Avolta reports healthy core turnover and profit growth in first quarter

INTERNATIONAL. Travel experience company Avolta today revealed details of its first-quarter performance, with core turnover rising +8.2% year-on-year at constant exchange rates to CHF3,050 million (US$3,630 million). The organic growth figure was +5.3% (+6.5% without the leap year impact).

Reported turnover hit CHF3,105 million (US$3,695 million), with core turnover excluding fuel sales from the motorway business.

Core EBITDA grew sharply by +16.3% to reach CHF196 million (US$233,2 million), with a core EBITDA margin of 6.4%, up 37 basis points year-on-year.

Avolta CEO Xavier Rossinyol said, “Avolta has made a strong start to 2025, driven by the resilience of our diversified global platform and the disciplined execution of our strategy. Two-and-a-half years into our strategic roadmap, we have exceeded expectations on all key performance indicators, including top-line growth, profitability and cash generation – creating sustainable value for our shareholders.

“While North America faced headwinds due to lower traffic volumes in Q1 2025, performance in other regions more than compensated. We are actively monitoring the geopolitical evolution, mitigating against potential impacts as needed with a continued focus on growth and profitability. Our medium-term outlook and capital allocation policy remain firmly in place.

“We are proud of our Q1 2025 performance and extend our sincere thanks to the Avolta team members for their dedication and contribution. Your commitment enables us to continually raise the bar and shape the travel experience of tomorrow.”

Key highlights

In the year-to-date period ending April, the company recorded steady progress, with core turnover rising +8.5% year-on-year on a constant exchange rate basis and organic growth of +5.7% (+6.6% excluding leap year impact).

Equity Free Cash Flow (EFCF) amounted to a CHF104 million (US$123,7 million) drop in Q1, compared to an CHF80 million (US$95.1 million) fall in the same quarter the previous year, mainly due to the timing of Easter.

The group’s financial net debt dropped to CHF2,820 million (US$3,357 million) as of 31 March, compared to CHF2,915 million (US$3,469 million) from the same period last year, with the leverage ratio improving sharply to 2.18x from 2.55x at the end of Q1 2024.

The company closed the quarter with CHF2,017 million (US$2,401 million) in total liquidity.

Key operational highlights

Key Q1 achievements included substantial business development progress across key geographical markets. A standout milestone was the opening of Presentedby at Zayed International Airport in Abu Dhabi – an innovative travel retail concept integrating digital technology with physical retail, with a focus on sneakers and pre-loved luxury products.

In Latin America, Avolta introduced its first food & beverage venue at São Paulo/Congonhas Airport, Brazil.

Leveraging its contract wins at New York JFK Airport late last year, the company has expanded its North American footprint by securing a new 15-year F&B contract in Terminal 4 while successfully extending its Terminal 5 F&B contract.

The company’s Asia Pacific growth continues after being awarded an integrated retail and dining concession at China’s key travel gateway, Shanghai Pudong Airport, with operations launching in the first half of the year.

Avolta emphasised innovation as a key enabler of growth. Notably, its Club Avolta loyalty programme surpassed 1 million new members in Q1, building on a base of 10 million at the end of 2024. The programme currently spans all sales channels and operates in over 5,100 outlets worldwide.

Looking ahead, Avolta remains on track with its guidance, keeping its medium-term organic growth target of 5-7% annually, with a continued focus on enhancing core EBITDA margins by 20-40bps and improving EFCF conversion by 100-150bps annually.

Based on current exchange rates, the currency impact for 2025 is projected to range between 0% and -1%.