TravelSky Technology (696) H2 2023 earnings summary

Executive summary

• FY2023 revenue rose 34.0% YoY to RMB6,983.8m; net profit attributable to shareholders increased 123.1% to RMB1,399.0m.

• Operating profit rose 129.4% to RMB1,604.6m, with operating margin expanding to 23.0% from 13.4%.

• System-processed volume reached 689.28m, up 148.72% YoY but 10.04% below 2019.

Financial highlights

• Total revenue was RMB6,983.8m versus RMB5,210.1m in 2022, up 34.0%.

• Net profit attributable to shareholders was RMB1,399.0m versus RMB627.1m, up 123.1%.

• Operating profit was RMB1,604.6m versus RMB699.6m, up 129.4%; basic and diluted EPS was RMB0.48 versus RMB0.21, up 128.6%.

• Final cash dividend was RMB0.16 per share, up 201.9% YoY; stated dividend policy targets annual cash dividends of ~30–40% of parent-company individual after-tax profit.

Outlook and guidance

• 2024 priorities include strengthening aviation safety and network security, improving core-business operations and revenue, and developing emerging businesses.

• Plans include advancing key technology, optimizing business structure and resources, deepening reform and talent incentives, and strengthening compliance risk management.

• Industry recovery and smart-civil-aviation investment support the outlook, while emerging-business growth potential remains to be realized.