UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
November 2024
Commission File Number: 001-38425
GreenTree Hospitality
Group Ltd.
(Registrant’s name)
1228 Zhongshan North Road, Putuo District
Shanghai 200065
People’s Republic of China
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover of Form 20-F or Form 40-F.
Form 20-F x Form 40-F ¨
SIGNATURES
Pursuant to the requirements
of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
| |
GREENTREE HOSPITALITY GROUP LTD. |
| |
|
|
| |
By: |
/s/ Alex S. Xu |
| |
Name: |
Alex S. Xu |
| |
Title: |
Chairman and Chief Executive Officer |
Date: November 25, 2024
EXHIBIT INDEX
Exhibit
99.1
GreenTree
Hospitality Group Ltd. Reports Third Quarter of 2024 Financial Results
| · | Total
revenues decreased by 22.5% year over year to RMB357.0 million (US$50.9 million)[1]. |
| · | Income
from operations was RMB106.4 million (US$15.2 million)[1] compared to RMB137.8
million for the third quarter of 2023. |
| · | Net
income was RMB65.2 million (US$9.3 million)[1] compared to RMB117.4 million
for the third quarter of 2023. |
| · | Adjusted
EBITDA (non-GAAP) [2]decreased 32.1% year over year to RMB122.5million (US$17.5 million)[1] |
| · | Core
net income (non-GAAP) [3]decreased 26.6% year over year to RMB93.5million
(US$13.3 million)[1]. |
SHANGHAI, November
21, 2024 /PRNewswire/ -- GreenTree Hospitality Group Ltd. (NYSE: GHG) ("GreenTree", the "Company", "we",
"us" and "our"), a leading hospitality and restaurant management group in China, today announced its unaudited
financial results for the third quarter of 2024.
Third Quarter
of 2024 Operational Highlights
Hotels
| · | A
total of 4,336 hotels with 316,461 hotel rooms were in operation as of September 30, 2024. |
| · | The
Company opened 109 hotels and had a pipeline of 1,085 hotels contracted for or under development
as of September 30, 2024. |
| · | The
average daily room rate was RMB181, a decrease of 6.0% from RMB192 in the third quarter of
2023. |
| · | The
occupancy rate was 74.6%, decreased from 81.2% in the third quarter of 2023. |
| · | Revenue
per available room, or RevPAR, was RMB135, a 13.6% year-over-year decrease. |
1.The conversion of Renminbi ("RMB") into United States dollars ("US$") is based on the exchange rate of US$1.00=RMB 7.0176 on September 30, 2024 as set forth in H.10 statistical release of the U.S. Federal Reserve Board
and available at https://www.federalreserve.gov/releases/h10/20220103/.
2.Adjusted EBITDA
(non-GAAP) is calculated as net income plus other operating expenses, income tax expense, share of loss in equity investees, net of tax,
interest expense, depreciation and amortization, losses from investment in equity securities and other general expenses, but excludes
other operating income, interest income and other, net, gains from investment in equity securities, share of gains in equity investees
(net of tax), and other income, net. The calculation of Adjusted EBITDA (non-GAAP) included in this report has been aligned according
to the above mentioned definition.
3.Core net income is calculated as net income plus share-based compensation, losses from investments in equity securities (net of 25% tax), other expense(net of 25% tax), one-time fees and expense, and other general expenses but excludes government subsidies (net of 25% tax), gains from investment in equity securities (net of 25% tax), and other income (net of 25% tax).
Restaurants
| · | A
total of 182 restaurants were in operation as of September 30, 2024 |
| · | The
AC (average check) was RMB46, a 15.9% year-over-year decrease. |
| · | The
ADT (average daily tickets) was 106, decreased from 120 in the third quarter of 2023. |
| · | The
ADS (average daily sales per store) was RMB4,891, a decrease of 25.6% from RMB6,570 in the
third quarter of 2023. |
Our
hotel business improved in the third quarter over the first two quarters of this year as the economy continued to recover. Travel consumption
returned to a more normal pattern following last year’s surge, which has influenced year-over-year comparisons. We are back
to a more positive environment, focusing on growing our pipeline and upgrading numerous hotels across our portfolio. We are confident
that we are on the right track and will benefit from the ongoing stimulus measures implemented by the government.
Our
restaurant business’ net income remained positive for a second consecutive quarter as we continued to grow the number of
franchised street stores and stores with stable consumer traffic. Such stores now account for 55.5% of our store count compared to 44.6%
a year ago. Following the closing of unprofitable stores over the past year, the number restaurants in operation had stabilized at 182
at the end of quarter and we are now focused on growing that number,” said Mr. Alex S. Xu, Chairman and Chief Executive
Office of GreenTree.
Third Quarter Of
2024 Financial Results
| | |
Quarter
Ended | |
| | |
September
30, 2023 | | |
September
30, 2023 | | |
September
30, 2023 | | |
September
30, 2023 | |
| | |
RMB | | |
RMB | | |
RMB | | |
RMB | |
| | |
Hotel | | |
Restaurant | | |
Elimination | | |
Total | |
| Revenues | |
| | | |
| | | |
| | | |
| | |
| Leased-and-operated
revenues | |
| 151,839,044 | | |
| 80,358,490 | | |
| 49,624 | | |
| 232,247,158 | |
| Franchised-and-managed revenues | |
| 186,043,016 | | |
| 4,070,541 | | |
| - | | |
| 190,113,557 | |
| Wholesales
and others | |
| 1,168,017 | | |
| 37,355,462 | | |
| - | | |
| 38,523,479 | |
| Total
revenues | |
| 339,050,077 | | |
| 121,784,493 | | |
| 49,624 | | |
| 460,884,194 | |
| | |
Quarter
Ended | |
| | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | |
| | |
RMB | | |
RMB | | |
RMB | | |
RMB | | |
US$ | |
| | |
Hotel | | |
Restaurant | | |
Elimination | | |
Total | | |
Total | |
| Revenues | |
| | | |
| | | |
| | | |
| | | |
| | |
| Leased-and-operated
revenues | |
| 118,159,125 | | |
| 41,117,277 | | |
| - | | |
| 159,276,402 | | |
| 22,696,706 | |
| Franchised-and-managed revenues | |
| 167,928,127 | | |
| 1,757,933 | | |
| - | | |
| 169,686,060 | | |
| 24,180,070 | |
| Wholesales
and others | |
| 796,488 | | |
| 27,766,790 | | |
| (544,290 | ) | |
| 28,018,988 | | |
| 3,992,674 | |
| Total
revenues | |
| 286,883,740 | | |
| 70,642,000 | | |
| (544,290 | ) | |
| 356,981,450 | | |
| 50,869,450 | |
| | |
Nine
Month Ended | |
| | |
September
30, 2023 | | |
September
30, 2023 | | |
September
30, 2023 | | |
September
30, 2023 | |
| | |
RMB | | |
RMB | | |
RMB | | |
RMB | |
| | |
Hotel | | |
Restaurant | | |
Elimination | | |
Total | |
| Revenues | |
| | | |
| | | |
| | | |
| | |
| Leased-and-operated
revenues | |
| 365,402,970 | | |
| 248,698,564 | | |
| (1,075,555 | ) | |
| 613,025,979 | |
| Franchised-and-managed revenues | |
| 533,460,017 | | |
| 7,235,800 | | |
| - | | |
| 540,695,817 | |
| Wholesales
and others | |
| 3,393,596 | | |
| 97,978,792 | | |
| - | | |
| 101,372,388 | |
| Total
revenues | |
| 902,256,583 | | |
| 353,913,156 | | |
| (1,075,555 | ) | |
| 1,255,094,184 | |
| | |
Nine
Month Ended | |
| | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | |
| | |
RMB | | |
RMB | | |
RMB | | |
RMB | | |
US$ | |
| | |
Hotel | | |
Restaurant | | |
Elimination | | |
Total | | |
Total | |
| Revenues | |
| | | |
| | | |
| | | |
| | | |
| | |
| Leased-and-operated
revenues | |
| 346,552,738 | | |
| 130,792,112 | | |
| - | | |
| 477,344,850 | | |
| 68,021,097 | |
| Franchised-and-managed revenues | |
| 476,898,409 | | |
| 5,527,686 | | |
| - | | |
| 482,426,095 | | |
| 68,745,169 | |
| Wholesales
and others | |
| 2,881,694 | | |
| 77,272,388 | | |
| (1,004,493 | ) | |
| 79,149,589 | | |
| 11,278,726 | |
| Total
revenues | |
| 826,332,841 | | |
| 213,592,186 | | |
| (1,004,493 | ) | |
| 1,038,920,534 | | |
| 148,044,992 | |
Total revenues
were RMB357.0 million (US$50.9 million), a 22.5% year-over-year decrease.
Hotel revenues
were RMB286.9 million (US$40.9 million), a 15.4% year-over-year decrease due to a 13.6% year-over-year decrease in Revpar and the closure
of 6 L&O hotels in the third quarter due to lease expiration and strategic reviews. The decrease was partially offset by revenues
from new openings.
Restaurant
revenues were RMB70.6 million (US$10.1 million), a 42.0% year-over-year decrease, mainly due to lower ADS and the decrease in the number
of L&O stores. By the end of the third quarter, we had completed the strategic transformation of our business model.
Total
revenues for the first nine months of 2024 were RMB1,038.9 million (US$148.0 million)[1], a 17.2% year-over-year decrease.
Total
revenues from leased-and-operated, or L&O, hotels and restaurants were RMB159.3 million (US$22.7 million)[1], a 31.4%
year-over-year decrease.
