BTG Hotels(600258) Soochow Securities·2024-10-30 07:32Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported a revenue of 5.89 billion yuan for the first three quarters of 2024, a year-on-year decrease of 0.4%, with a net profit attributable to shareholders of 720 million yuan, an increase of 6% year-on-year [2] - Q3 performance met expectations, with revenue of 2.16 billion yuan, down 6% year-on-year, and a net profit of 370 million yuan, down 10% year-on-year. The average RevPAR decreased by 7.8%, impacting direct business revenue [2][3] - The company opened 385 new stores in Q3, with a net increase of 273 stores, representing a year-on-year increase of 237%. The total number of hotels reached 6,748, an 8% increase year-on-year [3] Summary by Sections Financial Performance - For Q3, the gross profit margin was 43.1%, down 2.3 percentage points year-on-year. The net profit margin was 17.0%, down 0.6 percentage points year-on-year [2] - The average RevPAR for Q3 was 170 yuan, down 7.8% year-on-year, with an occupancy rate of 69.7%, down 1.8 percentage points year-on-year [3] Store Expansion - The company achieved a net increase of 273 stores in Q3, with the proportion of standard stores rising to 60%, a significant increase from 42% in the same period last year [3] - The company aims to open 1,200 to 1,400 stores by the end of the year, with 952 stores opened in the first three quarters [3] Profit Forecast and Valuation - The profit forecast for 2024-2026 is adjusted to 810 million, 910 million, and 970 million yuan respectively, with corresponding P/E ratios of 20, 17, and 16 times [4] - The company is positioned as the third-largest hotel chain in China, benefiting from resource integration with its parent group [4]