Thomas Cook points to slowdown in German market

British holiday operator Thomas Cook highlighted a slowdown in bookings in its German market but also provided guidance on full-year earnings that put the company broadly on course to meet analyst expectations.

Thomas Cook said it expected earnings before interest and tax of between £315 million and £335 million in the 12 months to the end of September. That compared with analyst expectations of £327 million.

But Thomas Cook said bookings by German customers had slowed from late July as consumer confidence there dipped, reflecting worries around the impact of further EU sanctions against Russia and their knock-on effect on Germany’s economy. This had hit margins in the German business in the fourth quarter. – (Reuters)