Saga (SAGA) Trading Update summary

Financial performance and outlook

• Underlying profit before tax is expected to be marginally higher than last year and ahead of previous guidance.

• Ocean Cruise achieved a 91% load factor and an 8% increase in per diem; River Cruise saw a 4ppt load factor rise and 15% per diem growth.

• Travel underlying profit before tax is projected in the high single-digit millions, with 15% revenue and 9% passenger growth.

• Insurance Broking profit will be materially lower, with policy sales and policies in force down 15%; Insurance Underwriting profit is expected in the high single-digit millions.

• Available cash is expected at £60-70m by 31 January 2025, with net debt slightly lower than £614.6m.

Strategic initiatives and transactions

• Preparation for transferring motor and home insurance operations to Ageas is on track for Q4 2025, with many staff transferring.

• Sale of Acromas Insurance Company Limited (AICL) is expected to complete in Q2 2025, generating £43m net proceeds to reduce leverage.

• Corporate debt has been fully refinanced, resulting in a pro forma blended interest rate of about 7.6%.

• Net debt reduction is expected to accelerate in 2025/26, supported by cash generation and AICL sale proceeds.

Business segment performance and future bookings

• Ocean Cruise bookings for 2025/26 show a 67% load factor and 7% higher per diem; River Cruise load factor is 77% for H1, with new ship Spirit of the Moselle joining in July 2025.

• Travel booked revenue is £126m, up 10%, with passenger numbers up 11% year-on-year.

• Insurance Broking profit is expected to fall in 2025/26 due to the transition, with partial recovery in 2026/27.