Goldman Sachs: Travel demand is healthy and favors pure domestic travel companies

The Zhitong Finance App learned that Goldman Sachs released a research report saying that most of the covered Chinese travel companies in the fourth quarter of 2024 were in line with expectations. Domestic revenue growth accelerated again, and the decline in hotel revenue per saleable room (RevPAR) narrowed (5%, -9% in the third quarter of 2024), compared to the same period in 2023; outbound travel continued to recover steadily, and the growth rate of international destinations reached +27%, higher than the +9%/+12% rate of Hong Kong and Macau, China. The bank favors pure domestic tourism companies that are less affected by the external macroeconomic environment, as well as companies with strong pricing capabilities and good cost control.