TUI Reports Recovery In Bookings Despite Higher Costs

  • TUIs summer program saw a total of 12.9 million bookings.
  • Winter 2022/23 bookings stand at 78% of Winter 2018/19 levels.
  • The average selling price is 26% higher for holidays over the winter season.

Tui reported its Q4 trading update, which saw strong progress in booking numbers, but a further impact on costs.

The company stated that Q4 is expected to deliver further strong progress, with Markets & Airlines significantly profitable despite the airport disruptions faced this year.

Its overall summer program saw a total of 12.9 million bookings, an increase of 1.4 million since its Q3 update, and bookings at 91% of summer 2019 levels. However, flight disruption costs remain at elevated levels, according to TUI.

Meanwhile,  winter 2022/23 bookings stand at 78% of Winter 2018/19 levels, with the near departure months of November and December at 81%. Furthermore, the average selling price is 26% higher for holidays over the winter season.

“In 2022, we see a strong travel summer almost at the same level as summer 2019,” said TUI CEO Fritz Jossen. “We confirm our guidance and will successfully close the 2022 financial year with a significantly positive underlying EBIT.”

TUI shares are down 2.19% at the time of writing.

Consumer Data:

Source: Semrush

TUI has shown signs of growth in 2022, and its website traffic has more than doubled since its lows in 2021. The recovery in travel has been dented by the cost of living crisis and disruption costs, however, flight disruption costs continued to improve through the fourth quarter, according to TUI.

Currently, website traffic sits at 10.8 million.

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