China Tourism Group Duty Free (601888) Q2 2025 earnings summary

Executive summary

• Revenue for H1 2025 was RMB 28.15 billion, down 9.96% year-over-year; net profit attributable to shareholders was RMB 2.60 billion, down 20.81% year-over-year.

• The company accelerated strategic transformation, expanding beyond core duty-free business, innovating with exclusive and co-branded products, and focusing on digital transformation and supply chain optimization.

• Hainan duty-free market share increased by nearly 1 percentage point, with over 60 new brands introduced and sales stabilizing.

Financial highlights

• Operating income: RMB 28.15 billion, -9.96% year-over-year.

• Net profit attributable to shareholders: RMB 2.60 billion, -20.81% year-over-year.

• Operating profit: RMB 3.71 billion, -18.20% year-over-year.

• Operating cash flow: RMB 2.61 billion, -39.50% year-over-year.

• Basic and diluted EPS: RMB 1.2566, -20.81% year-over-year.

Outlook and guidance

• The company expects continued competition in the duty-free sector as policy liberalization increases market entrants and will focus on strategic leadership, transformation, and high-quality growth.

• Strategic focus remains on core duty-free business, digitalization, and supply chain resilience.

• Hainan duty-free market expected to stabilize, with government support for consumption and policy optimization.