Thomas Cook India : CRISIL Reaffirms Thomas Cook India’s Rating at CRISIL AA-/Positive & CRISIL A1+

CRISIL Reaffirms Thomas Cook India's Rating at CRISIL AA-/Positive & CRISIL A1+

Reflects significant improvement in Thomas Cook India Group's performance in fiscal 2025, driven by strong growth across segments, especially travel - a key contributor at over 75% of total revenue

Factors in high consumer demand for travel and related services - benefitting the Company

Reiterates leadership strength - across travel, forex, hospitality and digi-photo services

Structural reduction in cost, leading to better operating margin and ROCE

Improved financial risk profile - reflected in the Company's adequate capital structure and strong liquid surpluses

Key Rating drivers

Dominant position in the forex business & strong brand equity in travel related services

Limited debt aiding healthy capital structure; high customer advances support liquidity

Strong liquidity

Strong support from the parent, driven by group's strategic importance

Mumbai, June 10, 2025: CRISIL Ratings has reaffirmed its ratings of Thomas Cook (India) Limited (TCIL) at 'Crisil AA-/Positive/Crisil A1+' on the Company's bank facilities, corporate credit rating and commercial paper programme.

The Thomas Cook India Group's rating has been supported by its strong business risk profile with leadership position in travel and foreign exchange segment and heathy presence in hospitality and Digi-photo Imaging (DEI) segment.

The Ratings reflect the significant improvement in the Group's operating performance with healthy revenue growth of ~11% on-year to Rs 8,197 crore in fiscal 2025 (against Rs 7,379 crore in fiscal 2024), driven by strong growth across almost all segments. Revenue surge from the travel segment was led by robust and increasing demand across the Group's segments of destination management services (DMS), leisure, meetings-incentives-conferences-exhibitions (MICE) and corporate travel.

The Group's margins remained healthy at 6.52% in fiscal 2025 (from 6.99% in fiscal 2024), led by cost reduction initiatives across segments, including right sizing of branch network and automation/digitisation of certain processes and benefits of operating leverage accruing.

Financial risk profile (on a consolidated basis) is expected to remain comfortable, with healthy capital structure and debt protection metrics. Tangible net worth stood at Rs 1,447 crore as on March 31, 2025 (Rs 1,240 crore previous fiscal), against total debt (including lease liabilities) of Rs 484 crore. The Ratings also factor the Thomas Cook India Group's strong liquidity: cash and bank balance of Rs 2,070 crore as on March 31, 2025 (unencumbered balance is ~Rs.700 crore), along with annual cash accrual estimated above Rs 300 crore.

Additionally, TCIL's ratings factor in benefits from strong support from the parent, Fairfax Financial Holdings Ltd (Fairfax) rated 'BBB+/Positive' by S&P Global Ratings.

CRISIL Ratings has combined the business and financial risk profiles of TCIL and its subsidiaries, including Sterling Holiday Resorts Ltd (Sterling), TC Tours Ltd (CRISIL A+/Positive/CRISIL A1), Travel Corporation India Ltd (CRISIL AA-/Positive), SOTC Travel Ltd ('CRISIL AA-/Positive/CRISIL A1+'), Travel Circle International Ltd, Horizon Travel Services LLC, Travel Circle International (Mauritius) Ltd, and Digi-photo Entertainment Imaging group (DEI) -This is because all these entities, collectively referred to as the Thomas Cook India Group, are strategically important and have considerable operational integration with TCIL.

Mr. Mahesh Iyer, Managing Director & CEO, Thomas Cook (India) Limited said, "CRISIL's reaffirmed ratings at 'CRISIL AA-/CRISIL A1+' is a strong endorsement of the Thomas Cook India Group's leadership strength, robust financial performance, business expansion and digital transformation. The Ratings also reflect the strong support from Fairfax Financial Holdings."