Total
revenues from L&O hotels were RMB118.2 million (US$16.8 million)[1], a 22.2% year-over-year decrease. The decrease was
primarily attributable to an 7.5% year-over-year decrease in the third quarter RevPAR of L&O hotels, the closing of 6 L&O hotels,
and a reduction in sublease revenues mainly due to the disposal of a property.
Total
revenues from L&O restaurants were RMB41.1 million (US$5.9 million)[1], a 48.8% year-over-year decrease, mainly due to
the closure of 29 L&O restaurants since the third quarter of 2023 and the year-over-year decrease in ADS.
Total
revenues from L&O hotels and restaurants for the first nine months of 2024 were RMB477.3 million (US$68.0 million)[1],
a 22.1% year-over-year decrease.
Total
revenues from franchised-and-managed, or F&M, hotels and restaurants were RMB169.7 million (US$24.2 million), a 10.7% year-over-year
decrease.
Total
revenues from F&M hotels were RMB167.9 million (US$23.9 million), a 9.7% year-over-year decrease, primary due to a 13.8% decrease
in F&M hotels' Revpar and partially offset by new openings.
Total
revenues from F&M restaurants were RMB1.8 million (US$0.3 million), a 56.8% year-over-year decrease, mainly due to the year-over-year
decrease in ADS.
Total
revenues from F&M hotels and restaurants for the first nine months of 2024 were RMB482.4 million (US$68.7 million)[1],
a 10.8% year-over-year decrease.
Total
revenues from wholesale and others were RMB28.0M (US$4.0 million), a 27.3% year-over-year decrease, mainly due to the decline in
the wholesale segment of the restaurant business.
Total
revenues from wholesale and others for the first nine months of 2024 were RMB79.1 million (US$11.3 million), a 21.9% year-over-year
decrease.
Total operating
costs and expenses
| | |
Quarter
Ended | |
| | |
September
30, 2023 | | |
September
30, 2023 | | |
September
30, 2023 | | |
September
30, 2023 | |
| | |
RMB | | |
RMB | | |
RMB | | |
RMB | |
| | |
Hotel | | |
Restaurant | | |
Elimination | | |
Total | |
| Operating costs and expenses | |
| | | |
| | | |
| | | |
| | |
| Operating costs | |
| 159,920,582 | | |
| 87,814,484 | | |
| 49,623 | | |
| 247,784,689 | |
| Selling and marketing expenses | |
| 14,277,225 | | |
| 12,026,085 | | |
| - | | |
| 26,303,310 | |
| General and administrative expenses | |
| 26,655,780 | | |
| 11,858,500 | | |
| - | | |
| 38,514,280 | |
| Other operating expenses | |
| 180,515 | | |
| 120,654 | | |
| - | | |
| 301,169 | |
| Other general
expenses | |
| 11,322,509 | | |
| - | | |
| - | | |
| 11,322,509 | |
| Total
operating costs and expenses | |
| 212,356,611 | | |
| 111,819,723 | | |
| 49,623 | | |
| 324,225,957 | |
| | |
Quarter
Ended | |
| | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | |
| | |
RMB | | |
RMB | | |
RMB | | |
RMB | | |
US$ | |
| | |
Hotel | | |
Restaurant | | |
Elimination | | |
Total | | |
Total | |
| Operating costs and expenses | |
| | | |
| | | |
| | | |
| | | |
| | |
| Operating costs | |
| 152,278,796 | | |
| 53,365,650 | | |
| (475,648 | ) | |
| 205,168,798 | | |
| 29,236,320 | |
| Selling and marketing expenses | |
| 12,899,411 | | |
| 2,881,942 | | |
| (68,642 | ) | |
| 15,712,711 | | |
| 2,239,043 | |
| General and administrative expenses | |
| 35,309,079 | | |
| 7,023,449 | | |
| - | | |
| 42,332,528 | | |
| 6,032,337 | |
| Other operating expenses | |
| 1,363,201 | | |
| 654,777 | | |
| - | | |
| 2,017,978 | | |
| 287,560 | |
| Other general
expenses | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Total
operating costs and expenses | |
| 201,850,487 | | |
| 63,925,818 | | |
| (544,290 | ) | |
| 265,232,015 | | |
| 37,795,260 | |
| | |
Nine
Month Ended | |
| | |
September
30, 2023 | | |
September
30, 2023 | | |
September
30, 2023 | | |
September
30, 2023 | |
| | |
RMB | | |
RMB | | |
RMB | | |
RMB | |
| | |
Hotel | | |
Restaurant | | |
Elimination | | |
Total | |
| Operating costs and expenses | |
| | | |
| | | |
| | | |
| | |
| Operating costs | |
| 444,284,960 | | |
| 292,122,643 | | |
| (560,465 | ) | |
| 735,847,138 | |
| Selling and marketing expenses | |
| 39,115,830 | | |
| 21,411,730 | | |
| - | | |
| 60,527,560 | |
| General and administrative expenses | |
| 117,191,327 | | |
| 33,197,310 | | |
| - | | |
| 150,388,637 | |
| Other operating expenses | |
| 1,024,079 | | |
| 7,111,308 | | |
| - | | |
| 8,135,387 | |
| Other general
expenses | |
| 27,296,093 | | |
| - | | |
| - | | |
| 27,296,093 | |
| Total
operating costs and expenses | |
| 628,912,289 | | |
| 353,842,991 | | |
| (560,465 | ) | |
| 982,194,815 | |
| | |
Nine
Month Ended | |
| | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2024 | |
| | |
RMB | | |
RMB | | |
RMB | | |
RMB | | |
US$ | |
| | |
Hotel | | |
Restaurant | | |
Elimination | | |
Total | | |
Total | |
| Operating costs and expenses | |
| | | |
| | | |
| | | |
| | | |
| | |
| Operating costs | |
| 441,888,078 | | |
| 170,642,273 | | |
| (916,517 | ) | |
| 611,613,834 | | |
| 87,154,274 | |
| Selling and marketing expenses | |
| 41,576,925 | | |
| 8,473,078 | | |
| (87,975 | ) | |
| 49,962,028 | | |
| 7,119,532 | |
| General and administrative expenses | |
| 128,706,277 | | |
| 22,802,128 | | |
| - | | |
| 151,508,405 | | |
| 21,589,775 | |
| Other operating expenses | |
| 2,301,445 | | |
| 2,136,726 | | |
| - | | |
| 4,438,171 | | |
| 632,434 | |
| Other general
expenses | |
| 11,756,531 | | |
| - | | |
| - | | |
| 11,756,531 | | |
| 1,675,292 | |
| Total
operating costs and expenses | |
| 626,229,256 | | |
| 204,054,205 | | |
| (1,004,492 | ) | |
| 829,278,969 | | |
| 118,171,308 | |
Operating costs
were 205.2 million (US$ 29.2 million)[1], a 17.2% year-over-year decrease.
Operating costs of
the hotel business were RMB152.3 million (US$21.7million)[1], a 4.8% year-over-year decrease. The decrease was mainly attributable
to lower staff related costs due to the disposal of L&O hotels.
Operating costs of
the restaurant business in the third quarter of 2024 were RMB53.4 million (US$ 7.6 million)[1], a 39.2% year-over-year decrease,
due to the closure of L&O stores.
For the first nine
months of 2024, operating costs were RMB611.6 million (US$87.2 million)[1], a 16.9% decrease.
Selling and
marketing expenses were RMB15.7 million (US$2.2 million)[1], a 40.3% year-over-year decrease.
Selling and marketing
expenses of the hotel business were RMB12.9 million (US$1.8 million)[1], a 9.7% year-over-year decrease. The decrease was
mainly due to lower advertising expenses.
Selling and marketing
expenses of the restaurant business were RMB2.9 million (US$0.4 million)[1], a 76.0% year-over-year decrease, mainly attributable
to lower sales staff related expenses and lower sales-channel commissions.
For the first nine
months of 2024, selling and marketing expenses were RMB50.0 million (US$7.1 million)[1], a 17.5% decrease.
General and
administrative, or G&A expenses were RMB42.3 million (US$6.0 million)[1], a 9.9% year-over-year increase.
G&A expenses
of the hotel business were RMB35.3 million (US$5.0 million)[1], a 32.5% year-over-year increase. The increase was mainly due
to an increase of approximately RMB11 million in bad debt provisions for long-aged account receivables.
G&A expenses
of the restaurant business were RMB7.0 million (US$1.0 million)[1], a 40.8% year-over-year decrease, mainly due to lower staff
related expenses.
General and administrative
expenses for the first nine months of 2024 were RMB151.5 million (US$21.6 million)[1], a 0.7% year-over-year increase.
Other general
expenses were nil for this quarter, and for the first nine months of 2024 were RMB11.8 million (US$1.7 million) [1],
a 56.9% year-over-year decrease.
Gross profit
was RMB151.8 million (US$21.6 million)[1], a year-over-year decrease of 28.8%. Gross margin was 42.5%, compared to 46.2%
a year ago. The gross profit of the hotel business was RMB134.6 million (US$19.2 million)[1], an 24.9% year-over-year decrease.
The gross profit of the restaurant business was RMB17.3 million (US$2.5 million)[1], a 49.1% year-over-year decrease.
Income
from operations in the third quarter of 2024 was RMB106.4 million (US$15.2 million)[1] , compared to income from operations
of RMB137.8 million in the third quarter of 2023, with a margin of 29.8%. The lower profitability
was due to the decline in revenue, despite lower operating costs and expenses.
