Saga Customers Show Resilience with Booming Holiday and Cruise Bookings Amidst Global Unrest

Demand for holidays and cruises continues to be robust, with customers of the over-50s group Saga demonstrating notable resilience despite ongoing global conflicts, according to the company's chief executive.

Saga's travel division is experiencing strong trading, with its cruise business performing better than anticipated over the past five months. Bookings for ocean cruises, which include destinations such as the Mediterranean, Canary Islands, Scandinavia, and South America, have risen by 13 percent. River cruise bookings have also seen an increase of 4 percent.

The company anticipates that half-year revenues and passenger numbers for its holidays arm, which offers worldwide tours, will be higher than the previous year. However, Saga cautioned that full-year passenger numbers might be slightly down, with a greater proportion of short-haul holidays expected due to the conflict in the Middle East.

In parallel, Saga's restructured insurance operations have exceeded initial targets under a new partnership with Ageas.

Chief executive Mike Hazell commented on the company's performance, stating, "Saga has made a strong start to the year, building on the significant growth we achieved last year. Our momentum in travel has continued, demonstrating the resilience of our customers and our diverse offering, despite the current geopolitical uncertainty."

Following the positive trading update, Saga shares saw a significant jump, climbing as much as 12 percent in early trading to reach 671p. This marks the highest share price level since January 2020, prior to the onset of the COVID-19 pandemic. Year-to-date, the stock has increased by approximately 70 percent, and it has more than tripled in value over the past 12 months.