TUI AG Reports Net Profit for Fiscal 2023

by webmaster

TUI AG, a German travel operator listed on the London stock exchange, announced that it has swung to a net profit for fiscal 2023. The company also revealed its expectation of at least a 10% revenue growth for the upcoming year.

Willing to try automated trading?
See the best forex robots rating to make the right choice.
Explore the list here >

Strong Demand and Higher Prices Drive Positive Performance

TUI reported that demand continues to be high, with bookings for winter 2023-24 increasing by 11% compared to the previous year. Moreover, the average prices for these bookings have risen by 5%. These positive trends contribute to the company’s improved financial performance.

Impressive Financial Results

Net profit for the year ended September 30 amounted to 305.8 million euros ($330.2 million), a significant improvement compared to the loss of EUR277.3 million incurred during the same period a year earlier. This achievement is particularly noteworthy given that it surpasses the FactSet consensus profit of EUR340.6 million.

Earnings before interest and taxes (EBIT) reached EUR999.3 million, a substantial increase from EUR320.0 million. Furthermore, the company’s preferred metric, underlying EBIT, which excludes exceptional and other one-off items, stood at EUR977.2 million. This figure signifies a significant improvement from EUR408.7 million and surpasses the consensus estimate of EUR1.01 billion.

Promising Outlook for Future Growth

TUI expects to achieve underlying EBIT growth of at least 25% in the coming year. Additionally, the company has set a medium-term target of raising underlying earnings by 7% to 10%. These goals reflect TUI’s commitment to increasing profitability and efficiency across all segments.

Record Revenue and Positive Momentum

TUI’s revenue for fiscal 2023 reached EUR20.665 billion, a considerable increase from EUR16.54 billion. This surpasses the consensus estimate of EUR20.39 billion. The company attributes this record-breaking revenue to its sustained positive momentum.

CEO Optimistic About Future Performance

Chief Executive Sebastian Ebel expressed confidence in TUI’s future prospects, stating, “Our goal remains to make TUI more profitable, more efficient, and stronger in all segments. The current winter bookings and the first indications for next summer lead us to expect a further improvement in 2024.”

Overall, TUI AG’s impressive financial results and positive outlook indicate strong growth potential for the company in the years to come.

Willing to try automated trading?
See the best forex robots rating to make the right choice.
Explore the list here >

Related Articles

Leave a Comment

+ 55 = 58