Hong Kong Stock Movement: CTG DUTY-FREE (01880) Rises Nearly 4% as Hainan Customs Closure Policy Benefits Continue; Morgan Stanley Maintains Positive Outlook on Hainan Tourism Retail

Stock News01-09

CTG DUTY-FREE (01880) rose nearly 4%, and as of the time of writing, it was up 3.7% to HK$84, with a turnover of HK$50.1741 million.

The 2026 New Year's holiday, the first short holiday following the full island customs closure of the Hainan Free Trade Port, saw a "successful start" for the tourism market.

The province received 2.1716 million tourist visits, representing a year-on-year increase of 25.2% based on comparable criteria.

Tourism revenue reached RMB 3.136 billion, a year-on-year increase of 28.9%, with the revenue growth rate exceeding the visitor growth rate by 3.7 percentage points, indicating a continued optimization of the consumption structure.

Performance in areas such as offshore duty-free and inbound tourism was particularly strong, and it is believed that the benefits of the customs closure policy, combined with diversified product offerings, will jointly propel the Hainan tourism market into a new phase of high-quality development.

Morgan Stanley released a report expressing a positive outlook on the prospects of Hainan's tourism retail industry, citing supportive factors including a gradual macroeconomic recovery, positive wealth effects, an expansion of product categories for sale, and policy support.

The firm currently forecasts that CTG DUTY-FREE's revenue, operating profit, and net profit for the fourth quarter of 2025 will increase by 19%, 92%, and 135% year-on-year, respectively, but expects full-year revenue and profit to decline by 1% and 9% year-on-year.

Looking ahead to 2026, Morgan Stanley anticipates that Hainan's duty-free market will grow by 25% to 30% year-on-year, driving a 44% increase in CTG DUTY-FREE's profit.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment