CTG DUTY-FREE Reports 53.49% Net Profit Surge in Q4 2025

Stock News03-20 16:28

CTG DUTY-FREE (601888.SH) announced its financial results for the fourth quarter of 2025. During the period, the company focused on enhancing quality and efficiency while deepening innovation-driven development, contributing to stabilized operational performance. Revenue for the quarter reached RMB 13.831 billion, representing a year-on-year increase of 2.81%. Net profit attributable to owners of the parent company amounted to RMB 534 million, up 53.49% compared to the same period last year.

Throughout the reporting period, the company saw continued improvement in its gross profit margin for core operations and overall operational efficiency. The gross profit margin for main business activities rose by 0.51 percentage points year-on-year, while inventory turnover increased by approximately 10%. Notably, in the fourth quarter alone, the gross profit margin for core business operations expanded by 4.12 percentage points compared to the prior-year period.

In accordance with Chinese accounting standards, the company recognized impairment losses on the goodwill of certain key subsidiaries during the reporting period, which had a measurable impact on net profit. Preliminary calculations indicate that after excluding the effect of these goodwill impairment losses, net profit attributable to parent company shareholders would have increased by 150.63% year-on-year in the fourth quarter of 2025.

Recently, the company has actively capitalized on opportunities arising from the implementation of new duty-free policies for Hainan Island and the island's official customs closure. Its key retail locations in Hainan achieved record-high sales and customer footfall during the Spring Festival holiday. Additionally, the company has been steadily advancing equity and asset acquisitions for key projects as planned. It has successfully completed the efficient transition and opening of stores in major airports, effectively capturing increased demand from returning domestic consumption and growing numbers of international tourists.

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