Ctrip books itself some solid gains
Ctrip.com International, the mainland's leading online travel services provider, expects to gain further market share this year after it recorded solid gains in the quarter to March.
The Shanghai-based firm yesterday reported a 23 per cent rise in first-quarter net profit to 235 million yuan (HK$280.60 million), from 190.4 million yuan a year ago, due to higher package tour revenue from subsidiaries Wing On Travel and ezTravel.
Its net revenue, excluding business tax and related surcharges, rose 30 per cent to 765 million yuan from 587 million yuan in 2010. Chief executive Fan Min said the firm is pursuing more market gains through 'strong strategic partnerships, the adoption of advanced technologies, and innovative value-added products'.
Nasdaq-listed Ctrip.com offers hotel reservations, airline tickets and package tours via an advanced transaction platform.
It forecast 15 to 20 per cent year-on-year revenue growth in the second quarter.
'Ctrip's second-quarter guidance is conservative, given that the domestic travel market started to recover in April and [it] started consolidating Wing On [results] at the end of the second quarter last year,' a Deutsche Bank Equity Research report said.