Core Viewpoint - The recent adjustment of the Hong Kong Stock Connect eligible securities list has led to the removal of 20 stocks, including Jiumaojiu (09922.HK), which may be related to changes in the restaurant industry trends and shifts in investor preferences [1] Financial Performance - Jiumaojiu reported a revenue of 2.753 billion yuan for the first half of the year, a year-on-year decrease of 10.14%, and a net profit attributable to shareholders of 60.69 million yuan, down 16.05% [1] - Revenue from the main brands, including Taier, Song Hotpot, and Jiumaojiu Northwest Cuisine, all experienced declines during the reporting period [1] - Taier's revenue was 1.949 billion yuan, a decrease of 13.3%, with its contribution to total revenue dropping from 73.4% to 70.8% [1] - Song Hotpot's revenue was 416 million yuan, down 3.5%, attributed to a decline in table turnover rate and customer spending [2] - Jiumaojiu Northwest Cuisine's revenue was 226 million yuan, a decrease of 22.6%, due to a reduction in restaurant numbers and table turnover rate [2] - Other business revenues increased by 75.6% to 162 million yuan, mainly due to the growth of "Mountain's Outside Guizhou Sour Soup Hotpot" restaurants and increased sales to third parties [2] Operational Changes - The company opened 10 new restaurants in the first half of the year, a significant decrease from 59 new openings in the same period last year, while closing 88 restaurants due to lease terminations and underperformance [2] - As of June 30, the company operated 695 self-owned restaurants and 34 franchise/cooperative restaurants globally, employing over 20,000 people [4] Cash Flow and Financial Health - The company's cash and cash equivalents decreased to 489 million yuan, a 19.4% decline from the end of last year, primarily due to increased deposits in fixed accounts and loan repayments [3] - The asset-liability ratio improved from 51.4% at the end of last year to 47.3% in the first half of this year [3]

Financial Data and Key Metrics Changes - Dine Brands Global, Inc. generated $106.4 million in adjusted free cash flow for fiscal 2024, an increase from $103.3 million in the previous year, indicating financial stability [10][52] - Adjusted EBITDA for the full year was $239.8 million, down from $256.4 million in 2023, with Q4 adjusted EBITDA at $50.1 million compared to $62.2 million in Q4 2023 [11][50] - Total revenues decreased by 0.7% to $204.8 million in Q4, with full-year revenues at $812.3 million, reflecting negative comps and a decrease in rental revenues [48][49] Business Line Data and Key Metrics Changes - IHOP experienced a full-year comp sales decline of 2%, with Q4 comp sales at negative 2.8% [12] - Applebee's comp sales were negative 4.2% for the full year, with a decline of 4.7% in Q4 [12] - The company took back 47 Applebee's restaurants in November, which contributed to an increase in company restaurant sales [11][48] Market Data and Key Metrics Changes - The macroeconomic environment in 2024 significantly impacted consumer spending, particularly affecting guests with household incomes under $75,000, who represent about two-thirds of the customer base [13] - Average weekly sales for Applebee's in 2024 were $52.3 thousand, while IHOP's average weekly sales were $37.7 thousand [54][55] Company Strategy and Development Direction - The company aims to improve performance in 2025 by focusing on enhancing guest experience, improving operations, and refining menu offerings [15][18] - Dine Brands plans to remodel 30 Applebee's restaurants under the "Lookin' Good" program and convert five restaurants to a dual-brand concept [16][24] - The dual-brand concept is seen as a competitive advantage, with locations achieving 1.5% to 2x the revenue compared to single-brand restaurants [40][42] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that 2024 performance did not meet expectations but expressed confidence in the company's ability to achieve better results in 2025 [14][46] - The company is optimistic about international growth potential, particularly in Canada, Mexico, and the Middle East, and plans to expand dual-brand locations [38][39] Other Important Information - The company has initiated a nationwide search for a new leader for Applebee's following the resignation of Tony Moralejo [8][9] - In 2024, the company implemented projects resulting in over $50 million of annualized savings across the system [58] Q&A Session Summary Question: What is the primary source of the recent underperformance of your brands? - Management indicated that the focus is on value communication and that recent promotions like the "Really Big Meal Deal" and "House Faves" have shown progress in increasing traffic [70][72] Question: Can you provide more details on the value plans for Applebee's? - The company is building an everyday value platform that includes new offerings for groups and individuals, expected to roll out in late spring or early summer [80][81] Question: How confident are franchisees in the turnaround plan? - Franchisees are aligned with the company's plans for 2025, with strong interest in renovation incentives and new openings [88][90] Question: What is the outlook for IHOP's food costs, particularly regarding eggs? - IHOP expects low to mid-single-digit inflation primarily driven by egg prices, but franchisees have not implemented surcharges [105][106] Question: What innovations were implemented in 2024, and what is planned for 2025? - Innovations included the dual-brand concept and new menu items, with plans to enhance the loyalty program and marketing strategies in 2025 [110][114]