TUI (TUI1) Q1 2026 earnings summary

Executive summary

• Achieved record Q1 underlying EBIT of €77.1m, up €26.3m year-over-year, with revenue of €4.9bn and strong demand across segments, despite one-off impacts from Hurricane Melissa in Jamaica.

• Net debt reduced by €0.5bn to €3.6bn, enabling a new dividend policy and further deleveraging.

• Strategic progress includes digital transformation, new market entries, hotel expansion in Africa and Asia, and sustainability milestones.

• Reaffirmed EBIT growth guidance of 7%-10% for FY2026 and continued confidence in future years.

• Announced return to dividend payments, with a proposal of €0.10/share for FY2025 and 10%-20% of underlying EPS from FY2026.

Financial highlights

• Q1 2026 revenue: €4,861.2m (-0.2% year-over-year), underlying EBIT: €77.1m (+51.6%), EBITDA: €299.6m (+8.8%).

• Net debt reduced by €0.5bn to €3.6bn, reflecting improved operating cash flow and FX effects.

• Loss per share halved year-over-year; EPS improved by €0.09 to -€0.08.

• Interest expense improved by €10m due to lease restructuring and asset ownership.

• Cash flow improved by €50m in Q1, supported by structural savings and reduced financing repayments.

Outlook and guidance

• FY2026 revenue expected to grow by 2%-4% and underlying EBIT by 7%-10% at constant currency.

• Segment guidance: slight growth in Hotels & Resorts, strong growth in Cruises and TUI Musement, and 7%-10% EBIT growth in Markets + Airline.

• Dividend policy: FY2025 starter dividend of €0.10/share, with FY2026+ targeting 10%-20% of underlying EPS.

• Expect continued improvement in net debt for the full fiscal year, despite upcoming aircraft deliveries.