CNG report pre-tax losses

CNG, a Kerry-based online travel group, has reported pre-tax losses of $8.9m (€7.2m) for the first half of this year.

These are the firm's first set of results since it floated on London's AIM market in May.

Costs associated with the flotation and heavy investment in technology pushed the company into the red, even though trading profit was at $2m (€1.6m).

Chief executive Finbarr Power described the profit as satisfactory, saying it was gratifying to be able to show a profit while still in the investment phase.

Mr Power said: "CNG has made considerable progress during 2004. Beyond listing on AIM in May this year, the roll out of TLC has progressed in line with our expectations.

Group turnover was just under $27m (€21.9m), boosted by the full acquisition of New York based Tzell Travel, which made pre-tax profits of $6.4m (€5.1m).

"Tzell continues to maintain its growth and a joint venture has been successfully established in Japan," Mr Power continued.

"Since the period in question we have acquired Placestostay.com, which has provided CNG with a strong retail orientated product which will complement our corporate business, as well as increase our penetration into new growth markets through greater distribution and product offering."