JINJIANG HOTELS(SH:600754) GUOTAI HAITONG SECURITIES·2025-11-03 06:00Investment Rating - The investment rating for the company is "Accumulate" with a target price of 30.35 CNY [5]. Core Insights - The company's performance met expectations, with high growth in the current quarter attributed to a low base from the previous year. Direct operations have shown improvement in both data and profits, although overseas losses still need to be addressed [2][11]. Financial Summary - Total revenue for 2023 is projected at 14,649 million CNY, with a year-on-year increase of 29.5%. However, a decline of 4.0% is expected in 2024, followed by further declines in 2025 and 2026 [4]. - Net profit attributable to the parent company is expected to be 1,002 million CNY in 2023, reflecting a significant increase of 691.1% year-on-year, but a decrease of 9.1% is anticipated in 2024 [4]. - Earnings per share (EPS) for 2025 is estimated at 0.86 CNY, with a gradual increase to 1.16 CNY by 2027 [4]. Operational Performance - In Q3 2025, the company achieved revenue of 3,715 million CNY, a year-on-year decrease of 4.71%, while the net profit attributable to the parent company was 375 million CNY, showing a year-on-year increase of 45.45% [11]. - The overall RevPAR (Revenue per Available Room) decreased by 1.99% year-on-year in Q3 2025, but the decline was less severe compared to Q2 [11]. - The company opened 343 new stores and closed 131, resulting in a net increase of 212 stores in the quarter [11]. Market Position - The company is positioned as an industry leader with significant potential for performance improvement, particularly in direct operations and overseas loss reduction [11]. - The financial outlook suggests that the company will benefit from operational efficiency improvements and a recovery in market expectations, which may positively impact its valuation [11].