Thomas Cook Recovery Posts £33m Profits

Thomas Cook posted profits of £33m pounds for the three months to the end of June - a "significant" improvement on the £1m it made in the same period last year.

The turn-around in earnings was helped by the timing of Easter this year, and also thanks to the firm's recovery plan.

Analysts currently expect the company to report earnings of £340m in the 12 months to the end of September, according to Reuters.

Thomas Cook said that its transformation into a more efficient, money-making machine that aligns with a new age of digital customers was "progressing very well"; all aspects of its business improved during the quarter, it said.

Thomas Cook chief executive Harriet Green said: "Twenty-four months into our transformation, we are confident that our deliberate actions to improve operating efficiency and yield management, digitise our business and develop new exclusive products that build on the strength and trust that our brand represents, will significantly improve Thomas Cook's profitability and growth trajectory."

The company noted that new offerings were being received well by the public. Bookings for concept hotels were up 43%, with the current holiday season being approximately 83% booked out.

Shares for Thomas Cook rose slightly by 0.9% in early morning trading to reach 123.00p. However the price of their stocks have been devalued since the turn of the year, dropping from 168.6p on 2 January.