Investment Rating - The investment rating for the company is "Buy" [12] - The rating is maintained as "Increase" [12] Core Views - In Q1 2024, the company's OTA business revenue maintained good growth, with total revenue reaching 3.87 billion yuan, a year-on-year increase of 49.5% [4] - The adjusted net profit for Q1 2024 was 560 million yuan, reflecting a year-on-year growth of 10.9% [4] - The OTA platform revenue was 3.21 billion yuan, up 23.9% year-on-year, indicating ongoing penetration in the domestic lower-tier markets [4] - The company's profitability declined year-on-year, primarily due to its gradual entry into the overseas investment cycle since the second half of last year [4] - The international business is expanding rapidly, with international ticket volume increasing by over 260% year-on-year and international hotel night volume growing by over 150% [4][5] Financial Performance Summary - For Q1 2024, the company achieved a revenue of 3.87 billion yuan, with a net profit of 400 million yuan [4] - The company's traffic and accommodation business revenues were 1.74 billion yuan and 960 million yuan, respectively, representing year-on-year growth of 25.6% and 15.6% [4] - The company’s other income segments, including advertising and hotel management, grew by 36% to 500 million yuan in Q1 2024 [4] - The number of registered users from non-first-tier cities accounted for approximately 87% of total registered users by the end of Q1 2024 [5] User Monetization and Engagement - The number of annual paying users increased by 14.3% to 229 million in Q1 2024 [5] - The average revenue per user (ARPU) improved, with users making an average of 8 purchases per year, significantly higher than 5 purchases in the same period of 2019 [5] - The company's app daily active users reached 2 million, with a year-on-year increase of 100% [5] Future Outlook - The company is expected to benefit from the online penetration in lower-tier markets and the recovery of outbound tourism trends [4][6] - Despite the current flat pricing in the hotel industry, the performance of mid-to-low star hotels shows resilience, contributing to revenue growth [6] - The company is actively expanding its international market presence and increasing domestic app marketing investments, which may impact profit margins throughout the year [6]
同程旅行：下沉市场变现能力强化，出境游投放加码