Travelsky profit up 18.5% to CNY557.5mn

China’s stable economic development and high urbanization rate drove sustainable growth of the country’s aviation market.

TravelSky Technology Limited (“TravelSky”), a leading provider of information technology solutions for China’s aviation and travel industries, announced its unaudited interim results for six months ended 30 June 2011.

For the first half of 2011, TravelSky recorded satisfactory growth in both revenue and net profit. The Group’s revenue achieved RMB1,695.1 million, representing an increase of 16.7% as compared with the same period in 2010. Due to the stringent control of operating costs amidst revenue growth, the Group achieved a profit before tax of RMB 675.2 million, a rise of 18.0%. Profit attributable to equity holders of the Company was RMB 557.5 million. The basic and diluted earnings per share of the Group were RMB 0.19, according to a Travelsky report.

Mr Xu Qiang, Chairman of TravelSky said, “In the first half of 2011, China’s stable economic development and high urbanization rate were the driving force behind the sustainable growth of aviation market in PRC, while a number of factors, such as slow recovery in developed economies which led to lower external demand, impact of the “March 11” earthquake in Japan, geopolitical turmoil in some regions, soaring oil prices and rapidly expanding high-speed rail network, had slowed down the growth pace of the aviation market in PRC. The Group carefully studied the situation, optimized resources allocation, focused on market research and service improvement, ensured a safe and stable operation of production, and eventually realized a smooth development in its core business and maintained a steady growth in its operating results."

Mr. Xu concluded, “As a core information service enterprise in the Chinese civil aviation industry, TravelSky will enhance self-assurance, overcome difficulties, conduct key works in accordance with existing development strategies and the work plan adopted at the beginning of the year, with an aim to make a good start in achieving development goals of the “Twelfth Five-year Plan”, Travelsky will improve the sustainability and security technology standards by further improving the basis and awareness of safety in production, enhancing the relevant responsibility sense and accelerating the construction of our new operation centre in Shunyi, Beijing, which holds a domestically leading position and meets the international standards; grow our core businesses in both scale and strength by promoting technological innovation, focusing on the development of our new-generation aviation passenger service information system; develop new businesses and expand overseas markets by exploring innovative business models and service models and building our electronic payment services platform, integrated IT platform for airports, information platform for air cargo logistics, hotel distribution platform and information-sharing service platform; effectively improve operational efficiency by strengthening our corporate governance and implementing risk control and strict cost management measures; and stimulate cohesion and productivity of all staff by deepening institutional and organizational innovation and promoting the development of talented work forces and corporate culture.”