Income from operations
of the hotel business was RMB99.5 million (US$14.2 million)[1], compared to an income from operations of RMB127.5 million
in the third quarter of 2023, with a margin of 34.7%.
Income from operations
of the restaurant business in the third quarter of 2024 was RMB6.9 million (US$1.0 million)[1], compared to income from operations
of RMB10.3 million in the third quarter of 2023, with a margin of 9.7%.
Income from operations
for the first nine months of 2024 was RMB263.1 million (US$37.5 million)[1] compared to income from operations of RMB288.7
million in 2023, with a margin of 25.3%.
Net income
in the third quarter of 2024 was RMB65.2 million (US$9.3 million)[1], compared to a net income of RMB117.4 million in the
third quarter of 2023, and net margin was 18.3%. Net income was partially negatively impacted by a foreign exchange loss of approximately
RMB33 million.
Net income of the hotel business was
RMB58.6 million (US$8.4 million)[1], compared to a net income of RMB108.5 million in the third quarter of 2023, and net margin
was 20.4%.
Net income of the restaurant business
in the third quarter of 2024 was RMB6.6 million (US$0.9 million)[1], compared to a net income of RMB8.8 million in the third
quarter of 2023, and net margin was 9.4%.
Net income for
the first nine months of 2024 was RMB184.8 million (US$26.3million)[1], compared to a net income of RMB 251.9 million in
2023, and net margin was 17.8%.
Adjusted EBITDA
(non-GAAP)[2] in the third quarter of 2024 was RMB122.5 million (US$17.5 million)[1], a year-over-year decrease
of 32.1%. Adjusted EBITDA margin, defined as adjusted EBITDA (non-GAAP) as a percentage of total revenues, was 34.3%, compared to 39.2%
a year ago.
Adjusted EBITDA
(non-GAAP) for the first nine months of 2024 was RMB315.0 million (US$44.9 million), a year-over-year decrease of 21.4%.
Core net income
(non-GAAP) in the third quarter of 2024 was RMB93.5 million (US$13.3 million)[1], a year-over-year decrease of 26.6%.
The core net margin, defined as core net income (non-GAAP) as a percentage of total revenues, was 26.2%, compared to 27.6% one year ago.
Core net income
(non-GAAP) for the first nine months of 2024 was RMB224.4 million (US$ 32.0 million)[1], a year-over-year decrease of 8.7%.
Earnings per
American Depositary Share, or ADS, (basic and diluted) were RMB0.65 (US$0.09 )[1], decreased from RMB1.15 one year
ago.
Earnings per
American Depositary Share, or ADS, (basic and diluted) for the first nine months of 2024 were RMB1.83 (US$0.26 )[1],
decreased from RMB2.52 one year ago.
Core net income
per ADS (basic and diluted) (non-GAAP) was RMB0.92 (US$0.13 )[1], decreased from RMB1.25 a year ago.
Core net
income per ADS (basic and diluted) (non-GAAP) was RMB2.21 (US$0.31)[1] for the first nine months of 2024, an decrease
from RMB2.41 a year ago.
Cash flow Operating
cash inflow was RMB139.2 million (US$19.8 million)[1] as a result of income from operations. Investing cash outflow
for the third quarter of 2024 was RMB0.1 million (US$0.01 million)[1], which was primarily due to purchase of equipment for
the newly opened LO store in the second quarter and offset by repayment of loans from franchisees. Financing cash outflow was RMB1.3
million (US$0.2 million)[1],mainly due to the repurchase of ordinary shares.
Cash and cash
equivalents, restricted cash, short-term investments, investments in equity securities and time deposits. As of September 30,
2024, the Company had total cash and cash equivalents, restricted cash, short term investments, investments in equity securities and
time deposits of RMB1,883.9million (US$268.5 million)[1],compared to RMB1,737.2 million as of June 30, 2024. The increase
was mainly attributable to continued operating cash inflow and repayment of loans from franchisees.
Guidance
We now anticipate
revenue for our hotel business for the full year 2024 to decrease approximately 8% compared to 2023. This is based on our operating performance
so far this year, in particular lower than expected travel in the third quarter, and the strategic review of our LO hotels segment that
led to the net closure of 9 hotels by the end of the third quarter and contributed nearly half of the decline.
Conference Call
GreenTree's management
will hold an earnings conference call at 8:00 AM U.S. Eastern Time on November 21, 2024,
(9:00 PM Beijing/Hong Kong Time on November 21, 2024).
Dial-in numbers
for the live conference call are as follows:
| International |
1-412-902-4272 |
| |
|
| Mainland China |
4001-201-203 |
| |
|
| US |
1-888-346-8982 |
| |
|
| Hong Kong |
800-905-945 or 852-3018-4992 |
| |
|
| Singapore |
800-120-6157 |
Participants should
ask to join the GreenTree call, please dial in approximately 10 minutes before the scheduled time of the call.
A telephone replay
of the conference call will be available after the conclusion of the live conference call until november 28, 2024.
Dial-in numbers for
the replay are as follows:
| International
Dial-in |
1-412-317-0088 |
| |
|
| U.S. Toll Free |
1-877-344-7529 |
| |
|
| Canada Toll Free |
855-669-9658 |
| |
|
| Passcode: |
5184244 |
Additionally, a live
and archived webcast of this conference call will be available at http://ir.998.com.
Use of Non-GAAP
Financial Measures
We believe that
Adjusted EBITDA and core net income, as we present them, are useful financial metrics to assess our operating and financial performance
before the impact of investing and financing transactions, income taxes and certain non-core and non-recurring items in our financial
statements.
The presentation
of Adjusted EBITDA and core net income should not be construed as an indication that our future results will be unaffected by other charges
and gains we consider to be outside the ordinary course of our business.
The use of Adjusted
EBITDA and core net income has certain limitations because it does not reflect all items of income and expenses that affect our operations.
Items excluded from Adjusted EBITDA and core net income are significant components in understanding and assessing our operating and financial
performance. Depreciation and amortization expense for various long-term assets, income tax and share-based compensation have been and
will be incurred and are not reflected in the presentation of Adjusted EBITDA. Each of these items should also be considered in the overall
evaluation of our results. Additionally, Adjusted EBITDA and core net income do not consider capital expenditures and other investing
activities and should not be considered as a measure of our liquidity. We compensate for these limitations by providing the relevant
disclosure of our depreciation and amortization, interest expense/income, gains/losses from investments in equity securities, income
tax expenses, share-based compensation, share of loss in equity investees, government subsidies and other relevant items both in our
reconciliations to the corresponding U.S. GAAP financial measures and in our consolidated financial statements, all of which should be
considered when evaluating our performance.
The terms Adjusted
EBITDA and core net income are not defined under U.S. GAAP, and Adjusted EBITDA and core net income are not measures of net income, operating
income, operating performance or liquidity presented in accordance with U.S. GAAP. When assessing our operating and financial performance,
you should not consider this data in isolation or as a substitute for our net income, operating income or any other operating performance
measure that is calculated in accordance with U.S. GAAP. In addition, our Adjusted EBITDA and core net income may not be comparable to
Adjusted EBITDA and core net income or similarly titled measures utilized by other companies since such other companies may not calculate
Adjusted EBITDA and core net income in the same manner as we do.
Reconciliations
of the Company's non-GAAP financial measures, including Adjusted EBITDA and core net income, to the consolidated statement of operations
information are included at the end of this press release.
About GreenTree
Hospitality Group Ltd.
GreenTree Hospitality
Group Ltd. ("GreenTree" or the "Company") (NYSE: GHG) is a leading hospitality and restaurant management group in
China. As of September 30, 2024, GreenTree had a total number of 4,336 hotels and 182 restaurants. In 2023, HOTELS magazine ranked GreenTree
11th among the 225 largest global hotel groups in terms of number of hotels in its annual HOTELS' 225. GreenTree was the fourth largest
hospitality company in China in 2023 according to the China Hospitality Association. In 2023, GreenTree completed its acquisition of
Da Niang Dumplings and Bellagio, two leading restaurant chain businesses in China.
GreenTree has a
broad portfolio of diverse brands spanning from the economy to mid-scale, up-scale and luxury segments of the hospitality industry mainly
in China. Through its strong membership base, expansive booking network, superior system management with moderate charges, and fully
supported by its operating departments including Decoration, Engineering, Purchasing, Operation, IT and Finance, GreenTree aims to keep
closer relationships with all of its clients and partners by providing a diverse brand portfolio that features comfort, style and value.
For more information
on GreenTree, please visit http://ir.998.com
Safe Harbor
Statements
This press release
contains forward-looking statements made under the "safe harbor" provisions of Section 21E of the Securities Exchange Act of
1934, as amended, and the U.S. Private Securities Litigation Reform Act of 1995. In some cases, these forward-looking statements
can be identified by words or phrases such as "may," "will," "expect," "anticipate," "aim,"
"estimate," "intend," "plan," "believe," "potential," "continue," "is/are
likely to," "confident," "future," or other similar expressions. GreenTree may also make written or oral forward-looking
statements in its reports filed with or furnished to the U.S. Securities and Exchange Commission, in its annual report to shareholders,
in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Any
statements that are not historical facts, including statements about or based on GreenTree's current beliefs, expectations, assumptions,
estimates and projections about us and our industry, are forward-looking statements that involve known and unknown factors, risks and
uncertainties that may cause our actual results, performance or achievements to be materially different from those expressed or implied
by the forward-looking statements. Such factors and risks include, but not limited to the following: GreenTree's goals and growth strategies;
its future business development, financial condition and results of operations; trends in the hospitality industry in China and globally;
competition in our industry; fluctuations in general economic and business conditions in China and other regions where we operate; the
regulatory environment in which we and our franchisees operate; and assumptions underlying or related to any of the foregoing. You should
not place undue reliance on these forward-looking statements. Further information regarding these and other risks, uncertainties or factors
is included in the Company's filings with the U.S. Securities and Exchange Commission. All information provided, including the forward-looking
statements made, in this press release are current as of the date of the press release. Except as required by law, GreenTree undertakes
no obligation to update any such information or forward-looking statements to reflect events or circumstances after the date on which
the information is provided or statements are made, or to reflect the occurrence of unanticipated events.
