TUI AG

Good morning, everyone, and welcome to the TUI AG full year 25 Q1 results webcast. My name is Drew, and I'll be the coordinator for today's call. During today's call, we will have a Q&A session. If you would like to register a question, please press star followed by one on your telephone keypad. It is now my pleasure to hand over to Nicola Girt to begin. Please go ahead when you're ready.

Thank you. Good morning, ladies and gentlemen. A warm welcome to our first quarter 2025 results presentation. My name is Nicola, and I'm Group Director Investor Relations, and I'm here with our CEO, Sebastian Ebel, and our CFO, Matthias Kiepp. As you know, today we present not only our first quarter results, but we also hold our annual general shareholders meeting. That is why I would like to ask for your understanding that we will need to limit this call to about an hour, but I'm sure we will have sufficient time for a good Q&A session afterwards. And with this, I have the pleasure to hand over to Sebastian and Matthias to present another set of strong quarterly numbers. Dear Sebastian, over to you.

Thank you very much, Nicola, for the nice introduction. A warm welcome also from my side here from Hanover. A quite busy day for us today. The agenda, as you know them, I will give a short overview about our Q1 operational and strategic highlights. Matthias will dive into the Q1 results. I will talk about the trading outlook and a short summary. Again, in the first quarter, we saw the strong benefits of our integrated business model. the market's distribution powerhouse was driving very strong KPIs into our differentiated holiday experience products. And holiday experience products are seeing a sustainable asset right growth who serves strong global markets. And Mark and Airlines is in the transformation, generating dynamic growth and driving profitability in a competitive market. And by saying that, we can, and Matthias will do it later a little bit more specific, we can say that we are well on track to deliver mid-term ambitions, also short-term ambitions, to grow underlying EBIT by 7% to 10% per annum. If we look into the highlights, the first highlight is, and I sometimes forget, it's the 10th consecutive quarter of underlying EBIT growth, this time very much supported by the hotel cruise and tour amusement. Overall, revenues up 13%, underlying EBIT 51%, driven by holiday experiences, market and airlines as anticipated with higher investments ahead of summer, by the way, also ahead of our internal budgets. And Monday, bookings increased. Positive on flat capacity assumptions. This year, we were quite careful about the fixed capacity. Winter plus two with summer plus two with ASPs, higher with 4%. Holiday experiences, Q2 trading remains very well on track and a good start to it. the second half year with very strong demand and higher rates for unique and differentiated products. And by this, we reaffirm our guidance for full year 25. Underlying EBIT increased 7% to 10%. And I would like to remind you that we will see an Easter shift, March to April, which will lead to a shift also in profitability of 30 to 40 million into Q2. If we go into the details, very, very strong performance on hotel and resorts, up 60 million. Bed nights, 3% up. Occupancy, 2% up. And the daily rate, again, strong 5%. We are very much benefiting from our global reach that, for example, the Caribbean or even in Spain, we now get more and more global customers from the US, from Canada, from South America. And this will for a long time fueled the occupancy and rates in our hotel business. Cruise up by 14 million despite some extraordinary refinancing costs within TUI Cruises. Capacity up 10%. You may recall that there was the delivery last year of Mein Schiff 7. Occupancy around last year and rates up 4%. The 4% is a very strong number because more than 50% of costs for crews are non-inflated costs because the depreciation is fixed of a ship, the interest rate is fixed or even going backwards. Fuel is going backwards, so this is driving the margin. A very nice development to amusement, 9 million more, but what is... By far more important, we have seen experiences growth by 12%. You remember the strategy. We have more products, more customers. One of the vehicles is amusement. We're getting more and more last time, 20,000 more customers into the ecosystem. And this drives a lot of new customers in future for the market and airline. Market and airlines down by 30 million. This is mainly from, exclusively from the Nordic, Northern European market, the UK. The reason are investments into the summer, distribution, resilience, and especially on the transformation, you know that we have offering Ryanair since December, more to come. The central region very stable despite investments into new markets, Eastern European markets and also Western region stable compared to last year. What is good to see is that the dynamic packaging is growing by 18%. As said, we have been stable on the risk capacity. This was important for us. We want to grow in future with dynamic build packages. Also, nice to see up sales up 40% and nice to see that with now 10%, we are still having a great potential to achieve and the load factor has been stable. Some highlights we have seen strong development of dynamic offer. If we look to the last four weeks in the UK, dynamic packaging were up by 25% versus previous year. And what we also will have more and more dynamic content coming into the UK. But the next markets will be the Nordic markets. That should be also a game changer there. And just to remind all of us, Ryanair.com. package in the uk went live middle of december so the first significant volumes we have seen in january and we are very pleased about the volumes and as said more airlines will come to the uk and rhine air connections and dynamic connections will come to the nordic so scandinavia plus finland in the first quarter app sales and our strategy is very much on retail and on app is in the UK now 20%, which is almost 50% up to previous year. We do significant also investment into getting customers into our app. Retention is good, pricing is good, and we do see that as a long-term trigger for profitability. And therefore, we have done a lot of improvements and the roadmap looks very promising for our app. On the hotel side, the growth in Asia, we just opened the Robinson Club in Vietnam. The real opening had been around turn of year and TUI Blue, first hotel in Indonesia and as said before, we have seen a significant growth and we will anticipate significant growth of our hotel business in the Far East. And sustainable is part of our day, DNA. It has not been a trend where we are in and out. And with all the changes we see in the world, we keep on investing into sustainability. First, we think it's very important for the world, and we do see it as an opportunity, not as a threat, because we have very... good commercial business cases and it's even better if we see that our efforts are recognized when it comes to rating when it comes to special awards and as said we are moving forward in our sustainability Agenda, by the way, the new ship, the Mineship 7, which came last year, is a green methanol-ready ship. And the Mineship Relax, which was given to TUI Cruises last Friday, is an LNG ship, which will also consume green LNG. Matthias?