Following a late-session surge of over 4%, TONGCHENGTRAVEL (00780) saw its shares climb 3.87% to HK$23.62 by the time of writing, with a trading volume of HK$252 million. On the news front, on January 20th, TONGCHENGTRAVEL released its "2026 Spring Festival Travel Trends Report." The report indicates that the first pre-holiday travel peak for both civil aviation and railways is anticipated to occur around February 6th, while the highest passenger flow before the festival is expected on February 13th and 14th. During the Spring Festival travel period, domestic airfare prices have registered a slight increase compared to the same period last year. For popular routes, major railway departure cities before the Spring Festival are concentrated in first-tier cities like Guangzhou, Chongqing, and Beijing, as well as regional central hubs; for civil aviation, popular departure cities are focused on first-tier cities such as Shanghai, Guangzhou, and Shenzhen. The "longest Spring Festival holiday in history" has significantly stimulated demand for multiple trips during this year's travel rush. Specifically, the proportion of civil aviation passengers undertaking more than two trips is forecast to reach 13%, while the figure for railway passengers is expected to exceed 30%, both marking new highs for the same period since 2023. Guosheng Securities pointed out that the lower-tier online travel market, which TONGCHENGTRAVEL focuses on, possesses substantial room for penetration growth and abundant consumption potential, positioning the company to capitalize on this growth dividend. Furthermore, the company is actively expanding traffic through multiple channels, including its app, and is deeply exploring consumer demand to enhance user value. Recent quarterly metrics for Monthly Paying Users (MPU) and average revenue per user have shown consistent growth, with increases of 3% and 12% respectively in Q3 2025, indicating an overall operational trend of simultaneous volume and price growth.
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