TUI: first-half results in line, guidance reiterated

(CercleFinance.com) - German travel group TUI reported in-line first-halfresults on Wednesday, and reiterated its guidance for full-year 2019.


TUI said its underlying EBITA loss widened to 301 million euros in the first half, compared to a 170 million euro loss a year ago, reflecting ongoing weak demand in the market.

In its statement, TUI said that its performance was hit by the knock-on impact of the summer 2018 heatwave, overcapacity in Spain, continued Brexit uncertainties, as well as particularly strong comparatives for Nordics last year.

In addition, the result has included the initial impact from the 737 MAX grounding, which began in mid-March, and the later timing of Easter this year, it said.

Meanwhile, net debt at 31 March rose to 1.96 billion euros, from 576 million euros a year ago, with the company increasing its fleet of aircraft.

TUI reiterated its full-year 2019 underlying EBITA guidance of approximately -17 % - assuming 737 MAX flight resumption in mid-July - up to approximately -26 % - assuming measures taken in relation to the grounding of the 737 MAX are extended until the end of Summer 2019.

Copyright (c) 2019 CercleFinance.com. All rights reserved.