Hana Tour Reports Operating Profit of 50.9 Billion KRW Last Year, Up 50% from Previous Year

Hana Tour announced on the 11th that its operating profit on a consolidated basis last year reached 50.9 billion KRW, marking a 49.46% increase from the previous year and setting a record high. Sales rose by 49.8% year-on-year to 616.6 billion KRW.

Hana Tour explained that the increase in sales and operating profit was due to the continued recovery of the business environment last year and the rise in average selling price driven by the expanded sales proportion of mid-to-high-priced packages (Hana Tour 2.0). Improvements in productivity through the strengthening of internal IT systems, a reduction in commissions due to an increased share of online sales, and cost efficiency measures at subsidiaries also contributed to the growth in operating profit.

Net profit increased by 69.09% to 99.9 billion KRW, also reaching a record high. This was influenced by a reduced corporate tax rate due to accumulated losses during the COVID-19 period and the conclusion of litigation related to SM Duty Free, which reflected gains and losses from discontinued operations.

Operating profit in the fourth quarter of last year was 13.6 billion KRW, up 21.59% compared to the same period the previous year. The company explained that this was due to a reduction in labor costs from cost structure optimization and a base effect caused by unsettled payments from TMON and WEMAKEPRICE in the previous quarter. Sales and net profit for the fourth quarter of last year were 142.2 billion KRW and 49.5 billion KRW, respectively.