Investment Rating - The report assigns a "Buy" rating for both US and Hong Kong stocks of the company [3]. Core Views - The company reported Q1 2024 revenue of 5.3 billion RMB, an 18% year-over-year increase, exceeding previous guidance of 12%-16% [5]. - The growth in revenue is primarily driven by new store openings, with franchise revenue increasing by 33% to 2.1 billion RMB and direct hotel revenue increasing by 8% to 3.1 billion RMB [5]. - The adjusted EBITDA for Q1 2024 rose by 38% to 1.4 billion RMB, reflecting a 169% increase compared to Q1 2019 [5]. - The company opened 569 new hotels in China during Q1 2024, significantly surpassing the previous year's total of 264 openings [5]. - The company expects Q2 2024 revenue to grow by 7%-11% [5]. Summary by Sections Financial Performance - Q1 2024 revenue reached 5.3 billion RMB, up 18% year-over-year and 162% compared to Q1 2019 [5]. - Q1 2024 net profit attributable to shareholders decreased by 33% to 660 million RMB, primarily due to the sale of assets in Q1 2023 [5]. - The company forecasts net profits of 4.2 billion RMB, 4.8 billion RMB, and 5.4 billion RMB for 2024, 2025, and 2026 respectively [5]. Operational Metrics - In Q1 2024, RevPAR in China increased by 3% to 216 RMB, while ADR rose by 1% to 280 RMB [5]. - The occupancy rate in China increased by 1.6 percentage points to 77.2% [5]. - The company has a total of 9,684 hotels in operation, with 3,138 hotels in the pipeline [5]. Market Outlook - The report maintains a reasonable value estimate of 35.06 HKD per share and 44.77 USD per ADS, supporting the "Buy" rating [5].
华住集团-S：24Q1收入超指引，新开店超预期