Investment Rating - The report maintains an "Accumulate" rating for the company [4][6] Core Views - The company reported a revenue of RMB 1.331 billion for H1 2025, representing a year-on-year growth of 4.67%, while the net profit attributable to shareholders decreased by 11.06% to RMB 72 million [4][9] - Despite profit pressure due to new store expansions and external factors like the alcohol ban, revenue growth is expected to continue as external conditions improve and new stores mature [4][6] - The company is focusing on synergistic development across its three main business segments: catering, hotel, and food [9] Revenue and Profit Forecast - The company is projected to achieve revenues of RMB 2.969 billion, RMB 3.472 billion, and RMB 3.977 billion for the years 2025, 2026, and 2027 respectively, with growth rates of 17.6%, 16.9%, and 14.5% [8] - The forecasted earnings per share (EPS) for 2025, 2026, and 2027 are RMB 0.71, RMB 1.12, and RMB 1.58 respectively, with corresponding price-to-earnings (P/E) ratios of 29.9, 18.8, and 13.4 [6][8] Business Development - As of H1 2025, the company operates 133 direct-operated stores, including 58 for the "Tongqinglou" brand and 11 for the "Fumao" hotel brand, with ongoing expansion in the food business [9] - The catering segment leverages the brand's heritage and aims to establish a standardized chain system, while the hotel segment continues to expand nationally [9]

Group 1 - The "2025 Autumn Consumption Season" was launched on August 30, transforming Xinmin Street into a popular city walk destination with thousands of visitors [1][3] - Eight themed zones were created, each offering immersive experiences and showcasing local products, including traditional crafts and specialty items from Jilin [3][5] - Various local businesses participated, featuring products such as Mid-Autumn gift boxes, new beer cans, and health products, contributing to a vibrant shopping atmosphere [5][7] Group 2 - The event attracted a diverse crowd, including students and tourists, who expressed excitement over the variety of offerings, including local delicacies and high-end hotel food [7][9] - The festival included interactive elements such as a flower and gardening area, financial and logistics information, and entertainment like parades and performances, enhancing the overall experience [11][19] - The atmosphere was lively, with performances and interactions that created a festive environment, reminiscent of an outdoor music festival [17][19]

Core Insights - The company Shoulv Hotel reported a decrease in the number of shareholders to 43,248 as of June 30, 2025, down by 4,279 or 9.0% from March 31, 2025 [1][2] - The average number of shares held per shareholder increased from 23,500 to 25,800, with an average market value of 364,800 yuan [1][2] - The stock price of Shoulv Hotel increased by 8.99% during the period from March 31, 2025, to June 30, 2025, despite the reduction in the number of shareholders [1][2] Shareholder Statistics - As of June 30, 2025, the average number of shareholders in the hotel and catering industry was 42,900, indicating that Shoulv Hotel's shareholder count is above the industry average [1] - The average market value of shares held by shareholders in the hotel and catering industry was 159,800 yuan, which is significantly lower than that of Shoulv Hotel [1] - The net outflow of main funds from Shoulv Hotel was 321 million yuan, while retail investors saw a net inflow of 582 million yuan during the same period [2]

