Investment Rating - The report gives a "Buy" rating for the company, indicating a positive outlook for its future performance [6][8]. Core Insights - Tehai International, spun off from Haidilao's overseas operations, has established a significant presence in the global market with 122 stores across 13 countries as of June 30, 2024, primarily in Southeast Asia [3][16]. - The company reported a revenue of 371millioninthefirsthalfof2024,reflectingayear−over−yeargrowthof14.526 million, and is expected to continue growing with projected revenues of 800million,933 million, and 1.072billionfor2024,2025,and2026respectively[6][24].−Theaveragedailyrevenueperrestauranthasshownanupwardtrend,increasingfrom15,400 in 2022 to 17,200in2024[4][30].MarketAnalysis−TheglobalChinesecuisinemarketwasvaluedat306.1 billion in 2022, with hot pot accounting for 11.2% of this market, indicating a strong growth potential for Tehai International [4][5]. - The company has a robust brand presence, ranking 14th among global restaurant brands and first among Chinese brands in 2024 [5]. Operational Highlights - Tehai International's management team is experienced, with the new CEO having over 27 years in the industry, contributing to effective operational strategies [21][23]. - The company has implemented a localized approach to enhance customer experience, achieving a 50% share of non-Chinese customers in 2023 [5][24]. Regional Performance - Southeast Asia remains the largest market for the company, contributing 55% of total revenue, while North America shows significant growth potential with an increase in store openings [34][36]. - The average table turnover rate has improved from 2.1 times per day in 2021 to 3.8 times in 2024, reflecting operational efficiency [27][31].
