Tui Profit Slumps Amid Iran War Uncertainty
Tui, Europe's largest travel operator, saw its quarterly earnings plummet due to uncertainty over the Iran war. The conflict, along with rising fuel costs and pressure to lower prices due to weak demand and increased competition, took a significant toll on the company.
The firm reported pre-tax profits of €153.4 million (£131 million) for the third quarter, down 43% from the same period last year. Underlying earnings fell by 27% to €233.8 million (£199.7 million), with customer numbers dropping 3% to 9.9 million.
Tui's markets and airline business swung to a loss of €17.4 million (£14.9 million) from profits of €49.7 million (£42.4 million) a year earlier, while its holiday experiences arm proved more resilient with underlying earnings slipping just 5.6% to €277.8 million (£237.3 million).
Chief executive Sebastian Ebel stated that '2026 is no ordinary year', citing wars and geopolitical tensions, consumer caution, economic weakness, and rising inflation as factors influencing consumer sentiment and travel decisions.