Saga's ocean cruise business showed strong performance, with prices rising 10% to an average of £394 a day, and ship cabins already 79% full for the current year at a per day cost of £447, according to the company. The company's best-selling cruise takes passengers around ports in the UK. Strategic initiatives have bolstered business resilience, including the sale of its insurance underwriting business to Ageas in July 2025.
Saga is confident it will make at least £100 million in annual underlying profit before tax by 2030. Saga's older, more affluent customer base is resilient, with money to spend, protecting the business from the squeeze on living costs, the company said. These customers tend to travel later in the year, with peak season in September and October, reducing worry about the Middle East situation's impact on summer travel.
Saga believes in driving continued success through its travel arm but is mindful of current uncertainty. Saga is well hedged for current foreign exchange and oil commodity risks for the next two years, protecting it against price shocks. The restructuring of Saga's insurance business and partnership with Ageas derisks and simplifies its operating model, creating a more stable platform.
In travel offerings, Saga has no cruises and only limited holiday bookings to Egypt, Cyprus, and Turkey. The company is trialling city breaks in Chichester and Canterbury, offering customers the chance to stay in university halls and take guided tours around historical landmarks.