Thomas Cook today reported encouraging signs for winter and summer bookings over the last four weeks, as it unveiled its full year trading results.

Chief executive Manny Fontenla-Novoa said UK bookings for winter 2009-10 had improved in the last month and were now just 1% below this time last year.

Summer 2010 bookings were up 14% and average selling prices up 2%, though Fontenla-Novoa said this year's later release of 2010 brochure made it difficult to see clear trends.

Thomas Cook Group announced pre-tax profits for the year to the end of September of £308.2 million, 0.4% down on the previous year.

However, revenue was up 5.9% to £9.3 billion and operating profit was up 13.4% to £414.9 million. Profit from its UK operations was £162.2 million, an increase of 13.1% on last year.

Fontenla-Novoa said the company had delivered a strong performance ahead of market expectations despite the recession and swine flu outbreak.

“The late booking trend is still evident but our winter 09-10 trading position continues to improve and trend towards our planned capacity.

“Although it is still early in the cycle, bookings for summer 2010 are also in line with our expectations.

"Recent customer research shows that UK consumers remain intent on taking their holidays abroad next summer and we continue to see strong growth in bookings to medium-haul destinations such as Turkey and Egypt.”

He added that the company was aiming to improve revenue, profit and margin by centralising mainstream accommodation purchasing across the group, developing financial services, making acquisitions in emerging markets and taking advantage of consolidation opportunities.

Sales for this winter were being helped by capacity cuts in short-haul that had reduced low-margin programmes. Demand for medium-haul remained strong, and selling prices for medium and long-haul were up 7%.

Fontenla-Novoa said summer sales of higher margin, all-inclusive and four and five-star holidays were proving resilient.

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