Investment Rating - The report maintains a "Hold" rating for Jin Jiang Hotels (600754.CH) with a target price of RMB 28.1, indicating a potential upside of 5.6% from the current price of RMB 26.6 [2][5][6]. Core Insights - Jin Jiang Hotels reported a revenue of RMB 38.98 billion in Q3 2024, a year-on-year decline of 7.1%, and a net profit attributable to shareholders of RMB 2.6 billion, down 43.1% year-on-year. The significant drop in net profit is attributed to a normalization of post-pandemic travel demand, negative operating leverage, and one-time factors such as increased effective tax rates [2][3]. - The company is expected to exceed its annual store opening target, having opened 1,149 new stores in the year to date, with a total of 13,186 stores as of Q3 2024. The proportion of mid-to-high-end hotels has increased by 2.7 percentage points to 59.7% [2][3][4]. Financial Performance Summary - **Revenue and Profit Forecasts**: The revenue for 2024E is projected at RMB 14.008 billion, reflecting a decrease of 4.4% year-on-year. The net profit attributable to shareholders is forecasted to be RMB 1.176 billion, a decrease of 20.8% from previous estimates [7][12]. - **RevPAR Performance**: In Q3 2024, the domestic RevPAR for full-service and limited-service hotels decreased by 18.2% and 8.4% year-on-year, respectively, primarily due to significant declines in average room rates [3][11]. - **Operating Efficiency**: The overseas business showed slight improvement with revenues of RMB 12.5 billion in Q3 2024, a year-on-year increase of 1.9%, driven by a 6.3% increase in average room rates due to events like the Paris Olympics [2][3]. Store Expansion and Structure - Jin Jiang Hotels has maintained a high pace of store openings, with 469 new stores added in Q3 2024 alone. The company is on track to exceed its target of opening 1,200 new stores by the end of the year [2][3][4]. - The ongoing optimization of store structure, with an increasing share of mid-to-high-end hotels, is expected to enhance profit margins [2][3].

Investment Rating - The report maintains a rating of "Accumulate" for the company with a current price of 26.95 yuan [1] Core Views - The company reported a revenue of 10.79 billion yuan for the first three quarters of 2024, a year-on-year decrease of 2.6%, while the net profit attributable to shareholders was 1.106 billion yuan, an increase of 12.1% year-on-year [1] - The third quarter of 2024 saw a revenue of 3.898 billion yuan, down 7.1% year-on-year, and a net profit of 258 million yuan, down 43.1% year-on-year [1] - The report highlights challenges in achieving the annual equity incentive targets due to pressure on net profit margins and increased tax burdens [1] Financial Performance Summary - For Q3 2024, the company’s gross profit margin was 44.3%, a year-on-year increase of 0.6 percentage points, while the expense ratio was 31.1%, an increase of 2.9 percentage points [1] - The company opened 469 new hotels in Q3 2024, with a net increase of 248 hotels, indicating a strong expansion strategy [1] - The report projects a decline in revenue for 2024, estimating 14.21 billion yuan, a decrease of 3% from 2023, with net profit expected to be 1.244 billion yuan, an increase of 24.23% [2][3] Revenue and Profit Forecast - The company’s revenue is projected to grow to 14.920 billion yuan in 2025 and 15.666 billion yuan in 2026, with corresponding net profits of 1.411 billion yuan and 1.570 billion yuan respectively [2][3] - The earnings per share (EPS) are forecasted to be 1.16 yuan for 2024, 1.32 yuan for 2025, and 1.47 yuan for 2026 [2][3] Valuation Metrics - The report indicates a price-to-earnings (P/E) ratio of 23 for 2024, decreasing to 20 in 2025 and 18 in 2026, suggesting a favorable long-term valuation outlook [2][3] - The return on equity (ROE) is expected to improve from 7.16% in 2024 to 7.97% in 2026 [2][3]