Market Overview - The hotel and catering sector increased by 0.31% on August 29, with Xi'an Catering leading the gains [1] - The Shanghai Composite Index closed at 3857.93, up 0.37%, while the Shenzhen Component Index closed at 12696.15, up 0.99% [1] Stock Performance - Xi'an Catering (000721) closed at 10.43, up 3.88% with a trading volume of 745,900 shares and a transaction value of 772 million [1] - Tongqinglou (605108) closed at 21.10, up 2.98% with a trading volume of 89,800 shares and a transaction value of 189 million [1] - Junxiang Hotel (301073) closed at 25.18, up 1.21% with a trading volume of 125,600 shares and a transaction value of 318 million [1] - Shoulv Hotel (600258) closed at 15.25, up 0.59% with a trading volume of 131,460 shares and a transaction value of 480 million [1] - Jinjing Hotel (601007) closed at 7.83, up 0.38% with a trading volume of 133,000 shares and a transaction value of 104 million [1] - Huatian Hotel (000428) closed at 3.66, up 0.27% with a trading volume of 251,200 shares and a transaction value of 92.51 million [1] - ST Yunwang (002306) closed at 1.87, unchanged with a trading volume of 203,500 shares and a transaction value of 38.05 million [1] - Jinjiang Hotel (600754) closed at 23.23, down 0.51% with a trading volume of 118,600 shares and a transaction value of 277 million [1] - Quanjude (002186) closed at 13.90, down 4.92% with a trading volume of 408,700 shares and a transaction value of 591 million [1] Capital Flow - The hotel and catering sector experienced a net outflow of 68.2 million from institutional investors, while retail investors saw a net inflow of 55.85 million [1] - Major stocks like Xi'an Catering had a net inflow of 42.26 million from institutional investors, while retail investors had a net outflow of 41.52 million [2] - Tongqinglou saw a net inflow of 11.31 million from institutional investors, with retail investors experiencing a net outflow of 13.88 million [2] - Junxiang Hotel had a net inflow of 7.32 million from institutional investors, while retail investors had a net outflow of 3.98 million [2] - Jinjing Hotel experienced a net outflow of 28.26 million from institutional investors, while retail investors had a net inflow of 3.20 million [2] - Quanjude faced a significant net outflow of 45.29 million from institutional investors, but retail investors had a net inflow of 60.58 million [2] - Shoulv Hotel had a net outflow of 59.30 million from institutional investors, with retail investors seeing a net inflow of 45.98 million [2]

Market Overview - The hotel and catering sector increased by 1.19% on August 28, with Quan Jud leading the gains [1] - The Shanghai Composite Index closed at 3843.6, up 1.14%, while the Shenzhen Component Index closed at 12571.37, up 2.25% [1] Individual Stock Performance - Quan Jud (002186) closed at 14.62, with a rise of 2.45% and a trading volume of 490,500 shares, amounting to a transaction value of 723 million yuan [1] - Shoulu Hotel (600258) closed at 15.16, up 1.81%, with a trading volume of 339,500 shares and a transaction value of 513 million yuan [1] - Junxiang Hotel (301073) closed at 24.88, increasing by 1.76%, with a trading volume of 126,300 shares and a transaction value of 314 million yuan [1] - Tongqinglou (605108) closed at 20.49, up 1.34%, with a trading volume of 53,900 shares and a transaction value of 110 million yuan [1] - Jinjiang Hotel (600754) closed at 23.35, increasing by 1.30%, with a trading volume of 188,800 shares and a transaction value of 442 million yuan [1] - Huatian Hotel (000428) closed at 3.65, up 1.11%, with a trading volume of 314,100 shares and a transaction value of 114 million yuan [1] - Jinling Hotel (601007) closed at 7.80, with a slight increase of 0.65%, trading 149,000 shares for a value of 116 million yuan [1] - ST Yunwang (002306) closed at 1.87, down 1.06%, with a trading volume of 285,700 shares and a transaction value of 53.58 million yuan [1] - Xi'an Catering (000721) closed at 10.04, down 1.86%, with a trading volume of 511,200 shares and a transaction value of 521 million yuan [1] Fund Flow Analysis - The hotel and catering sector experienced a net outflow of 39.49 million yuan from institutional funds and 42.57 million yuan from speculative funds, while retail investors saw a net inflow of 82.06 million yuan [1] - Jinjiang Hotel had a net inflow of 34.22 million yuan from institutional funds, while it faced a net outflow of 23.95 million yuan from speculative funds [2] - Huatian Hotel saw a net inflow of 2.51 million yuan from retail investors despite a net outflow from institutional and speculative funds [2] - ST Yunwang experienced a significant net outflow of 7.96 million yuan from institutional funds but had a net inflow of 5.47 million yuan from retail investors [2] - Quan Jud had a net outflow of 10.63 million yuan from institutional funds, with a net inflow of 11.55 million yuan from retail investors [2] - Xi'an Catering faced a net outflow of 27.05 million yuan from institutional funds, while retail investors contributed a net inflow of 30.86 million yuan [2]

