Financial Performance - Revenue for the six months ended June 30, 2023, reached RMB 8,898.8 million, a 38.7% increase from RMB 6,416.5 million for the same period in 2022[6]. - Gross profit increased to RMB 3,076.6 million, up from RMB 1,893.1 million, reflecting a significant recovery in demand post-pandemic[6]. - Adjusted EBITDA rose to RMB 2,299.7 million, compared to RMB 1,195.1 million in the prior year, indicating a strong operational performance[6]. - Profit attributable to shareholders was RMB 471.8 million, a turnaround from a loss of RMB 196.6 million in the same period last year[6]. - The adjusted net profit for the period was RMB 513.2 million, compared to a loss of RMB 193.8 million in the previous year[6]. - In the first half of 2023, Club Med recorded revenue of RMB 7,938.8 million, a 32.2% increase compared to the same period in 2022, and reaching 119.6% of the revenue from the same period in 2019[13]. - The total sales for the tourism operations increased by 29.0% year-on-year, from RMB 7,352.3 million to RMB 9,488.0 million[8]. - The company recorded a profit attributable to equity holders of RMB 471.8 million for the first half of 2023, compared to a loss of RMB 196.6 million in the same period of 2022[75]. - The company reported a profit of RMB 490,332 thousand for the six months ended June 30, 2023, compared to a loss of RMB 208,444 thousand in the same period of 2022, marking a significant turnaround[122]. Business Strategy and Restructuring - The company restructured its business segments into four main areas: Club Med and others, Sanya Atlantis, Resort Asset Management Center, and Re-Travel and related businesses[8]. - The company strategically exited from certain non-core businesses, including the sale of Casa Cook and Cook's Club brands to optimize its business portfolio[8]. - The company aims to focus resources on its core business development following the restructuring of its operations[8]. - The company plans to continue focusing on high-quality domestic and international travel products in the second half of 2023, enhancing the overall travel experience for members[71]. - The company plans to renovate and expand the Les Boucaniers resort in the French West Indies in 2023 and 2024 to enhance facilities and customer satisfaction[28]. - The company plans to open 4 new resorts in the second half of 2023, including two in Taicang and Nanjing, China, and two in Japan and France[35]. - The company plans to open 17 new resorts or spaces from early 2023 to the end of 2025[35]. - The company has initiated the deployment of AI use cases in 2023, following the establishment of a data factory in 2022, with plans to release AI-generated content use cases in the second half of the year[32]. Market Performance - Revenue from the Americas increased by 35.4% compared to 2022 and by 64.6% compared to 2019, driven by strong recovery in the North American market[23]. - The Asia-Pacific region saw a revenue increase of 247.0% compared to 2022, although it was only 92.7% of the revenue from the same period in 2019[23]. - France remained the largest market, contributing RMB 2,713.9 million in revenue, accounting for 34.2% of global revenue, with growth of 11.2% and 9.3% compared to 2022 and 2019, respectively[29]. - The average occupancy rate for Club Med globally was approximately 62.4%, an increase of 3.3 percentage points from 2022, but a decrease of 2.7 percentage points compared to 2019[13]. - The occupancy rate in the Americas and Europe, Middle East, and Africa improved significantly, with revenue growth of 64.6% and 12.7% respectively compared to 2019[13]. Operational Metrics - The number of customers in the first half of 2023 reached 766, an increase from 597 in 2022 and 750 in 2019[18]. - The capacity of resorts increased by 13.4% compared to 2022, reaching 6,168.6 thousand beds, which is 99.2% of the capacity in 2019[13]. - The average daily rate for beds was RMB 1,753.3, a 10.6% increase compared to 2022 and a 32.2% increase compared to 2019[19]. - The average daily room rate was RMB 2,408.3 with an occupancy rate of 86.2%, up 40.1 percentage points from the previous year[48]. - The average occupancy rate for Club Med Lijiang Resort reached 35.7% in the first half of 2023, compared to 14.0% in the same period of 2022[65]. Financial Position and Cash Flow - As of June 30, 2023, liquidity was RMB 1,586.8 million[34]. - In the first half of 2023, free cash flow was RMB 771.1 million, a decrease of 23.5% compared to the same period in 2022, and down 24.8% from 2019[26]. - The company reported a net cash flow from operating activities of RMB 1,651.5 million, an increase from RMB 1,030.4 million in 2022, reflecting a growth of approximately 60%[103]. - The company’s total cash and bank balances at the end of the period were RMB 3,302.4 million, slightly down from RMB 3,449.2 million at the end of 2022[102]. - The net cash flow used in investing activities was RMB 251.3 million, primarily due to capital expenditures of RMB 674.1 million for the development of the Taicang Alps International Resort[104]. Capital Expenditures and Investments - Capital expenditures for resort operations in the first half of 2023 were approximately RMB 330.7 million, an increase of about 30.5% compared to 2022 and up 7.0% from 2019[32]. - The company added RMB 672,232,000 in property, plant, and equipment during the first half of 2023, compared to RMB 360,711,000 in the same period of 2022, showing increased capital expenditure[158]. - The total cost incurred for the Taicang Alps International Resort was approximately RMB 6,086.5 million, primarily for land acquisition and construction costs[60]. - The Taicang Alps International Resort project has a total construction area of approximately 1,286,000 square meters, with an estimated development cost of RMB 13.2 billion[59]. Customer Engagement and Experience - The immersive marine-themed performance "C Show" saw a 75.6% increase in audience numbers and a 110.3% increase in ticket revenue in the first half of 2023[53]. - The launch of the "Pink Night" water show in July 2023 aimed to enhance the family-friendly experience and attract a broader audience[48]. - The company is focused on enhancing guest experiences through high-quality dining services and entertainment spaces at its resorts[44]. - The company reported a significant increase in user data and engagement metrics across its resorts, indicating a positive trend in customer interest and satisfaction[39]. Sustainability and Community Engagement - The company emphasizes sustainability and community engagement in its operational strategies across various locations[39]. - The company has a diverse portfolio of resorts, including 909 beds at Pragelato in Italy and 1,285 beds at Cancun Yucatan in Mexico, showcasing a mix of mountain and beach destinations[37]. - The company has expanded its presence in Asia with resorts like Bali and Club Med Joyview in China, emphasizing year-round operations[38]. Financial Management and Risk - The company maintains a robust capital management strategy aimed at ensuring operational sustainability and enhancing shareholder value, with no changes to its capital management policies during the reporting period[115]. - The company has implemented hedging measures to manage foreign exchange rate fluctuations and interest rate risks associated with floating-rate long-term debt[116]. - The company utilized forward currency contracts and currency swaps to hedge against foreign exchange risks, with effective hedging strategies in place as of June 30, 2023[111]. - The company continues to monitor liquidity needs and maintain sufficient cash reserves to meet short-term and long-term funding requirements[114].
复星旅游文化(01992) - 2023 - 中期财报