LONDON, Dec 6 (Reuters) - Europe's biggest travel operator TUI forecast operating profit would jump 25% this year, after it more than doubled last year, on strong demand for holidays, cruises and hotel stays.
For the year to Sept. 30, the first full year unaffected by pandemic travel restrictions since 2019, TUI posted underlying operating profit of 977 million euros on revenue which came in at 20.7 billion euros, exceeding 2019 levels.
Demand for holidays has soared this year, with easyJet , Ryanair and Jet2 reporting bumper results, but war in the Middle East and the threat of recession have prompted warnings that profits may have peaked.
TUI said bookings for the current winter season and next summer gave it confidence that operating profit would grow by at least 25% in this financial year on revenue at least 10% higher.
"Our strategic initiatives to increase value and the current booking trend lead us to expect a further improvement in 2024," TUI's chief executive Sebastian Ebel said on Wednesday.
But the company cautioned that its guidance was set against the backdrop of "current macroeconomic and geopolitical uncertainties, particularly in the Middle East".
(Reporting by Sarah Young, Editing by Paul Sandle)