Tuniu 6K Announces Unaudited Second Quarter 2023 Financial Results | TOUR 17 Aug 23

Exhibit 99.1

Tuniu Announces Unaudited Second Quarter 2023 Financial Results

NANJING, China, August 17, 2023 - Tuniu Corporation (NASDAQ: TOUR) ("Tuniu" or the "Company"), a leading online leisure travel company in China, today announced its unaudited financial results for the second quarter ended June 30, 2023.

Highlights for the Second Quarter of 2023

Net revenues in the second quarter of 2023 increased by 170.5% year-over-year to RMB100.0 million (US$13.8 million¹).

Revenues from package tours in the second quarter of 2023 increased by 632.3% year-over-year to RMB69.8 million (US$9.6 million).

Gross profit in the second quarter of 2023 increased by 296.0% year-over-year to RMB65.4 million (US$9.0 million).

Income from operations in the second quarter of 2023 was RMB6.8 million (US$0.9 million), compared to a loss from operations of RMB122.9 million in the second quarter of 2022. Non-GAAP²income from operations in the second quarter of 2023 was RMB12.1 million (US$1.7 million), compared to a Non-GAAP loss from operations of RMB38.9 million in the second quarter of 2022.

Net income in the second quarter of 2023 was RMB221.0 thousand (US$30.0 thousand), compared to a net loss of RMB128.5 million in the second quarter of 2022. Non-GAAP net income in the second quarter of 2023 was RMB5.6 million (US$0.8 million), compared to a Non-GAAP net loss of RMB44.6 million in the second quarter of 2022.

"We are encouraged to report a strong performance for the second quarter of 2023, with our net revenues growing by 170.5% year-over-year, and revenues from packaged tours increasing by 632.3% year-over-year. We have achieved our first quarterly operating profit since Tuniu’s listing and our first quarterly net income since the pandemic outbreak." said Mr. Donald Dunde Yu, Tuniu’s founder, Chairman and Chief Executive Officer. "This demonstrates that as the external environment improves, we have effective strategies in place across our products, services and technology to strengthen Tuniu’s operational and financial performance. We will continue to leverage Tuniu’s core advantages in both the upstream and downstream segments of our industry chain, differentiating ourselves in the market as we continue to create value for our customers and shareholders."

¹ The conversion of Renminbi ("RMB") into United States dollars ("US$") is based on the exchange rate of US$1.00=RMB 7.2513 on June 30, 2023 as set forth in H.10 statistical release of the U.S. Federal Reserve Board and available at https://www.federalreserve.gov/releases/h10/default.htm.

² The section below entitled "About Non-GAAP Financial Measures" provides information about the use of Non-GAAP financial measures in this press release, and the table captioned “Reconciliations of GAAP and Non-GAAP Results" set forth at the end of this press release reconciles Non-GAAP financial information with the Company's financial results under GAAP.

Second Quarter 2023 Results

Net revenues were RMB100.0 million (US$13.8 million) in the second quarter of 2023, representing a year-over-year increase of 170.5% from the corresponding period in 2022. The increase was primarily due to the growth of packaged tours as the travel market recovers.

Revenues from packaged tours were RMB69.8 million (US$9.6 million) in the second quarter of 2023, representing a year-over-year increase of 632.3% from the corresponding period in 2022. The increase was primarily due to the growth of organized tours.

Other revenues were RMB30.2 million (US$4.2 million) in the second quarter of 2023, representing a year-over-year increase of 10.0% from the corresponding period in 2022. The increase was primarily due to the increase in service fees received from insurance companies.

Cost of revenues was RMB34.5 million (US$4.8 million) in the second quarter of 2023, representing a year-over-year increase of 69.0% from the corresponding period in 2022. As a percentage of net revenues, cost of revenues was 34.6% in the second quarter of 2023, compared to 55.3% in the corresponding period in 2022.

Gross profit was RMB65.4 million (US$9.0 million) in the second quarter of 2023, representing a year-over-year increase of 296.0% from the corresponding period in 2022.

Operating expenses were RMB58.6 million (US$8.1 million) in the second quarter of 2023, representing a year-over-year decrease of 57.9% from the corresponding period in 2022. The decrease was primarily due to the fact that the Company did not incur gain on disposals of subsidiaries and impairment of goodwill in the second quarter of 2023. Gain on disposals of subsidiaries, which was recorded in other operating income, in the amount of RMB32.8 million and impairment of goodwill in the amount of RMB112.1 million were incurred as operating expenses in the second quarter of 2022.

