Flight Centre is about to hit a record $20 billion in sales

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Flight centre is about to post record full year sales of $20 billion after a revival of fortunes sparked by an end to international airfare discounting in the second half of the financial year.

In a market update, the company says it expects to achieve an underlying profit before tax of between $325 million and $330 million for the 12 months to June.

Total transaction value is expected to top $20 billion, comfortably above the $19.3 billion result last year.

In early trade, Flight Centre shares were up 8.5% to $43.41.

Co-founder and managing director Graham Turner says results in New Zealand and Australia improved during the second half.

Average international airfare prices in Australia, which were 7% down during the first half because of widespread discounting, took off during the second half.

“While we always aim to improve on the prior year result, our achievements during the second half reflect a solid recovery after a challenging first half,” he says.

The company is due to release its full year results August 24.