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Corporate Travel Management (ASX: CTD) has reported a pre-tax profit of $23.3 million for the six months to 31 December 2025, up 30 per cent on the restated prior corresponding period, as the company finally lodged its outstanding periodic reports with the ASX.<\/strong><\/p>\n CTM also reported it has reached full and final settlement agreements covering the bulk of the customer liabilities arising from its UK accounting scandal, locking in a $175.4 million payout.<\/p>\n In a separate announcement, the ASX confirmed CTD\u2019s trading suspension, in place since 1 September 2025 under Listing Rule 17.5, will continue, with reinstatement to be considered only once the company lodges its FY26 preliminary final report, due 31 August.<\/p>\n The UK settlements, concluded during August 2026, cover $205.3 million of the $222.4 million in customer-related liabilities CTM was carrying at 31 December 2025 \u2013 the estimated refunds owed to UK customers over-billed between the 2019 and 2025 financial years as a result of the CTM UK accounting failures. The gap between the carrying value and the agreed settlement amount, $29.9 million, will be recognised as a gain in the FY27 accounts.<\/p>\n A further $26.6 million of separate, non-customer-related refund liabilities was also settled in the same period.<\/p>\n Under the agreed payment plans, CTM expects to pay out $149.2 million in FY27 and $31.9 million in FY28. Some of the settlements allow for deferred quarterly instalments into FY28 without an interest charge, though further deferral rights \u0393\u00c7\u00f4 if exercised \u0393\u00c7\u00f4 would attract interest at the Bank of England base rate plus 8%. No deferral extends payment beyond 31 December 2027. Corporate Travel Management Limited, the ASX-listed parent, has also issued a parent company guarantee undertaking to backstop CTM UK\u2019s payment obligations if required.<\/p>\n As at the date the accounts were issued, $38.4 million of customer-related liabilities remained under negotiation, on top of the $154.1 million tied to concluded settlements \u0393\u00c7\u00f4 meaning the final cash cost of the scandal could still move as outstanding cases are resolved.<\/p>\n To help fund the settlement program, CTM amended its syndicated facility agreement on 25 August, retaining a $65 million IATA guarantee facility extended to July 2028 and securing access to $175 million in new funding across three tranches maturing in 2029. The company estimates annualised borrowing costs on the new facilities at about $20 million, and has flagged a termination fee equal to 4% of its market capitalisation if the facilities are repaid in full ahead of maturity.<\/p>\n The company\u2019s going concern assessment, based on cashflow modelling to December 2027, factored in a \u201csevere yet plausible downside\u201d scenario \u2013 a 5 per cent revenue decline and a three-month delay to expected tax refunds \u2013 and concluded the group would still meet its minimum financial covenant requirements even if both risks materialised.<\/p>\n The liability update accompanied CTM\u2019s half-year report for the six months to 31 December 2025, in which the company posted a pre-tax profit of $23.3 million, up 30 per cent on the restated pcp, on revenue and other income of $345.2 million, up 6 per cent. Underlying EBITDA rose 17 per cent to $66.9 million. The board again elected not to pay an interim dividend. Deloitte issued a qualified review conclusion, consistent with its FY25 audit opinion, citing insufficient evidence over $143.8 million of CTM Europe\u2019s trade and other payables and $154.4 million of its trade and other receivables.<\/p>\n Group chief executive Ana Pedersen, confirmed in the permanent MD and CEO role on 23 July, signed off on the results alongside chairman Ewen Crouch. The directors\u2019 report stated the board \u201cis committed and determined to transition the Group to a refreshed corporate structure that consistently meets the expectations of its stakeholders\u201d, pointing to a governance overhaul now under way across the company\u2019s practices, roles, frameworks, policies and processes.<\/p>\n<\/div>\n kabarsula SLOT <\/p>\n","protected":false},"excerpt":{"rendered":" Corporate Travel Management (ASX: CTD) has reported a pre-tax profit of $23.3 million for the…<\/p>\n","protected":false},"author":1,"featured_media":312,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-311","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-kabarsula"],"_links":{"self":[{"href":"https:\/\/kabarsula.com\/index.php\/wp-json\/wp\/v2\/posts\/311","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/kabarsula.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/kabarsula.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/kabarsula.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/kabarsula.com\/index.php\/wp-json\/wp\/v2\/comments?post=311"}],"version-history":[{"count":0,"href":"https:\/\/kabarsula.com\/index.php\/wp-json\/wp\/v2\/posts\/311\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/kabarsula.com\/index.php\/wp-json\/wp\/v2\/media\/312"}],"wp:attachment":[{"href":"https:\/\/kabarsula.com\/index.php\/wp-json\/wp\/v2\/media?parent=311"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/kabarsula.com\/index.php\/wp-json\/wp\/v2\/categories?post=311"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/kabarsula.com\/index.php\/wp-json\/wp\/v2\/tags?post=311"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Refinancing funds payout<\/strong><\/h2>\n
Broader half-year result<\/strong><\/h2>\n