TUI AG updates
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Tui, the world’s largest package holiday operator, has stopped burning cash for the first time since the start of the pandemic despite the UK government’s travel restrictions forcing it to cut its summer schedule.
The Anglo-German company said on Thursday that it generated €320m of free cash flow in the three months to the end of June, before accounting for its emergency financing measures, and that it had 4.2m customers booked for the summer — 1.5m more than it had when it last reported numbers in May.
The impact of changing travel rules in the UK, however, meant that Tui has been forced to cut its summer capacity from 75 per cent of 2019 levels, the target it set in May, to 60 per cent.
“In the UK we have been losing net bookings,” said chief executive Fritz Joussen, who compared it with positive booking trends in Germany, Tui’s other largest market.
This week the company cancelled holidays to at least 30 destinations from the UK following the government’s latest…