Research and product development expenses were RMB13.8 million (US$1.9 million) in the second quarter of 2023, representing a year-over-year decrease of 1.0%. The decrease was primarily due to the decrease in amortization of acquired intangible assets.

Sales and marketing expenses were RMB24.9 million (US$3.4 million) in the second quarter of 2023, representing a year-over-year increase of 1.8%. The increase was primarily due to the increase in promotion expenses.

General and administrative expenses were RMB21.7 million (US$3.0 million) in the second quarter of 2023, representing a year-over-year decrease of 9.0%. The decrease was primarily due to the decrease in general and administrative personnel related expenses.

Income from operations was RMB6.8 million (US$0.9 million) in the second quarter of 2023, compared to a loss from operations of RMB122.9 million in the second quarter of 2022. Non-GAAP income from operations, which excluded share-based compensation expenses, amortization of acquired intangible assets, gain on disposals of subsidiaries and impairment of goodwill, was RMB12.1 million (US$1.7 million) in the second quarter of 2023.

Net income was RMB221.0 thousand (US$30.0 thousand) in the second quarter of 2023, compared to a net loss of RMB128.5 million in the second quarter of 2022. Non-GAAP net income, which excluded share-based compensation expenses, amortization of acquired intangible assets, gain on disposals of subsidiaries and impairment of goodwill, was RMB5.6 million (US$0.8 million) in the second quarter of 2023.

Net income attributable to ordinary shareholders of Tuniu Corporation was RMB0.7 million (US$0.1 million) in the second quarter of 2023, compared to a net loss attributable to ordinary shareholders of Tuniu Corporation of RMB126.5 million in the second quarter of 2022. Non-GAAP net income attributable to ordinary shareholders of Tuniu Corporation, which excluded share-based compensation expenses, amortization of acquired intangible assets, gain on disposals of subsidiaries and impairment of goodwill, was RMB6.0 million (US$0.8 million) in the second quarter of 2023.

As of June 30, 2023, the Company had cash and cash equivalents, restricted cash and short-term investments of RMB1.1 billion (US$155.5 million).

Business Outlook

For the third quarter of 2023, Tuniu expects to generate RMB163.5 million to RMB171.3 million of net revenues, which represents a 110% to 120% increase year-over-year compared with net revenues in the corresponding period in 2022. This forecast reflects Tuniu's current and preliminary view on the industry and its operations, which is subject to change.

Conference Call Information

Tuniu’s management will hold an earnings conference call at 8:00 am U.S. Eastern Time, on August 17, 2023, (8:00 pm, Beijing/Hong Kong Time, on August 17, 2023) to discuss the second quarter 2023 financial results.

To participate in the conference call, please dial the following numbers:

US	1-888-346-8982
Hong Kong	852-301-84992
Mainland China	4001-201203
International	1-412-902-4272

Conference ID: Tuniu 2Q 2023 Earnings Conference Call

A telephone replay will be available one hour after the end of the conference call through August 24, 2023. The dial-in details are as follows:

US	1-877-344-7529
International	1-412-317-0088

Replay Access Code: 6774303

Additionally, a live and archived webcast of the conference call will also be available on the Company’s investor relations website at http://ir.tuniu.com.

About Tuniu

Tuniu (Nasdaq:TOUR) is a leading online leisure travel company in China that offers integrated travel service with a large selection of packaged tours, including organized and self-guided tours, as well as travel-related services for leisure travelers through its website tuniu.com and mobile platform. Tuniu provides one-stop leisure travel solutions and a compelling customer experience through its online platform and offline service network, including a dedicated team of professional customer service representatives, 24/7 call centers, extensive networks of offline retail stores and self-operated local tour operators. For more information, please visit http://ir.tuniu.com.

Safe Harbor Statement

This press release contains forward-looking statements made under the "safe harbor" provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. Tuniu may also make written or oral forward-looking statements in its reports filed with or furnished to the U.S. Securities and Exchange Commission, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Any statements that are not historical facts, including statements about Tuniu's beliefs and expectations, are forward-looking statements that involve factors, risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such factors and risks include, but are not limited to the following: Tuniu's goals and strategies; the growth of the online leisure travel market in China; the demand for Tuniu’s products and services; its relationships with customers and travel suppliers; the Company’s ability to offer competitive travel products and services; Tuniu’s future business development, results of operations and financial condition; competition in the online travel industry in China; relevant government policies and regulations relating to the Company’s structure, business and industry; the impact of the COVID-19 on Tuniu’s business operations, the travel industry and the economy of China and elsewhere generally; and the general economic and business condition in China and elsewhere. Further information regarding these and other risks, uncertainties or factors is included in the Company's filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of the press release, and Tuniu does not undertake any obligation to update such information, except as required under applicable law.

