HK Stock Market Move | Airline stocks rise in the afternoon session, the Mid-Autumn Festival and National Day holidays are expected to boost demand for civil aviation, institutions predict that the industry will return to profitability for the whole year.

Aviation stocks rose in the afternoon. As of press time, Air China Limited (00753) rose by 4.82% to HK$5.44; China Eastern Airlines (00670) rose by 3.74% to HK$3.05; China Southern Airlines (01055) rose by 2.65% to HK$3.88. On the news front, according to TravelWeekly, as of September 8th, the number of domestic airline tickets booked for the Mid-Autumn Festival and National Day holidays has exceeded 3.26 million, with a daily average increase of over 26% compared to the same period last year. The number of international and domestic airline tickets booked for the Mid-Autumn Festival and National Day holidays has exceeded 1.16 million, with a daily average increase of about 15% compared to the same period last year. With the Mid-Autumn Festival and National Day holidays approaching, the demand for air travel is expected to increase. Cathay Haitong released a research report stating that after significant events in early September, the Beijing market quickly rebounded in terms of volume and price, with active demand for business travel. Considering the impact of major conferences in October, the advance of business demand will ensure continued improvement in volume and price in the second half of September; It is expected that the profitability of airlines in the third quarter of 2025 will still show a year-on-year increase. Considering the price war in the fourth quarter of 2024 resulting in low ticket prices, it is expected that the anti-internal competition will help improve ticket prices in the off-peak season compared to the first half of the year, and airlines are expected to continue to substantially reduce losses year-on-year, reversing the industry-wide loss situation. Emphasizing the long-term logic of aviation, with the recovery of business demand, consideration of market-oriented ticket prices and slowing fleet expansion, the profitability of airlines will increase and continue.