Investment Rating - The investment rating for the company is "Outperform the Market" [5][20]. Core Insights - The company achieved a 43% year-on-year increase in net profit attributable to shareholders for the first half of 2025, with total revenue reaching 148.7 billion yuan, a 39.3% increase [1][8]. - The company is focusing on improving operational quality in Southeast Asia while continuing to expand its store presence in domestic markets, with a total of 53,014 stores by mid-2025 [1][10]. - The subsidiary brand, Lucky Coffee, is entering a growth phase, with over 7,800 stores and significant new product launches contributing to revenue growth [3][16]. Financial Performance - For the first half of 2025, the company reported a gross margin of 31.6%, with a net profit margin of 18.1%, reflecting effective cost control and a decrease in the tax rate [3][12]. - The company plans to increase its adjusted net profit forecasts for 2025-2027 to 60.3 billion, 74.5 billion, and 92.2 billion yuan, respectively, indicating a positive outlook for future earnings [3][16]. - The projected earnings per share for 2025 is 15.88 yuan, with a price-to-earnings ratio of 26.5 [4][17]. Store Expansion and Market Strategy - The company added 7,721 franchise stores in the first half of 2025, with a net increase of 6,534 stores, demonstrating strong franchise growth [1][10]. - The geographical distribution of stores shows a focus on mainland China, with 48,281 stores, while also exploring opportunities in Central Asia and the Americas [2][10]. - The company is seeing a faster growth rate in lower-tier cities, with 57.6% of its stores located in tier-three and below cities [2][10].

Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The report highlights strong revenue and profit growth for the first half of 2025, with revenue reaching 5.663 billion RMB, a year-on-year increase of 41.2%, and net profit attributable to shareholders at 1.625 billion RMB, up 121.5% year-on-year [7] - The company is experiencing significant scale effects that enhance profitability, with a gross margin of 31.5% and an adjusted net profit margin of 19.2% [7] - The expansion of store locations is progressing steadily, with over 11,179 stores across more than 200 cities in China, marking a 17.5% increase from the previous year [7] - Continuous product innovation is evident, with 52 new products launched in the first half of 2025, including significant advancements in the coffee category [7] - The company is expected to maintain strong growth in net profit for 2025-2027, with projections of 2.232 billion RMB, 2.651 billion RMB, and 3.052 billion RMB respectively, reflecting growth rates of 50.93%, 18.78%, and 15.13% [6][7] Financial Summary - For 2025, the company is projected to achieve a revenue of 10,953 million RMB, with a year-on-year growth rate of 24.59% [6] - The estimated net profit for 2025 is 2,231.52 million RMB, with a significant year-on-year growth of 50.93% [6] - The earnings per share (EPS) is expected to be 0.94 RMB in 2025, increasing to 1.28 RMB by 2027 [6]

Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The report highlights that in the first half of 2025, the company achieved significant revenue and profit growth, with a strong outlook for market share enhancement [5][7] - The company recorded a revenue of 14.875 billion RMB in 2025H1, representing a year-on-year increase of 39.3%, and a net profit of 2.718 billion RMB, up 44.1% year-on-year [7] - The company is expanding its domestic store network while optimizing overseas operations, particularly in Southeast Asia [7] Financial Performance - Revenue projections for the company are as follows: 2023: 20.302 billion RMB, 2024: 24.829 billion RMB, 2025E: 30.443 billion RMB, 2026E: 36.691 billion RMB, 2027E: 42.410 billion RMB, with respective growth rates of 49.55%, 22.29%, 22.61%, 20.52%, and 15.59% [6] - The net profit forecasts are: 2023: 3.137 billion RMB, 2024: 4.436 billion RMB, 2025E: 5.425 billion RMB, 2026E: 6.586 billion RMB, 2027E: 7.670 billion RMB, with growth rates of 57.13%, 41.41%, 22.28%, 21.40%, and 16.46% respectively [6] - The company’s gross margin for 2025H1 was 31.64%, with a slight decline of 0.2 percentage points year-on-year [7] Market Expansion - As of 2025H1, the company had a total of 53,014 stores, with 52,996 being franchise stores, and a net increase of 6,697 stores in mainland China since the beginning of the year [7] - The company is focusing on enhancing its brand presence in the domestic market while strategically optimizing its operations in overseas markets like Indonesia and Vietnam [7] Profitability Metrics - The report indicates that the company's net profit margin improved by 0.6 percentage points to 18.27% in 2025H1 [7] - The projected price-to-earnings (P/E) ratios for the upcoming years are 36.23 for 2023, 31.24 for 2024, 31.24 for 2025E, 25.73 for 2026E, and 22.09 for 2027E [6]

