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Leisure, gaming and gambling

TUI losses narrow as demand for travel rebounds after Covid

TUI AG said on Tuesday its loss in the first quarter that ended 31 December 2022 narrowed and revenues increased as demand for travel recovered helped by easing Covid restrictions.

The Hanover, Germany-based travel firm reported a pre-tax loss of €272.6mln compared to €404.5mln a year ago while revenue jumped 58% to €3.75bn from €2.37bn, outpacing a 48% increase in cost of sales to €3.66bn from €2.47bn.

TUI said the improvement reflected "strength of demand and a return to a restriction free travel environment achieving levels above pre-pandemic levels".

The FTSE 250-listed group reiterated its expectations for financial year 2023 that underlying earnings before interest and tax will increase "significantly", helped by "an encouraging booking momentum".

It added that the start into the new year has demonstrated "record" booking days online in the UK and Germany.

"Volumes overall in the last four weeks are now above pre-pandemic levels at +5% for Winter 2022/23 and +10% for Summer 2023, with higher prices, underlining the popularity of our product offering and a testament to the importance of travel for our customers."

TUI declared no dividend, unchanged from a year prior.

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