BRISBANE, September 3, 2026, 13:17 (AEST) – Corporate Travel Management shares plunged 81% on Thursday after a jump in annual interest expenses of A$20 million erased the firm’s fiscal 2026 profit.
- Shares of Corporate Travel Management Limited ASX:CTD dropped 81.3% to A$3.01 as of 12:55 AEST.
- Underlying EBITDA for FY26 increased by 36%, while projected yearly cash interest stands at A$20 million.
- The shares were still valued at roughly 23.7 times statutory earnings per share for FY26.
Corporate Travel Management Limited ASX:CTD plunged 81.3% to A$3.01 on Thursday as trading recommenced following an approximately one-year suspension. The heavy decline wiped out the previous market value, with investors unable to factor in an expensive rebound Google Finance.
The drop appears less pronounced when viewed alongside the adjusted earnings baseline. Priced at A$3.01, CTD was valued at approximately 23.7 times its FY26 reported EPS of 12.7 cents. Based on the number of shares outstanding in June, its market capitalisation was about A$418 million.
Securing funding poses a greater challenge. CTD anticipates annual cash interest payments of roughly A$20 million in both FY27 and FY28, which is higher than its FY26 net profit of A$17.7 million financing announcement.
CTD’s first session back
A$ per share; prior close was A$16.07
As of . Source: Google Finance. Delayed market data.
The stock began trading at A$3.00, rising to a high of A$3.40. It fell to A$2.81 earlier in the session. By the quoted timestamp, 12.5 million shares had changed hands.
The operating recovery materialized. Revenue and other income increased by 4% to A$669.9 million. Underlying EBITDA rose 36% to A$113.6 million, boosting the margin by four percentage points FY26 results.
FY26 earnings bridge
Year ended June 30, 2026. Source: Corporate Travel Management FY26 results. Margin calculated from reported figures.
Transaction numbers climbed 13% to reach 18.3 million, but overall value of these transactions was up just 2%. The calculated average value per booking declined by roughly 9.6%, indicating lower value per transaction.
More trips, lower value per transaction
Calculated from reported total transaction value, revenue and transaction volume
Source: Corporate Travel Management FY26 results. TS2 calculations; rounded.
Performance varied by region. EBITDA in Australia and New Zealand increased 53% to A$39.2 million. Europe reported a profit of A$24.7 million, recovering from a A$1.2 million loss. North America’s EBITDA was A$62.3 million.
Chief Executive Ana Pedersen described FY26 as “an important step forward.” She noted that earnings continued to lag behind historical levels. CTD won A$669 million in new business for the year.
The recovery involves a substantial cash component. As of June, customer-related liabilities totaled A$211.2 million. Additional refund liabilities amounted to A$80.0 million. These numbers are disclosed in CTD’s audited report FY26 financial statements.
At June 30, CTD held A$106.9 million in cash. Of this amount, A$27.9 million was classified as restricted and A$15.8 million represented client funds. This leaves roughly A$63.2 million not marked as restricted cash.
The company secured A$175 million in new debt facilities, replacing its previous A$75 million corporate facility. The terms feature a floating base rate, covenants, and a termination fee linked to market value.
July delivered a further caution. Transaction volume increased by 6.7% year-on-year. Overall value declined by 1.2%, and revenue slipped 8.6%. Management pointed to factors such as seasonality, client mix, and currency movements.
ASX resumed trading after CTD submitted its FY26 report reinstatement notice. The company will issue additional guidance at the annual meeting in November. Investors are seeking a profit forecast that takes financing costs into account.
Risks: Actual remediation cash flows may vary from booked liabilities. An increase in base rates could lead to higher financing expenses. Losses on contracts or control breakdowns have the potential to delay the earnings rebound.
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