Overview
- Tui has tightened its full-year operating profit guidance to €1.2 billion–€1.3 billion following a recent improvement in bookings.
- In the past four weeks the group said bookings improved, with summer reservations up about 2% and winter declines narrowing to roughly 1%.
- Over the peak season bookings were weaker, with summer falls of about 7% in the UK and 2% in Germany and winter bookings down about 9% in the UK and 4% in Germany.
- Management is actively managing capacity, keeping average selling prices firm and cutting costs to help offset higher fuel costs that it links to the Iran war.
- The later-booking trend shifts revenue visibility toward the short term, which could mean fewer flights or tighter seat availability for some routes and more last-minute price pressure for travellers.