TravelSky Technology Limited (“TravelSky” or the “Group”; HKEX stock code: 00696), a leading provider of information technology solutions for China’s aviation and travel industries, announced its unaudited interim results for the six months ended 30 June 2019 (“the period under review”).
In 2019, the total revenue of TravelSky amounted to RMB3844.3 million, representing an increase of 9.2% year-on-year. Profit before taxation increased 3.4% to RMB1,694.1 million. Profit attributable to the equity holders of the Company increased 5.6% to RMB1423.0 million. Basic and diluted earnings per share were RMB0.49.
During the period under review, revenue of aviation information technology (“AIT”) services increased by 8.9% year-on-year to RMB2,224.0 million, accounting for 57.9% of the total revenue. Revenue of accounting, settlement and clearing services increased by 3.5% to RMB302.5 million, accounting for 7.9% of the total revenue. Revenue of system integration services increased by 23.8% to RMB478.0 million, accounting for 12.4% of the total revenue. Revenue of data network decreased by 1.5% to RMB243.3 million, accounting for 6.3% of the total revenue, others increased by 7.7% to RMB596.5 million, accounting for 15.5% of the total revenue.
For AIT services, benefiting from the continuous demand in China’s aviation market in the first half of 2019. The Group’s Electronic Travel Distribution (ETD) system has processed approximately 337.3 million flight bookings on domestic and overseas commercial airlines, representing an increase of approximately 7.8% over the same period of last year. Among which, the processed flight bookings on commercial airlines in China increased by approximately 7.7%, while those on foreign and regional commercial airlines increased by approximately 9.6%. Meanwhile, the number of foreign and regional commercial airlines with direct links to the Group’s CRS system increased to 152 with the sales percentage through direct links increased to approximately 99.8%.
In the first half of 2019, apart from actively expanding its customer base among domestic and overseas commercial airlines, the Group also further improved the aviation information technology and its extended services, with an aim to strongly support the demand of commercial airlines for the information technology solutions on travel convenience, e-commerce, auxiliary services and internationalization. As a strategic partner of the “Fast Travel” Project of International Air Transport Association (IATA), the commonly used self-service check-in system (CUSS), the Group’s self-developed product that conforms to IATA standards, has been launched in 179 major domestic and overseas airports, and the online check-in service has been applied in 314 airports at home and abroad. Such products and services, together with the mobile check-in service and the SMS check-in service, processed a total of approximately 164 million departing passengers. The full-process baggage tracking platform has been established. The Group has launched a new version for its mobile application, “Umetrip”, to continue to upgrade customer service and experience, and the number of users of Umetrip has witnessed a stable growth. In the first half of 2019, owing to the convenient business of “aviation information inquires”, the Group has owned a number of customers of commercial aviation airlines and signed contracts with all the 235 civil airports in China, providing full-process convenient clearance technology solutions for commercial airlines, to help improve their passengers’ experiences in various stages, such as, security check and boarding. Its usage grows steadily as the Group continued to improve the airlines add-on service sales solutions (“Easy add value” product platform).The Group responded to the “The Belt and Road Initiative” strategy in China, continued to put more efforts for market expansion for overseas market. The independently designed, researched and developed low-cost aviation solutions have been newly applied by Berjaya Air of Malaysia. By capturing the opportunity of vigorously developing general aviation, the Group will continue to expand the general aviation information technology service market. There have been 13 general aviation airlines becoming the Company’s clients, realising the full coverage over the general short-distance aviation market.
For accounting, settlement and clearing services, the Group continued to consolidate and expand the market of accounting, settlement and clearing services, and the research and development and the operation of the relevant systems commenced as schedule. The BSP Online Payment Platform (BOP) has added a new (NDC) real-time settlement service, which has enabled the NDC technical standard to be applied to the payment channel for the first time, and the service has been promoted to Shandong Airlines Company Limited and Hebei Airlines Company Limited. In the first half of 2019, there were approximately 541.6 million transactions processed with our accounting, settlement and clearing system and approximately 206.3 million BSP tickets processed with our BSP data processing services. In the same period, passenger, cargo and mail revenue, miscellaneous fees as well as international and domestic clearing amount settled by agents exceeded USD5.4 billion, and the transaction amount of the electronic payment system was approximately RMB50.8 billion.
For airport information technology services, the Group put greater efforts in marketing, researching and developing the airport information technology service products and actively participated in the airport information system construction projects of domestic airports while persistently reinforcing its market share in the traditional departure front-end service product market. With a dominance in the middle-sized and large-sized airports in China, the new-generation APP departure front-end system facilitated commercial airlines to provide check-in, transit and connecting flight services to passengers in 162 overseas or regional airports, processing approximately 24 million passenger departures, accounting for approximately 92.4% of overseas returning passengers of commercial airlines in China. The departure system, the security inspection system and passenger operation and management system of Beijing Daxing International Airport have been put into operation and passed the acceptance. The Group facilitated the construction of “Smart Airport” and promoted products of “Facial Recognition & ID Authentication” for security inspection to 205 airports. The airport coordination decision-making system (A-CDM) products have been promoted and put into operation in more than ten airports.
Mr. Cui Zhixiong, the Chairman of TravelSky said, “Looking forward to the second half of 2019, the Group will continue to firmly focus on its development strategy, take the high-quality development as its guide, comprehensively promote the company’s work: promote development and steady growth, consolidate the foundation; actively innovate and strengthen technology, strengthen its impetus; deepen reform and promote implementation, make up for its weaknesses; improve the mechanism of strong incentives, make good use of talent; promote business with scientific management, improve efficiency. Meanwhile, the Group will also maintain the stability against risks, and make steady progress in the long run.”
About TravelSky Technology Limited
TravelSky Technology Limited is a leading provider of information technology solutions for China’s aviation and travel industry, standing at a core tache along the value chain of China’s aviation and travel service distribution. The Group has been devoted to serving the needs of all industry participants ranging from commercial airlines, airports, travel products and services providers, travel agencies, travel service distributors, corporate clients, travelers and cargo shippers, as well as major international organisations such as International Air Transport Association (IATA) and government bodies, with the scope of services covering the provision of critical information systems on flight control, air ticket distribution, check-in, boarding and load planning, accounting, settlement and clearing, etc.. With more than three decades of tenacious development, the Group has built up a complete industry chain for aviation and travel information technology services, established a relatively comprehensive, competitively priced product line of aviation and travel information technology services with robust functionality. For further details regarding to TravelSky, please visit its website at http://www.travelskyir.com/.
