Trip.com Group Limited Reports Unaudited First Quarter of 2025 Financial Results

Rhea-AI Summary

Trip.com Group (TCOM) reported strong Q1 2025 financial results with net revenue of RMB13.8 billion (US$1.9 billion), up 16% year-over-year. The company's international business showed robust growth, with overall international OTA platform reservations increasing over 60% YoY and inbound travel bookings surging 100% YoY. Outbound bookings exceeded 120% of pre-COVID levels. Key segment revenues include: accommodation (RMB5.5B, +23% YoY), transportation (RMB5.4B, +8% YoY), packaged tours (RMB947M, +7% YoY), and corporate travel (RMB573M, +12% YoY). Net income remained stable at RMB4.3 billion (US$596 million). The company continued its shareholder value commitment through share repurchases, buying back 1.6 million ADSs for US$84 million.

Positive

• Net revenue increased 16% YoY to RMB13.8 billion (US$1.9 billion)
• International OTA platform reservations grew over 60% YoY
• Inbound travel bookings increased by 100% YoY
• Outbound bookings exceeded 120% of pre-COVID levels
• Strong accommodation revenue growth of 23% YoY
• Maintained stable net income of RMB4.3 billion
• Active share repurchase program with US$84 million in buybacks

Negative

• Operating expenses increased significantly: Sales and marketing up 30% YoY
• Cost of revenue rose 21% YoY, outpacing revenue growth
• Corporate travel revenue decreased 18% quarter-over-quarter
• Product development expenses increased 13% YoY

Insights

Financial Analyst

Trip.com's Q1 shows robust 16% YoY revenue growth with international bookings surging 60% and strong profitability maintained.

Trip.com Group delivered a solid Q1 2025 performance with total revenue reaching RMB13.8 billion (US$1.9 billion), representing a 16% year-over-year increase. The growth was broad-based across all business segments, with accommodation reservation revenue showing the strongest performance at 23% year-over-year growth to RMB5.5 billion.

The company's international expansion strategy appears to be paying dividends, with international reservations increasing by over 60% year-over-year. Notably, inbound travel bookings doubled compared to the same period last year, while outbound hotel and air ticket bookings have now exceeded pre-pandemic levels by over 20% compared to Q1 2019.

From a profitability perspective, Trip.com Group maintained strong earnings with net income of RMB4.3 billion (US$596 million), flat year-over-year but nearly doubling sequentially from RMB2.2 billion in Q4 2024. The company's adjusted EBITDA increased to RMB4.2 billion (US$586 million), up from RMB4.0 billion a year ago, demonstrating solid operating leverage.

Operating expenses showed disciplined growth overall but with some pressure points. Sales and marketing expenses increased 30% year-over-year to RMB3.0 billion, outpacing revenue growth and now representing 22% of net revenue. Product development expenses grew at a more moderate 13%, in line with overall revenue growth.

The balance sheet remains extremely strong with RMB92.9 billion (US$12.8 billion) in cash and cash equivalents, restricted cash, short-term investments, and held-to-maturity financial products. This robust cash position provides significant flexibility for both organic and inorganic growth opportunities while supporting the company's ongoing share repurchase program, which bought back US$84 million worth of ADSs through mid-May 2025.

SINGAPORE, May 19, 2025 /PRNewswire/ -- Trip.com Group Limited (Nasdaq: TCOM; HKEX: 9961) ("Trip.com Group" or the "Company"), a leading global one-stop travel service provider of accommodation reservation, transportation ticketing, packaged tours, and corporate travel management, today announced its unaudited financial results for the first quarter of 2025.

Key Highlights for the First Quarter of 2025

• International businesses continued to demonstrate robust growth across all segments in the first quarter of 2025
  - Overall reservations on the Company's international OTA platform increased by over 60% year-over-year.
  - Inbound travel bookings surged by around 100% year-over-year.
  - Outbound hotel and air ticket bookings have grown to more than 120% of the pre-COVID level for the same period in 2019.

"The travel industry maintained strong momentum in the first quarter of 2025, supported by resilient consumer demand and favorable travel policies," said James Liang, Executive Chairman. "With our diversified market presence, we are well positioned to navigate global economic uncertainties and capture growth opportunities."

