#Singapore #financial results #travel platform #Trip.com Group

Trip.com Group Limited Reports Fourth Quarter and Full Year 2024 Financial Results

Trip.com Group Limited (Nasdaq: TCOM; HKEX: 9961) has announced a remarkable financial performance for the fourth quarter and full year 2024, signifying robust recovery and growth in the travel sector. As a prominent player providing an extensive range of travel services, including accommodation reservations, transportation ticketing, packaged tours, and corporate travel management, Trip.com has shown extraordinary resilience in a recovering market.

Key Highlights

The company reported a year-over-year increase in various segments, showcasing the revival and growth trajectory post-pandemic. In the fourth quarter alone, international travel bookings rose significantly, surpassing pre-COVID numbers from 2019 by over 120%. Specifically, air ticket and hotel bookings on Trip.com’s international OTA platform soared by over 70% year-over-year, while inbound travel bookings doubled.

Financially, the fourth quarter net revenue reached RMB12.7 billion (approximately USD1.7 billion), demonstrating a 23% growth from the same quarter in 2023. Additionally, net income for the quarter stood at RMB2.2 billion (USD300 million), an increase compared to the RMB1.3 billion achieved in 2023. Adjusted EBITDA also improved, reflecting solid operational management and a focus on enhancing customer experiences.

James Liang, Executive Chairman of Trip.com Group, highlighted the resilience of the travel market, emphasizing the growing interest among travelers for cultural exploration and unique experiences. He attributed the company’s success to strategic investments in artificial intelligence and a concerted effort to promote inbound travel.

Financial Trends

Revenue for the full year of 2024 was RMB53.3 billion (USD7.3 billion), marking a 20% increase from 2023. Accommodation reservation revenue particularly stood out, with a fourth-quarter total of RMB5.2 billion (USD709 million), a sharp 33% increase reflecting a rebound in travel demand.

The transportation ticketing segment also reported a notable increase, with fourth-quarter revenue of RMB4.8 billion (USD655 million), illustrating 16% year-over-year growth. Meanwhile, packaged-tour revenue climbed to RMB870 million (USD119 million) in the fourth quarter, driven by a growing trend in travel experiences.

Trip.com Group also reported that corporate travel revenue grew to RMB702 million (USD96 million) in the fourth quarter, showcasing the sector's potential for continued expansion as businesses resume travel plans.

Strategic Investments and Future Outlook

Looking ahead, Trip.com is committed to leveraging technology to enhance services and support global travel recovery. The management underscored their focus on cultivating partnerships that provide mutual benefits, aiming for a sustained positive impact on both customer satisfaction and economic growth.

Trip.com Group has also approved a new capital return policy for 2025, including a share repurchase program and a cash dividend of approximately USD200 million. This demonstrates the company's dedication to delivering value to shareholders while continuing to invest in growth initiatives.