Financial Tables and
Operational Data Follow
GreenTree
Hospitality Group Ltd.
Unaudited
Condensed Consolidated Balance Sheets
| | |
December
31 | | |
September
30 | | |
September
30 | |
| | |
2023 | | |
2024 | | |
2024 | |
| | |
RMB | | |
RMB | | |
US$ | |
| ASSETS | |
| | | |
| | | |
| | |
| Current assets: | |
| | | |
| | | |
| | |
| Cash and cash equivalents | |
| 765,547,547 | | |
| 1,513,020,988 | | |
| 215,603,766 | |
| Restricted cash | |
| 6,576,906 | | |
| 7,240,598 | | |
| 1,031,777 | |
| Short-term investments | |
| 417,711,617 | | |
| 64,034 | | |
| 9,125 | |
| Investments in equity securities | |
| 26,076,169 | | |
| 22,798,811 | | |
| 3,248,805 | |
| Accounts receivable, net of allowance | |
| 123,887,879 | | |
| 112,807,834 | | |
| 16,074,988 | |
| Amounts due from related parties | |
| 19,928,781 | | |
| 17,890,534 | | |
| 2,549,381 | |
| Inventories | |
| 20,462,490 | | |
| 6,423,582 | | |
| 915,353 | |
| Other current assets | |
| 117,047,122 | | |
| 125,926,677 | | |
| 17,944,408 | |
| Loans receivable, net | |
| 129,521,094 | | |
| 79,569,204 | | |
| 11,338,521 | |
| Total current assets | |
| 1,626,759,605 | | |
| 1,885,742,262 | | |
| 268,716,124 | |
| | |
| | | |
| | | |
| | |
| Non-current assets: | |
| | | |
| | | |
| | |
| Amounts due from a related party | |
| 110,000,000 | | |
| 110,000,000 | | |
| 15,674,875 | |
| Restricted cash | |
| 19,476,259 | | |
| 19,397,031 | | |
| 2,764,055 | |
| Long-term time deposits | |
| 63,340,000 | | |
| 285,570,000 | | |
| 40,693,399 | |
| Loans receivable, net | |
| 70,690,305 | | |
| 43,154,241 | | |
| 6,149,430 | |
| Property and equipment, net | |
| 814,949,026 | | |
| 634,881,632 | | |
| 90,469,909 | |
| Intangible assets, net | |
| 117,720,693 | | |
| 114,380,472 | | |
| 16,299,087 | |
| Goodwill | |
| 177,082,468 | | |
| 177,082,468 | | |
| 25,234,050 | |
| Long-term investments | |
| 184,758,800 | | |
| 188,946,438 | | |
| 26,924,652 | |
| Operating lease right-of-use assets | |
| 1,535,330,762 | | |
| 1,353,807,671 | | |
| 192,916,050 | |
| Other assets | |
| 104,725,600 | | |
| 106,200,135 | | |
| 15,133,398 | |
| Deferred tax assets | |
| 241,965,360 | | |
| 180,650,424 | | |
| 25,742,479 | |
| TOTAL ASSETS | |
| 5,066,798,878 | | |
| 5,099,812,774 | | |
| 726,717,508 | |
| | |
| | | |
| | | |
| | |
| LIABILITIES AND EQUITY | |
| | | |
| | | |
| | |
| Current liabilities: | |
| | | |
| | | |
| | |
| Long-term bank loans, current
portion | |
| 200,000 | | |
| - | | |
| - | |
| Short-term bank loans | |
| 116,800,000 | | |
| 400,000 | | |
| 57,000 | |
| Accounts payable | |
| 73,126,677 | | |
| 45,619,837 | | |
| 6,500,775 | |
| Advance from customers | |
| 22,393,097 | | |
| 21,258,689 | | |
| 3,029,339 | |
| Amounts due to related parties | |
| 16,310,293 | | |
| 15,694,608 | | |
| 2,236,464 | |
| Salary and welfare payable | |
| 86,332,096 | | |
| 74,484,735 | | |
| 10,613,990 | |
| Deferred revenue | |
| 186,281,838 | | |
| 197,495,166 | | |
| 28,142,836 | |
| Accrued expenses and other current liabilities | |
| 459,832,717 | | |
| 493,142,341 | | |
| 70,272,221 | |
| Income tax payable | |
| 112,782,712 | | |
| 124,691,079 | | |
| 17,768,337 | |
| Dividends payable | |
| - | | |
| 70,176,000 | | |
| 10,000,000 | |
| Operating lease liabilities, current | |
| 267,536,846 | | |
| 183,764,847 | | |
| 26,186,281 | |
| Total current
liabilities | |
| 1,341,596,276 | | |
| 1,226,727,302 | | |
| 174,807,243 | |
| | |
| | | |
| | | |
| | |
| Long-term bank loans | |
| 56,800,000 | | |
| 256,400,000 | | |
| 36,536,708 | |
| Deferred revenue | |
| 207,905,769 | | |
| 182,882,796 | | |
| 26,060,590 | |
| Other long-term liabilities | |
| 111,711,748 | | |
| 117,713,049 | | |
| 16,773,975 | |
| Operating lease liabilities, non-current | |
| 1,391,909,309 | | |
| 1,300,009,022 | | |
| 185,249,804 | |
| Deferred tax liabilities | |
| 94,716,495 | | |
| 54,099,834 | | |
| 7,709,165 | |
| Unrecognized tax benefits | |
| 382,125,786 | | |
| 371,085,335 | | |
| 52,879,237 | |
| TOTAL LIABILITIES | |
| 3,586,765,383 | | |
| 3,508,917,338 | | |
| 500,016,722 | |
| | |
| | | |
| | | |
| | |
| Shareholders’ equity: | |
| | | |
| | | |
| | |
| Class A ordinary shares | |
| 222,587,070 | | |
| 222,587,070 | | |
| 31,718,404 | |
| Class B ordinary shares | |
| 115,534,210 | | |
| 115,534,210 | | |
| 16,463,493 | |
| Treasury Stock | |
| (36,677,832 | ) | |
| (36,977,954 | ) | |
| (5,269,316 | ) |
| Additional paid-in capital | |
| 1,680,713,349 | | |
| 1,680,194,335 | | |
| 239,425,777 | |
| Retained earnings (Accumulated
losses) | |
| (568,339,799 | ) | |
| (452,428,018 | ) | |
| (64,470,477 | ) |
| Accumulated
other comprehensive income | |
| 28,401,282 | | |
| 26,759,125 | | |
| 3,813,145 | |
| Total
GreenTree Hospitality Group Ltd. shareholders’ equity | |
| 1,442,218,280 | | |
| 1,555,668,768 | | |
| 221,681,026 | |
| | |
| | | |
| | | |
| | |
| Non-controlling
interests | |
| 37,815,215 | | |
| 35,226,668 | | |
| 5,019,760 | |
| Total
shareholders’ equity | |
| 1,480,033,495 | | |
| 1,590,895,436 | | |
| 226,700,786 | |
| | |
| | | |
| | | |
| | |
| TOTAL
LIABILITIES AND SHAREHOLDERS’ EQUITY | |
| 5,066,798,878 | | |
| 5,099,812,774 | | |
| 726,717,508 | |
GreenTree Hospitality Group Ltd.
