Tui Travel expects to grow its full-year profits by up to 10%
Tui Travel still plans to grow its annual profits by up to 10% after it reported increased summer bookings across key regions. UK and Nordic bookings increased by 9% with higher margins, Europe’s largest tour operator said in a pre-close trading update.The operator’s “differentiated product”, with unique holiday bookings in the UK, Nordics and Germany resulted in increasing by 15%, 12% and 9% year-on-year correspondingly for Summer 2013.
Solid winter figures for both the UK and the Nordics counterbalanced a slump in Tui’s French operations, where capacity had been cut by 33% and bookings dropped down by 30%. There was also a decline in Tui’s specialist and activity sector, with total sales down 3% for winter and 5% for summer.
The speculation still continues in the market whether Tui Travel’s parent company, Tui AG, will seek to merge the two companies. In January, Tui AG confirmed an approach, but talks ended after only a week.
[Photo courtesy Robinson Club Cala Serena on Majorca (© 2009 Robinson) ]