Chinese hotpot chain Haidilao International saw its stock price rise in Hong Kong following the release of first-half financial results that highlighted strong performance in its delivery business and emerging restaurant concepts.
The company reported total revenue of 22.34 billion yuan for the six-month period ending in June, representing a 7.9% increase from the prior year. Core operating profit, measured on a non-IFRS basis, grew 4.4% to 2.51 billion yuan during the same timeframe. The delivery segment emerged as the company’s fastest-growing business area, with revenue surging 121.2% to 2.05 billion yuan, fueled primarily by expansion of single-serving fast-food offerings and a broader delivery network supported by additional local distribution hubs.
The core Haidilao-branded restaurant business, which generated 79.9% of overall group sales, experienced a revenue decline of 4% to 17.84 billion yuan, attributed largely to a reduction in the number of self-operated restaurant locations. By the end of June, the company operated 1,389 restaurants under its main hotpot brand alongside 183 establishments across 21 alternative catering brands. Revenue from other restaurant operations increased substantially by 113.1% to 1.27 billion yuan, driven by the company’s “Pomegranate Plan” initiative to develop new dining formats and concepts including camping and late-night hotpot experiences.
Haidilao indicated that its food-stall hotpot and sushi restaurant formats have achieved mature single-location business models and are transitioning into large-scale expansion phases beginning in the latter half of the year, with expectations to become a major revenue driver for other restaurant operations in 2027. Financial analysts noted that the company’s first-half operating profit before other income exceeded expectations, with forecasts suggesting continued momentum as the newer formats scale and core brand restaurant openings accelerate in coming periods.
Article Attribution | Read More at Article Source
Article summary produced by Claude AI