TUI share price: Group updates investors on recent performance

on Feb 14, 2017
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TUI Group (LON:TUI) has updated the market on its first-quarter performance this morning.

**Highlights from the company statement:**
Good operational performance delivered in Q1
* Turnover up 8.5 %1, with continued growth in our hotel, cruise and concept brands plus the delivery of further merger synergies resulting in a reduction in the seasonal underlying EBITA loss.
* Continuing to deliver our growth strategy, transforming TUI Group as the world’s leading integrated tourism business based on own hotel and cruise brands.

* Agreement to sell Travelopia for an agreed enterprise value of £ 325 m (EUR 381 m)2 or 14.4 times 2015 / 16 underlying EBITA.
* Our scale and integrated business model give us a strong competitive advantage, leaving us well placed to continue to deliver our growth strategy, against what continues to be an uncertain geopolitical and macroeconomic backdrop.
* Current trading remains in line with our expectations, with continued growth in revenues and bookings in most Source Markets, further openings planned in our hotel and concept brands and the launch of two cruise ships this Summer.

* Based on our Q1 performance and current trading, we are pleased to reiterate our balanced guidance of at least 10 % growth in underlying EBITA in 2016 / 171.
Outlook
We have delivered a good operational performance in Q1 and current trading remains in line with our expectations. We are continuing to deliver our growth strategy, transforming the business as the world’s leading integrated tourism business based on own hotel and cruise brands, with further openings and launches planned for the coming year. We are pleased to have agreed the sale of Travelopia, and we continue to progress our negotiations with Etihad regarding the disposal of TUI fly and resulting creation of a new leisure airline group for the German, Austrian and Swiss markets. Our scale and integrated business model mean that we remain well placed to deliver our growth strategy, against what continues to be an uncertain geopolitical and macroeconomic backdrop. Based on our Q1 performance and current trading, we are therefore pleased to reiterate our balanced guidance of at least 10 % growth in underlying EBITA in 2016 / 17 *.

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