Unaudited Condensed Consolidated Statements of Comprehensive Income
| | |
Quarter Ended | | |
Nine Month Ended | |
| | |
September
30, 2023 | | |
September
30, 2024 | | |
September
30, 2024 | | |
September
30, 2023 | | |
September
30, 2024 | | |
September
30, 2024 | |
| | |
RMB | | |
RMB | | |
US$ | | |
RMB | | |
RMB | | |
US$ | |
| Revenues | |
| | |
| | |
| | |
| | |
| | |
| |
| Leased-and-operated revenues | |
| 232,247,158 | | |
| 159,276,402 | | |
| 22,696,706 | | |
| 613,025,979 | | |
| 477,344,850 | | |
| 68,021,097 | |
| Franchised-and-managed revenues | |
| 190,113,557 | | |
| 169,686,060 | | |
| 24,180,070 | | |
| 540,695,817 | | |
| 482,426,095 | | |
| 68,745,169 | |
| Wholesales and others | |
| 38,523,479 | | |
| 28,018,988 | | |
| 3,992,674 | | |
| 101,372,388 | | |
| 79,149,589 | | |
| 11,278,726 | |
| Total revenues | |
| 460,884,194 | | |
| 356,981,450 | | |
| 50,869,450 | | |
| 1,255,094,184 | | |
| 1,038,920,534 | | |
| 148,044,992 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Operating costs and expenses | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Operating costs | |
| (247,784,689 | ) | |
| (205,168,798 | ) | |
| (29,236,320 | ) | |
| (735,847,138 | ) | |
| (611,613,834 | ) | |
| (87,154,274 | ) |
| Selling and marketing expenses | |
| (26,303,310 | ) | |
| (15,712,711 | ) | |
| (2,239,043 | ) | |
| (60,527,560 | ) | |
| (49,962,028 | ) | |
| (7,119,532 | ) |
| General and administrative expenses | |
| (38,514,280 | ) | |
| (42,332,528 | ) | |
| (6,032,337 | ) | |
| (150,388,637 | ) | |
| (151,508,405 | ) | |
| (21,589,775 | ) |
| Other operating expenses | |
| (301,169 | ) | |
| (2,017,978 | ) | |
| (287,560 | ) | |
| (8,135,387 | ) | |
| (4,438,171 | ) | |
| (632,434 | ) |
| Other general expenses | |
| (11,322,509 | ) | |
| - | | |
| - | | |
| (27,296,093 | ) | |
| (11,756,531 | ) | |
| (1,675,292 | ) |
| Total operating costs and expenses | |
| (324,225,957 | ) | |
| (265,232,015 | ) | |
| (37,795,260 | ) | |
| (982,194,815 | ) | |
| (829,278,969 | ) | |
| (118,171,308 | ) |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Other operating income | |
| 1,136,022 | | |
| 14,654,068 | | |
| 2,088,188 | | |
| 15,806,939 | | |
| 53,422,304 | | |
| 7,612,617 | |
| Income from operations | |
| 137,794,259 | | |
| 106,403,503 | | |
| 15,162,378 | | |
| 288,706,308 | | |
| 263,063,869 | | |
| 37,486,301 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Interest income and other, net | |
| 13,662,038 | | |
| 7,488,034 | | |
| 1,067,036 | | |
| 31,041,389 | | |
| 27,438,533 | | |
| 3,909,960 | |
| Interest expense | |
| (3,740,491 | ) | |
| (116,161 | ) | |
| (16,553 | ) | |
| (13,137,021 | ) | |
| (4,485,219 | ) | |
| (639,139 | ) |
| Gains (losses) from investment in equity securities | |
| 365,577 | | |
| 10,015,229 | | |
| 1,427,159 | | |
| (4,434,821 | ) | |
| (5,409,426 | ) | |
| (770,837 | ) |
| Other income, net | |
| 1,779,998 | | |
| (34,653,121 | ) | |
| (4,938,030 | ) | |
| 42,926,246 | | |
| (17,862,097 | ) | |
| (2,545,328 | ) |
| Income before income taxes | |
| 149,861,381 | | |
| 89,137,484 | | |
| 12,701,990 | | |
| 345,102,101 | | |
| 262,745,660 | | |
| 37,440,957 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Income tax expense | |
| (32,385,239 | ) | |
| (24,330,641 | ) | |
| (3,467,089 | ) | |
| (92,335,322 | ) | |
| (77,512,335 | ) | |
| (11,045,419 | ) |
| Income (loss) before share of gains in equity investees | |
| 117,476,142 | | |
| 64,806,843 | | |
| 9,234,901 | | |
| 252,766,779 | | |
| 185,233,325 | | |
| 26,395,538 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Share of loss/(income) in equity investees, net of tax | |
| (83,027 | ) | |
| 405,064 | | |
| 57,721 | | |
| (869,910 | ) | |
| (464,693 | ) | |
| (66,218 | ) |
| Net income(loss) | |
| 117,393,115 | | |
| 65,211,907 | | |
| 9,292,622 | | |
| 251,896,869 | | |
| 184,768,632 | | |
| 26,329,320 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Net loss/(income) attributable to non-controlling interests | |
| 227,170 | | |
| 288,968 | | |
| 41,178 | | |
| 5,304,468 | | |
| 1,319,147 | | |
| 187,977 | |
| Net income attributable to ordinary shareholders | |
| 117,620,285 | | |
| 65,500,875 | | |
| 9,333,800 | | |
| 257,201,337 | | |
| 186,087,779 | | |
| 26,517,297 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Net earnings per share | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Class A ordinary share-basic and diluted | |
| 1.15 | | |
| 0.65 | | |
| 0.09 | | |
| 2.52 | | |
| 1.83 | | |
| 0.26 | |
| Class B ordinary share-basic and diluted | |
| 1.15 | | |
| 0.65 | | |
| 0.09 | | |
| 2.52 | | |
| 1.83 | | |
| 0.26 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Net earnings per ADS | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Class A ordinary share-basic and diluted | |
| 1.15 | | |
| 0.65 | | |
| 0.09 | | |
| 2.52 | | |
| 1.83 | | |
| 0.26 | |
| Class B ordinary share-basic and diluted | |
| 1.15 | | |
| 0.65 | | |
| 0.09 | | |
| 2.52 | | |
| 1.83 | | |
| 0.26 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Weighted average shares outstanding | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Class A ordinary share-basic and diluted | |
| 67,416,046 | | |
| 66,778,809 | | |
| 66,778,809 | | |
| 67,416,046 | | |
| 66,780,008 | | |
| 66,780,008 | |
| Class B ordinary share-basic and diluted | |
| 34,762,909 | | |
| 34,762,909 | | |
| 34,762,909 | | |
| 34,762,909 | | |
| 34,762,909 | | |
| 34,762,909 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Other comprehensive income, net of tax | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Foreign currency translation adjustments | |
| (68,502 | ) | |
| 6,463,594 | | |
| 921,055 | | |
| 927,605 | | |
| (1,642,157 | ) | |
| (234,006 | ) |
| Unrealized gains(loss) on available-for-sale investments, net of tax | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Comprehensive income, net of tax | |
| 117,324,613 | | |
| 71,675,501 | | |
| 10,213,677 | | |
| 252,824,474 | | |
| 183,126,475 | | |
| 26,095,314 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Comprehensive loss/(income) attributable to non-controlling interests | |
| 6,379,505 | | |
| 288,968 | | |
| 41,178 | | |
| 5,304,468 | | |
| 1,319,147 | | |
| 187,977 | |
| Comprehensive income (loss) attributable to ordinary shareholders | |
| 123,704,118 | | |
| 71,964,469 | | |
| 10,254,855 | | |
| 258,128,942 | | |
| 184,445,622 | | |
| 26,283,291 | |
GreenTree Hospitality Group Ltd.
Unaudited Hotel Business Results
| | |
Quarter Ended | | |
Nine Month Ended | |
| | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2024 | | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2024 | |
| | |
RMB | | |
RMB | | |
US$ | | |
RMB | | |
RMB | | |
US$ | |
| Revenues | |
| | |
| | |
| | |
| | |
| | |
| |
| Leased-and-operated revenues | |
| 151,839,044 | | |
| 118,159,125 | | |
| 16,837,541 | | |
| 365,402,970 | | |
| 346,552,738 | | |
| 49,383,370 | |
| Franchised-and-managed revenues | |
| 186,043,016 | | |
| 167,928,127 | | |
| 23,929,567 | | |
| 533,460,017 | | |
| 476,898,409 | | |
| 67,957,480 | |
| Others | |
| 1,168,017 | | |
| 796,488 | | |
| 113,499 | | |
| 3,393,596 | | |
| 2,881,694 | | |
| 410,638 | |
| Total revenues | |
| 339,050,077 | | |
| 286,883,740 | | |
| 40,880,607 | | |
| 902,256,583 | | |
| 826,332,841 | | |
| 117,751,488 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Operating costs and expenses | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Hotel operating costs | |
| (159,920,582 | ) | |
| (152,278,796 | ) | |
| (21,699,555 | ) | |
| (444,284,960 | ) | |
| (441,888,078 | ) | |
| (62,968,547 | ) |
| Selling and marketing expenses | |
| (14,277,225 | ) | |
| (12,899,411 | ) | |
| (1,838,151 | ) | |
| (39,115,830 | ) | |
| (41,576,925 | ) | |
| (5,924,664 | ) |
| General and administrative expenses | |
| (26,655,780 | ) | |
| (35,309,079 | ) | |
| (5,031,504 | ) | |
| (117,191,327 | ) | |
| (128,706,277 | ) | |
| (18,340,498 | ) |
| Other operating expenses | |
| (180,515 | ) | |
| (1,363,201 | ) | |
| (194,255 | ) | |
| (1,024,079 | ) | |
| (2,301,445 | ) | |
| (327,953 | ) |
| Other general expenses | |
| (11,322,509 | ) | |
| - | | |
| - | | |
| (27,296,093 | ) | |
| (11,756,531 | ) | |
| (1,675,292 | ) |
| Total operating costs and expenses | |
| (212,356,611 | ) | |
| (201,850,487 | ) | |
| (28,763,465 | ) | |
| (628,912,289 | ) | |
| (626,229,256 | ) | |
| (89,236,954 | ) |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Other operating income | |
| 796,141 | | |
| 14,496,942 | | |
| 2,065,798 | | |
| 14,587,926 | | |
| 51,347,340 | | |
| 7,316,937 | |
| Income from operations | |
| 127,489,607 | | |
| 99,530,195 | | |
| 14,182,940 | | |
| 287,932,220 | | |
| 251,450,925 | | |
| 35,831,471 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Interest income and other, net | |
| 13,514,958 | | |
| 7,467,287 | | |
| 1,064,080 | | |
| 30,587,298 | | |
| 27,376,005 | | |
| 3,901,050 | |
| Interest expense | |
| (3,004,677 | ) | |
| (115,851 | ) | |
| (16,509 | ) | |
| (10,896,629 | ) | |
| (4,484,909 | ) | |
| (639,094 | ) |
| Gains (losses) from investment in equity securities | |
| 365,577 | | |
| 10,015,229 | | |
| 1,427,159 | | |
| (4,434,821 | ) | |
| (769,747 | ) | |
| (109,688 | ) |
| Other income, net | |
| 2,150,576 | | |
| (34,647,093 | ) | |
| (4,937,171 | ) | |
| 42,846,940 | | |
| (17,938,054 | ) | |
| (2,556,152 | ) |
| Income before income taxes | |
| 140,516,041 | | |
| 82,249,767 | | |
| 11,720,499 | | |
| 346,035,008 | | |
| 255,634,220 | | |
| 36,427,587 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Income tax expense | |
| (31,888,801 | ) | |
| (24,053,937 | ) | |
| (3,427,659 | ) | |
| (87,620,126 | ) | |
| (76,155,862 | ) | |
| (10,852,124 | ) |
| Income (loss) before share of gains in equity investees | |
| 108,627,240 | | |
| 58,195,830 | | |
| 8,292,840 | | |
| 258,414,882 | | |
| 179,478,358 | | |
| 25,575,463 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Share of loss/(income) in equity investees, net of tax | |
| (83,027 | ) | |
| 405,064 | | |
| 57,721 | | |
| (869,910 | ) | |
| (464,693 | ) | |
| (66,218 | ) |
| Net income(loss) | |
| 108,544,213 | | |
| 58,600,894 | | |
| 8,350,561 | | |
| 257,544,972 | | |
| 179,013,665 | | |
| 25,509,245 | |
GreenTree Hospitality Group Ltd.
