Atour Lifestyle (ATAT)2024-08-31 04:23Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company reported Q2 2024 revenue of 1.8 billion RMB, an increase of 64.5% year-on-year, and a net profit of 304 million RMB, up 27.1% [1] - The RevPAR for Q2 was 359 RMB, down 6.5% year-on-year, but still 107% of the same period in 2019, indicating a strong recovery [1] - The company continues to strengthen its position in the mid-to-high-end business travel market, with registered members reaching 76 million, a 73% increase [1] - The company has raised its annual store opening target to 400, with 123 new stores opened in Q2, marking a record high for the quarter [1] - Retail business revenue grew by 154% in Q2, benefiting from online channel promotions and new product launches [1] Summary by Sections Financial Performance - Q2 2024 revenue was 1.8 billion RMB, with a year-on-year growth of 64.5% - Adjusted net profit for Q2 was 328 million RMB, up 31.6% [1] - EBITDA for Q2 was 419 million RMB, a 25.3% increase [1] Operational Metrics - Q2 RevPAR was 359 RMB, down 6.5% year-on-year, but occupancy rate (OCC) improved slightly to 78.4% [1] - The company’s ADR was 441 RMB, down 7.2% year-on-year [1] Market Position - The company has a strong presence in the mid-to-high-end business travel market, with a 19.3% share of corporate agreement room nights [1] - The number of stores reached 1,412, a 37% increase year-on-year, with a pipeline of 712 new stores [1] Shareholder Returns - The company announced a shareholder return plan, committing to distribute at least 50% of the previous fiscal year's net profit as dividends over the next three years [1]