Trip.com Group (TCOM) Q4 2024 earnings summary

Executive summary

• Net revenue in Q4 2024 grew 23% year-over-year, with full-year net revenue up 20%, driven by strong travel demand and robust recovery in both domestic and international markets.

• Outbound hotel and air ticket bookings exceeded 120% of 2019 levels, and inbound bookings more than doubled year-over-year.

• AI innovation and digital tools, such as TripGenie, saw significant user engagement increases, supporting personalized travel experiences.

• Strategic focus on expanding international presence, serving diverse traveler segments, and sustainability initiatives.

• Management highlighted ongoing investments in AI and inbound travel, with a positive outlook for continued industry growth.

Financial highlights

• Q4 2024 net revenue: RMB 12.7 billion (US$1.7B), up 23% year-over-year, down 20% sequentially; full-year net revenue: RMB 53.3 billion (US$7.3B), up 20% year-over-year.

• Q4 net income: RMB 2.2 billion (US$300M), up from RMB 1.3 billion in Q4 2023; full-year net income: RMB 17.2 billion (US$2.4B), up from RMB 10.0 billion in 2023.

• Q4 adjusted EBITDA: RMB 3.0 billion (US$408M); full-year adjusted EBITDA: RMB 17.1 billion, up 22% year-over-year.

• Q4 accommodation reservation revenue: RMB 5.2 billion (US$709M), up 33% year-over-year; full-year: RMB 21.6 billion, up 25% year-over-year.

• Q4 transportation ticketing revenue: RMB 4.8 billion (US$655M), up 16% year-over-year; full-year: RMB 20.3 billion, up 10% year-over-year.

Outlook and guidance

• Expectation of continued strong travel demand in 2025, with international flight capacity projected to recover to over 90% of pre-pandemic levels.

• Ongoing investments in technology, AI, and global expansion to drive growth, especially in APAC and inbound travel.

• Hotel prices are gradually normalizing and expected to stabilize as demand and supply balance.

• Management anticipates another year of growth, citing strong travel demand and continued investment in innovation.