Unaudited Restaurant Business Results
| | |
Quarter Ended | | |
Nine Month Ended | |
| | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2024 | | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2024 | |
| | |
RMB | | |
RMB | | |
US$ | | |
RMB | | |
RMB | | |
US$ | |
| Revenues | |
| | |
| | |
| | |
| | |
| | |
| |
| Leased-and-operated revenues | |
| 80,358,490 | | |
| 41,117,277 | | |
| 5,859,165 | | |
| 248,698,564 | | |
| 130,792,112 | | |
| 18,637,727 | |
| Franchised-and-managed revenues | |
| 4,070,541 | | |
| 1,757,933 | | |
| 250,503 | | |
| 7,235,800 | | |
| 5,527,686 | | |
| 787,689 | |
| Wholesales and others | |
| 37,355,462 | | |
| 27,766,790 | | |
| 3,956,736 | | |
| 97,978,792 | | |
| 77,272,388 | | |
| 11,011,227 | |
| Total revenues | |
| 121,784,493 | | |
| 70,642,000 | | |
| 10,066,404 | | |
| 353,913,156 | | |
| 213,592,186 | | |
| 30,436,643 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Operating costs and expenses | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Restaurant operating costs | |
| (87,814,484 | ) | |
| (53,365,650 | ) | |
| (7,604,544 | ) | |
| (292,122,643 | ) | |
| (170,642,273 | ) | |
| (24,316,329 | ) |
| Selling and marketing expenses | |
| (12,026,085 | ) | |
| (2,881,942 | ) | |
| (410,673 | ) | |
| (21,411,730 | ) | |
| (8,473,078 | ) | |
| (1,207,404 | ) |
| General and administrative expenses | |
| (11,858,500 | ) | |
| (7,023,449 | ) | |
| (1,000,833 | ) | |
| (33,197,310 | ) | |
| (22,802,128 | ) | |
| (3,249,277 | ) |
| Other operating expenses | |
| (120,654 | ) | |
| (654,777 | ) | |
| (93,305 | ) | |
| (7,111,308 | ) | |
| (2,136,726 | ) | |
| (304,481 | ) |
| Other general expenses | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Total operating costs and expenses | |
| (111,819,723 | ) | |
| (63,925,818 | ) | |
| (9,109,355 | ) | |
| (353,842,991 | ) | |
| (204,054,205 | ) | |
| (29,077,491 | ) |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Other operating income | |
| 339,881 | | |
| 157,126 | | |
| 22,390 | | |
| 1,219,013 | | |
| 2,074,964 | | |
| 295,680 | |
| Income from operations | |
| 10,304,651 | | |
| 6,873,308 | | |
| 979,439 | | |
| 1,289,178 | | |
| 11,612,945 | | |
| 1,654,832 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Interest income and other, net | |
| 147,080 | | |
| 20,746 | | |
| 2,956 | | |
| 454,091 | | |
| 62,528 | | |
| 8,910 | |
| Interest expense | |
| (735,814 | ) | |
| (310 | ) | |
| (44 | ) | |
| (2,240,392 | ) | |
| (310 | ) | |
| (44 | ) |
| Gains (losses) from investment in equity securities | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Other income, net | |
| (370,578 | ) | |
| (6,028 | ) | |
| (859 | ) | |
| 79,306 | | |
| (33,122 | ) | |
| (4,720 | ) |
| Income before income taxes | |
| 9,345,339 | | |
| 6,887,716 | | |
| 981,492 | | |
| (417,817 | ) | |
| 11,642,041 | | |
| 1,658,978 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Income tax expense | |
| (496,438 | ) | |
| (276,704 | ) | |
| (39,430 | ) | |
| (4,843,969 | ) | |
| (1,356,473 | ) | |
| (193,296 | ) |
| Income (loss) before share of gains in equity investees | |
| 8,848,901 | | |
| 6,611,012 | | |
| 942,062 | | |
| (5,261,786 | ) | |
| 10,285,568 | | |
| 1,465,682 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Share of loss/(income) in equity investees, net of tax | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Net income(loss) | |
| 8,848,901 | | |
| 6,611,012 | | |
| 942,062 | | |
| (5,261,786 | ) | |
| 10,285,568 | | |
| 1,465,682 | |
GreenTree Hospitality Group Ltd.
Unaudited Condensed Consolidated Statements of Cash Flows
| | |
Quarter Ended | | |
Nine Month Ended | |
| | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2024 | | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2024 | |
| | |
RMB | | |
RMB | | |
US$ | | |
RMB | | |
RMB | | |
US$ | |
| Operating activities: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Net (loss) income | |
| 117,393,114 | | |
| 65,211,908 | | |
| 9,292,623 | | |
| 251,896,867 | | |
| 184,768,634 | | |
| 26,329,320 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Adjustments to reconcile net income to net cash provided by operating activities: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Depreciation and amortization | |
| 32,167,798 | | |
| 28,690,959 | | |
| 4,088,429 | | |
| 92,487,725 | | |
| 89,170,635 | | |
| 12,706,714 | |
| Impairment of long-lived assets | |
| - | | |
| - | | |
| - | | |
| 2,900,000 | | |
| - | | |
| - | |
| Share of (gains) losses in equity method
investments | |
| 83,027 | | |
| (405,064 | ) | |
| (57,721 | ) | |
| 869,910 | | |
| 464,693 | | |
| 66,218 | |
| Noncash lease expense | |
| 58,627,753 | | |
| 68,398,682 | | |
| 9,746,734 | | |
| 193,450,844 | | |
| 205,628,129 | | |
| 29,301,774 | |
| Loss from disposal of a subsidiary | |
| - | | |
| (4,925,221 | ) | |
| (701,838 | ) | |
| 1,223,952 | | |
| (5,764,903 | ) | |
| (821,492 | ) |
| Interest income | |
| (2,025,838 | ) | |
| (1,199,222 | ) | |
| (170,888 | ) | |
| (3,683,748 | ) | |
| (6,416,109 | ) | |
| (914,288 | ) |
| Bad debt expenses | |
| 18,349,856 | | |
| 12,615,651 | | |
| 1,797,716 | | |
| 37,029,330 | | |
| 34,383,723 | | |
| 4,899,641 | |
| (Gains) losses and impairment on equity securities held | |
| (365,577 | ) | |
| (10,015,229 | ) | |
| (1,427,159 | ) | |
| 4,434,821 | | |
| 5,409,426 | | |
| 770,837 | |
| Loss (gains) on disposal of property, plant and equipment | |
| 10,173 | | |
| 332,997 | | |
| 47,452 | | |
| 238,014 | | |
| (24,783,238 | ) | |
| (3,531,583 | ) |
| Foreign exchange (gains) losses | |
| 819,037 | | |
| 7,449,403 | | |
| 1,061,531 | | |
| (269,162 | ) | |
| (1,314,548 | ) | |
| (187,322 | ) |
| Share-based compensation | |
| (11,998 | ) | |
| 15,662 | | |
| 2,232 | | |
| 16,594 | | |
| 46,986 | | |
| 6,695 | |
| Accounts receivable | |
| (18,632,382 | ) | |
| (5,363,153 | ) | |
| (764,243 | ) | |
| (13,516,688 | ) | |
| (13,092,304 | ) | |
| (1,865,638 | ) |
| Prepaid rent | |
| (129,472 | ) | |
| - | | |
| - | | |
| (129,472 | ) | |
| - | | |
| - | |
| Inventories | |
| 637,459 | | |
| 223,113 | | |
| 31,793 | | |
| 8,088,185 | | |
| 15,112,676 | | |
| 2,153,539 | |
| Amounts due from related parties | |
| 3,930,789 | | |
| 2,188,419 | | |
