2026. The midpoint of the revised guidance is broadly in line with fiscal 2025 adjusted profit of $286 million.
Flight Centre also announced a new on-market share buy-back of up to $200 million over the next 12 months, funded from existing cash reserves.
The company added that it is is controlling costs through a hiring freeze for support roles and lower discretionary spending, while continuing to roll out artificial intelligence tools to improve productivity across its corporate and leisure businesses.
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