Package sales through agents still core to our business, insists Tui chief

Hotels and resorts, meanwhile, delivered ebit of €668 million, up from €549 million in 2022/23, "surpassing its already strong operational performance of the prior year". Average daily rates increased by 7% year-on-year to €93.

Full-year revenue came in up 12% year-on-year at €23.2 billion following a nearly 7% increase in annual passengers numbers from 19 million to 20.3 million. Tui also reduced its net debt over the 12 months to the end of September by €500 million to €1.6 billion.

Guidance for the 2024/25 full-year includes a 5-10% increase in revenue, and a 7-10% increase in underlying ebit – a range which becomes a new medium-term target for Tui.

’Future-proofing’

"2024 was a very good year for us," said Tui chief executive Sebastian Ebel, who pinned Tui’s success on "rapid implementation" of measures to improve earnings, and the firm’s wholesale transformation strategy.

Ebel said "the Tui of tomorrow was well positioned" owing to efforts to "future-proof" its tour operator business, which chiefly involves reshaping Tui to be able to sell all elements dynamically in all markets, particularly through its app.

"The aim is to develop it into a tourism marketplace with a focus on package tours," said Ebel. "Tui customers will be able to choose from an even broader product portfolio in future." However, he stressed: "Of course, we will continue to focus on package holidays and our good cooperation with travel agencies."

In Tui’s northern region, which comprises Tui UK and Ireland, ebit more than doubled over the past year from €71 million to €165 million.

Ebal hailed Tui’s performance in new, non-traditional markets such as Latin America where it identifies growth opportunities. "This reduces our regional dependence on Europe at a time when the European economy is growing little or not at all," he said.

Tui is 62% sold for winter 2024/25, with average selling prices up by 5%; the group said this had been supported by an increased share of package holidays and dynamic packages in the sales mix.

Summer 2025 is currently 17% sold, which Tui said was "in line with last year". Bookings are up by 7% for summer 2025, and average selling prices +3%.