TERROR attacks in France and Brexit have hit revenues at a York rail holiday specialist which has seen profits back on track for growth.

Thomas Topco Ltd, the parent company of Great Rail Journeys in St Saviourgate, attributed a drop in turnover of more than £6 million, to £80.4 million to “unprecedented challenging conditions” in Europe.

However the company’s full year results, for the year ending October 31, 2016, saw pre-tax profits rise from £943,000 the year before to £4.28 million.

The firm’s strategic report said the “satisfactory” results “reflected the unprecedented challenging market conditions created by a combination of terrorist attacks in Paris, Brussels and Nice and subsequent terrorist threats, ongoing migrant/refugee disruption in mainland Europe and the impact of the EU referendum on holiday booking patterns.”

Directors at Thomas Topco said they consider the sales performance at the firm to be satisfactory given the extent of disruption cased to the holiday booking market in the year.

Looking ahead the board said outlook for the current financial year reflects a positive start and early sales growth in long haul, UK and specific short haul destinations.

It reported: “The wider holiday market is expected to continue to face challenges and uncertainty from terrorism threats, continued Brexit negotiations and a weak currency, and the group will continue to adjust its holiday products and pricing in response to these challenges.

“Consequently the directos continue to anticipate a further year of increased profits.”

Great Rail Journeys, which secured the backing of private equity company ECI in 2013, provides premium escorted group tours, first class rail travel and accommodation in four and five star hotels.

The company, which employs a team of around 150 in York, packages and sells holidays to around 40 countries across Europe, Africa, North America, Asia, Russia and Australasia.

The Thomas Topco group operates through brands Great Rail Journeys, Rail Discoveries and GRJ Independent.

After the original family-run business, which dated back more than 25 years, was bought out, the operation has grown from 40 staff and £30 million turnover in 2007, and has seen passenger numbers increase from 8,000 to 70,000 as the brand established itself as one of Europe’s biggest rail holiday companies.

A growth programme in recent years has seen the firm embark on its first television advertising campaign, as well as opening a customer meeting base in St Pancras Station, London.