An Australian-based global travel leader hopes to get an earnings tailwind from a peace deal between the US and Iran going into the new year, as the nation's travel advice for the Middle East was raised.
The developments appear to be a positive sign for Flight Centre Travel Group, which on Wednesday downgraded its earnings for the current financial year due to the Middle East conflict.
The company, which operates in Australia, New Zealand, South Africa, Canada and the UK, now expects an underlying profit before tax between $275 million and $295 million for 2025/26.
It had previously forecast an underlying result between $310 million and $345 million, compared to the prior year's $286 million result.
"It has been driven by an external shock - the Middle East conflict disrupting peak leisure travel - not by a deterioration in our underlying business," managing director Graham Turner said in a statement to the stock exchange.
