Ctrip.com International announced its unaudited financial results for the quarter ended June 30, 2013. Highlights for the Second Quarter of 2013 - Net revenues were RMB1.2 billion (US$203 million) for the second quarter of 2013, up 28% year-on-year. - Gross margin was 75% for the second quarter of 2013, remained consistent with that in the same period of 2012. - Income from operations was RMB196 million (US$32 million) for the second quarter of 2013, up 17% year-on-year. Excluding share-based compensation charges (non-GAAP), income from operations was RMB307 million (US$50 million), up 11% year-on-year. - Operating margin was 16% for the second quarter of 2013, compared to 17% in the same period of 2012. Excluding share-based compensation charges (non-GAAP), operating margin was 25%, compared to 28% in the same period of 2012. "We are pleased to report strong results in the second quarter of 2013," said James Liang, Chairman of the Board and Chief Executive Officer of Ctrip. "Mobile Internet is changing the travel industry rapidly and our mobile strategy builds upon Ctrip's one-stop travel platform that features comprehensive products, industry leading service quality, and competitive prices. Transactions from Ctrip mobile channels tripled year-over-year in the second quarter and contributed to over 20% of hotel booking and approximately 15% of air ticket booking. We are excited to embrace the changes in the travel industry in China and will endeavor to create more value for our business partners and customers in an innovative fashion." For the second quarter of 2013, Ctrip reported total revenues of RMB1.3 billion (US$215 million), representing a 28% increase from the same period of 2012. Total revenues for the second quarter of 2013 increased by 7% from the previous quarter. Hotel reservation revenues amounted to RMB511 million (US$83 million) for the second quarter of 2013, representing a 25% increase year-on-year, primarily driven by an increase of 44% in hotel reservation volume and partially offset by 14% decrease of commission per room night. The decrease of commission per room night was primarily due to promotional activities. Hotel reservation revenues increased by 13% quarter-on-quarter, primarily driven by hotel reservation volume growth. Ticketing services revenues for the second quarter of 2013 were RMB522 million (US$85 million), representing a 29% increase year-on-year, primarily driven by an increase of 34% in air ticketing sales volume and partially offset by 6% decrease of commission per air ticket. Ticketing services revenues increased 14% quarter-on-quarter, primarily driven by air ticketing sales volume growth. Packaged-tour revenues for the second quarter of 2013 were RMB187 million (US$30 million), representing a 40% increase year-on-year due to the increase of leisure travel volume. Packaged-tour revenues decreased 20% quarter-on-quarter, primarily due to seasonality. Corporate travel revenues for the second quarter of 2013 were RMB66 million (US$11 million), representing a 34% increase year-on-year, primarily driven by the increased corporate travel demand from business activities. Corporate travel revenues increased 29% quarter-on-quarter, primarily due to seasonality. Business Outlook For the third quarter of 2013, the Company expects the net revenue growth to continue year-on-year at a rate of approximately 20-25%. This forecast reflects Ctrip's current and preliminary view, which is subject to change. Source: Ctrip