Avolta reports higher first-half turnover as cost controls boost cash flow

July 30 (Reuters) - Travel retailer and food service operator Avolta 

reported a 3.7% rise in first-half organic turnover on Thursday, as tight cost management supported cash generation despite a volatile geopolitical backdrop.

The Swiss company, which operates shops, cafes and restaurants at airports, on cruise ships, in seaports and other tourist locations worldwide, reported first-half core turnover of 6.44 billion Swiss francs ($7.90 billion), down from 6.61 billion francs a year earlier.

Adjusted for the impact of the Middle East conflict, organic growth would have risen 5.2%, the company said.

Avolta maintained its medium-term outlook, citing the temporary nature of any impact from the Middle East conflict.

"While near-term volatility persists, we continue to deliver against our medium-term strategy and take the necessary measures to protect profitability and cash generation, while progressing the ramp-up of our new operations," Avolta CEO Xavier Rossinyol said in a statement.

Avolta was formed through the combination of travel retailer Dufry and Italy's Autogrill and was renamed in 2023.

($1 = 0.8153 Swiss francs)

(Reporting by Anastasiia Kozlova in Gdansk; Editing by Sherry Jacob-Phillips)