Articore Group FY 2025 Earnings Call Transcript

Articore Group Limited reported FY 2025 results with a focus on CEO Vivek Kumar, CFO Curtis Davies, and VP of Investor Relations Virginia Spring. The company discussed its financial performance, outlook, and future plans, with a transcript available on the ASX. The key information is contained in the ASX announcement and investor presentation released earlier that morning.

Articore Group Limited, a prominent player in the global travel and tourism sector, has reported its financial results for the fiscal year 2025, highlighting a strong performance driven by robust demand and strategic initiatives. The company's CEO Vivek Kumar, CFO Curtis Davies, and VP of Investor Relations Virginia Spring discussed the key highlights during a press conference, with the transcript available on the ASX [1].

The company reported a significant increase in underlying EBIT, which grew by €115.5m to €164.7m, a 64.6% increase compared to the same period last year. This performance was driven by a record Holiday Experiences result and the benefit of later Easter holidays in Markets + Airline [1].

The company's revenue for the year increased by 7.1% to €6.2bn, with a notable improvement in the Hotels & Resorts segment, which saw a 6.0% increase in revenue to €548.4m. The Cruises segment also performed exceptionally well, with revenue increasing by 14.7% to €230.8m. This growth was attributed to the introduction of two new ships, Mein Schiff 7 and Mein Schiff Relax, which expanded the company's cruise capacity by 33% [1].

Markets + Airline, another key segment, reported a 6.8% increase in revenue to €5,382.3m, driven by higher customer demand and increased prices. The segment's underlying EBIT rose by €33.2m to €49.7m, reflecting the benefits of the phasing of Easter holidays to the third quarter [1].

The company's net debt position improved significantly, reducing by €0.2bn to €1.9bn at 30 June 2025. This was achieved through the successful issuance of a €250m Schuldscheindarlehen (promissory note) in July 2025, which was used to repay aircraft leases early and take legal ownership of the assets [1].

Looking ahead, Articore Group Limited has raised its FY 2025 underlying EBIT guidance to +9-11% at constant currency, up from the previously stated +7-10%. The company expects revenue to increase at the lower end of the given +5-10% range year-on-year [1].

CEO Vivek Kumar emphasized the company's focus on creating a more agile, cost-efficient business with a higher speed to market, aiming to create additional shareholder value. CFO Curtis Davies highlighted the company's strategy to reduce net leverage to below 1.0x, while VP of Investor Relations Virginia Spring discussed the company's mid-term ambitions and the progress made towards achieving them [1].

The company's strong performance and strategic initiatives position it well for continued growth in the future. Investors and financial professionals can expect to see more updates on the company's progress as it continues to execute its plans.

References:
[1] https://www.tradingview.com/news/eqs:ffe90955b094b:0-tui-delivers-best-ever-q3-result-driven-by-a-record-holiday-experiences-performance-fy-2025-underlying-ebit-guidance-raised-to-9-11/