Profits are down at Tui Travel, which owns brands such as Thomson and First Choice.
The firm's latest financial results revealed that its pre-tax profit for the year was £181 million, a drop of ten per cent on the previous 12 months.
However, it was not all bad news for the company as it announced revenue rose by four per cent to £15.1 billion. Excluding one-off costs, pre-tax profit was shown to be up 21 per cent.
Chief executive Peter Long stated that the firm is on track to meet its long-term growth targets and described the last 12 months as being "outstanding" for the company.
Tui Travel has recently gone through a major restructuring in a bid to cut its costs.
"Now that this review is complete we are confident of delivering underlying annualised profit growth of eight to ten per cent," it said.
Following the release of the figures, the share price of Tui Travel is up slightly in the early stages of today's (December 10th) trading. At 08:21 GMT, its stocks were trading 0.81 per cent higher.
Find up to date information on the FTSE 100 and spread betting strategies at City Index
GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.