TUI's Record 2025 Year: $28B Revenue, Debt Down 20%

TUI Group has delivered a record performance for the 2025 financial year, covering the period from October 1, 2024, to September 30, 2025.

CEO Sebastian Ebel emphasized that the company exceeded expectations in a highly competitive travel environment and credited TUI’s strong portfolio of owned brands, including RIU, Robinson, TUI Blue, and TUI Cruises.

Performance highlights

• Revenue increased by 4.4 percent to €24.2 billion ($28.4 billion), up from €23.2 billion ($27.2 billion) last year.
• Net debt decreased by nearly 20 percent to €1.3 billion ($1.5 billion), down from €1.6 billion ($1.9 billion).
• TUI Group's underlying earnings per share (EPS) reached €1.34 ($1.57), up 30 percent from €1.03 ($1.21) in 2024.
• A total of 34.7 million customers traveled with TUI, an increase of 5 percent compared with the prior year.

Breakdown by business segment

• Hotels and Resorts continued their upward performance, reaching an all-time high EBIT of €759 million ($890 million), which is €90 million ($105 million) higher than the previous year.
• Cruises, including all three TUI cruise brands, generated record earnings of €482 million ($565 million), an increase of €108 million ($126 million).
• TUI Musement expanded its earnings to €71 million ($83 million), up from €49 million ($57 million), supported by rising demand for excursions, tours, transfers, and attraction tickets.
• The Markets & Airline segment covers tour operator activity and airline operations across Germany, the UK, the Netherlands, Belgium, and Sweden. Underlying EBIT declined to €217 million ($254 million) from €304 million ($356 million) due to higher operational costs.

Outlook for the 2026 financial year

• The company anticipates a revenue increase of 2 to 4 percent compared to the previous year.
• Underlying EBIT is expected to grow by 7 to 10 percent on a compound annual basis.
• TUI notes that the strongest driver of this improvement will be demand for summer 2026.
• The company also plans to reduce leverage significantly, targeting a net debt ratio below 0.5 times, which would put TUI on one of its strongest balance sheet footings in years.
• TUI intends to adopt a more predictable shareholder returns policy by paying out 10 to 20 percent of underlying EPS as dividends.

TUI also recently introduced a cost reduction program aimed at achieving €250 million ($293 million) in savings across its markets and airline division by fiscal 2028. AI-enabled automation and process optimization will play a central role in capturing these efficiencies.

Photo by Shahabudin Ibragimov on Unsplash