Investment Rating - The report maintains a "Recommended" rating for Jinjiang Hotels (600754.SH) [1][3] Core Views - Jinjiang Hotels continues to expand rapidly, with limited-service hotel occupancy rates rising against the trend [1] - The company reported a revenue of 10.79 billion yuan for the first three quarters of 2024, a year-on-year decrease of 1.57%, while net profit attributable to shareholders increased by 13.40% to 1.106 billion yuan [1] - The report highlights the resilience of limited-service hotels, which have shown an increase in occupancy rates despite a challenging market environment [1] Financial Performance Summary - For Q3 2024, the company reported a revenue of 3.898 billion yuan, down 6.20% year-on-year, and a net profit of 258 million yuan, down 42.89% year-on-year [1] - The gross margin for Q3 2024 was 44.34%, an increase of 0.63 percentage points year-on-year, while the net margin decreased by 4.25 percentage points to 6.62% [1] - The company opened 1,149 new hotels in the first three quarters of 2024, with a net increase of 738 hotels compared to the end of 2023 [1][4] Revenue and Profit Forecast - The forecast for net profit attributable to shareholders is 1.256 billion yuan for 2024, 1.379 billion yuan for 2025, and 1.567 billion yuan for 2026, with corresponding PE ratios of 23, 21, and 18 [2][4] - The expected revenue growth rates for 2024, 2025, and 2026 are 2.54%, 5.61%, and 6.15% respectively [4] Operational Insights - The report notes that the RevPAR (Revenue per Available Room) for domestic full-service hotels decreased by 18.17% year-on-year, while limited-service hotels experienced a smaller decline of 8.38% [1] - The occupancy rate for limited-service hotels reached 73.36%, an increase of 1.69 percentage points year-on-year, indicating strong performance in this segment [1]

Investment Rating - The report maintains a "Recommended" rating for the company [6]. Core Views - The company achieved revenue of 10.79 billion yuan in the first three quarters of 2024, a year-on-year decrease of 2.5%, while net profit attributable to shareholders was 1.11 billion yuan, an increase of 12.1% year-on-year. However, the net profit excluding non-recurring items was 640 million yuan, a year-on-year decrease of 20.4% [1]. - In Q3 2024, the company reported revenue of 3.90 billion yuan, a year-on-year decrease of 7.1%, and a net profit attributable to shareholders of 260 million yuan, a year-on-year decrease of 43.1% [1]. - The domestic hotel business faced pressure, with RevPAR in the Chinese region declining by 8.4% year-on-year, while overseas operations showed marginal improvement [1]. - The company opened a total of 1,149 hotels in the first three quarters, achieving 96% of its annual target of 1,200 new openings [2]. - The Q3 gross profit margin was 43.4%, a decrease of 1.1 percentage points year-on-year, influenced by the decline in RevPAR [2]. - The report forecasts net profits for 2024-2026 to be 1.26 billion, 1.23 billion, and 1.49 billion yuan, respectively, with corresponding PE ratios of 23x, 23x, and 19x [2]. Summary by Sections Financial Performance - Revenue for 2023 is projected at 14.65 billion yuan, with a growth rate of 29.53%. For 2024, revenue is expected to reach 15.87 billion yuan, reflecting a growth rate of 8.30% [4]. - The net profit for 2023 is estimated at 1.00 billion yuan, with a staggering growth rate of 691.14%. The forecast for 2024 is 1.26 billion yuan, with a profit growth rate of 26.20% [4]. - The gross profit margin is expected to be 41.99% in 2023, slightly decreasing to 40.58% in 2024 [4]. Operational Insights - The company is actively pursuing internal organizational reforms to enhance efficiency and performance, which is expected to support future growth targets [2]. - The company has implemented a "12+3+1" brand strategy, with a focus on expanding its mid-range hotel offerings, which accounted for 69% of new openings in Q3 [2].

Investment Rating - The investment rating for the company is "Buy" (maintained) [4] Core Views - The company reported a revenue of 10.79 billion yuan for the first three quarters of 2024, a year-on-year decrease of 2.5%, while the net profit attributable to shareholders was 1.11 billion yuan, an increase of 12.1% year-on-year [6][2] - In Q3 2024, the company achieved a revenue of 3.90 billion yuan, down 7.1% year-on-year, with a net profit of 260 million yuan, a decline of 43.1% year-on-year [6][2] - The report anticipates that the effects of reforms will gradually be released, maintaining a "Buy" rating despite the current pressures [6][2] Summary by Sections Financial Performance - For Q3 2024, the company's revenue decreased by 7.1%, with domestic limited-service hotel and food and beverage business revenues down 11.6% and 9.0% respectively [6] - The gross margin for Q3 was 44.3%, a decline of 1.0 percentage points year-on-year, with increased costs leading to a significant drop in net profit [6][2] - The company opened 1,149 new hotels in the first three quarters, achieving 96% of its annual target, but faced a higher closure rate in Q3 [6][2] Future Projections - Revenue projections for 2024-2026 are 14.57 billion yuan, 15.94 billion yuan, and 16.91 billion yuan, with year-on-year growth rates of -0.5%, +9.4%, and +6.1% respectively [6][7] - Net profit projections for the same period are 1.15 billion yuan, 1.53 billion yuan, and 1.77 billion yuan, with growth rates of +14.9%, +33.1%, and +15.4% respectively [6][7] - The report indicates that the most turbulent phase of the company's reforms has passed, with expectations for gradual improvement in performance [6][7]

Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company reported a revenue of 3.898 billion yuan in Q3 2024, a year-over-year decrease of 7.10%, and a net profit attributable to the parent company of 258 million yuan, down 43.08% year-over-year [2][3] - The report highlights the impact of the acquisition of 100% equity in Jinjiang Hotel Management, which has affected the financial data for Q3 2024 [2] - The company is expected to achieve net profits of 1.218 billion yuan, 1.372 billion yuan, and 1.622 billion yuan for the years 2024, 2025, and 2026 respectively, with a corresponding PE ratio of 23.67 for 2024 [4] Financial Performance Summary - In Q1-3 2024, the company achieved a gross margin of 41.48%, a decrease of 1.71 percentage points year-over-year [3] - The domestic limited-service hotel business reported a revenue of 2.530 billion yuan, down 11.63% year-over-year, while the full-service hotel segment saw declines in ADR, OCC, and RevPAR by 15.93%, 1.60 percentage points, and 18.17% respectively [3][4] - The overseas limited-service hotel business recorded a slight revenue increase to 162 million euros, up 2.30% year-over-year, although all performance metrics (ADR, OCC, RevPAR) showed declines [4] Future Projections - The company plans to continue signing quality assets to enhance the profitability of direct-operated stores and optimize its overseas debt structure [4] - The report forecasts a slight decrease in revenue for 2024, followed by growth in subsequent years, with expected revenue of 14.508 billion yuan in 2024, 14.931 billion yuan in 2025, and 15.658 billion yuan in 2026 [5][9]

Investment Rating - The investment rating for the company is "Outperform the Market" [7][19]. Core Views - The company's performance in Q3 was below expectations, with revenue of 3.898 billion yuan, down 7.1%, and a net profit attributable to shareholders of 258 million yuan, down 43.08% [2][9]. - The decline in domestic RevPAR (Revenue per Available Room) significantly impacted the company's operations, while overseas hotels showed a slight improvement [3][11]. - The company achieved 96% of its new store opening target by the end of Q3, focusing on franchise expansion and optimizing direct operations [4][12]. Summary by Relevant Sections Financial Performance - In Q3, the company reported a revenue of 3.898 billion yuan, a decrease of 7.1%, and a net profit of 258 million yuan, down 43.08% [2][9]. - For the first three quarters, total revenue was 10.79 billion yuan, a decline of 2.55%, while net profit increased by 12.13% to 1.106 billion yuan, largely due to the sale of a subsidiary [2][9]. RevPAR Trends - Domestic RevPAR for limited-service hotels decreased by 8.38%, while full-service hotels saw a decline of 18.17% [3][11]. - The company's direct-operated hotels experienced a RevPAR drop of 9.62%, indicating further pressure on profitability [3][11]. Expansion and Strategy - The company opened 469 new hotels in Q3, with a net increase of 248, achieving 96% of its annual target [4][12]. - The focus remains on franchise growth and optimizing direct operations, which may temporarily affect performance but is expected to alleviate burdens in the long run [4][12]. Future Outlook - The company anticipates challenges in meeting its annual equity incentive targets due to current performance pressures [4][13]. - If policies continue to stimulate business travel demand and industry trends improve, there are potential mid-term opportunities from operational upgrades and central reservation system enhancements [4][13].

