CTG DUTY-FREE (01880) surged over 4% again, trading at HK$70.05 by press time, up 3.32%, with a turnover of HK$263 million. The catalyst behind the rally is the upcoming full-island customs closure in Hainan Free Trade Port, set for December 18 this year. CITIC Securities notes that this milestone could usher in a new era of openness for Hainan.
The duty-free policy for off-island purchases remains central to Hainan’s consumer market. Measures like on-the-spot pickups for locals and inclusion of international travelers are expected to revitalize off-island duty-free sales. Meanwhile, streamlined policies for inbound/outbound duty-free shopping will resolve bottlenecks in downtown stores, paving the way for a five-year growth cycle in the sector.
SWS Research highlighted that while CTG DUTY-FREE faced profit pressure in the first three quarters, its core Hainan operations showed signs of stabilization—monthly sales turned positive year-on-year, and market share expanded. Q3 revenue also began rebounding from lows.
Continued recovery in airport channels and the opening of large new downtown duty-free stores are poised to drive further growth. Long-term prospects remain bright, supported by anticipated business traveler inflows post-customs closure and the company’s multi-channel synergy across "Hainan + airports + online + downtown" segments.
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