French tour operator Club Med has reported greatly reduced full-year losses and forecast a much stronger 2011 as it looks to expand into China.
Net losses for the year to the end of October came in at 14m euros ($18.6m; £11.8m), compared with a loss of 53m euros the previous year.
The holiday group also said it was now generating a positive cash flow.
A jump in bookings and the opening of two new resorts, including its first in China, will boost revenue, it said.
Bookings in December are 15% up on a year earlier, while the group will open two new holiday "villages", the second in Egypt.
"Fiscal 2011 is shaping up favourably with a Club Med that now generates underlying free cash flow, while also recording double-digit growth in winter bookings and simultaneously opening two new villages - a series of events that we haven't seen for a long time," said chief executive Henri Giscard D'Estang.
The Chinese resort will be the group's first in the country, and will be followed by four more by 2015.
To secure this expansion, Club Med has joined up with Chinese developer Fosun, which has taken a 10% stake in the business.