Strong sales growth and strategic …

• Net sales: RMB 13.8 billion RMB, an increase of 16% compared to the previous year and an increase of 9% compared to the previous quarter.

• Income from the accommodation reservation: 5.5 billion RMB, an increase of 23% compared to the previous year and an increase of 7% compared to the quarter.

• Transport card income: 5.4 billion RMB, an increase of 8% compared to the previous year and an increase of 13% compared to the quarter.

• Packaged tour income: RMB of 947 million RMB, an increase of 7% compared to the previous year and an increase of 9% compared to the quarter.

• Corporate travel income: 573 million RMB, an increase of 12% compared to the previous year and a decrease of 18% compared to the quarter.

• Adapted EBITDA: 4.2 billion RMB compared to RMB 4 billion in the same period of the previous year.

• Diluted income per advertisement: RMB6.09 or USD0.84 for the first quarter of 2025.

• Non-GAAP-ailration of revenue per advertisement: RMB5.96 or USD0.82 for the first quarter.

• Cash and cash equivalent: RMB 92.9 billion or $ 122.8 billion on March 31, 2025.

• Share buyback: Bought back around 84 million US dollars.

Appearance date: May 20, 2025

You can find the complete copy of the earnings call in the complete earnings call.

• Trip.com Group LTD (NASDAQ: TCOM) recorded an increase in net turnover in the course of 2025 compared to the previous year by 16%, which indicates a strong business dynamics.

• Inbound travel books rose by around 100% compared to the previous year, which is due to cheap visa guidelines and increased worldwide visibility.

• AI-controlled tools such as tripgenia have improved user operation, with the average duration of the user session increasing by 50%.

• The company has successfully expanded its international presence, whereby the entire travel bookings on its international OTA platform rose by over 60% compared to the previous year.

• Trip.com Group LTD (Nasdaq: Tcom) has a strong cash position with cash and cash equivalents of 92.9 billion RMB or $ 16 billion on March 31, 2025.

• The turnover of corporate trips decreased by 18% compared to the quarter, which reflects normal seasonality, but indicates potential volatility in this segment.

• The adjusted product development costs rose by 14%compared to the previous year, which is due to higher personnel costs.

• The company faces challenges from geopolitical tensions and forex volatility that could affect the outgoing travel trends.

• In the second quarter of 2025, the Hotel ADR took back by a high single digit compared to the previous year, which indicates the price pressure in the hotel segment.

• Despite strong performance, the ratio of marketing costs can fluctuate due to seasonality and different market conditions, which affects the total cost efficiency.

Q: Can you share your view of how vertical AI agents are compared with general AI agents within the travel industry? How do you also imagine the future development of these technologies? A: Vertical AI agents are characterized by the provision of property data in real time and the integration of products and services, while general agents offer broader information, but rely on vertical OTAs for bookings. AI is of crucial importance in Trip.com's strategy, with tools such as tripgenia that improve the user remuneration. We want to be the most efficient and reliable one-stop travel service platform. – – Jianzhang Liang, CEO of the board

Q: Could the management deliver a color about your performance during the Labor Day and in the district? A: We saw strong performance during the Labor Day vacation, whereby domestic hotel bookings rose by over 20% and grow cross-border bookings by around 30%. Inbound bookings rose by around 150%compared to the previous year, which was asked for a reliable leisure trip. – – Xiaofan Wang, Chief Financial Officer

Q: Can you share insights into the outgoing travel trend and your expectations for the whole year taking into account the current uncertain environment? A: The cross-border flights from the mainland China recovered to 83-84% of the 2019 level, whereby expectations exceed 90% by the end of 2025. Our outgoing bookings exceed the industry, especially for long -distance goals such as Europe. Forex exchanges create natural protection for our incoming and outgoing operations. – – Xiaofan Wang, Chief Financial Officer

Q: How have the hotel prices trend and how high is the view for the whole year? A: The Hotel ADR fell by a high digit in the second quarter, but stabilized in the second quarter, with prices going back by low single digits during the Labor Day vacation. We assume that the growth of the supplier stabilizes hotel prices with increasing travel needs and normalization of the supplier. – – Xiaofan Wang, Chief Financial Officer

Q: Can you share insights into the consumer mood in the context of the dynamic macro environment and the geopolitical tensions? A: The travel question remains resilient across the markets, with a strong leisure travel question and stable business travel trends. Company users expect their travel budgets to grow or remain unchanged by 2025, which indicates stable demand. – – Jie Sun, Chief Executive Officer

Q: Can you help us understand the current domestic competitive landscape and the effects of the aggressive membership programs of competitors? A: Domestic competition is rationalized and our strong membership program offers competitive pricing and reporting. Our partners can offer tailor -made services, with 80% of the income of existing customers being able to expand our leadership. – – Jie Sun, Chief Executive Officer

Q: Could you give an insight into the performance of the first quarter both surgically and financially? A: Trip.com achieved strong growth, with the bookings increased by over 60% compared to the previous year. APAC remains priority and we are expanding in new markets such as the Middle East. The cost efficiency improves and the marketing -roi meets the requirements. – – Xiaofan Wang, Chief Financial Officer

Q: Could you explain the latest developments in the inbound business and the current sales contribution? A: Inbound Travel is supported by cheap guidelines such as visa -free access for over 40 countries. We offer comprehensive inventory and competition prices, which leads to strong dynamics and three-digit growth in the first quarter. – – Jie Sun, Chief Executive Officer

You can find the complete copy of the earnings call in the complete earnings call.

This article first appeared on Gurufocus.