BTG Hotels(600258) Guolian Securities·2024-10-31 06:57Investment Rating - The investment rating for the company is "Buy (Maintain)" [4] Core Views - The company reported a revenue of 5.89 billion yuan for the first three quarters of 2024, a year-on-year decline of 0.4%, while the net profit attributable to shareholders was 720 million yuan, an increase of 5.6% year-on-year [6][2] - In Q3 2024, the company achieved a revenue of 2.16 billion yuan, down 6.4% year-on-year, with a net profit of 370 million yuan, a decrease of 9.5% year-on-year [6][2] - The company is focusing on developing standard brands, with a significant increase in the number of new hotel openings, totaling 952 in the first three quarters of 2024 [6][2] - The company experienced pressure in both hotel and scenic area operations, leading to a decline in profits in Q3 2024 [6][2] - Positive trends were observed during the National Day holiday, indicating a potential recovery in business travel demand [6][2] Summary by Sections Financial Performance - For the first three quarters of 2024, the company achieved a revenue of 5.89 billion yuan, a decline of 0.4% year-on-year, and a net profit of 720 million yuan, an increase of 5.6% year-on-year [6][2] - In Q3 2024, the revenue was 2.16 billion yuan, down 6.4% year-on-year, with a net profit of 370 million yuan, a decrease of 9.5% year-on-year [6][2] - The company’s gross profit margin and various expense ratios showed mixed results, with a gross margin decrease of 2.3 percentage points [6][2] Business Strategy - The company opened 952 new hotels in the first three quarters of 2024, with a focus on standard brands, which accounted for 60.3% of new openings [6][2] - The company is enhancing the quality of its new hotel openings, particularly in the economy and mid-to-high-end segments [6][2] Market Outlook - The company’s RevPAR (Revenue per Available Room) for all hotels, excluding light management hotels, was 195 yuan in Q3 2024, down 6.0% year-on-year, but showed a 4.5% increase during the National Day holiday [6][2] - The company expects a gradual recovery in business travel demand, supported by favorable policies [6][2] Financial Projections - Revenue projections for 2024-2026 are 7.76 billion, 8.50 billion, and 8.76 billion yuan, with expected net profits of 820 million, 996 million, and 1.12 billion yuan respectively [6][2] - The company’s EPS (Earnings Per Share) is projected to be 0.73, 0.89, and 1.00 yuan per share for 2024, 2025, and 2026 respectively [6][2]