Europe's largest travel operator, TUI, (TUIVY) has recorded a spike in earnings in its third quarter, despite a slowdown in bookings for North Africa and Turkey.
A series of terrorist attacks in popular holiday spots such as the February attack in Tunisia and last month's attack in Nice, France, has significantly impacted travel companies and, said TUI, led to declining "market sentiment."
However, TUI said that excluding the impact of the timing of Easter and currency, earnings grew by 14.1% to €203.3 million ($226.83 million) compared with €178.1 million.
The company also reiterated its full-year forecast, with Ebita expected to grow by at least 10%.
TUI said there has been more demand for holidays in Spain and Italy as holidaymakers shy away from terrorism-hit regions.
But it said sales in the third quarter dropped 5.7%, in part because travelers are hesitating about holiday decisions after the attacks.
TUI had gained 2% by early afternoon London. The shares are down 0.9% over the past year.
TUI's smaller rival Thomas Cook (TCKGY) last month lowered its full-year forecast on concerns about the impact of macropolitical events. The company was up 1.7% in London today. The stock is down 47% in the past year.
Air France KLM in late July warned that the attacks could have an impact on full-year revenue.
In a half-year results update, the Dutch-Franco airline said there is a "special concern about France as a destination." It expects France-bound flights to fall 10% over the summer.
In phone briefing CFO Pierre-Francois Riolacci said, ""As the months have gone by we've seen a significant drop in demand for inbound travel to Europe, especially France. This pressure is happening in the context of capacity growth that is very high for the summer season."
Air France KLM shares were steady today but have lost 20% in the past year.
Earlier this month Lufthansa (DLAKY) said the terrorist attacks have have a "tangible impact on passenger volumes."
In its first-half results Lufthansa said it expected 2016 adjusted Ebit to be lower than last year, when it made profit of €1.8 billion ($2 billion).
The carrier said it is aiming to cut costs by between 2% and 3% in the second half of the year.
Lufthansa chairman and CEO Casten Spohr said, "The forward bookings, in particular for our long-haul services to Europe have declined significantly. We expect the high pricing pressure to continue."
Shares in the airline are down 10% in the past year.