Charter airline Excel Airways today reported a surge in turnover in its first set of results since joining the London market in November.

Excel was set up two years ago by a team of industry veterans and floated on AIM, the London Stock Exchange's market for smaller companies, after deciding it was large enough to operate independently from its parent firm.

Gatwick-based Excel is 81.7% owned by Libra Holidays, a Cyprus-based holiday firm which owns hotels and tour operations on the island.

Excel today said turnover for the year to October 31 was up 39% to £182.3 million, which it said reflected a "substantial growth" in passenger numbers.

Pre-tax profits also rose, up 58% to £11.9 million, although this strips out costs relating to the flotation and funding used to set up an employee benefit trust.

Bottom-line profits, when including these costs, fell to £3.4 million against £5.6 million the same period last year.

Chairman Eamonn Mullaney, who previously ran British Airways' Gatwick operations, said: "We look forward to the future with considerable optimism."