Trip.com Group Limited announced that its third‑quarter 2025 results surpassed expectations, with net revenue of RMB 18.3 billion (US$2.6 billion), up 16% from the same quarter last year and 24% from the prior quarter. Net income attributable to shareholders rose to RMB 19.9 billion (US$2.8 billion), driven largely by a one‑time gain from the partial disposal of certain investments. Adjusted EBITDA reached RMB 6.3 billion (US$892 million), reflecting a margin expansion that outpaced the 18% cost‑of‑revenue increase.
The company’s core OTA segments continued to drive growth. Accommodation reservation revenue climbed 18% YoY to RMB 8.0 billion, while transportation ticketing revenue grew 12% to RMB 6.3 billion. Packaged‑tour revenue increased modestly 3% to RMB 1.6 billion, and corporate‑travel revenue rose 15% to RMB 756 million. International bookings surged 60% YoY, and inbound travel bookings more than doubled, underscoring the rebound in cross‑border demand that underpins the revenue lift.
Expenses rose in line with revenue growth. Cost of revenue increased 20% YoY to RMB 3.4 billion, product‑development expenses grew 12% to RMB 4.1 billion, and sales‑and‑marketing costs climbed 24% to RMB 2.2 billion. Despite higher costs, the company maintained a healthy operating margin, with adjusted EBITDA margin improving to 34% from 32% in the prior year, thanks to a favorable mix shift toward higher‑margin accommodation and transportation services and disciplined cost management.
Management guided for full‑year 2025 diluted EPS of $3.96 and 2026 EPS of $4.56, a modest upward revision from earlier guidance. Revenue guidance for FY2025 was raised to $4.396 billion–$4.400 billion from $4.14 billion–$4.15 billion, reflecting confidence in sustained demand and the monetization of AI‑driven product enhancements. James Liang, Executive Chairman, highlighted the company’s focus on AI integration and the “Taste of China” program as key drivers of future growth, while CEO Jane Sun emphasized the importance of empowering partners to capture new opportunities in a rapidly evolving travel ecosystem.
Investor reaction to the results was tempered by caution over the one‑time investment gain that boosted net income. While revenue and earnings beat consensus estimates—EPS of $4.02 versus a forecast of $1.68, a beat of $2.34 or 140%—the market noted that the underlying operating performance, though strong, was supported by a non‑recurring event. Analysts and investors therefore viewed the earnings as a positive sign of operational recovery but remained wary of the sustainability of the income boost.
Trip.com’s strong cash position—RMB 107.7 billion (US$15.1 billion) as of September 30, 2025—provides a buffer for continued investment in AI, technology, and international expansion. The company’s strategic focus on AI‑enhanced travel experiences, coupled with a robust rebound in cross‑border bookings, positions it well to capture long‑term growth in the Asia‑Pacific OTA market while navigating competitive pressures and macroeconomic headwinds.
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