TUI AG said Tuesday that revenue for the first quarter of 2023 rose ahead of expectations due to strong travel demand, and that its underlying EBIT loss narrowed.
The London-listed German travel operator
also said it plans to undertake a capital increase with subscription rights to finance state aid repayments.
TUI said revenue for the period ended Dec. 31 was 3.8 billion euros ($4.08 billion) compared with EUR2.37 billion for the first quarter of fiscal 2022 and revenue forecasts of EUR3.68 billion, taken from FactSet and based on two analysts’ estimates.
Underlying loss before interest and taxes–the company’s preferred metric, which strips out exceptional and other one-off items–was EUR153 million compared with an EBIT loss of EUR274 million a year earlier.
TUI said current momentum for winter bookings as well as for summer 2023 was encouraging, and that booking figures for the last four weeks were ahead of prepandemic levels and with higher average prices. It added that 3.3 million guests traveled with TUI in its fiscal first quarter compared with 2.3 million in the year-prior period
The company said this strengthened its 2023 underlying EBIT expectations, which it expects to increase significantly in the full year.
Write to Anthony O. Goriainoff at firstname.lastname@example.org