Core Viewpoint - The company reported its Q1 2025 unaudited financial performance, showing stable revenue growth but facing challenges in profit margins and RevPAR due to market conditions [1][2] Financial Performance - In Q1 2025, the company achieved revenue of 5.4 billion yuan, a year-on-year increase of 2.2%, with leasing and owned hotels down 10.0% and franchise and licensed hotels up 21.1% [1] - Adjusted net profit for Q1 2025 was 780 million yuan, reflecting a 0.5% year-on-year growth, impacted by high income tax [1] - The overall revenue performance aligns with previous guidance, while gross margin improved by 0.7 percentage points, and SG&A expenses decreased by 0.6 percentage points [1] Market Conditions - The hotel industry continues to experience supply-demand imbalance, with the company's RevPAR declining by 3.9% in Q1 2025, primarily due to a 2.6% drop in ADR [1] - Same-store RevPAR fell by 8.3%, indicating pressure from product quality upgrades and increased market supply [1] - Despite these challenges, the company opened 694 new hotels in Q1 2025, with a total of 2,865 stores in reserve as of the end of March 2025, 61.1% of which are mid-range and above [1] Future Outlook - The company is expected to generate revenues of 24.857 billion yuan, 26.444 billion yuan, and 28.273 billion yuan for 2025-2027, with corresponding growth rates of 4.0%, 6.4%, and 6.9% [2] - Projected net profits for the same period are 4.222 billion yuan, 5.011 billion yuan, and 5.701 billion yuan, with growth rates of 38.5%, 18.7%, and 13.8% respectively [2] - The company maintains a stable leading position in the market, with significant potential for brand expansion and globalization, leading to a "buy" rating [2]
华住集团-S(01179.HK)：营收稳健增长 加盟商热情延续