TUI widens losses in first quarter

13th February 2013, Comments 0 comments

German tourism giant TUI said on Wednesday that its losses widenend in the first quarter of the current year, but it would still stick to its full-year targets.

TUI, which operates its business year from October to September, said in a statement it booked a net loss of 137 million euros ($184 million) in the three months to December, compared with a loss of 87.6 million euros a year earlier.

The group noted, however, that year-earlier earnings had been boosted by one-off effects and that underlying profits, as measured by earnings before interest, tax and amortisation (EBITA), improved slightly.

TUI booked an underlying loss of 141.5 million euros in the October-December period compared with a loss of 147.3 million euros a year earlier.

First-quarter sales rose by 1.4 percent to 3.496 billion euros, TUI said.

"The TUI Group has started into financial year 2012/13 on a slightly improved operating result," the statement said.

"The outlook for the full year has been confirmed by the sound operating performance recorded by TUI Travel and Hotels & Resorts in the first quarter.

"For the overall year 2012/13, TUI continues to expect moderate turnover growth and an operating result -- underlying EBITA -- matching the gratifying level of the prior year," it said.

At the bottom line, TUI said it expected group net profit for the year to be positive.

© 2013 AFP

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