China Travel International Investment Hong Kong (CTII) is expected to report a sharp fall in interim earnings today as a result of its travel-related business being hit hard by the Sars outbreak.
Analysts forecasts ranged from zero profit growth to a plunge of up to 60 per cent to as low as HK$120 million.
BNP Paribas said the hotel and tour operator's interim earnings should be on the borderline of breakeven against a profit of $320.21 million a year ago.
'The counter has been hit hard by Sars and many of its travel-related businesses could have made losses in the first half of this year,' said BNP Paribas' latest report.
In January to May, Hong Kong's mid-tariff hotels managed an average occupancy rate of 57 per cent.
CTII managing director Shen Zhuying said the company might sink into the red in the first half after substantial losses from its travel operations, which last year contributed 60 per cent of group profits.
Hong Kong-Macau tours had almost ground to a halt, hotel occupancy rates had plunged to as low as 5 per cent and visitor arrivals at its three Shenzhen theme parks had fallen 80 per cent, Mr Shen said.