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported Q3 2024 earnings that were below expectations, with revenue of 10.79 billion yuan, a year-on-year decrease of 3%, and a net profit attributable to shareholders of 1.11 billion yuan, a year-on-year increase of 12% [2] - The decline in RevPAR (Revenue per Available Room) for limited-service hotels in mainland China was a significant factor, with a decrease of 8% [3] - The company has opened 1,149 hotels in the first three quarters, indicating a strong expansion strategy, with a target of 1,200 openings for the year [4] - The company is expected to recover its profitability as business travel demand rebounds, despite a downward revision of profit forecasts due to the RevPAR decline [5] Financial Performance Summary - For Q3 2024, the company achieved a revenue of 3.90 billion yuan, down 7% year-on-year, and a net profit of 260 million yuan, down 43% year-on-year [2] - The average RevPAR for limited-service hotels in mainland China was 174 yuan in Q3, with an occupancy rate of 73.4% [4] - The company’s gross margin for Q3 was 43.4%, a decrease of 1.1 percentage points year-on-year, while the net profit margin was 2.6%, down 1.9 percentage points year-on-year [3] - The projected net profits for 2024, 2025, and 2026 are 12.42 billion yuan, 14.18 billion yuan, and 15.31 billion yuan, respectively [5]

Investment Rating - The report assigns a rating of "Buy" for the company [6]. Core Views - The company's performance fell short of expectations due to demand fluctuations and the recognition of certain one-time expenses. Improvements from organizational and personnel adjustments will require more time to manifest [2][4]. Financial Summary - The company has adjusted its earnings per share (EPS) forecasts for 2024, 2025, and 2026 to 1.09, 1.15, and 1.32 yuan respectively, reflecting decreases of 0.29, 0.25, and 0.26 yuan [4]. - The net profit attributable to the parent company for 2024 is projected to be 7.25 billion yuan, with subsequent years at 10.39 billion and 12.19 billion yuan [4]. - For Q3 2024, the company reported a revenue of 38.98 billion yuan, a decrease of 7.10% year-on-year, and a net profit of 2.58 billion yuan, down 43.08% [4][5]. - The company opened 469 new stores and closed 221, resulting in a net increase of 248 stores in Q3 [4]. Operational Insights - The report highlights that the company's main business has not yet shown signs of improvement, with domestic RevPAR down 8.38% and average daily rate (ADR) down 10.5% in Q3 [4]. - The increase in sales expenses and income tax, along with a decrease in asset disposal gains, contributed to the profit decline [4]. Future Outlook - The company is expected to benefit from a recovery in demand starting in 2025, with operational and performance improvements anticipated [4]. - The target price has been raised to 34.80 yuan, reflecting a price-to-earnings (PE) ratio of 30x for 2025, which is above the industry average [4][6].

Investment Rating - The report maintains a "Buy" rating for Jinjiang Hotels (600754.SH) [1] Core Views - The company reported a revenue of 10.79 billion RMB for the first three quarters, a decrease of 2.55% year-on-year, while the net profit attributable to shareholders increased by 12.13% to 1.11 billion RMB [1] - The report highlights that the domestic hotel business faced pressure due to high base effects, with RevPAR declining by 18.2% in Q3 [1] - The company is expected to exceed its annual target of opening 1,200 new hotels, having opened 469 hotels in Q3 [1] Summary by Sections Financial Performance - Q1-3 revenue: 10.79 billion RMB, down 2.55% YoY; net profit: 1.11 billion RMB, up 12.13%; Q3 revenue: 3.90 billion RMB, down 7.10%; Q3 net profit: 258 million RMB, down 43.08% [1] - Domestic full-service hotel revenue in Q3: 57.49 million RMB, up 42.9%; RevPAR: 272.3 RMB, down 18.2% [1] - Domestic limited-service hotel revenue: 2.53 billion RMB, down 11.6%; RevPAR: 174.4 RMB, down 8.4% [1] Operational Insights - The company opened 469 hotels in Q3, with a net increase of 248 hotels; limited-service hotels accounted for 446 new openings [1] - The company aims to improve internal management efficiency and reduce debt [1] Profitability and Valuation - Q3 gross margin: 44.3%, up 0.6 percentage points; operating profit down 23.8% YoY [1] - Earnings forecasts for 2024E-2026E: net profit of 1.20 billion RMB, 1.27 billion RMB, and 1.58 billion RMB, respectively, with corresponding P/E ratios of 26.1X, 24.7X, and 19.8X [1]