TUI AG's shares soared on Tuesday after it raised its guidance for its container-shipping operations, citing a recovery in global container shipping.
TUI, a holding company with assets in tourism and shipping, owns 43.3% in container-shipping company Hapag-Lloyd AG (GD-HPL). Albert Ballin GmbH & Co. KG owns the remaining 56.7%.
Hapag-Lloyd's positive trend from the first half of fiscal 2010 strengthened and TUI expects a clearly positive equity contribution from the unit. TUI's financial year runs from October through September.
At 1006 GMT, TUI shares traded up 8.1% at EUR7.50, outperforming German mid-cap index MDAX, which traded up 3.2%.
"Transport volumes and in particular freight rates have continually improved over recent months and are considerably up year-on-year," TUI said in a statement.
In May, the company said its expected continued stability in container shipping and predicted a positive equity contribution from the unit.
Hanover-based TUI reiterated its outlook of stable adjusted earnings before interest, tax and amortization in its core tourism business. The company's tourism operations comprise mainly U.K.-listed TUI Travel PLC (TT.LN), in which it holds a 54% stake.
TUI sold a majority stake in Hapag-Lloyd in March 2009.
It will present further details with its third-quarter report planned for Aug. 11.
TUI, a holding company with assets in tourism and shipping, owns 43.3% in container-shipping company Hapag-Lloyd AG (GD-HPL). Albert Ballin GmbH & Co. KG owns the remaining 56.7%.
Hapag-Lloyd's positive trend from the first half of fiscal 2010 strengthened and TUI expects a clearly positive equity contribution from the unit. TUI's financial year runs from October through September.
At 1006 GMT, TUI shares traded up 8.1% at EUR7.50, outperforming German mid-cap index MDAX, which traded up 3.2%.
"Transport volumes and in particular freight rates have continually improved over recent months and are considerably up year-on-year," TUI said in a statement.
In May, the company said its expected continued stability in container shipping and predicted a positive equity contribution from the unit.
Hanover-based TUI reiterated its outlook of stable adjusted earnings before interest, tax and amortization in its core tourism business. The company's tourism operations comprise mainly U.K.-listed TUI Travel PLC (TT.LN), in which it holds a 54% stake.
TUI sold a majority stake in Hapag-Lloyd in March 2009.
It will present further details with its third-quarter report planned for Aug. 11.