Changes in Hong Kong stocks | Ctrip Group-S (09961) rose nearly 6% in early trading, Citi expects the company's third-quarter revenue and adjusted profit to meet expectations

The Zhitong Finance App learned that Ctrip Group-S (09961) rose nearly 6% in early trading. As of press release, it rose 5.08% to HK$314.2, with a turnover of HK$278 million.

According to the news, Ctrip is expected to announce its third quarter results from mid-November to the end of the month. Citigroup expects total revenue for the third quarter to rise 3% year-on-year to RMB 18.9 billion, in line with market expectations. The gross margin is expected to be 81.3%, the adjusted operating profit margin is expected to be 31.4%, and the adjusted profit is estimated to be about 5.3 billion yuan, in line with market expectations.

Citi pointed out that despite the weak performance of the industry during the summer vacation period and the impact on the domestic hotel and transportation business rate, the performance during the Mid-Autumn Festival and National Day Golden Week was good, which is expected to support revenue in the third quarter. The bank believes that the market's focus on performance will be management's comments on domestic hotel yield rates and profit margin prospects in the fourth quarter, as there is still uncertainty about off-season hotel operators' rate. The bank believes that the worst period may be over.