TUI narrows operating profit outlook for 2026

TUI narrows operating profit outlook for 2026
Expects earnings between €1.2bn and €1.3bn
Middle East war impacts customer booking behaviour
Jet fuel prices surged due to Iran conflict
Full-year results to be reported on 9 December

TUI has narrowed its outlook for 2026 underlying operating earnings stating that war in the Middle East meant customers were making later bookings although demand was strong into the fourth quarter. Jet fuel prices have surged as a result of the disruption linked to the US-Israeli war on Iran and airlines have struggled to pass on increased costs while customers are more hesitant about making travel plans.

Europe’s largest tour operator which runs cruise ships, airlines and hotels cut its profit forecast and suspended its revenue guidance in March in response to the impact of the Iran war.

The travel group expects annual underlying earnings before interest and taxes to reach between €1.2bn and €1.3bn ($1.4bn and $1.5bn) instead of the previously forecast €1.1bn to €1.4bn. The company stated its cost-cutting and efficiency initiatives had strengthened its position and in some cases it had limited the number of flights available.

The company also published details of its jet fuel hedging that is designed to stabilise costs associated with the spike in prices. TUI will report its full-year results for 2026 on 9 December.