| 311,847 | | |
| 5,559,317 | | |
| 2,488,246 | | |
| 354,572 | |
| Other current assets | |
| (5,238,709 | ) | |
| (6,330,209 | ) | |
| (902,048 | ) | |
| (40,136,745 | ) | |
| (1,245,258 | ) | |
| (177,448 | ) |
| Other assets | |
| 1,942,473 | | |
| (2,775,493 | ) | |
| (395,505 | ) | |
| 7,889,240 | | |
| (1,474,535 | ) | |
| (210,120 | ) |
| Accounts payable | |
| (19,131,574 | ) | |
| (7,758,061 | ) | |
| (1,105,515 | ) | |
| (29,048,734 | ) | |
| (20,318,304 | ) | |
| (2,895,335 | ) |
| Amounts due to related parties | |
| 5,053,227 | | |
| 788,969 | | |
| 112,427 | | |
| 3,373,836 | | |
| (615,685 | ) | |
| (87,734 | ) |
| Salary and welfare payable | |
| (1,443,289 | ) | |
| (10,164,582 | ) | |
| (1,448,441 | ) | |
| 5,029,575 | | |
| (11,588,641 | ) | |
| (1,651,368 | ) |
| Deferred revenue | |
| (18,693,576 | ) | |
| 17,893,291 | | |
| 2,549,774 | | |
| (24,552,689 | ) | |
| (13,809,645 | ) | |
| (1,967,859 | ) |
| Advance from customers | |
| 5,344,742 | | |
| (706,088 | ) | |
| (100,617 | ) | |
| 1,686,920 | | |
| (1,123,375 | ) | |
| (160,080 | ) |
| Accrued expenses and other current liabilities | |
| 20,585,844 | | |
| 35,754,773 | | |
| 5,095,014 | | |
| 88,392,990 | | |
| 32,469,157 | | |
| 4,626,818 | |
| Income tax payable | |
| (638,107 | ) | |
| 20,169,690 | | |
| 2,874,158 | | |
| 50,644,167 | | |
| 11,908,367 | | |
| 1,696,929 | |
| Unrecognized tax benefits | |
| 11,569,800 | | |
| (4,844,361 | ) | |
| (690,316 | ) | |
| 43,530,199 | | |
| (11,040,451 | ) | |
| (1,573,252 | ) |
| Operating lease liabilities | |
| (54,348,610 | ) | |
| (80,036,795 | ) | |
| (11,405,152 | ) | |
| (179,026,778 | ) | |
| (189,805,890 | ) | |
| (27,047,123 | ) |
| Other long-term liabilities | |
| (159,947 | ) | |
| 6,321,131 | | |
| 900,754 | | |
| (8,241,312 | ) | |
| (1,998,698 | ) | |
| (284,812 | ) |
| Deferred taxes | |
| (911,201 | ) | |
| 7,711,357 | | |
| 1,098,860 | | |
| (32,243,691 | ) | |
| 21,677,657 | | |
| 3,089,041 | |
| Net cash provided by operating activities | |
| 154,784,812 | | |
| 139,242,527 | | |
| 19,841,901 | | |
| 467,893,467 | | |
| 299,136,745 | | |
| 42,626,644 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Investing activities: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Purchases of property, plant and equipment | |
| (833,691 | ) | |
| (8,771,704 | ) | |
| (1,249,958 | ) | |
| (72,566,925 | ) | |
| (28,965,630 | ) | |
| (4,127,569 | ) |
| Purchases of intangible assets | |
| 185,683 | | |
| - | | |
| - | | |
| (166,598 | ) | |
| - | | |
| - | |
| Proceeds from disposal of property, plant and equipment | |
| (29,960 | ) | |
| 451,660 | | |
| 64,361 | | |
| 14,666,721 | | |
| 140,184,760 | | |
| 19,976,168 | |
| Payment for acquisition of minority equity | |
| - | | |
| 966,000 | | |
| 137,654 | | |
| - | | |
| - | | |
| - | |
| Purchases of a long-term investment | |
| - | | |
| (6,800,000 | ) | |
| (968,992 | ) | |
| - | | |
| (6,800,000 | ) | |
| (968,992 | ) |
| Repayment of Advances for acquisitions | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | | |
| - | |
| Purchases of short-term investments | |
| (150,860,480 | ) | |
| - | | |
| - | | |
| (202,230,480 | ) | |
| - | | |
| - | |
| Proceeds from short-term investments | |
| 27,211,463 | | |
| - | | |
| - | | |
| 160,854,647 | | |
| 419,362,037 | | |
| 59,758,612 | |
| Increase of long-term time deposits | |
| - | | |
| - | | |
| - | | |
| - | | |
| (222,230,000 | ) | |
| (31,667,522 | ) |
| Proceeds from disposal of subsidiaries | |
| - | | |
| 1,307,500 | | |
| 186,317 | | |
| 37,800,000 | | |
| 2,807,500 | | |
| 400,066 | |
| Loan to related parties | |
| - | | |
| - | | |
| - | | |
| - | | |
| (270,000 | ) | |
| (38,475 | ) |
| Loan to third parties | |
| - | | |
| - | | |
| - | | |
| - | | |
| (1,200,000 | ) | |
| (170,999 | ) |
| Repayment of loan from third parties | |
| 135,930 | | |
| 304,111 | | |
| 43,335 | | |
| 14,553,007 | | |
| 5,900,000 | | |
| 840,743 | |
| Loan to fanchisees | |
| (6,058,982 | ) | |
| (4,050,000 | ) | |
| (577,120 | ) | |
| (16,033,578 | ) | |
| (5,650,000 | ) | |
| (805,119 | ) |
| Repayment from franchisees | |
| 35,127,246 | | |
| 16,489,580 | | |
| 2,349,746 | | |
| 96,248,818 | | |
| 67,466,801 | | |
| 9,613,942 | |
| Net cash (used in) provided by investing activities | |
| (95,122,791 | ) | |
| (102,853 | ) | |
| (14,657 | ) | |
| 33,125,612 | | |
| 370,605,468 | | |
| 52,810,855 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Financing activities: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Distribution to the shareholders | |
| - | | |
| - | | |
| - | | |
| - | | |
| (760,321 | ) | |
| (108,345 | ) |
| Repurchase of ordinary shares | |
| - | | |
| (300,122 | ) | |
| (42,767 | ) | |
| - | | |
| (300,122 | ) | |
| (42,767 | ) |
| Repayment of short-term loans | |
| (450,600,000 | ) | |
| - | | |
| - | | |
| (450,600,000 | ) | |
| (117,000,000 | ) | |
| (16,672,367 | ) |
| Proceeds from bank loans | |
| 271,400,000 | | |
| - | | |
| - | | |
| 117,000,000 | | |
| 200,000,000 | | |
| 28,499,772 | |
| Capital contribution from non-controlling interest holders | |
| (117,000,000 | ) | |
| (966,000 | ) | |
| (137,654 | ) | |
| - | | |
| (966,000 | ) | |
| (137,654 | ) |
| Net cash provided by (used in) financing activities | |
| (296,200,000 | ) | |
| (1,266,122 | ) | |
| (180,421 | ) | |
| (333,600,000 | ) | |
| 80,973,557 | | |
| 11,538,639 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Effect of exchange rate changes on cash and cash equivalents and restricted cash | |
| (395,858 | ) | |
| 142,062 | | |
| 20,244 | | |
| (52,807 | ) | |
| (2,657,865 | ) | |
| (378,743 | ) |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Net (decrease) increase in cash and cash equivalents | |
| (236,933,837 | ) | |
| 138,015,614 | | |
| 19,667,067 | | |
| 167,366,272 | | |
| 748,057,905 | | |
| 106,597,395 | |
| Cash and cash equivalents at the beginning of the period | |
| 1,138,929,311 | | |
| 1,401,643,004 | | |
| 167,581,976 | | |
| 734,629,202 | | |
| 791,600,712 | | |
| 112,802,199 | |
| Cash and cash equivalents at the end of the period | |
| 901,995,474 | | |
| 1,539,658,617 | | |
| 187,249,043 | | |
| 901,995,474 | | |
| 1,539,658,617 | | |
| 219,399,594 | |
GreenTree Hospitality Group Ltd.
