TUI Travel halves Q1 losses
TUI Travel halved losses in the first quarter of its financial year to £60 million.
The combined Thomson/First Choice business is now on course to achieve improved savings through integration of £150 million.
The unerlying pre-tax loss for the three months ending December 31 was trimmed by 51% from a deficit of £121 million for the same period a year earlier.
UK mainstream sales for the summer are up by 9% on a programme with 20% less to sell, with strong performances in medium and long haul holiday sales. This winter’s sales are up by 4% year-on-year.
However, the group said that while it remained encouraged by summer trading, “we are continuing to experience cost pressures, particularly the price of jet fuel oil”.
Sales for long haul are up by 23% and 7% for medium haul although capacity from the UK has been cut by 13% with the withdrawal of short haul scheduled flights.
Sales are up 6% and 4% for specialist holidays and activity holidays sectors while total transaction values in the group’s online distribution services are 33% ahead.
TUI Travel acquired four niche specialist businesses in the quarter for £21 million and said the acquisition pipline remained strong. The acquired companies were Australian Pinnacle Tours, UK schools ski operator CHS Tour Services, US-based National Events and Cruiselink II.
It has since bought Destination Florida based in Miami and Australian escorted adventure operator Planet Perth.
CEO Peter Long said: “We have made excellent progress on our initiatives to enhance margins throughout the group and have continued to grow our portfolio of niche specialist businesses.”
He said the group had “significantly fewer” holidays to sell than at this point last year in key source markets due to careful capacity management and strong trading.
“I remain confident that the group will meet the board’s expectations for the year and that the merger will prove to be highly successful, delivering significant value for shareholders and enabling us to perform robustly in an increasingly volatile economic environment,” added Long.
*See linked TUI AG story.
by Phil Davies
Phil Davies
Vegas’s Billion-Dollar Secrets – What They Don’t Want Tourists to Know
Visit Florida’s New CEO Bryan Griffin Shares His Vision for State Tourism with Graham
Chicago’s Tourism Renaissance: Graham Interviews Kristin Reynolds of Choose Chicago
Graham Talks with Cassandra McCauley of MMGY NextFactor About the Latest Industry Research
Destination International’s Andreas Weissenborn: Research, Advocacy, and Destination Impact
Graham and Don Welsh Discuss the Success of Destinations International’s Annual Conference
Graham and CEO Andre Kiwitz on Ventura Travel’s UK Move and Recruitment for the Role
Brett Laiken and Graham Discuss Florida’s Tourism Momentum and Global Appeal
Graham and Elliot Ferguson on Positioning DC as a Cultural and Inclusive Global Destination
Graham Talks to Fraser Last About His England-to-Ireland Trek for Mental Health Awareness
Kathy Nelson Tells Graham About the Honour of Hosting the World Cup and Kansas City’s Future
Graham McKenzie on Sir Richie Richardson’s Dual Passion for Golf and His Homeland, Antigua
ADS PRO 
France prepares for a massive strike across all transports on September 18
Turkish tourism stalls due to soaring prices for accommodation and food
CCS Insight: eSIMs ready to take the travel world by storm
Germany new European Entry/Exit System limited to a single airport on October 12, 2025
Airlines suspend Madagascar services following unrest and army revolt