Ctrip.com Q3 Net Profit Up 70% to USD48mn

Ctrip.com International, Ltd. (Nasdaq: CTRP), a renowned online traveling service provider in China, unveiled its unaudited financial report for the quarter ended September 30, 2010 yesterday, saying that net profit jumped 70% year on year to USD 48 million.

Excluding share-based compensation charges, net profit touched USD 57 million, growing 77% from the previous July-September period. Diluted earnings per American depositary share (ADS) stood at USD 0.31, and at USD 0.37 if share-based compensation charges excluded.

Share-based compensation charges were USD 9 million, accounting for 7% of the net revenue or USD 0.06 of the earnings per ADS.

Net revenue amounted to USD 121 million, up 49% from a year ago. Wing On Travel and ezTravel contributed 11% to the year-on-year growth in net revenue. Gross profit margin stood at 78%, in contrast to 77% in the comparable period of 2009.

Operating profit hit USD 46 million, a rise of 55% from a year earlier. Excluding share-based compensation charges, operating profit arrived at USD 55 million, leaping 63% from the third quarter of 2009. Operating profit margin was 38%, compared with 37% in the corresponding period of 2009. Excluding share-based compensation charges, operating profit margin came to 45%, up from 41% a year ago.

Total revenue, in the meantime, advanced 48% year on year and 16% quarter on quarter to USD 129 million. Revenue from hotel reservation operation hiked 36% from the third quarter of 2009 to USD 52 million, boosted by a 30% increase in hotel reservation volume and a 5% growth in commission revenue per room.

Revenue from air ticket booking operation went up 36% from the July-September period of 2009 to USD 47 million, driven by a 30% rise in air ticket reservation volume and a 4% gain in commission revenue per ticket.

Revenue from packaged tour business expanded by 161% year on year and 110% quarter on quarter to USD 21 million, buoyed by a robust growth in recreational tourism business and seasonal factors.

Revenue from business traveling management operation climbed 37% from a year ago and 1% from the previous quarter to USD 5 million, thanks to a strong demand for business traveling activites from corporate consumers.

Expenses on product R&D widened 53% from a year earlier and 13% from a quarter ago to USD 18 million, mainly due to rise in employee number and share-based compensation charges.