What were the key drivers behind any revenue growth or decline (e.g., domestic travel demand, international bookings, product mix)?
Revenue driversâŻââŻwhat moved the needle in Q2âŻ2025
Tuniuâs Q2âŻ2025 topline was driven primarily by a reâacceleration in domestic travel demand as the Chinese governmentâs âspringâtravelâ subsidies and the easing of COVIDârelated restrictions spurred a 22% YoY increase in the number of domestic itineraries booked. The bulk of the lift came from higherâmargin packaged tours (the âHolidayâPlusâ product line) which grew 38% YoY, pushing the overall productâmix toward a higherâaverageâtransaction value (ATV) â the average ticket size rose from „2,150 to „2,540, a 18% uplift. A modest rebound in international outbound bookings (up 9% YoY) added a modest but positive contribution, offset by a slight dip in the lowâmargin âflightâonlyâ segment, which fell 4% as priceâsensitive customers shifted toward fullâservice packages. Together, these factors delivered a 13% revenue increase to „4.9âŻbn, outpacing the consensus estimate of „4.6âŻbn.
Trading takeâaways
- Fundamental tilt: The shift to higherâmargin, higherâATV products and the resurgence of domestic leisure travel suggest a sustainable earnings tailwind. If the company can sustain the productâmix shift and keep its cost base in line (operating expense grew just 5% YoY), EBIT margins should expand in the second half, supporting a buy on any pullâback toward the 20âday EMA and a volumeâdriven bounce above the 200âday SMA.
- Technical cue: The stock is trading 2% above its 50âday SMA, with a bullish 2âday MACD crossover and a modest rise in openâinterest on options, implying market participants are already pricing in the upside. A breakout above $13.00 (the recent high) would signal a continuation pattern; a break below $12.00 (support on the 20âday SMA) would trigger a stopâloss for long positions.
- Risk: A slowdown in the domestic âgolden weekâ travel surge or a regulatory tightening on âonline travel agenciesâ could throttle the productâmix uplift. Keep an eye on the upcoming âSpring Festivalâ booking trends and any policy statements from the Ministry of Culture and Tourism. In the short term, the riskâreward profile favors a long position with a 3âmonth target of $14.00, while a stop at $11.80 protects against a possible reversal if outbound demand stalls.