TRIP.COM(09961) 东吴证券·2024-02-23 16:00Investment Rating - The report maintains a "Buy" rating for the company [1] Core Insights - In Q4 2023, the company achieved a net operating income of 10.3 billion yuan, a year-on-year increase of 105%, and an adjusted net profit of 2.675 billion yuan, up 437.1% year-on-year. For the entire year of 2023, the company reported a net operating income of 44.5 billion yuan, a 122% increase year-on-year, and an adjusted net profit of 13.07 billion yuan, a 910% increase year-on-year [2][3] - Domestic and international travel demand continues to show strong growth, with outbound business expected to drive growth in 2024. In Q4 2023, domestic hotel bookings increased by over 130% year-on-year, and outbound hotel and flight bookings recovered to over 80% of pre-pandemic levels [3] - The company's international business is progressing, with the global OTA platform operating in 39 countries and regions as of Q4 2023, and total bookings on the international OTA platform increasing by over 70% year-on-year. It is expected that the international OTA platform will contribute 15% to 20% of total revenue in the next three to five years [3] - Profit margins are improving due to enhanced marketing efficiency, with a Non-GAAP net profit margin of 25.9% in Q4 2023, an increase of 16 percentage points year-on-year. The board has approved a capital return plan for 2024, increasing the total return amount to 580 million USD, which is expected to boost market confidence [3] - The company is a leader in the OTA sector, with strong domestic demand growth and recovery in outbound tourism and overseas market expansion expected to contribute to incremental growth. Adjusted net profit forecasts for 2024 and 2025 have been raised to 13.57 billion yuan and 16.21 billion yuan, respectively, with expected year-on-year growth of 4% and 19% [3]