"We are pleased to see a strong start to 2025," said Jane Sun, Chief Executive Officer. "As travel becomes an increasingly integral part of everyday life, we remain committed to meeting the evolving needs of travelers through innovative, localized, and customer-centric solutions. This positions us well to sustain growth momentum and deliver lasting value to our customers, partners, and shareholders."

First Quarter of 2025 Financial Results and Business Updates

For the first quarter of 2025, Trip.com Group reported net revenue of RMB13.8 billion (US$1.9 billion), representing a 16% increase from the same period in 2024, primarily driven by stronger travel demand. Net revenue for the first quarter of 2025 increased by 9% from the previous quarter, primarily due to seasonality.

Accommodation reservation revenue for the first quarter of 2025 was RMB5.5 billion (US$764 million), representing a 23% increase from the same period in 2024, primarily driven by an increase in accommodation reservations. Accommodation reservation revenue for the first quarter of 2025 increased by 7% from the previous quarter, primarily due to seasonality.

Transportation ticketing revenue for the first quarter of 2025 was RMB5.4 billion (US$747 million), representing an 8% increase from the same period in 2024, primarily driven by an increase in transportation reservations. Transportation ticketing revenue for the first quarter of 2025 increased by 13% from the previous quarter, primarily due to seasonality.

Packaged-tour revenue for the first quarter of 2025 was RMB947 million (US$131 million), representing a 7% increase from the same period in 2024, primarily driven by an increase in packaged-tour reservations. Packaged-tour revenue for the first quarter of 2025 increased by 9% from the previous quarter, primarily due to seasonality.

Corporate travel revenue for the first quarter of 2025 was RMB573 million (US$79 million), representing a 12% increase from the same period in 2024, primarily driven by an increase in corporate travel reservations. Corporate travel revenue for the first quarter of 2025 decreased by 18% from the previous quarter, primarily due to seasonality.

Cost of revenue for the first quarter of 2025 increased by 21% to RMB2.7 billion (US$373 million) from the same period in 2024 and increased by 2% from the previous quarter, which was generally in line with the fluctuations in net revenue from the respective periods. Cost of revenue as a percentage of net revenue was 20% for the first quarter of 2025.

Product development expenses for the first quarter of 2025 increased by 13% to RMB3.5 billion (US$486 million) from the same period in 2024 and increased by 4% from the previous quarter, primarily due to the increase in product development personnel related expenses. Product development expenses as a percentage of net revenue were 25% for the first quarter of 2025.

Sales and marketing expenses for the first quarter of 2025 increased by 30% to RMB3.0 billion (US$413 million) from the same period in 2024 and decreased by 11% from the previous quarter, primarily due to the fluctuations in expenses relating to sales and marketing promotion activities. Sales and marketing expenses as a percentage of net revenue were 22% for the first quarter of 2025.

General and administrative expenses for the first quarter of 2025 increased by 11% to RMB1.0 billion (US$143 million) from the same period in 2024, primarily due to an increase in general and administrative personnel related expenses. General and administrative expenses for the first quarter of 2025 was flat compared to the previous quarter. General and administrative expenses as a percentage of net revenue were 8% for the first quarter of 2025.

Income tax expense for the first quarter of 2025 was RMB638 million (US$88 million), compared to RMB664 million for the same period in 2024 and RMB526 million for the previous quarter. The change in Trip.com Group's effective tax rate was primarily due to the combined impacts of changes in respective profitability of its subsidiaries with different tax rates, changes in deferred tax liabilities relating to withholding tax, certain non-taxable income or loss resulting from the fair value changes in equity securities investments and exchangeable senior notes recorded in other income/(expense), and changes in valuation allowance provided for deferred tax assets.

Net income for the first quarter of 2025 was RMB4.3 billion (US$596 million), compared to RMB4.3 billion for the same period in 2024 and RMB2.2 billion for the previous quarter. Adjusted EBITDA for the first quarter of 2025 was RMB4.2 billion (US$586 million), compared to RMB4.0 billion for the same period in 2024 and RMB3.0 billion for the previous quarter.

