TravelSky presented the unaudited interim results for the six months ended June 30, 2017, on August 25. The total revenue amounted to RMB 3,123.5 million, up 14.3%. The profit before tax declined by 19.8% to RMB 1,433.2 million, EBITDA decreased by 15.6% to RMB 1,633.1 million, and the profit attributable to equity holders was RMB 1,189.9 million, down 20.1%.
The decrease in profit was mainly attributable to the fact that it had RMB 500 million of government subsidies in the corresponding period of last year and eliminating the factor of subsidy, the profit before tax for the first half of 2017 increased by 11.3%.
The revenue generated by aviation information technology, accounting, settlement and clearing, system integration and data network and other services accounted for 60.8%, 8.7%, 7.4%, and 23.1% of the total revenue in H1 2017.
Aviation Information Technology Service
The main sources of the revenue were distribution information technology service provided to agencies, travel distribution service provided to travel product providers like hotels and air freight logistics information technology service provided to commercial airlines, airports and cargo shippers, as well as airport information technology service and other business etc. provided. The increase in revenue resulted primarily from the increase in revenue from other information technology services.
The Electronic Travel Distribution (ETD) system (including Inventory Control System (“ICS”) services and Computer Reservation System (“CRS”) services) has processed approximately 280.9 million flight bookings on domestic and overseas commercial airlines, an increase of approximately 11.9%. Among which, the processed flight bookings on commercial airlines in China increased by approximately 12.2%, while those on foreign and regional commercial airlines increased by approximately 5.4%. More foreign and regional commercial airlines were using its Airport Passenger Processing (APP) system service, multi-host connecting program service, and the self-developed Angel Cue platform connecting service, resulting in the increase of the number of such users to 100, with approximately 7.3 million of passenger departures processed in 103 airports. Meanwhile, the number of foreign and regional commercial airlines with direct links to its Computer Reservation System (CRS) increased to 143 with the sales percentage through direct links increased to approximately 99.8%.
Accounting, Settlement and Clearing Service
The main source of the revenue was accounting, settlement and clearing services provided by TravelSky to third parties including commercial airlines, airports, agencies and government bodies. The increase in revenue resulted primarily from the increase in business volume of accounting, settlement and clearing services.
There were approximately 410.3 million transactions processed with its accounting, settlement and clearing system and approximately 172.9 million BSP tickets processed with its BSP data processing services. In the same period, passenger, cargo and mail sales revenues, miscellaneous fees as well as international and domestic clearing amount processed with the system amounted to approximately USD 4.5 billion, and the transaction amount of the electronic payment system was approximately RMB 32.17 billion.
System Integration Service
The main source of the revenue was the hardware integration, software integration and data and information integration services provided by TravelSky to airports, commercial airlines and other corporate clients. The increase in revenue was primarily due to the increase in the number of contracted projects.
With a dominance in the middle-sized and large-sized airports in China, the new-generation
APP departure front-end system facilitated commercial airlines to provide check-in, transit, and connecting flight services to passengers in 141 overseas or regional airports, processing
approximately 18.7 million passenger departures, accounting for approximately 90.1% of overseas returning passengers of China’s commercial airlines.
Data Network and Other Services
The main sources of the revenue were distribution information technology service provided to agencies, travel distribution service provided to travel product providers like hotels and air freight logistics information technology service provided to commercial airlines, airports and cargo shippers, as well as airport information technology service and other business etc. provided by TravelSky. The increase in revenue resulted primarily from the increase in revenue from other information technology services.
The air freight logistics information system handled approximately 8.2 million air waybills, representing an increase of 2.5% as compared with the corresponding period in 2016.
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