Chinese Tourism Firms Say Bye to Losses in First Half Due to Domestic Travel Boom
Le Yan | Wei Yaqi
DATE:  Aug 24 2023
/ SOURCE:  Yicai
Chinese Tourism Firms Say Bye to Losses in First Half Due to Domestic Travel Boom Chinese Tourism Firms Say Bye to Losses in First Half Due to Domestic Travel Boom

(Yicai) Aug. 24 -- Several Chinese tourism companies returned to profitability in the first half as people started making more domestic trips in the first six months of this year despite a more modest addition to outbound trips.

The group of newly successful money makers includes operators of scenic spots and travel agencies, Yicai learned by perusing interim earnings reports.

Tibet Tourism, which runs several attractions in the Tibet Autonomous Region, more than doubled its net profit to CNY3 million (USD408,100) while revenue grew over twofold to CNY90.7 million (USD12.5 million) in the first half from a year ago, the company revealed.

Meanwhile, Lijiang Yulong Tourism, a cablecar and retail company in the popular tourism destination of Lijiang in Yunnan province, more than quadrupled its net profit to CNY120 million (USD16.5 million). Its revenue surged almost five times to CNY390 million.

Moreover, Jiuhua Tourism, a mountain travel company in Anhui province, became profitable again in the first half and earned over three times more in revenue at CNY380 million.

Online travel agencies have welcomed consumers’ reawakened interest in traveling domestically even though tourists are less excited about going abroad. Tuniu, a flight and hotel booking platform, recorded its first net profit since the Covid-19 pandemic in the second quarter, it said. The sum was CNY221,000 (USD30,365) while revenue almost tripled to CNY100 million.

People are starting to travel again as the number of domestic trips surged by almost 64 percent to exceed 2.4 billion in the first half from a year ago, according to data released by the Ministry of Culture and Tourism. Tourism revenue rose by 96 percent to CNY2.3 trillion (USD316 billion).

Editor: Emmi Laine

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Keywords:   tourism