JINJIANG HOTELS(SH:600754) EBSCN·2025-11-03 03:40Investment Rating - The report maintains an "Accumulate" rating for the company [1] Core Views - The company reported a revenue of 10.241 billion yuan for the first three quarters of 2025, a year-on-year decrease of 5.1%, while the net profit attributable to the parent company was 746 million yuan, down 32.5% year-on-year. However, the net profit excluding non-recurring items increased by 31.4% to 840 million yuan [4] - In Q3 2025, the company achieved a revenue of 3.715 billion yuan, a decrease of 4.7% year-on-year, but the net profit attributable to the parent company rose by 45.5% to 375 million yuan, and the net profit excluding non-recurring items increased by 72.2% to 431 million yuan [4][5] - The decline in RevPAR (Revenue per Available Room) for domestic limited-service hotels narrowed to 2.0% in Q3 2025, compared to 5.0% in Q2 and 5.31% in Q1, indicating a continuous recovery trend [5] - The company has a five-year capital expenditure plan totaling 480 million euros for overseas hotel renovations and digital upgrades, which is expected to improve long-term operational performance [6] Summary by Sections Financial Performance - For the first three quarters of 2025, the company reported a revenue of 10.241 billion yuan, down 5.1% year-on-year, and a net profit of 746 million yuan, down 32.5% year-on-year. The net profit excluding non-recurring items was 840 million yuan, up 31.4% [4] - In Q3 2025, the company achieved a revenue of 3.715 billion yuan, down 4.7% year-on-year, with a net profit of 375 million yuan, up 45.5% year-on-year [4] RevPAR and Hotel Performance - The RevPAR for domestic limited-service hotels in Q3 2025 was 170.94 yuan, down 2.0% year-on-year, showing improvement from previous quarters [5] - The average room rate for limited-service hotels increased by 3.1% year-on-year, while the average occupancy rate decreased by 3.6 percentage points [5] Cost Management and Profitability - The company's gross margin in Q3 2025 was 41.7%, down 2.6 percentage points year-on-year, while the net profit margin reached 10.1%, up 3.5 percentage points year-on-year [6] - The company has effectively controlled expenses, with a decrease in selling, administrative, and financial expense ratios [6] Expansion and Future Outlook - The company opened 343 new hotels in Q3 2025, with a net increase of 212 hotels, moving towards its goal of adding 1,300 new hotels in 2025 [7] - The report projects a downward adjustment in net profit forecasts for 2025-2027, with expected net profits of 841 million yuan, 1.132 billion yuan, and 1.357 billion yuan respectively [7][8]