The TUI Group delivered double-digit earnings growth in its financial year to end-September 2018 for the fourth consecutive year. The Group’s transformation as a developer, investor and operator of hotels and cruise ships is paying off, with these subsidiaries accounting for around 70% of earnings. The Group’s operating result climbed by 10.9%, with turnover up by 6.3%.
Fritz Joussen, Chief Executive, said: “We are investing, we are growing with TUI’s high-margin products and services and our businesses are increasingly scaling. Today, our own Holiday Experiences content account for more than 70% of our earnings: hotels, cruises, excursions and destination activities. This enables us to clearly differentiate ourselves from the competition. With more than 20 million customers, use of state-of-the-art IT and intelligent customer systems, we have considerable potential for new business, turnover and earnings. We will continue our successful transformation: The next step will transform TUI into a digital and platform organisation.”
For the financial year to end-September 2019, the TUI Executive Board expects to deliver growth in underlying earnings of at least 10% in a challenging market environment.