SINGAPORE (Nov 30): Asiatravel.com says losses for FY16 narrowed to $7.9 million from $10.1 million in FY15 on the back of higher sales and other income.

Full-year revenue rose 10.7% to $97.6 million, driven by a 98.1% surge in revenue to $34.1 million from its online B2B business as TAcentre.com broke into more markets and take-up rate from travel agencies increased.

Other income also surged 253.6% to $5.3 million mainly due to provision of technical support to a China-based travel agency. Other operating expenses dropped 13.5% to $12.6 million mainly due to cut backs on advertising and promotion expenses to $2.7 million from $3.7 million.

Asiatravel.com says it has seen revenue from the China outbound business grow 70% to $31.9 million, contributing 32.7% of FY16 revenue. The company will be using the recent placement proceeds of $9.4 million to ramp up its China operations and explore acquisition opportunities to expand operations in China.

The company expects China outbound business to continue its high double-digit revenue growth, monetising its investment on IT, product development, destination, ground servicing and supply network in Southeast Asia.

Shares of Asiatravel.com closed 1 cent lower at 13.5 cents.