CHINA TRAVEL HK Surges Over 10% as Songhua Lake Project Generates ~170 Million Yuan Revenue in First Four Months

Stock News05-19

CHINA TRAVEL HK (00308) experienced a sharp rise of over 10%. As of writing, the stock is up 9.76%, trading at HK$1.35 with a turnover of approximately HK$97.96 million.

The company announced that the Songhua Lake International Resort in Jilin Province, acquired last year along with CHINA TRAVEL (Beijing) Ice & Snow Sports Development, has generated revenue of about 170 million yuan and an operating profit of approximately 57 million yuan in the first four months of the year.

Furthermore, CHINA TRAVEL HK plans to invest 102 million yuan to establish a joint venture for developing the Heidu Mountain scenic area in Qinghai Province. This initiative aims to enhance tourism connectivity in the northwestern region, with the new investment project expected to be completed and operational by 2028.

Analysts note that CHINA TRAVEL HK serves as the listed platform for the tourism investment and operations business under its parent group, with ultimate control held by the State-owned Assets Supervision and Administration Commission. The company has undergone several strategic adjustments historically, resulting in its current clear structure focused on "three core scenic area segments plus diversified synergistic businesses," fully concentrating on its core cultural tourism operations. While revenue and profitability have fluctuated in recent years due to internal strategic shifts, the company divested its tourism property sales business in 2025 and entered the ice and snow sector through the acquisitions of Songhua Lake and related assets. This positions the company for promising future profit growth.

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