Net income attributable to Trip.com Group's shareholders for the first quarter of 2025 was RMB4.3 billion (US$591 million), compared to RMB4.3 billion for the same period in 2024 and RMB2.2 billion for the previous quarter. Excluding share-based compensation charges, fair value changes of equity securities investments and exchangeable senior notes recorded in other income/(expense), and their tax effects, non-GAAP net income attributable to Trip.com Group's shareholders for the first quarter of 2025 was RMB4.2 billion (US$579 million), compared to RMB4.1 billion for the same period in 2024 and RMB3.0 billion for the previous quarter.

Diluted earnings per ordinary share and per ADS was RMB6.09 (US$0.84) for the first quarter of 2025. Excluding share-based compensation charges, fair value changes of equity securities investments and exchangeable senior notes recorded in other income/(expense), and their tax effects, non-GAAP diluted earnings per ordinary share and per ADS was RMB5.96 (US$0.82) for the first quarter of 2025. Each ADS currently represents one ordinary share of the Company.

As of March 31, 2025, the balance of cash and cash equivalents, restricted cash, short-term investment, and held to maturity time deposit and financial products was RMB92.9 billion (US$12.8 billion).

Recent Development

As part of the Company's ongoing commitment to delivering value to its shareholders and ADS holders and in line with its regular capital return policy, as of May 16, 2025, U.S. Eastern Time, the Company had repurchased 1.6 million ADSs in aggregate with a total gross consideration of US$84 million pursuant to its existing share repurchase plan.

Conference Call 

Trip.com Group's management team will host a conference call at 8:00 PM on May 19, 2025, U.S. Eastern Time (or 8:00 AM on May 20, 2025, Hong Kong Time) following this announcement.

The conference call will be available live on Webcast and for replay at: https://investors.trip.com. The call will be archived for twelve months on our website.

All participants must pre-register to join this conference call using the Participant Registration link below:
https://register-conf.media-server.com/register/BI6db246c54bbe4fc1aebb10f5ad6be21c. 

Upon registration, each participant will receive details for this conference call, including dial-in numbers and a unique access PIN. To join the conference, please dial the number provided, enter your PIN, and you will join the conference instantly.

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "may," "will," "expect," "anticipate," "future," "intend," "plan," "believe," "estimate," "is/are likely to," "confident," or other similar statements. Among other things, quotations from management in this press release, as well as Trip.com Group's strategic and operational plans, contain forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, severe or prolonged downturn in the global or Chinese economy, general declines or disruptions in the travel industry, volatility in the trading price of Trip.com Group's ADSs or shares, Trip.com Group's reliance on its relationships and contractual arrangements with travel suppliers and strategic alliances, failure to compete against new and existing competitors, failure to successfully manage current growth and potential future growth, risks associated with any strategic investments or acquisitions, seasonality in the travel industry in the relevant jurisdictions where Trip.com Group operates, failure to successfully develop Trip.com Group's existing or future business lines, damage to or failure of Trip.com Group's infrastructure and technology, loss of services of Trip.com Group's key executives, adverse changes in economic and business conditions in the relevant jurisdictions where Trip.com Group operates, any regulatory developments in laws, regulations, rules, policies or guidelines applicable to Trip.com Group and other risks outlined in Trip.com Group's filings with the U.S. Securities and Exchange Commission or the Stock Exchange of Hong Kong Limited. All information provided in this press release and in the attachments is as of the date of the issuance, and Trip.com Group does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

About Non-GAAP Financial Measures

To supplement Trip.com Group's consolidated financial statements, which are prepared and presented in accordance with United States Generally Accepted Accounting Principles ("GAAP"), Trip.com Group uses non-GAAP financial information related to adjusted net income attributable to Trip.com Group Limited, adjusted EBITDA, adjusted EBITDA margin, and adjusted diluted earnings per ordinary share and per ADS, each of which is adjusted from the most comparable GAAP result to exclude the share-based compensation charges that are not tax deductible, fair value changes of equity securities investments and exchangeable senior notes recorded in other income/(expense), net of tax, and other applicable items. Trip.com Group's management believes the non-GAAP financial measures facilitate better understanding of operating results from quarter to quarter and provide management with a better capability to plan and forecast future periods.

Non-GAAP information is not prepared in accordance with GAAP, does not have a standardized meaning under GAAP, and may be different from non-GAAP methods of accounting and reporting used by other companies. The presentation of this additional information should not be considered a substitute for GAAP results. A limitation of using non-GAAP financial measures is that non-GAAP measures exclude share-based compensation charges, fair value changes of equity securities investments and exchangeable senior notes recorded in other income/(expense), and their tax effects that have been and will continue to be significant recurring expenses in Trip.com Group's business for the foreseeable future.

