logo
Plus   Neg
Share
Email

TUI Slips To Hefty Loss In FY20; Expects To Return To Profitable Growth From FY22 Onwards

Tour operator TUI AG (TUIFF.PK) reported Thursday that its fiscal 2020 loss attributable to shareholders was 3.08 billion euros, compared to last year's profit of 532 million euros, hurt by coronavirus pandemic.

Underlying loss per share were 5.45 euros, compared to profit of 0.89 euro a year ago.

Reported EBIT was loss of 2.96 billion euros, compared to profit of 769 million euros last year. Underlying EBIT loss was 3.03 billion euros, compared to profit of 894 million euros last year.

Revenue declined 58 percent to 7.95 billion euros from 18.93 billion euros last year reflecting covid-19 travel restrictions during Summer 2020.

Full-year customer volume of 8.1 million was down 62% on prior year. Since restart of operations in mid-June, the company reported more than 2 million customer volume.

The dividend has been suspended as required by terms of German Support Packages, and the company said it still feels unable to announce specific guidance in light of the ongoing pandemic situation.

However, the company expects fiscal 2021 to be a year of transition and for the Group to return to profitable growth from FY22 onwards.

As a result of the increasing travel restrictions caused by the rising number of infections and the associated later booking behaviour of some customers, the company currently expects to operate an adjusted capacity of 20% for Winter 2020/21 which will be weighted towards financial Q2.

The company continues to expect to operate an adjusted capacity of 80% for Summer 2021, which will be flexed as it gains more visibility on future imposed travel restrictions.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
The U.S. Food and Drug Administration said that it will rapidly work toward finalization and issuance of an emergency use authorization of Johnson & Johnson's (JNJ) single-shot COVID-19 vaccine candidate. Billionaire Warren Buffett's Berkshire Hathaway Inc. (BRK.A, BRK.B) reported that its fourth-quarter net earnings attributable to shareholders rose 23 percent to $35.84 billion from last year's $29.16 billion, with earnings per share improving to $23,015 per Class A share from $17,909 per Class A share in the prior year. Walmart Inc. has launched a nationwide drive to boost COVID-19 vaccination rates by reaching out to more residents in vulnerable communities. The retail giant will organize a series of community events at 43 locations in 18 states to administer the COVID-19 vaccine. Walmart said it plans to continue these new events over the next several weeks as vaccine allocations allow.
Follow RTT