TUI has raised its full-year earnings guidance after posting record underlying EBIT in its June ending quarter, driven by strong demand across its airline and holiday operations and a positive impact stemming from a later Easter holiday period.
Group revenue during its third quarter rose 7.1% on the prior year to €6.2bn ($6.77bn), up from €5.79bn ($6.32bn) that was recorded last year. Underlying EBIT rose by €88.7 million ($96.9 million) to €320.6 million ($350.4 million).
TUI lifted its full-year fiscal year 2025 EBIT guidance to +9-11% growth at constant currency, up from a prior range of +7-10%, citing its strong nine-month performance and early positive indicators for the final quarter.
TUI’s Markets & Airline division recorded an improvement in third quarter EBIT, with underlying profit rising to €49.7 million ($54.3 million), up €33.2 million ($36.3 million) from €16.5 million ($18 million).
Segment revenue climbed 6.8% to €5.38bn ($5.87bn), with the company benefiting from the timing of the Easter holidays, which shifted into the third quarter this year, contributing a €31 million ($33.9 million) EBIT benefit.
Customer numbers rose 2% to 5.87 million during the quarter, with average load factors averaging at 94%.
The company noted particularly strong demand for short and medium-haul destinations, including the Spanish Balearic and Canary Islands, Greece, Türkiye, and Egypt. Long-haul destinations such as Thailand, the UAE, and Zanzibar also posted notable growth.
Despite this TUI pointed to softer booking trends in Germany and weaker demand for US destinations, as macroeconomic uncertainty and geopolitical tensions continue to weigh on consumer sentiment.
The company said that while summer 2025 bookings are down 2% overall - largely tied to the ongoing conflict in the Middle East - ticket prices have risen by 3%, helping to offset inflationary pressures and elevated operating costs.
During the quarter, TUI issued a €250 million ($273.5 million) Schuldschein (promissory note loan) in July 2025, marking a key step in its broader airline transformation strategy.
The transaction, split across both fixed and floating-rate tranches, carries a blended coupon of approximately 4% and an average maturity of 3.6 years, with notes due in 2028 and 2030. The group said the proceeds will be used to repay aircraft leases early and take legal ownership of those assets.