Consumer services stocks have been pulled higher Thursday morning after Chinese travel services provider Ctrip.com International, Ltd. (CTRP) reported a significant rise in second quarter profit.
Ctrip stock posted one of the biggest gains in the sector, rising about 17%. Shares of Dryclean USA Inc. (DCU) and Emergency Medical Services Corp. (EMS) also posted strong gains, climbing over 5% each.
By 10:40 am Eastern Time, shares of Ctrip were up $7.83 to $51.03 per share, while Emergency Medical Services stock was up $2.40 at $33.68 and Dryclean shares were up 5 cents at 90 cents.
Meanwhile eLong Inc. (LONG) and Standard Parking Corp. (STAN) were also on the upside.
After the closing bell on Wednesday, Ctrip reported a 35% rise in second quarter profit even though the travel industry in China encountered many difficulties during the period after the Sichuan earthquake.
GAAP net income for the second quarter was RMB119.3 million or RMB3.44 per share, compared to $88.2 million or RMB2.60 per share for the year-ago quarter.
GAAP earnings per ADS for the second quarter were RMB1.72 or US$0.25, compared to RMB1.30 or US$0.17 in the prior year quarter.
Excluding stock options charges, non-GAAP net income for the second quarter was RMB150.6 million or RMB4.35 per share, compared to RMB111.3 or RMB3.29 per share.
Non-GAAP earnings per ADS for the second quarter were RMB2.17 or US$0.32, compared to RMB1.64 or US$0.22 per share.
Total revenues for the second quarter increased 30% to RMB401.9 million or US$58.6 million. Net revenue, which is total revenue minus business tax and related surcharges, also grew 30% to RMB375.0 million or US$54.7 million.
Analysts polled by First Call / Thomson Financial expected the company to earn US$0.20 per ADS on revenue of US$53.81 million for the second quarter.
Hotel reservation revenues for the quarter grew 14% to RMB196 million, while air-ticketing revenues surged 44% to RMB169 million and packaged-tour revenues jumped 85% to RMB24 million.
Additionally, Ctrip said its board of directors has authorized the company to repurchase, using funds from Ctrip's available cash balance, up to US$15 million worth of its own ADSs. The share buy back program is subject to shareholder approval during Ctrip's annual general meeting currently scheduled in September.
Looking forward, the company said it expects third quarter to grow between 15% and 20% year over year.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.