TUI: swings to big full-year loss on travel restrictions

(CercleFinance.com) - German tourism company TUI on Thursday said that it has swung to a big loss in its financial year 2020, as a result of the string of travel restrictions resulting from the Covid-19 pandemic.


Europe's largest travel company said that its net loss exceeded 3.1 billion euros in the twelve months ended 30 September, from a profit of 691 million euros a year earlier.

The Hanover-based company posted a 58% slump in revenue, to less than 8 billion euros, as the number of its customers dropped to 8.1 million, down 62% relative to the previous year.

TUI - which has still managed to cut its fixed costs by more than 70% during the lockdown - said it expects to operate just 20% of its capacities during the winter 2020/21 season.

At the same time, the tourism group still expects to operate a capacity of 80% in the summer of 2021.

The London-listed shares were up nearly 3% after these results.

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