Improved profits for TUI Group travel units - Car Rental News
Improved profits for TUI Group travel units
Car Rental News - 17/11/2008
The TUI Group has reported “substantial increases” for the third quarter in turnover and profits in its travel business.
During the quarter, tourism turnover increased by approximately 17 per cent, rising from 5.8 billion euros to 6.8 billion, largely attributed to the consolidation of First Choice.
Profits from operations in the business rose to approximately 15 per cent, from 689 million euros to 795 million euros, as compared with the third quarter in 2007.
Overall profits for TUI Group overall were down by about three per cent, however, to 448 million euros, with restructuring, one-off effects on the tourism businesses and a decrease in profits from container shipping cited as the reasons.
“Although the consequences of the current financial crisis and the resulting possibility of a slowing world economy cannot yet be fully assessed, TUI AG remains confident that a significant increase in operating earnings will be achieved for the overall year 2008,” the company stated.
Turnover for TUI Travel saw an increase of approximately 17 per cent, from 5.7 billion euros to 6.6 billion.
Earnings from operations improved, but were affected by the decline of the pound’s exchange rate, the company reported.