CHINA TRAVEL HK's stock soared 9.76% during Tuesday's intraday trading session following positive financial results from its recent acquisitions and announcements of new strategic investments.
The company reported that its Songhua Lake International Resort in Jilin Province, acquired last year, generated revenue of approximately 170 million yuan and an operating profit of about 57 million yuan in the first four months of the year. Additionally, CHINA TRAVEL HK plans to invest 102 million yuan to establish a joint venture for developing the Heidu Mountain scenic area in Qinghai Province, aiming to enhance tourism connectivity in the northwestern region.
Analysts note that the company has streamlined its operations to focus on core cultural tourism businesses, having divested non-core assets and entered the ice and snow sector through strategic acquisitions. This positions the company for promising future profit growth as it concentrates on its "three core scenic area segments plus diversified synergistic businesses" strategy.
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