Investment Rating - The investment rating for the company is "Outperform the Market" [5][12][13] Core Viewpoints - The company has demonstrated strong growth momentum in both its hotel and retail segments, leading to an upward revision of its full-year revenue guidance [3][12] - In Q2 2025, the company reported a revenue of 2.469 billion yuan, representing a year-on-year increase of 37.4%, and a net profit of 425 million yuan, up 39.8% [6][12] - The dual business model of hotel expansion and retail growth is expected to continue driving performance ahead of industry averages [3][12] Summary by Sections Hotel Performance - Hotel revenue in Q2 2025 reached 1.449 billion yuan, growing by 20.0% year-on-year, with franchise revenue at 1.299 billion yuan (+26.5%) and self-operated hotel revenue at 150 million yuan (-17.0%) [6][11] - The gross margin for hotels improved from 35.7% in Q2 2024 to 38.3% in Q2 2025 due to an increase in franchise revenue and structural changes [6][11] Store Expansion and Pipeline - In Q2 2025, the company opened 118 new hotels and closed 21, resulting in a net increase of 97 hotels, bringing the total to 1,824, a 29% year-on-year growth [11] - The company has a pipeline of 816 stores, with a goal of reaching 2,000 stores by the end of the year [11] Retail Performance - The retail business achieved a GMV of 1.144 billion yuan in Q2 2025, a significant increase of 84.6%, with revenue of 965 million yuan, up 79.8% [3][12] - The company has revised its full-year retail revenue guidance from 50% to 60%, reflecting strong performance during promotional periods [3][12] Financial Projections - The adjusted net profit forecasts for 2025-2027 are 1.68 billion yuan, 2.09 billion yuan, and 2.54 billion yuan, respectively, with corresponding PE ratios of 22, 18, and 15 [3][12][14] - The company maintains a dividend payout ratio of no less than 50% and has a share buyback limit of 400 million USD, enhancing its attractiveness as an investment [3][12]

Investment Rating - The investment rating for the company is "Outperform the Market" [5][16][17] Core Insights - The company achieved a 43% year-on-year increase in net profit attributable to shareholders for the first half of 2025, with total revenue reaching 148.7 billion yuan, reflecting a 39.3% growth [1][8] - The company continues to expand its store network, with a total of 53,014 stores by mid-2025, including 52,996 franchise stores and 18 directly operated stores [1][10] - The company's focus on improving operational quality in Southeast Asia, while continuing to penetrate domestic markets, is evident in the net addition of 6,534 franchise stores during the first half of 2025 [2][10] Financial Performance - For the first half of 2025, the company reported a gross profit margin of 31.6%, with a net profit margin of 18.1%, indicating effective cost control and a reduction in the tax rate [3][12] - The company has adjusted its net profit forecasts for 2025-2027 to 60.3 billion, 74.5 billion, and 92.2 billion yuan respectively, reflecting an upward adjustment of 9%, 12%, and 18% [3][16] - The projected earnings per share (EPS) for 2025 is 15.88 yuan, with a price-to-earnings (PE) ratio of 26.5 [4][18] Store Expansion and Market Strategy - The company added 7,721 franchise stores and closed 1,187, resulting in a net increase of 6,534 franchise stores in the first half of 2025 [1][10] - The geographical distribution of stores shows a strong focus on mainland China, with 48,281 stores, while international markets are being explored, including Central Asia and the Americas [2][10] - The company is experiencing significant growth in its sub-brand, with over 7,800 stores for the brand "Lucky Coffee" as of August 22, 2025, and a strong product launch pipeline [3][16]