At TUI, in the first nine months of the financial year (October 2022 to June 2023), sales increased by 36% to reach 12.2 billion euros. The net result is still a loss of around half a billion euros, even though CEO Sebastian Ebel has cut it in half compared to the previous year.
TUI boss comments on the results
“Summer 2023 is going very well and demand for holiday travel is still high.” “The Mediterranean Sea remains the most sought-after destination for summer holidays. The heat wave in northern Europe in June and the forest fires in southern Europe did little to hamper development for a short time.” Group-wide, bookings are 95% of the summer 2019 level.” It expects to reach pre-Covid summer booking level
The German market is growing strongly
Revenue in the Central Region with Germany as the home market increased by 38% in the first three quarters of TUI’s fiscal year. In terms of segments, cruises in particular came back with a 136% increase compared to the same period last year. Activity with Musement increases by 60%.
The profit is there but there are still losses to absorb
If you only look at the third quarter (April to June), the TUI group made an operating profit of 170 million. This so-called EBIT is even sufficient to cover interest, depreciation and taxes, so that the TUI Group shows a consolidated profit of 52 million euros over the three months. But this is not enough to compensate for the cumulative losses of the previous months. Since October, a loss of 505 million euros has accumulated – after all, half as much as the previous year.