Core Viewpoint - Haidilao International Holding Ltd. reported a revenue of 42.755 billion yuan for the year ending December 31, 2024, marking a 3.1% year-on-year increase, and a net profit of 4.7 billion yuan, up 4.6% year-on-year, contrasting with many peers facing revenue growth without profit increase [1][2]. Financial Performance - The core operating profit reached 6.23 billion yuan, reflecting an 18.7% year-on-year increase [1]. - The company has achieved revenue and net profit growth for two consecutive years [1]. Dividend and Shareholder Meeting - The board will propose a final cash dividend of 0.507 HKD per share at the upcoming annual general meeting [2]. Store Expansion and Management Strategy - As of the end of 2024, Haidilao operated 1,368 restaurants, including 1,332 self-operated in mainland China, 23 in Hong Kong, Macau, and Taiwan, and 13 franchised locations [2]. - The company emphasizes a management philosophy of "grasping customers and employees" while launching the "Pomegranate Plan" to explore new growth points [2][11]. Market Trends and Customer Engagement - Daily customer traffic exceeded 1.1 million, with an average table turnover rate of 4.1 times per day, and takeout revenue increased by 20.4% to 1.254 billion yuan [3][4]. - The overall restaurant market in China grew, with national restaurant revenue reaching 55.718 billion yuan, a 5.3% increase [3]. Product and Service Innovation - Haidilao introduced over 20 national new products and more than 200 regional specialty dishes in 2024, catering to local tastes [4]. - The company has diversified its restaurant formats, including themed stores such as private rooms, family-friendly, and late-night dining, to meet specific customer needs [5][7]. Membership and Customer Interaction - Membership numbers exceeded 180 million, with over 52 million active members, an 8.8% increase from the previous year [9][10]. - The company is implementing a dedicated customer manager role to enhance customer interaction and satisfaction [9]. New Business Initiatives - The "Pomegranate Plan" has led to the establishment of 74 new restaurants under various new brands, contributing to a 39.6% year-on-year increase in revenue from other restaurants [11][13]. - The company has initiated a franchise model, with 13 franchise stores approved by the end of 2024, primarily targeting lower-tier cities [16]. Future Outlook - Haidilao plans to continue enhancing dining experiences, exploring diversified business strategies, and strategically seeking acquisitions of quality assets to enrich its business offerings [18].

Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Insights - The company achieved a net profit of 4.7 billion yuan in 2024, exceeding expectations, with total revenue of 42.8 billion yuan (yoy +3%) and core operating profit of 6.2 billion yuan (yoy +19%) [1][3] - The company plans to maintain a high dividend payout ratio of approximately 95% for 2024, which is the highest since its listing, providing attractive shareholder returns with a current annualized dividend yield of about 5% [1] - The company is expected to continue its growth trajectory with a focus on enhancing customer spending and improving table turnover rates, which are projected to reach 4.1 in 2024, up from 3.8 in 2023 [1][2] Summary by Sections Financial Performance - In 2024, the company reported a revenue of 42.8 billion yuan, a year-on-year increase of 3%, and a net profit of 4.7 billion yuan, reflecting a 5% growth [1][11] - The core operating profit margin improved by 2 percentage points, with gross margin increasing by approximately 3 percentage points due to enhanced supply chain efficiency and reduced raw material costs [2] Growth Potential - The company is expected to open new stores at a moderate single-digit growth rate in 2025, supported by a high table turnover rate and the introduction of the "Pomegranate Plan" to encourage the development of new restaurant brands [1][3] - The "Pomegranate Plan" aims to foster the growth of new dining brands, which has already resulted in 74 new stores by the end of 2024, enhancing long-term growth potential [1] Profit Forecast and Valuation - The company is projected to achieve net profits of 5.2 billion yuan, 5.9 billion yuan, and 6.5 billion yuan for 2025, 2026, and 2027 respectively, with year-on-year growth rates of 11%, 13%, and 10% [3][11] - The price-to-earnings (P/E) ratios are expected to be 18, 16, and 14 for the years 2024, 2025, and 2026, respectively, indicating a potential valuation premium due to the company's leading position in the industry [3][11]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Insights - The company achieved operating revenue and net profit of 42.755 billion and 4.708 billion RMB in 2024, representing year-on-year growth of 3.14% and 4.65% respectively [7] - The increase in revenue was driven by improved table turnover rates, with the average daily turnover rate rising to 4.10 times per day [7] - The company has implemented a "Red Pomegranate" plan, resulting in the establishment of 11 new restaurant brands and 74 new outlets, contributing to a 39.6% increase in other restaurant operating income [7] - Cost optimization has led to a core net profit margin increase of 1.91 percentage points to 14.57% in 2024, with significant reductions in the proportion of raw materials and other costs [7] - The company expects continued profit improvement through enhanced supply chain and cost control capabilities [7] Financial Summary - For 2024, the total revenue is projected at 42.755 billion RMB, with a net profit of 4.708 billion RMB, and an EPS of 0.84 RMB [1][8] - The company forecasts net profits of 5.259 billion, 5.639 billion, and 6.167 billion RMB for 2025, 2026, and 2027 respectively, with corresponding EPS of 0.94, 1.01, and 1.11 RMB [1][8] - The P/E ratios for the years 2025 to 2027 are projected to be 16.44x, 15.33x, and 14.02x respectively [1][8]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company achieved operating revenue and net profit of 42.755 billion and 4.708 billion RMB in 2024, representing year-on-year growth of 3.14% and 4.65% respectively. The second half of 2024 saw operating revenue and net profit of 21.264 billion and 2.670 billion RMB, with a year-on-year change of -5.78% and +19.14% [7] - The increase in revenue was driven by improved table turnover rates, with the average customer spending stabilizing. The total number of customers served increased by 4.47% to 415 million, while the average spending per customer decreased by 1.77% to 97.5 RMB [7] - The company's performance exceeded market expectations due to cost optimization, with the core net profit margin increasing by 1.91 percentage points to 14.57% [7] - The "Pomegranate" plan has shown positive results, with the establishment of 11 new restaurant brands and 74 outlets, contributing to a 39.6% increase in other restaurant operating income [7] - The company is expected to continue strengthening its supply chain and cost control capabilities, which may lead to further profit improvements in the coming years [7] Financial Summary - The company forecasts operating revenue of 45.612 billion, 48.793 billion, and 51.761 billion RMB for 2025, 2026, and 2027 respectively, with year-on-year growth rates of 6.68%, 6.97%, and 6.08% [1] - The projected net profit for 2025, 2026, and 2027 is 5.259 billion, 5.639 billion, and 6.167 billion RMB, with growth rates of 11.69%, 7.22%, and 9.37% respectively [1] - The earnings per share (EPS) are expected to be 0.94, 1.01, and 1.11 RMB for the years 2025, 2026, and 2027 [1] - The current price-to-earnings (P/E) ratios are projected to be 16.44x, 15.33x, and 14.02x for the years 2025, 2026, and 2027 [1]

Investment Rating - The report maintains a "Buy" rating for Haidilao (6862.HK) with a current price of HKD 17.62 [1] Core Insights - Haidilao's 2024 annual report shows a revenue of HKD 427.5 billion, a year-on-year increase of 3.1%, and a net profit of HKD 47.1 billion, up 4.6% year-on-year. In the second half of 2024, revenue was HKD 212.6 billion, down 5.8% year-on-year, while net profit was HKD 26.7 billion, up 19.1% year-on-year [4][5] Summary by Sections Financial Performance - In 2024, Haidilao's restaurant operations, takeaway business, seasoning products, and other sales generated revenues of HKD 403.98 billion, HKD 12.54 billion, HKD 5.75 billion, and HKD 4.83 billion respectively, with year-on-year growth rates of 2.9%, 20.4%, -27.1%, and 39.6% [5] - The overall table turnover rate improved to 4.1 times per day in 2024, up from 3.8 times per day in 2023 [6] - The overall customer unit price for 2024 was HKD 97.5, slightly down from HKD 99.1 in 2023, but the second half of 2024 saw a recovery in unit price [6] Cost Structure - In the second half of 2024, the net profit margin improved to 12.6%, up 2.6 percentage points year-on-year, primarily due to a decrease in raw material costs, which accounted for 36.8% of revenue [6] - For the full year 2024, raw material costs accounted for 37.9% of revenue, down 3.0 percentage points year-on-year [7] Strategic Initiatives - Haidilao launched the "Pomegranate Plan," which includes 11 sub-brands, aiming to diversify its offerings and enhance customer engagement [8] - The company plans to increase the number of main brand stores (including franchises) in 2025, focusing on third-tier cities and below [9] Profit Forecast and Valuation - The net profit forecasts for Haidilao are adjusted to HKD 53.55 billion and HKD 59.71 billion for 2025 and 2026 respectively, with an introduction of a 2027 forecast of HKD 65.15 billion [9] - The current stock price corresponds to a 2025 P/E ratio of 17x, indicating a mature single-store model and strong brand momentum [9]

Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company achieved a revenue of 42.75 billion yuan in 2024, a year-on-year increase of 3.1%, and a net profit of 4.71 billion yuan, up 4.6% year-on-year. In the second half of 2024, revenue was 21.26 billion yuan, down 5.8% year-on-year, while net profit increased by 19.1% to 2.67 billion yuan [4][5] - The overall table turnover rate improved to 4.1 times per day in 2024, compared to 3.8 times in 2023, indicating enhanced operational efficiency [6] - The company launched the "Pomegranate Plan," which includes 11 new restaurant brands, contributing to revenue diversification and growth [8] Revenue and Profit Structure - In 2024, the revenue breakdown was as follows: restaurant operations generated 40.398 billion yuan, delivery services 1.254 billion yuan, seasoning products and other sales 0.575 billion yuan, and other restaurant operations 0.483 billion yuan [5] - The company experienced a net decrease of 6 stores in 2024, ending the year with 1,368 locations [5] Cost Structure and Profitability - In the second half of 2024, the cost of raw materials accounted for 36.8% of revenue, down 4.2 percentage points year-on-year, contributing to an improved net profit margin of 12.6%, up 2.6 percentage points year-on-year [6][7] - The overall net profit margin for 2024 was 11.0%, reflecting a slight increase of 0.2 percentage points year-on-year [7] Future Outlook - The company plans to achieve a mid-single-digit growth in the number of new stores in 2025, focusing on expansion in lower-tier cities [9] - The successful operation of the "Pomegranate Plan" and the expansion of the "Flame Grilled Meat Shop" brand are expected to drive further revenue growth [9] Financial Projections - The projected net profit for 2025 is 5.355 billion yuan, with an expected growth rate of 13.7% [10] - The earnings per share (EPS) for 2025 is estimated at 0.96 yuan, with a price-to-earnings (P/E) ratio of 17x based on the current stock price [9][10]

Group 1 - The core viewpoint of the article highlights the financial performance of Haidilao's overseas business, Tehai International, which reported a revenue increase of 13.4% year-on-year for 2024, reaching $778 million [1] - Tehai International's restaurant operating revenue was $747 million, reflecting a 13.0% year-on-year growth [1] - The operating profit margin for Tehai International in 2024 was 6.8%, slightly up from 6.3% in 2023 [1] Group 2 - Tehai International adopted a cautious store expansion strategy, opening 10 new locations in 2024 while closing 3 stores in Southeast Asia [1] - As of December 31, 2024, Tehai International operated 122 Haidilao restaurants across 14 countries, with 73 in Southeast Asia, 19 in East Asia, 20 in North America, and 10 in other regions [1] - The operating profit margin for Haidilao restaurants improved to 10.1% in 2024, up from 9.0% the previous year [1] Group 3 - Tehai International is actively exploring different business formats, launching the "Pomegranate Plan" in 2024 to position itself as a leading global integrated dining group [2] - The company is expanding beyond its existing second brands, such as HAO Noodle and Halal Hotpot, to include various formats like barbecue, flavorful hotpot, and different types of fast food [2]

Core Viewpoint - Haidilao reported a relatively stable performance in a competitive restaurant industry, with a net profit growth of 4.6% year-on-year for 2024, driven by improved operational efficiency and increased table turnover rates [1][2]. Financial Performance - Total revenue for 2024 increased by 3.1% to RMB 42.75 billion, while core operating profit surged by 18.7% to RMB 6.23 billion [2][3]. - Net profit for the year rose by 4.6% to RMB 4.7 billion [2][3]. Operational Highlights - The average table turnover rate improved from 3.8 times per day in 2023 to 4.1 times in 2024, with total customer visits reaching 415 million, a 4.5% increase year-on-year [1][2][5]. - The company operated 1,355 self-owned restaurants and 13 franchise restaurants by the end of 2024, with over 70% of franchise applications coming from third-tier cities and below [3][8]. Diversification Strategy - The "Pomegranate Plan" has successfully incubated 11 sub-brands, covering various dining scenarios, contributing to a 39.6% increase in other restaurant revenue to RMB 483 million [2][4][8]. - The takeaway business saw a revenue growth of 20.4% to RMB 1.25 billion [4]. Cost Management - Raw material and consumables costs decreased by 4.3% to RMB 16.21 billion, reducing the cost-to-revenue ratio from 40.9% to 37.9% [7]. - Employee costs increased by 8.2% to RMB 14.11 billion, reflecting higher wages and improved employee benefits [7]. - Depreciation and amortization expenses dropped by 13.1% to RMB 2.56 billion, positively impacting overall gross margin [7].