CTG DUTY-FREE(601888) 搜狐财经·2025-04-01 00:34Core Viewpoint - China Duty Free Group Co., Ltd. reported a decline in both revenue and net profit for 2024, indicating challenges in the duty-free industry amid a slow global economic recovery and increased competition [1][2]. Financial Performance - The company achieved operating revenue of 56.474 billion yuan, a year-on-year decrease of 16.38% [1]. - The net profit attributable to shareholders was 4.267 billion yuan, down 36.44% year-on-year [1]. Market Challenges - The decline in revenue and profit is attributed to a complex set of factors, including a sluggish global economic recovery and cautious consumer spending on non-essential goods [2]. - Increased competition in the duty-free sector, with new license holders entering the market and overseas duty-free markets vying for customers, has impacted the company's market share [2]. - Some stores experienced lower foot traffic due to fluctuations in the tourism market, and the rise of online channels has diverted sales from physical stores [2]. - In Hainan, the company's revenue was 28.892 billion yuan, accounting for approximately 51.16% of total revenue, which represents a year-on-year decline of 7.55 percentage points [2]. Future Opportunities - There is potential for growth if the government relaxes duty-free policies, such as increasing duty-free limits and expanding product categories, which could stimulate consumer spending [3]. - The recovery of the global tourism market is expected to significantly increase both outbound and inbound travel, benefiting airport duty-free stores [3]. - Digital transformation is a key focus area, with plans to enhance online shopping experiences and marketing strategies to tap into online consumer potential [3]. - Strengthening partnerships with brand owners to introduce exclusive and popular brands can enhance consumer appeal and drive revenue growth [3]. - The company is accelerating its global business expansion, having opened 8 new duty-free stores in international hubs like Singapore Changi and Dubai International Airport, and experience stores in key shopping districts [3]. - International business revenue grew by 37% during the reporting period, increasing its share of total revenue to 28% [3].