Shares in tour operator TUI AG (LON:TUI) were leading the market higher on Wednesday after predicting higher profits despite lower demand for breaks in Turkey.
The stock brightened 29p, or 2.7%, to 1115p after TUI said it was confident of increasing underlying annual pre-tax earnings by up to 13%.
TUI has sold 97% of its summer 2016 holidays so far, with overall bookings up 1% and a strong performance in the UK, where revenue and bookings rose 5%.
Winter trading was in line with hopes, with revenue up 11% and bookings up 5%, it said.
Breaks in the western Mediterranean remained popular but demand for holidays in Turkey stayed lower than a year ago due to political instability.
Tour operators have taken a hit from terrorism in Tunisia, the war in Syria and knock-on effects on Turkey and other regional players.
TUI chief executive Friedrich Joussen said bookings from its core markets were up 7% excluding Turkey.
“This demonstrates the strength of our integrated business model,” he said.
Accendo Markets head of research Mike van Dulken said: “ Positive observations from the UK and Germany in spite of Brexit are helping offset weakness in destinations such as Turkey and Egypt where security fears weigh.
“Fortuitously, less exposure to such regions has played in its favour with rival Thomas Cook Group only able to reiterate guidance (which it had to downgrade in July) earlier this week.”