Reconciliations of Trip.com Group's non-GAAP financial data to the most comparable GAAP data included in the consolidated statement of operations are included at the end of this press release.

About Trip.com Group Limited

Trip.com Group Limited (Nasdaq: TCOM; HKEX: 9961) is a leading global one-stop travel platform, integrating a comprehensive suite of travel products and services and differentiated travel content. It is the go-to destination for many travelers in Asia, and increasingly for travelers around the world, to explore travel, get inspired, make informed and cost-effective travel bookings, enjoy hassle-free on-the-go support, and share travel experience. Founded in 1999 and listed on Nasdaq in 2003 and HKEX in 2021, the Company currently operates under a portfolio of brands, including Ctrip, Qunar, Trip.com, and Skyscanner, with the mission "to pursue the perfect trip for a better world."

For further information, please contact:

Investor Relations
Trip.com Group Limited
Tel: +86 (21) 3406-4880 X 12229
Email: iremail@trip.com

Trip.com Group Limited
Unaudited Consolidated Balance Sheets
(In millions, except share and per share data)
		December 31, 2024		March 31, 2025		March 31, 2025
		RMB (million)		RMB (million)		USD (million)
ASSETS
Current assets:
Cash, cash equivalents and restricted cash		51,093		56,360		7,767
Short-term investments		28,475		21,739		2,996
Accounts receivable, net		12,459		13,357		1,841
Prepayments and other current assets		20,093		20,832		2,871
Total current assets		112,120		112,288		15,475
Property, equipment and software		5,053		5,090		701
Intangible assets and land use rights		12,840		12,809		1,765
Right-of-use asset		755		722		99
Investments (Includes held to maturity time deposit and financial products of RMB10,453 million and RMB14,841 million as of December 31,2024 and March 31, 2025, respectively)		47,194		51,825		7,142
Goodwill		60,911		61,146		8,426
Other long-term assets		454		470		65
Deferred tax asset		3,254		3,412		470
Total assets		242,581		247,762		34,143
LIABILITIES
Current liabilities:
Short-term debt and current portion of long-term debt		19,433		22,577		3,111
Accounts payable		16,578		16,979		2,340
Advances from customers		18,029		17,361		2,392
Other current liabilities		19,970		19,860		2,737
Total current liabilities		74,010		76,777		10,580
Deferred tax liability		4,098		3,494		481
Long-term debt		20,134		19,656		2,709
Long-term lease liability		561		522		72
Other long-term liabilities		296		327		45
Total liabilities		99,099		100,776		13,887
MEZZANINE EQUITY		743		833		115
SHAREHOLDERS' EQUITY
Total Trip.com Group Limited shareholders' equity		141,807		145,153		20,003
Non-controlling interests		932		1,000		138
Total shareholders' equity		142,739		146,153		20,141
Total liabilities, mezzanine equity and shareholders' equity		242,581		247,762		34,143

 

 

