Core Viewpoints - The company achieved a revenue of 6.426 billion yuan in Q2 2025, a year-on-year increase of 4.5%, and a net profit attributable to shareholders of 1.544 billion yuan, up 44.7% year-on-year [1] - Adjusted net profit reached 1.349 billion yuan, reflecting a year-on-year growth of 7.6%, with overall operational efficiency and store openings remaining stable [1] - The company continues to advance asset-light strategies and brand upgrades, with improvements in the mid-to-high-end matrix and supply chain optimization [2] Financial Performance - Q2 2025 revenue growth was close to the previous guidance of 1% to 5%, with management franchise revenue at 2.865 billion yuan, up 22.8%, exceeding the prior guidance of 18% to 22% [1] - Legacy-Huazhu revenue was 5.107 billion yuan, a 5.8% increase, falling within the guidance range of 3% to 7% [1] - Overall GMV reached 26.9 billion yuan, a year-on-year increase of 15% [1] Operational Metrics - The adjusted EBITDA for Q2 was 2.270 billion yuan, an 11.3% increase, with Legacy-Huazhu contributing 2.090 billion yuan, up 9.5% [1] - The operating profit for DH improved significantly, with a 52.7% increase, driven by an 8.1% rise in RevPAR [1] - The overall hotel operating cost ratio was 58.4%, a decrease of 2.3 percentage points year-on-year, with rent costs down by 1.5 percentage points [1] Store Expansion and Strategy - In Q2, the company opened 597 new stores, with a net increase of 452 stores, maintaining a steady pace of expansion [1] - The mid-range hotel brand, Juzi, has surpassed 1,000 locations, indicating potential for growth in the mid-tier segment [2] - The company aims to maintain its annual store opening target without adjustments [1] Brand and Supply Chain Development - The company is focusing on brand upgrades, recently launching Hanting 4.0, which aims to optimize costs and improve quality and efficiency [2] - Franchise revenue contributed 64% to the overall operating profit, with a year-on-year increase of approximately 10.5 percentage points [2] - Supply chain enhancements are expected to yield a 10% to 20% reduction in procurement costs for furniture, soft furnishings, and construction materials [2]
华住集团-S(1179.HK)：降费提效和轻资产化助力盈利能力提升 品牌和供应链持续迭代