FAST NEWS: Trip.com’s Hong Kong flight bookings surge
The latest: Trip.com Hong Kong, a subsidiary of leading Chinese online travel agency Trip.com Group Ltd. (9961.HK; TCOM.US), said its orders for outbound air tickets nearly tripled year-over-year between Jan. 4 and Jan. 10, with the number of flights booked on Jan. 10 setting the second-highest one-day record since Covid-related border controls ended.
Looking up: The company said the approach of the Lunar New Year, coupled with Hong Kong’s planned hosting of several large-scale events and sports competitions, are expected to continue providing strong gains for demand into and out of the city.
Take Note: Most of the bookings from the past seven days were for travel during the traditional peak seasons around the Lunar New Year and Easter holidays.
Digging Deeper: Like many travel- and tourism-related companies, Trip.com suffered big revenue hits at the height of the pandemic, and recorded losses in 2020 and 2021. But its business is rebounding as nearly all countries have reopened, including China, which lifted its pandemic restrictions just over a year ago. A sharp rise in air and hotel bookings helped return the company to the black in the first three quarters of last year, posting a net profit of more than 8.6 billion yuan ($1.2 billion) for that period.
Market Reaction: Trip.com’s Hong Kong shares rose on Friday morning to close up 1.3% at HK$297.40 by the midday break. The stock now trades in the middle of its 52-week range.
Translation by A. Au
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