About Thomas Cook (India) Limited:

Set up in 1881, Thomas Cook (India) Limited (TCIL) is the leading omnichannel travel company in the country offering a broad spectrum of services including Foreign Exchange, Corporate Travel, MICE, Leisure Travel, Value Added Services, and Visa Services. It operates leading B2C and B2B brands including Thomas Cook, SOTC, TCI, SITA, Asian Trails, Allied TPro, Australian Tours Management, Desert Adventures, Travel Circle International Limited (TCI 勝景), Sterling Holiday Resorts Limited, Distant Frontiers, TC Tours, Digiphoto Entertainment Imaging (DEI), Go Vacation, Private Safaris East & South Africa.

As one of the largest travel service provider networks headquartered in the Asia-Pacific region, The Thomas Cook India Group spans 28 countries across 5 continents.

TCIL has been felicitated with Outbound Travel Operator of the Year (2024) and MICE Travel Operator of the Year (2024 & 2023) at The Economic Times Travel & Tourism Annual Awards, MICE Travel Agency (Outbound) at the Economic Times MICE & Wedding Tourism Awards 2024, 'Masters of Risk - Travel & Hospitality' at India Risk Management Awards 2024, MICE Tour Operator of the Year - Outbound at SATTE 2024, Best Tour Operator at India Travel Awards North 2023, winner of the Corporate Citizen Award (Travel Tourism & Hospitality) at the Corporate Citizen Conclave & Award 2023, The Outbound Tour Operator of the Year 2022 at the SATTE Awards, IAMAI India Digital Awards 2022, CNBC-TV18 & ICICI Lombard India Risk Management Award - Travel & Leisure Category 2022 & 2021, CIO100 Award for digital innovation 2022.

CRISIL has reaffirmed the rating on debt programs and bank facilities of TCIL - 'CRISIL AA- / Positive' on the long-term bank facilities of TCIL and 'CRISIL A1+' rating on the short-term bank facilities and short-term debt of the company.

For more information, please visit www.thomascook.in

Fairbridge Capital (Mauritius) Limited, a subsidiary of Fairfax Financial Holdings Limited, is the promoter of TCIL with a shareholding of 63.83% of its paid-up capital.

About Fairfax Financial Holdings Limited:

Fairfax Financial Holdings Limited is a holding company which, through its subsidiaries, is engaged in property and casualty insurance and reinsurance and associated investment management. Founded in 1985 by the present Chairman and Chief Executive Officer, Mr. V. Prem Watsa, the company is headquartered in Toronto, Canada. Its common shares are listed on the Toronto Stock Exchange under the symbol FFH and in U.S. dollars under the symbol FFH.U.

About Subsidiaries of Thomas Cook (India) Limited:

Sterling Holiday Resorts Limited

Sterling Holiday Resorts Limited Sterling Holiday Resorts Limited, a wholly owned subsidiary of TCIL is a leading leisure hospitality company with over 60 resorts, hotels and retreats across 54 locations in India covering hills, beaches, jungles, waterfront, adventure, heritage, pilgrimage and drive-to locations. Sterling provides a variety of offerings: Leisure holidays through FIT packages, Meetings & Conferences, Weddings, Reunions, Picnics and Holidays.

SOTC Travel Limited

SOTC Travel Limited is a step-down subsidiary of Fairfax Financial Holdings held through its Indian listed subsidiary, Thomas Cook (India) Limited (TCIL). SOTC Travel is a leading omnichannel travel and tourism company active across various travel segments including Leisure Travel, Incentive Travel and Business Travel.

Established in 1949, SOTC is an Indian-grown brand with a legacy of over 75 years. Since then, it has escorted millions of travellers across the globe to various destinations around the globe. The Company firmly believes that today, 'No one understands the Indian Traveller better than SOTC'.

Travel Corporation (India) Limited

Travel Corporation (India) Limited (TCI) (operating brands Sita, TCI and Distant Frontiers) a wholly owned subsidiary of TCIL, is the leading Destination Management Company in India that offers tailor-made travel and related services to India, Nepal, Bhutan and Sri Lanka.

DEI Holdings Limited

Thomas Cook India Group holds 51% stake in DEI Holdings Limited (DEI), one of the world's leading imaging solutions and services providers.

For more information, visit:

Sterling Holiday Resorts Limited: http://www.sterlingholidays.com

SOTC Travel Limited: http://www.sotc.in

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