About Non-GAAP Financial Measures

To supplement the Company's unaudited consolidated financial results presented in accordance with United States Generally Accepted Accounting Principles (“GAAP”), the Company has provided non-GAAP information related to income/(loss) from operations, net income/(loss), net income/(loss) attributable to ordinary shareholders of Tuniu Corporation, which excludes share-based compensation expenses, amortization of acquired intangible assets, gain on disposals of subsidiaries and impairment of goodwill. The presentation of this non-GAAP financial measure is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with U.S. GAAP. We believe that the non-GAAP financial measures used in this press release are useful for understanding and assessing underlying business performance and operating trends, and management and investors benefit from referring to these non-GAAP financial measures in assessing our financial performance and when planning and forecasting future periods.

This non-GAAP financial measure is not defined under U.S. GAAP and is not presented in accordance with U.S. GAAP. The non-GAAP financial measure has limitations as an analytical tool. Further, this non-GAAP measure may differ from the non-GAAP information used by other companies, including peer companies, and therefore its comparability may be limited. The Company compensates for these limitations by reconciling the non-GAAP financial measure to the nearest U.S. GAAP performance measure, all of which should be considered when evaluating performance. Tuniu encourages investors and others to review its financial information in its entirety and not rely on a single financial measure.

For more information on these non-GAAP financial measures, please see the table captioned "Reconciliations of GAAP and non-GAAP Results" set forth at the end of this press release.

For investor and media inquiries, please contact:

China

Mary Chen

Investor Relations Director

Tuniu Corporation

Phone: +86-25-6960-9988

E-mail: ir@tuniu.com

(Financial Tables Follow)

Tuniu Corporation

Unaudited Condensed Consolidated Balance Sheets

(All amounts in thousands, except per share information)

	December 31, 2022			June 30, 2023			June 30, 2023
	RMB			RMB			US$
ASSETS
Current assets
Cash and cash equivalents		153,835			309,153			42,634
Restricted cash		44,052			31,335			4,321
Short-term investments		724,413			787,348			108,580
Accounts receivable, net		33,644			77,746			10,722
Amounts due from related parties		1,030			2,855			394
Prepayments and other current assets		242,994			222,491			30,683
Total current assets		1,199,968			1,430,928			197,334

Non-current assets
Long-term investments		230,562			230,827			31,832
Property and equipment, net		85,182			79,225			10,926
Intangible assets, net		30,672			28,767			3,967
Land use right, net		92,590			91,559			12,627
Operating lease right-of-use assets, net		33,204			14,905			2,055
Goodwill		114,661			114,661			15,812
Other non-current assets		91,091			73,596			10,149
Total non-current assets		677,962			633,540			87,368
Total assets		1,877,930			2,064,468			284,702

LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY
Current liabilities
Short-term borrowings		7,517			7,215			995
Accounts and notes payable		261,873			328,760			45,338
Amounts due to related parties		4,710			5,522			762
Salary and welfare payable		26,507			24,314			3,353
Taxes payable		4,047			1,737			240
Advances from customers		98,899			247,473			34,128
Operating lease liabilities, current		12,439			2,667			368
Accrued expenses and other current liabilities		358,312			349,899			48,252
Total current liabilities		774,304			967,587			133,436

Non-current liabilities
Operating lease liabilities, non-current		26,482			10,014			1,381
Deferred tax liabilities		6,839			6,433			887
Long-term borrowings		11,959			10,941			1,509
Total non-current liabilities		45,280			27,388			3,777
Total liabilities		819,584			994,975			137,213

Redeemable noncontrolling interests		27,200			27,200			3,751

Equity
Ordinary shares		249			249			34
Less: Treasury stock		(288,600	)		(287,548	)		(39,655	)
Additional paid-in capital		9,125,655			9,129,654			1,259,037
Accumulated other comprehensive income		298,981			312,677			43,120
Accumulated deficit		(8,028,261	)		(8,034,620	)		(1,108,025	)
Total Tuniu Corporation shareholders’ equity		1,108,024			1,120,412			154,511
Noncontrolling interests		(76,878	)		(78,119	)		(10,773	)
Total equity		1,031,146			1,042,293			143,738
Total liabilities, redeemable noncontrolling interests and equity		1,877,930			2,064,468			284,702

Tuniu Corporation

Unaudited Condensed Consolidated Statements of Comprehensive (Loss)/Income

(All amounts in thousands, except per share information)

