(Yicai Global) June 4 -- Shares of Tuniu surged after the Chinese hotel and flights booking platform operator predicted a more than fourfold increase in revenue this quarter amid the rebounding domestic tourism market.

Tuniu's shares [NASDAQ: TOUR] closed 10.4 percent higher at USD2.76 in New York yesterday, after which they were 0.7 percent up in pre-market trading.

For the second quarter, Tuniu expects to log a more than quadrupled revenue jump from a year ago to a sum between CNY142.9 million and CNY149.7 million (up to USD23.4 million), the Nanjing-based company said in its earnings report yesterday.

The first quarter was showing quick recovery after the beginning of the pandemic. Net loss shrank to CNY39.5 million (USD6 million) from a year earlier due to belt-tightening. Cost of revenue, including marketing and distribution spend, fell 40 percent to CNY48.7 million.

However, net revenue declined 56 percent to CNY77.4 million because the Covid-19 pandemic is still not over, it added. Package tours made up nearly 60 percent of the total, even though the sum had dropped more than 60 percent from a year ago. Other income sources slid over 40 percent, dragged down by financial services.

Amid international travel restrictions, people are expected to make more trips in China. "We are excited to see that China's domestic travel market has been recovering at a rapid pace," said Donald Yu, Tuniu's founder and chairman. "Tuniu is benefiting from the strong market momentum."

"Looking ahead, we will continue to create more innovative products and services to fulfill our mission of making travel easier," Yu added.

Editor: Emmi Laine, Xiao Yi