Evening of August 22nd，Baicheng Travel (836925) announced its 2016 semi-annual report。Data display，First half of 2016，Baicheng 188bet total revenue 2.3.6 billion yuan，66 year-on-year increase.94%；Service 72.60,000 people，95 year-on-year increase.2%；Gross profit 1,7.98 million yuan，126 year-on-year increase.74%，Overall gross profit margin 7.61%，YoY increase of 35.82%；The loss rate increased from 13 in the same period last year.09% dropped to 9.98%。First half of 2016，188bet has achieved revenue、Important indicators such as number of service visits and gross profit are basically the same as last year。It’s worth noting，While maintaining rapid 188bet in revenue and gross profit，The company’s loss rate began to continue to decline。

First half of 2016，The company targets the increasingly mainstream trend of outbound independent travel consumption，Existing advantages based on fragmented products，Focusing closely on the core of outbound 188bet business，Strengthen the focus on independent travelers in terms of product strategy and product development，especially 80、Research on the consumption characteristics of post-90s customer groups，Clearly build intelligence、Positioning of scenario-based outbound independent travel business ecology。

During the reporting period，Company is in Shenzhen、Branch offices have been opened in Wuhan，The number of service network locations nationwide has increased to 7，Achieved effective coverage of major outbound customer origins。The company also cooperates with Baidu Travel、Tencent、Alibaba Alipay、ICBC、Shanghai Pudong Development Bank and China CITIC Bank have reached cooperation，Introducing Baicheng visa services to the aforementioned platform，Enhancing online traffic acquisition capabilities。The company was rated as "Excellent Travel Agency" by the Korean Embassy in China，Obtained ADS visa qualification from the Canadian Embassy、France multi-year multiple visa qualifications，The advantageous resources of visa 188bet have been strengthened，The comprehensive competitiveness of visa products has been further improved。

一、Visa、Destination 188bet achieves ultra-rapid growth，Departure and destination two-wheel drive formation

During the reporting period，The company has not made large-scale market investment，Achieved operating income、Gross profit、High growth in important indicators such as number of people served，Loss range continues to decrease。In particular, the high growth of visa and destination 188bet further validates the commercial vitality of the company’s origin + destination dual-wheel drive strategy。

1、Refined services and Internet technology build competition barriers and first-mover advantages, bringing high growth in visa 188bet

During the reporting period，The company continues to focus on online visa 188bet，Through refined services and innovative application of Internet technology, certain barriers and first-mover advantages have been built in this segment，In product category、Leading the industry in terms of service scale and other indicators。While the company continues to strengthen the construction of its own website，Embrace third-party e-commerce platform、Upstream and downstream in the industry、Cross-industry platforms and other channels，This brings enough users。First half of 2016，Visa 188bet income achieved 14,377.910,000 yuan，84 year-on-year increase.27%，Served 42 times.50,000，70 year-on-year increase.38%，Achieve gross profit 1,175.250,000 yuan，104 year-on-year increase.43%。The growth rate of gross profit continues to be higher than the growth rate of revenue，This performance is unique in the entire outbound 188bet industry。

2、Destination 188bet achieves explosive growth，Achieve visa + destination two-wheel drive

During the reporting period，The company continues to focus on user experience，During the reporting period, destination-based Internet service halls such as airport pick-up and day tours were successively launched，Continuously improve customers’ consumption experience。At the same time，Continuously expand consumers’ extended consumption，Introduce users who purchase visa services to the online visa service hall，Form benign and in-depth interaction with users through various service nodes，Have precise control over users’ outbound consumption needs，and accurately push destination fragmented goods and services。On this basis，Continue to have in-depth control over destination resources，Make full use of resource advantages。First half of 2016，The company’s destination 188bet achieved revenue 4,246.660,000 yuan，397 year-on-year increase.98%，Served 22 people.750,000，254 year-on-year increase.92%，Achieve gross profit 251.320,000 yuan，114 year-on-year increase.95%。The growth rate of destinations far exceeds the growth rate of visa 188bet，Achieved explosive growth，Two-wheel drive situation formed。

2. The 188bet structure is gradually becoming more reasonable, and the profit and loss balance can be expected

During the reporting period，In addition to maintaining ultra-rapid growth in visa and destination 188bet，The company is still continuing to cultivate the free travel of machine wine、Sales of customized tours and other vacation products，Related businesses also maintained a year-on-year 188bet trend，Baicheng’s revenue structure will become increasingly reasonable and sustainable。

The demand for personalized experience among tourists is gradually increasing、Under the background that independent travel has become the choice of more and more outbound tourists，With the continuous expansion of the company's 188bet scale，Scale effect has appeared，With continued high 188bet and declining controllable expenses，The company's break-even trend has emerged，Possible to break even point。