	Quarter Ended			Quarter Ended			Quarter Ended			Quarter Ended
	June 30, 2022			March 31, 2023			June 30, 2023			June 30, 2023
	RMB			RMB			RMB			US$
Revenues
Packaged tours		9,531			40,130			69,793			9,625
Others		27,426			23,051			30,159			4,159
Net revenues		36,957			63,181			99,952			13,784
Cost of revenues		(20,440	)		(24,301	)		(34,547	)		(4,764	)
Gross profit		16,517			38,880			65,405			9,020

Operating expenses
Research and product development		(13,963	)		(14,328	)		(13,820	)		(1,906	)
Sales and marketing		(24,474	)		(19,987	)		(24,906	)		(3,435	)
General and administrative		(23,888	)		(22,319	)		(21,741	)		(2,998	)
Impairment of goodwill		(112,102	)		-			-			-
Other operating income		35,059			762			1,841			254
Total operating expenses		(139,368	)		(55,872	)		(58,626	)		(8,085	)
(Loss)/income from operations		(122,851	)		(16,992	)		6,779			935
Other income/(expenses)
Interest and investment income, net		5,206			6,321			7,122			982
Interest Expense		(582	)		(1,149	)		(218	)		(30	)
Foreign exchange (losses)/gains, net		(11,424	)		3,514			(15,152	)		(2,090	)
Other income, net		302			1,101			1,820			251
(Loss)/income before income tax expense		(129,349	)		(7,205	)		351			48
Income taxes benefit/(expense)		21			203			(783	)		(108	)
Equity in income/(loss) of affiliates		790			(469	)		653			90
Net (loss)/income		(128,538	)		(7,471	)		221			30
Net loss attributable to noncontrolling interests		(2,019	)		(454	)		(437	)		(60	)
Net (loss)/income attributable to ordinary shareholders of Tuniu Corporation		(126,519	)		(7,017	)		658			90

Net (loss)/income		(128,538	)		(7,471	)		221			30
Other comprehensive income/(loss):
Foreign currency translation adjustment, net of nil tax		17,277			(4,040	)		17,736			2,446
Comprehensive (loss)/income		(111,261	)		(11,511	)		17,957			2,476

Net (loss)/income per ordinary share attributable to ordinary shareholders - basic and diluted		(0.34	)		(0.02	)		-			-
Net (loss)/income per ADS - basic and diluted*		(1.02	)		(0.06	)		-			-

Weighted average number of ordinary shares used in computing basic (loss)/income per share		371,112,997			371,394,686			371,418,638			371,418,638
Weighted average number of ordinary shares used in computing diluted (loss)/income per share		371,112,997			371,394,686			376,427,714			376,427,714

Share-based compensation expenses included are as follows：
Cost of revenues		291			18			54			7
Research and product development		299			18			54			7
Sales and marketing		448			(16	)		28			4
General and administrative		1,639			758			4,383			604
Total		2,677			778			4,519			622

*Each ADS represents three of the Company's ordinary shares.

Reconciliations of GAAP and Non-GAAP Results

(All amounts in thousands, except per share information)

	Quarter Ended June 30, 2023
			Share-based		Amortization of acquired		Gain on disposals		Impairment		Non-GAAP
	GAAP Result		Compensation		intangible assets		of subsidiaries		of goodwill		Result
Income from operations		6,779		4,519		828		-		-		12,126

Net income		221		4,519		828		-		-		5,568

Net income attributable to ordinary shareholders of Tuniu Corporation		658		4,519		828		-		-		6,005

	Quarter Ended March 31, 2023
				Share-based		Amortization of acquired		Gain on disposals		Impairment		Non-GAAP
	GAAP Result			Compensation		intangible assets		of subsidiaries		of goodwill		Result
Loss from operations		(16,992	)		778		828		-		-		(15,386	)

Net loss		(7,471	)		778		828		-		-		(5,865	)

Net loss attributable to ordinary shareholders of Tuniu Corporation		(7,017	)		778		828		-		-		(5,411	)

	Quarter Ended June 30, 2022
				Share-based		Amortization of acquired		Gain on disposals			Impairment		Non-GAAP
	GAAP Result			Compensation		intangible assets		of subsidiaries			of goodwill		Result
Loss from operations		(122,851	)		2,677		1,939		(32,786	)		112,102		(38,919	)

Net loss		(128,538	)		2,677		1,939		(32,786	)		112,102		(44,606	)

Net loss attributable to ordinary shareholders of Tuniu Corporation		(126,519	)		2,677		1,939		(32,786	)		112,102		(42,587	)

Tuniu (TOUR) 6-KTuniu Announces Unaudited Second Quarter 2023 Financial Results