© Archyde.com. Attention is drawn to the expansion of outbound travel destinations! Tourism stocks danced in response, Ctrip Group rose more than 5%
News from the Financial Associated Press on March 13 (Editor Hu Jiarong)Tourism-related sectors have picked up today, with Ctrip Group-S (09961.HK) up 5.36%, CDFG (01880.HK) up 3.91%, and Tongcheng Travel (00780.HK) up 2.72%.
Overseas travel destinations expanded once more
In terms of news, last Friday, the Ministry of Culture and Tourism issued an announcement stating that from March 15, 2023, national travel agencies and online travel companies will be piloted to resume the operation of Chinese citizens going to relevant countries (the second batch) for outbound group tours and “air tickets + hotels”. “business.
The second batch of countries to resume outbound group tourism includes Nepal, Brunei, Vietnam, Mongolia, Iran, Jordan, Tanzania, Namibia, Mauritius, Zimbabwe, Uganda, Zambia, Senegal, Kazakhstan, Uzbekistan, Georgia, Azerbaijan, Armenia, Serbia , Croatia, France, Greece, Spain, Iceland, Albania, Italy, Denmark, Portugal, Slovenia, Vanuatu, Tonga, Samoa, Brazil, Chile, Uruguay, Panama, Dominica, El Salvador, Dominica, Bahamas.
In fact, as early as January 10, the Ministry of Culture and Tourism issued an announcement stating that from February 6, 2023, national travel agencies and online travel companies will be resumed on a pilot basis to operate outbound group tours and “air ticket + hotel” business for Chinese citizens to relevant countries. From now on, travel agencies and online travel companies can carry out preparations for product releases, publicity and promotion, etc. The list of countries is Thailand, Indonesia, Cambodia, Maldives, Sri Lanka, Philippines, Malaysia, Singapore, Laos, UAE, Egypt, Kenya, South Africa, Russia, Switzerland, Hungary, New Zealand, Fiji, Cuba, Argentina.
From this point of view, with the gradual expansion of outbound tourism destinations, the tourism industry may gradually recover.
Take the news on Friday as an example. The further expansion of outbound travel destinations has led to a significant increase in the search volume of travel platforms. Taking Tongcheng as an example, the data of Tongcheng Travel shows that following the news was released, the popularity of outbound travel rose rapidly. Instantaneous increase of more than 4 times.
Organizations continue to be optimistic regarding tourism recovery
Take Ctrip Group as an example, the company is one of the largest online tourism platforms in China. According to the results for the fourth quarter of 2022 announced on March 7, the net operating income was 5 billion yuan, a year-on-year increase of 7%; the net profit attributable to Ctrip Group shareholders was 2.1 billion yuan, and the net loss for the same period in 2021 was 834 million yuan Yuan.
The Ctrip executive team also revealed that from January to February 2023, domestic air passenger traffic will recover to regarding 80% of the same period in 2019, and the average reservable revenue per room (RevPAR) of the hotel industry has fully recovered in recent weeks. The volume recovered to regarding 15-20% before the epidemic, and continued to rise.
Guotai Junan pointed out that it is expected that Ctrip will recover strongly in the first quarter of 2023, and the increase in volume and price will drive the recovery of profits. ①The pain period of 22Q4 is the darkness before dawn. The first quarter has seen a strong recovery of the industry. After the Spring Festival, hotel and air ticket bookings have returned to pre-epidemic levels; considering the obvious release of business travel in the first quarter of 2023, the momentum in the second quarter is expected In the third quarter, with the support of summer vacation and peak season holiday demand, it further recovered.
In addition, Essence Securities recently pointed out that in terms of penetration rate, my country’s outbound travel penetration rate still has a lot of room for improvement compared with mature markets. At present, my country’s outbound travel penetration rate is still lower than the global level (26.0%), even lower than Mature markets such as the United States (30.2%) and South Korea (56.1%). In terms of city lines, the penetration rate of non-superior first-tier cities in my country is relatively low and is in a stage of rapid improvement, which will become the main growth engine for outbound tourism.