Unaudited Reconciliation of GAAP and Non-GAAP Results
| | |
Quarter Ended | | |
Nine Month Ended | |
| | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2024 | | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2024 | |
| | |
RMB | | |
RMB | | |
US$ | | |
RMB | | |
RMB | | |
US$ | |
| Net income | |
| 117,393,115 | | |
| 65,211,908 | | |
| 9,292,623 | | |
| 251,896,868 | | |
| 184,768,634 | | |
| 26,329,320 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Deduct: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Other operating income | |
| 1,136,022 | | |
| 14,654,068 | | |
| 2,088,188 | | |
| 15,806,939 | | |
| 53,422,304 | | |
| 7,612,617 | |
| Interest income and other, net | |
| 13,662,038 | | |
| 7,488,034 | | |
| 1,067,036 | | |
| 31,041,389 | | |
| 27,438,533 | | |
| 3,909,960 | |
| Gains from investment in equity securities | |
| 365,577 | | |
| 10,015,229 | | |
| 1,427,159 | | |
| - | | |
| - | | |
| - | |
| Share of gain in equity investees, net of tax | |
| - | | |
| 405,064.00 | | |
| 57,721.00 | | |
| - | | |
| - | | |
| - | |
| Other income, net | |
| 1,779,998 | | |
| - | | |
| - | | |
| 42,926,246 | | |
| - | | |
| - | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Add: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Other operating expenses | |
| 301,169 | | |
| 2,017,978 | | |
| 287,560 | | |
| 8,135,387 | | |
| 4,438,171 | | |
| 632,434 | |
| Other general expenses | |
| 11,322,509 | | |
| - | | |
| - | | |
| 27,296,093 | | |
| 11,756,531 | | |
| 1,675,292 | |
| Income tax expenses (benefits) | |
| 32,385,239 | | |
| 24,330,641 | | |
| 3,467,089 | | |
| 92,335,322 | | |
| 77,512,335 | | |
| 11,045,419 | |
| Share of loss in equity investees, net of tax | |
| 83,027 | | |
| - | | |
| - | | |
| 869,910 | | |
| 464,693 | | |
| 66,218 | |
| Interest expenses | |
| 3,740,491 | | |
| 116,161 | | |
| 16,553 | | |
| 13,137,021 | | |
| 4,485,219 | | |
| 639,139 | |
| Depreciation and amortization | |
| 32,167,798 | | |
| 28,690,959 | | |
| 4,088,429 | | |
| 92,487,725 | | |
| 89,170,635 | | |
| 12,706,714 | |
| Losses from investment in equity securities | |
| - | | |
| - | | |
| - | | |
| 4,434,821 | | |
| 5,409,426 | | |
| 770,837 | |
| Other expense, net | |
| - | | |
| 34,653,121 | | |
| 4,938,030 | | |
| - | | |
| 17,862,097 | | |
| 2,545,328 | |
| Adjusted EBITDA (Non-GAAP) | |
| 180,449,713 | | |
| 122,458,373 | | |
| 17,450,180 | | |
| 400,818,573 | | |
| 315,006,904 | | |
| 44,888,124 | |
| | |
Quarter Ended | | |
Nine Month Ended | |
| | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2024 | | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2024 | |
| | |
RMB | | |
RMB | | |
US$ | | |
RMB | | |
RMB | | |
US$ | |
| Net income | |
| 117,393,115 | | |
| 65,211,908 | | |
| 9,292,623 | | |
| 251,896,868 | | |
| 184,768,634 | | |
| 26,329,320 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Deduct: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Government subsidies (net of 25% tax) | |
| - | | |
| 4,374,750 | | |
| 623,397 | | |
| 6,671,305 | | |
| 4,844,636 | | |
| 690,355 | |
| Gains from investment in equity securities (net of 25% tax) | |
| 274,183 | | |
| 7,511,422 | | |
| 1,070,369 | | |
| - | | |
| - | | |
| - | |
| Other income (net of 25% tax) | |
| 1,334,998 | | |
| - | | |
| - | | |
| 32,194,684 | | |
| - | | |
| - | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Add: | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Share-based compensation | |
| (11,998 | ) | |
| 15,662 | | |
| 2,232 | | |
| 16,594 | | |
| 46,986 | | |
| 6,695 | |
| Losses from investments in equity securities (net of 25% tax) | |
| - | | |
| - | | |
| - | | |
| 3,326,116 | | |
| 4,057,070 | | |
| 578,128 | |
| Other expense (net of 25% tax) | |
| - | | |
| 25,989,841 | | |
| 3,703,523 | | |
| - | | |
| 13,396,573 | | |
| 1,908,996 | |
| One-time fees and expenses | |
| 220,916 | | |
| 658,981 | | |
| 93,904 | | |
| 2,181,773 | | |
| 1,713,989 | | |
| 244,242 | |
| Other general expenses | |
| 11,322,509 | | |
| - | | |
| - | | |
| 27,296,093 | | |
| 11,756,531 | | |
| 1,675,292 | |
| Income tax expenses related to dividend distribution | |
| - | | |
| 13,496,240 | | |
| 1,923,199 | | |
| - | | |
| 13,496,240 | | |
| 1,923,199 | |
| Core net income (Non-GAAP) | |
| 127,315,361 | | |
| 93,486,460 | | |
| 13,321,714 | | |
| 245,851,454 | | |
| 224,391,387 | | |
| 31,975,517 | |
| | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Core net income per ADS (Non-GAAP) | |
| | | |
| | | |
| | | |
| | | |
| | | |
| | |
| Class A ordinary share-basic and diluted | |
| 1.25 | | |
| 0.92 | | |
| 0.13 | | |
| 2.41 | | |
| 2.21 | | |
| 0.31 | |
| Class B ordinary share-basic and diluted | |
| 1.25 | | |
| 0.92 | | |
| 0.13 | | |
| 2.41 | | |
| 2.21 | | |
| 0.31 | |
Hotel Operational Data
| | |
September 30,
2023 | | |
September 30,
2024 | |
| Total hotels in operation: | |
| 4,185 | | |
| 4,336 | |
| Leased and owned hotels | |
| 64 | | |
| 56 | |
| Franchised hotels | |
| 4,121 | | |
| 4,280 | |
| Total hotel rooms in operation | |
| 307,010 | | |
| 316,461 | |
| Leased and owned hotels | |
| 7,093 | | |
| 6,367 | |
| Franchised hotels | |
| 299,917 | | |
| 310,094 | |
| Number of cities | |
| 354 | | |
| 351 | |
| | |
Quarter Ended | |
| | |
September 30,
2023 | |
|
|
September 30,
2024 |
|
| Occupancy rate (as a percentage) | |
| | |
| |
| Leased-and-owned hotels | |
| 79.0 | % | |
| 75.9 | % |
| Franchised hotels | |
| 81.3 | % | |
| 74.6 | % |
| Blended | |
| 81.2 | % | |
| 74.6 | % |
| Average daily rate (in RMB) | |
| | | |
| | |
| Leased-and-owned hotels | |
| 268 | | |
| 258 | |
| Franchised hotels | |
| 190 | | |
| 179 | |
| Blended | |
| 192 | | |
| 181 | |
| RevPAR (in RMB) | |
| | | |
| | |
| Leased-and-owned hotels | |
| 212 | | |
| 196 | |
| Franchised hotels | |
| 155 | | |
| 133 | |
| Blended | |
| 156 | | |
| 135 | |
| | |
Number of Hotels in
Operation | | |
Number of Hotel Rooms in
Operation | |
| | |
September 30,
2023 | | |
September 30,
2024 | | |
September 30,
2023 | | |
September 30,
2024 | |
| Mid-to-up-scale | |
| 455 | | |
| 527 | | |
| 43,485 | | |
| 49,763 | |
| GreenTree Eastern | |
| 224 | | |
| 234 | | |
| 23,639 | | |
| 25,245 | |
| Deepsleep Hotel | |
| 7 | | |
| 7 | | |
| 534 | | |
| 534 | |
| Gem | |
| 61 | | |
| 91 | | |
| 5,372 | | |
| 8,178 | |
| Gya | |
| 71 | | |
| 73 | | |
| 5,899 | | |
| 6,071 | |
| Vx | |
| 92 | | |
| 104 | | |
| 8,041 | | |
| 9,109 | |
| Others | |
| - | | |
| 18 | | |
| - | | |
| 626 | |
| Mid-scale | |
| 2,965 | | |
| 2,965 | | |
| 230,655 | | |
| 230,580 | |
| GreenTree Inn | |
| 2,282 | | |
| 2,336 | | |
| 182,041 | | |
| 184,086 | |
| GT Alliance | |
| 552 | | |
| 498 | | |
| 39,379 | | |
| 37,366 | |
| GreenTree Apartment | |
| 20 | | |
| 23 | | |
| 1,308 | | |
| 1,495 | |
| Vatica | |
| 111 | | |
| 108 | | |
| 7,927 | | |
| 7,633 | |
| Others | |
| - | | |
| - | | |
| - | | |
| - | |
| Economy hotels | |
| 765 | | |
| 844 | | |
| 32,870 | | |
| 36,118 | |
| Shell | |
| 765 | | |
| 844 | | |
| 32,870 | | |
| 36,118 | |
| Others | |
| - | | |
| - | | |
| - | | |
| - | |
| Total | |
| 4,185 | | |
| 4,336 | | |
| 307,010 | | |
| 316,461 | |
Restaurant Operational Data
| | |
September 30,
2023 | | |
September 30,
2024 | |
| Total restaurants in operation: | |
| 202 | | |
| 182 | |
| Leased and owned restaurants | |
| 51 | | |
| 22 | |
| Franchised restaurants | |
| 151 | | |
| 160 | |
| Number of cities | |
| 66 | | |
| 53 | |
| Da Niang Dumplings | |
| 167 | | |
| 159 | |
| Bellagio | |
| 35 | | |
| 23 | |
| | |
Quarter Ended | |
| | |
2023 Q3 | |
|
|
2024 Q3 |
|
| ADT | |
| | |
|
| |
| Leased-and-owned restaurants | |
| 158 | | |
| 188 | |
| Franchised restaurants | |
| 101 | | |
| 89 | |
| Blended | |
| 120 | | |
| 106 | |
| AC (in RMB) | |
| | | |
| | |
| Leased-and-owned restaurants | |
| 87 | | |
| 100 | |
| Franchised restaurants | |
| 40 | | |
| 33 | |
| Blended | |
| 55 | | |
| 46 | |
| ADS (in RMB) | |
| | | |
| | |
| Leased-and-owned restaurants | |
| 13,785 | | |
| 18,860 | |
| Franchised restaurants | |
| 4,015 | | |
| 2,950 | |
| Blended | |
| 6,570 | | |
| 4,891 | |
For more information, please contact:
GreenTree
Ms. Selina Yang
Phone: +86-158-2166-6251
E-mail: ir@998.com
Mr. Maple Miao
Phone: +86-181-0184-0639
E-mail: ir@998.com
Christensen
In Shanghai
Mr. Jerry Xu
Phone: +86-138-1680-0706
E-mail: jerry.xu@christensencomms.com
In Hong Kong
Ms. Karen Hui
Phone: +852-9266-4140
E-mail: karen.hui@christensencomms.com
In the US
Ms. Linda Bergkamp
Phone: +1-480-614-3004
E-mail: linda.bergkamp@christensencomms.com
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