Redcap Tour, Last Year's Revenue 229.5 Billion KRW and Operating Profit 20.1 Billion KRW

Stable Performance Maintained Despite COVID-19 Impact on Travel Market
Focus on Expanding Rent-a-Car Business and Strengthening Travel Operations
Year-End Cash Dividend Set at 600 Won

[Asia Economy Reporter Hyungsoo Park] Redcap Tour achieved stable performance last year despite the deterioration of the travel market due to COVID-19.

Redcap Tour announced on the 9th that it recorded consolidated sales of 229.5 billion KRW and operating profit of 20.1 billion KRW last year. This represents a decrease of 11.3% and 42.5%, respectively, compared to the previous year. Travel demand declined due to COVID-19.

The rental car business segment recorded sales of 215.9 billion KRW and operating profit of 32 billion KRW. These figures increased by 2.4% and 46%, respectively, compared to the previous year. Long-term rental contracts increased, and profitability improved through operational efficiency.

The travel business, which was directly affected by COVID-19, recorded sales of 13.6 billion KRW and an operating loss of 11.9 billion KRW. Sales decreased by 72% compared to the previous year, and operating profit turned to a loss.

This year, Redcap Tour is focusing on customer-tailored services. The rental car business plans to establish a differentiated premium service system and strengthen marketing to secure competitiveness in the B2C market.

The travel business is preparing for the "post-COVID" era. It plans to increase sales of products such as charter flights and special flights currently in service, as well as contracts with companies as dedicated business travel agencies.

They are emphasizing the expansion of their proprietary universal business travel management solution BTMS 4.0 (Business Travel Management System 4.0) and the global airline and hotel reservation system OBT (On-line Booking Tool).

Redcap Tour also announced a cash dividend of 600 KRW per share. The dividend yield is 3.2%. No interim dividend was paid.