TUI Travel boosts Group results
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A ‘sound performance’ from TUI Travel’s UK tour operators’ has helped boost TUI Group’s first-half results, it has said.
With strong sales into Thailand and higher value sales, TUI Travel saw its turnover increase 1% to EUR6.5bn (GBP5.4bn, USD8.3bn) while its operating loss was reduced 5% to EUR369m.
The TUI Group overall posted a 9% improvement in its operating result for the first half of its 2012/13 financial year. Turnover was up 2% to EUR6.8 billion with its operating loss at EUR339m.
Its earnings were slightly down due to problems with an Italian hotel project; fleet expansion at Hapag-Lloyd and expenses to create a “considerably leaner holding”.
Its hotels posted higher occupancies at 76% predominantly driven by Riu which posted occupancies at 80.5%. Its cruise division saw an 18% increase in turnover for the six months year-on-year, with its operating result falling back EUR5m to –EUR11m.
“The current financial year will be a year of transition on our path towards resuming dividend payments”, said TUI’s CFO Horst Baier.
TUI Travel posted a 9% reduction in its losses last week.