HONG KONG – Tongcheng Travel Holdings Limited, a leading comprehensive travel platform in China, has announced strong financial results for the first half of 2024, reflecting significant growth across its core business sectors. The company reported a 48.8% year-on-year (YoY) increase in revenue, reaching RMB 8.1 billion, driven by a surge in transportation and accommodation services.
Key Financial Highlights for 1H 2024
Revenue Growth: The company’s revenue for the first half of 2024 soared by 48.8% YoY, totaling RMB 8,111.6 million.
Adjusted EBITDA: Adjusted EBITDA saw a 12.7% increase, amounting to RMB 1,733.7 million, with an adjusted EBITDA margin of 21.4%.
Net Profit: Adjusted net profit rose by 10.9% to RMB 1,215.2 million, translating to an adjusted net margin of 15.0% for 1H 2024 and 15.5% for the second quarter.
Gross Merchandise Value (GMV): GMV increased by 9.7%, reaching RMB 128.2 billion.
Expanding User Base in China’s Online Travel Agency (OTA) Sector
Tongcheng Travel has seen substantial growth in its user base, particularly within China’s non-first tier cities:
Annual Paying Users (APUs): APUs increased by 4.8% YoY, reaching 228.3 million.
Traveler Growth: The total number of travelers served by the platform grew by 29.9%, totaling 1.856 billion, indicating a notable increase in user purchase frequency.
New Users: Over 70% of new paying users on the Weixin platform originated from non-first tier cities, with registered users in these regions accounting for more than 87% of the total user base.
Record-Breaking Performance in Core OTA Businesses
Tongcheng Travel’s core business areas achieved new milestones in the second quarter of 2024:
Transportation Ticketing: Revenue from transportation ticketing services increased by 16.6%, reaching RMB 1,742.7 million.
Accommodation Reservations: Accommodation reservation services revenue rose by 12.8%, hitting a record high of RMB 1,190.9 million.
Other Revenue Streams: Revenue from other services, excluding tourism, surged by 87.3%, totaling RMB 592.3 million.
Air Ticketing: Total air ticketing volume experienced nearly 20% YoY growth, with international air ticketing volume skyrocketing by 160%.
Room Nights Sold: The total number of room nights sold grew by 10% YoY, with international room nights sold increasing by nearly 140%.
The impressive financial performance underscores Tongcheng Travel’s strong position in the rapidly evolving Chinese travel market, as it continues to expand its reach and solidify its presence in both domestic and international travel sectors.
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