Jobs were cut at a Manchester-based luxury tour operator after its turnover fell by over 60% and racked up losses of more than £1.6m because of the Covic-19 pandemic.
Carrier, which is headquartered in Didsbury, has reported a turnover of £14m for the 12 months to December 31, 2020, down from £39m.
Newly-filed documents with Companies House also show the firm posted pre-tax losses of £1.601m for the year compared to profits of £648,903 in the prior period.
The documents also show that the number of people employed by the business reduced from 89 to 72, with the firm citing a need to carry out “cost reduction programmes”.
A statement signed off by the board said: “2020 was inevitably dominated by the Covid-19 pandemic and the subsequent lockdowns and travel restrictions imposed both within the UK and overseas destinations.
“The year started strongly with a comparable forward booking position to the prior year, but demand waned during February as Covid reached Europe.
“The company did have some client departures in January and February, but then the impact and restrictions relating to the pandemic significantly impacted passenger volumes for [the] remainder of 2020.
“The impact of this reduced revenues by 64% on prior year and affected margins due to significant cancellations and curtailments.
“Despite successes in a high rate of postponements, rather than cancellations, and the cost base reduction, cash reserves were impacted and therefore the net asset position of the company.
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“It seems increasingly likely that we won’t get back to a normal travel market now until 2023, but would expect travel to more freely resume late 2021 and into 2022.
“Whilst it is difficult at this stage to quantify the longer term financial impact of the outbreak, it is currently, and will undoubtedly continue to, have an impact on the group’s financial performance and position in 2021, and likely 2022, which the directors continue to mitigate through cost reduction programmes.
“The company remains well placed financially, benefitting from the backing of its ultimate parent, the RWEW Group, and remains positive that we will exit this situation even stronger than ever.”
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