ROI of selected travel agencies in Italy 2016-2018

Between 2016 and 2018, 6 Tour S.r.l., a large company operating in the Italian travel agency and tour operator sector, recorded a very positive return on investment (ROI). The ROI is a share measuring the efficiency of a company’s investment over a certain period. It is calculated by dividing the net profit by the cost of the investment made by the company in a specific period of time. Data provided by Prometeia show that 6 Tour S.r.l. had a ROI of 39.6 percent during the period considered. By contrast, the ROI of Alpitour S.p.A. - a company with a production value that is 10 times higher than the one of 6 Tour S.r.l. - was negative between 2016 and 2018.

Return of Investment (ROI) vs Return of Equity (ROE) between 2016 and 2018

The ROE is another interesting metric to consider. It is calculated by dividing the company’s net income by its equity over a specific period. This is used to measure how profitable the company is. Data reveal that 6 Tour S.r.l. also recorded a very positive ROE during the period considered.

What the forecasts say: ROI and ROE trends of the sector from 2017 to 2022

It is estimated that both the ROI and ROE of the travel agency and tour operator sector in Italy will experience a decreasing trend. In 2017, the sector’s return of investment peaked at 11.1 percent. However, the ROI is expected to decrease dramatically in 2020. Similarly, the sector’s return to equity recorded a 13.2 percent in 2017, but the ROE is estimated to go down sharply to 0.5 percent in 2020. Both ROI and ROI are then expected to rise again during the following two years.