TUI (TUI1) Investor presentation summary

Group performance and financial highlights

• Served 34.7 million customers in FY25, up 5% year-over-year, with €24.2bn revenue (+4% yoy) and underlying EBIT of €1.4bn (+9% yoy); net leverage reduced to 0.6x.

• FY26 9M revenue was €14.4bn (-2.7% yoy), with underlying EBIT at €118m (-€46m yoy), but up €35m excluding one-off impacts.

• Q3 revenue reached €5.9bn (-5.6% yoy), with underlying EBIT of €235m (-€86m yoy), reflecting resilience amid geopolitical headwinds.

• Net debt increased to €2.3bn, mainly due to working capital changes and higher investments in hotels and airline capex.

• FY26 underlying EBIT guidance tightened to €1.2bn–€1.3bn, reflecting current trading and geopolitical risks.

Strategic initiatives and transformation

• Continued transformation into a global curated leisure marketplace, leveraging vertical integration and digital platforms.

• Asset-right hotel pipeline with 70+ new hotels signed, focusing on high-growth destinations and diversified brands.

• Cruise segment expanding with three new ships by FY33, leveraging joint ventures for off-balance sheet growth.

• TUI Musement driving growth in experiences and transfers, with AI-powered enhancements and partnerships.

• Markets + Airline segment transforming through digitalisation, cost reduction, and commercialisation, targeting >3% EBIT margin mid-term.

Operational and market trends

• Travel sector continues to outpace GDP, supported by favorable demographics and high disposable income.

• Booking momentum improved in summer 2026, but winter bookings reflect a trend toward later reservations amid uncertainty.

• Hotels & Resorts and Cruises segments showed solid demand, though impacted by events like the Iran war and Jamaica hurricane.

• App sales grew 46% year-over-year, and digital-first marketing is driving customer engagement and retention.

• Cost reduction program launched, targeting €250m in savings by FY28, with 60% from overhead reductions.