The tour operator still managed to increase group revenue by 1% to £1.41 billion on a “like for like” basis for the last three months of 2015.
This was achieved by higher sales of holidays to Spain and long-haul destinations, as well as through new seat-only routes. Customer demand in the UK was described as being “robust”.
Cook said these factors had offset “the impact of the closure of both Tunisia and Sharm El Sheikh in Egypt, and reduced sales to Turkey”.
The company said it had cut capacity to Turkey by 29% but had the “flexibility” to increase this capacity if demand picks up for the destination.
Operating losses for the tour operator during the quarter were £78 million, compared to £73 million during the same period in 2014.
Chief executive Peter Fankhauser said: “We’ve made a good start to the year, despite challenging trading conditions. Having acted fast to offer our customers a broad range of alternatives to Tunisia and Egypt.
“It is clear that the awful attacks in Paris and Istanbul impacted confidence, leading some customers to delay booking their holidays.
“However we’ve seen clear signs of recovery in recent weeks: customers still have money in their pockets, and want to go on holiday. In this uncertain geopolitical environment, we are also seeing more of our customers choose a package holiday, valuing the greater security it provides.”
Fankhauser said reducing capacity to Turkey by 29% was the "right level of capacity cut" following a "sharp drop" in demand following the Istanbul terrorist attack in January. But added that there were already "signs of improving demand" for the destination. Turkey represents around 18% of Cook’s total passenger numbers.
"Turkey is a very good value destination and has the best hotel product in the Mediterranean area. We are already seeing customer demand coming back," he said.
Fankhauser added that “the turnaround in our UK business delivered further improved results”.
Winter 2015/16 bookings for the UK have fallen by 2% year-on-year, although average selling prices rose by 2% for the season.
For this summer, Cook said that average prices in the UK for package holidays rose by 4%, while web sales have increased by 7%.
Losses for the UK division were £49 million for the quarter – an improvement of £13 million on the same quarter in 2014 when it lost £62 million.
