The cash flow statement shows the flow of cash and cash equivalents on the basis of a separate presentation of cash inflows and outflows from operating, investing and financing activities. The effects of changes in the group of consolidated companies and of foreign currency translation are eliminated.
We refer to Note 31 ‘Financial and lease liabilities’ for information on cash and non-cash changes in financial and lease liabilities.
In the period under review, cash and cash equivalents increased by €272.2m to €3,120.4m.
(41) Cash inflow / cash outflow from operating activities
Based on the Group result after tax, the cash flow from operating activities is derived using the indirect method. In the completed financial year, the cash inflow from operating activities totalled €2,058.2m (previous year €1,910.8m). This amount includes interest payments received of €85.9m (previous year €88.5m), dividends of €268,1m from companies measured at equity (previous year €67.2m) and dividends of €2.8m from non-consolidated companies and other investments (previous year €0.1m). Income tax payments resulted in a cash outflow of €199.5m (previous year €152.2m).
(42) Cash inflow / cash outflow from investing activities
In financial year 2025, the cash outflow from investing activities totalled €672.2m (previous year €604.3m). This amount includes a cash outflow for capital expenditure related to property, plant and equipment and intangible assets of €738.9m, of which €5.2m represents capitalised borrowing costs (previous year €0.0m). The Group recorded a cash inflow of €68.4m from the sale of property, plant and equipment and intangible assets.
TUI received €21.2m from the disposal of interests in three associates of the Musement segment, one associate and one joint venture in the Central Region source market. A capital reduction of the associate Midnight Canada, Inc. resulted in an inflow of €9.1m to TUI. The sale of money market funds generated €4.2m. TUI Group contributed €6.7m to the capital increase of the Global Hospitality Fund. During the reporting period, €29.2m was paid for the acquisition of 20% of the shares in a Swiss tour operator and 50% of the shares in a hotel company operating in Zanzibar.
(43) Cash inflow / cash outflow from financing activities
The cash outflow from financing activities totalled €1,086.1m (previous year €531.4m).
TUI AG received €295.5m from the issuance of loans under German promissory notes (Schuldschein). Transaction costs of €13.0m were incurred for the extension of TUI AG’s syndicated credit facility, which was undrawn at the reporting date. Other entities of the TUI Group raised loans amounting to €107.3m, incurring transaction costs of €0.5m. During the financial year, TUI AG made scheduled repayments of two tranches of loans under German promissory notes totalling €209.5m. Further repayments of financial liabilities amounted to €837.4m, of which €580.0m related to lease liabilities. The disposal of a 20% stake in the consolidated Swedish tour operator Nazar resulted in an inflow of €0.7m. Interest payments totalled €329.7m, and dividends paid to non-controlling interests amounted to €99.5m.
(44) Development of cash and cash equivalents
Cash and cash equivalents comprise all liquid funds, i.e. cash in hand, bank balances and cheques.
Cash and cash equivalents decreased by €27.7m (previous year increase €12.5m) due to foreign exchange effects.