Core Viewpoint - Haidilao is undergoing a significant transformation, shifting from a traditional hotpot chain to a more diversified restaurant ecosystem, exploring new business models and marketing strategies to counter declining revenues and customer traffic [1][5][38] Group 1: Financial Performance - In the first half of 2025, Haidilao reported a 3.7% year-on-year decline in revenue and a 13.7% drop in net profit, with key metrics such as table turnover rate, customer traffic, and store count under pressure [1][3] - The total number of Haidilao restaurants decreased by 5, totaling 1,363, with 1,299 in mainland China and 41 franchises [1][2] - The table turnover rate for self-operated restaurants was 3.8 times per day, down from 4.2 times the previous year, indicating a struggle to meet the previously set benchmark of 4 times [2][3] Group 2: Business Strategy and Innovation - Haidilao is actively pursuing a multi-brand strategy and enhancing its delivery services, with revenue from "other restaurants" and delivery business growing by 227% and nearly 60% respectively in the first half of 2025 [3][24] - The company is experimenting with new concepts such as "nightclub mode" and launching themed menus to attract customers, including a "night snack menu" featuring new dishes and cocktails [8][13][15] - The "Red Pomegranate Plan" was introduced to encourage internal entrepreneurship among employees, aiming to expand and incubate new brands beyond the main Haidilao brand [22][23] Group 3: Market Position and Challenges - Despite the rapid growth of the delivery business, it still contributes a relatively small portion to overall revenue, and maintaining service quality during this expansion poses a significant challenge [35][37] - The company faces intense competition in the delivery market, having entered a crowded space where many players are vying for market share [37] - Haidilao's traditional service model is being challenged by changing consumer preferences, necessitating a balance between standardization and personalized experiences [38]