Trip.com Group Limited
Unaudited Consolidated Statements of Income
(In millions, except share and per share data)
		Quarter ended		Quarter ended		Quarter ended		Quarter ended
		March 31, 2024		December 31, 2024		March 31, 2025		March 31, 2025
		RMB (million)		RMB (million)		RMB (million)		USD (million)
Revenue:
Accommodation reservation		4,496		5,178		5,541		764
Transportation ticketing		5,000		4,780		5,418		747
Packaged-tour		883		870		947		131
Corporate travel		511		702		573		79
Others		1,031		1,238		1,371		189
Total revenue		11,921		12,768		13,850		1,910
Less: Sales tax and surcharges		(16)		(24)		(20)		(3)
Net revenue		11,905		12,744		13,830		1,907
Cost of revenue		(2,238)		(2,640)		(2,705)		(373)
Gross profit		9,667		10,104		11,125		1,534
Operating expenses:
Product development *		(3,109)		(3,397)		(3,525)		(486)
Sales and marketing *		(2,312)		(3,373)		(2,999)		(413)
General and administrative *		(931)		(1,033)		(1,038)		(143)
Total operating expenses		(6,352)		(7,803)		(7,562)		(1,042)
Income from operations		3,315		2,301		3,563		492
Interest income		592		517		640		88
Interest expense		(499)		(323)		(286)		(39)
Other income/(expense)		759		(137)		1,137		157
Income before income tax expense and equity in income/(loss) of affiliates		4,167		2,358		5,054		698
Income tax expense		(664)		(526)		(638)		(88)
Equity in income/(loss) of affiliates		822		359		(102)		(14)
Net income		4,325		2,191		4,314		596
Net income attributable to non- controlling interests and mezzanine classified non-controlling interests		(13)		(34)		(37)		(5)
Net income attributable to Trip.com Group Limited		4,312		2,157		4,277		591
Earnings per ordinary share
- Basic		6.62		3.28		6.48		0.89
- Diluted		6.38		3.09		6.09		0.84
Earnings per ADS
- Basic		6.62		3.28		6.48		0.89
- Diluted		6.38		3.09		6.09		0.84
Weighted average ordinary shares outstanding
- Basic		651,349,707		656,190,044		660,203,576		660,203,576
- Diluted		675,933,592		698,171,269		702,144,923		702,144,923
* Share-based compensation included in Operating expenses above is as follows:
Product development		214		219		220		30
Sales and marketing		38		40		41		6
General and administrative		198		200		219		30

 

 

Trip.com Group Limited
Unaudited Reconciliation of GAAP and Non-GAAP Results
(In millions, except %, share and per share data)
		Quarter ended		Quarter ended		Quarter ended		Quarter ended
		March 31, 2024		December 31, 2024		March 31, 2025		March 31, 2025
		RMB (million)		RMB (million)		RMB (million)		USD (million)
Net income		4,325		2,191		4,314		596
Less: Interest income		(592)		(517)		(640)		(88)
Add: Interest expense		499		323		286		39
Add: Other (income)/expense		(759)		137		(1,137)		(157)
Add: Income tax expense		664		526		638		88
Less: Equity in (income)/loss of affiliates		(822)		(359)		102		14
Income from operations		3,315		2,301		3,563		492
Add: Share-based compensation		450		459		480		66
Add: Depreciation and amortization		209		220		204		28
Adjusted EBITDA		3,974		2,980		4,247		586
Adjusted EBITDA margin		33 %		23 %		31 %		31 %
Net income attributable to Trip.com Group Limited		4,312		2,157		4,277		591
Add: Share-based compensation		450		459		480		66
Add: (Gain)/loss from fair value changes of equity securities investments and exchangeable senior notes		(679)		438		(526)		(72)
Add: Tax effects on fair value changes of equity securities investments and exchangeable senior notes		(28)		(16)		(43)		(6)
Non-GAAP net income attributable to Trip.com Group Limited		4,055		3,038		4,188		579
Weighted average ordinary shares outstanding-  Diluted-non GAAP		675,933,592		698,171,269		702,144,923		702,144,923
Non-GAAP Diluted income per share		6.00		4.35		5.96		0.82
Non-GAAP Diluted income per ADS		6.00		4.35		5.96		0.82
Notes for all the condensed consolidated financial schedules presented:
Note 1: The conversion of Renminbi (RMB) into U.S. dollars (USD) is based on the certified exchange rate of USD1.00=RMB7.2567 on March 31, 2025 published by the Federal Reserve Board.

 

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SOURCE Trip.com Group Limited

FAQ

What was Trip.com Group's (TCOM) revenue in Q1 2025?

Trip.com Group reported net revenue of RMB13.8 billion (US$1.9 billion) in Q1 2025, representing a 16% increase year-over-year.

How much did TCOM's international bookings grow in Q1 2025?

Trip.com Group's international OTA platform reservations increased by over 60% year-over-year, with inbound travel bookings surging by around 100%.

What was Trip.com Group's net income for Q1 2025?

Trip.com Group reported a net income of RMB4.3 billion (US$596 million) in Q1 2025, remaining stable compared to the same period in 2024.

How many shares did TCOM repurchase in their buyback program?

As of May 16, 2025, Trip.com Group had repurchased 1.6 million ADSs with a total gross consideration of US$84 million.

What was Trip.com's accommodation reservation revenue in Q1 2025?

Accommodation reservation revenue was RMB5.5 billion (US$764 million), representing a 23% increase from the same period in 2024.