H World Group Limited Reports Fourth Quarter and Full Year of 2024 Unaudited Financial Results
Rhea-AI Summary
H World Group (HTHT) reported its Q4 and full year 2024 financial results, showing mixed performance. The company's total hotel network reached 11,147 hotels with 1,088,218 rooms in operation as of December 31, 2024.
Revenue increased 7.8% year-over-year to RMB6.0 billion (US$825 million) in Q4 2024, surpassing previous guidance. Full-year revenue grew 9.2% to RMB23.9 billion. However, net income declined to RMB49 million in Q4 2024 from RMB743 million in Q4 2023, mainly due to foreign exchange losses and increased withholding tax.
The company declared a cash dividend of US$0.97 per ADS for H2 2024. Total shareholder returns for 2024 reached US$767 million, including US$500 million in cash dividends and US$267 million in share repurchases. For 2025, H World expects revenue growth of 2-6% and plans to open approximately 2,300 hotels while closing around 600.
Positive
- Revenue exceeded guidance, growing 7.8% YoY to RMB6.0 billion in Q4 2024
- Strong shareholder returns of US$767 million in 2024 through dividends and buybacks
- Significant network expansion with 520 new hotels opened in Q4 2024
- Manachised and franchised revenue grew 24% YoY in Q4 2024
Negative
- Net income declined significantly to RMB49 million in Q4 2024 from RMB743 million in Q4 2023
- Legacy-Huazhu's RevPAR declined 6.7% YoY for same-hotel comparisons
- Legacy-DH segment reported adjusted EBITDA loss of RMB247 million in Q4 2024
- ADR decreased to RMB277 from RMB284 year-over-year in Q4 2024
News Market Reaction
On the day this news was published, HTHT declined 0.89%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
- A total of 11,147 hotels or 1,088,218 hotel rooms in operation as of December 31, 2024.
- Hotel turnover1 increased
16.5% year-over-year to RMB23.7 billion in the fourth quarter of 2024 and increased15.5% year-over-year for the full year of 2024. Excluding Steigenberger Hotels GmbH and its subsidiaries (“DH”, or “Legacy-DH”), hotel turnover from the Legacy-Huazhu segment increased17.5% year-over-year in the fourth quarter of 2024 and increased16.1% year-over-year for the full year of 2024. Hotel turnover from the Legacy-DH segment increased6.5% year-over-year in the fourth quarter of 2024 and increased9.0% year-over-year for the full year of 2024. - Revenue increased
7.8% year-over-year to RMB6.0 billion (US$825 million )2 in the fourth quarter of 2024, surpassing the revenue guidance previously announced of a1% to5% increase compared to the fourth quarter of 2023, increasing9.2% year-over-year to RMB23.9 billion (US$3.3 billion ) for the full year of 2024. Revenue from the Legacy-Huazhu segment in the fourth quarter of 2024 increased9.2% year-over-year, exceeding the revenue guidance previously announced of a1% to5% increase, increasing9.1% year-over-year for the full year of 2024. Revenue from the Legacy-DH segment in the fourth quarter of 2024 increased2.9% year-over-year, increasing9.6% year-over-year for the full year of 2024. - Net income attributable to H World Group Limited was RMB49 million (US
$7 million ) in the fourth quarter of 2024, compared with RMB743 million in the fourth quarter of 2023 and RMB1.3 billion in the previous quarter. The year-over-year decline was mainly due to the foreign exchange loss and the rise in withholding tax in the fourth quarter of 2024. Net income attributable to H World Group Limited was RMB3.0 billion (US$418 million ) for the full year of 2024, compared with RMB4.1 billion for the full year of 2023. The year-over-year decline was mainly attributable to the foreign exchange loss, DH’s one-off restructuring costs, as well as the rise in withholding tax in 2024. - EBITDA (non-GAAP) in the fourth quarter of 2024 was RMB974 million (US
$134 million ), compared with RMB1.4 billion in the fourth quarter of 2023 and RMB2.0 billion in the previous quarter. The year-over-year decline was mainly due to the foreign exchange loss in the fourth quarter of 2024. EBITDA (non-GAAP) for the full year of 2024 was RMB6.2 billion (US$844 million ), which was negatively impacted by the foreign exchange loss and DH’s one-off restructuring costs. compared with RMB6.8 billion for the full year of 2023. - Adjusted EBITDA (non-GAAP), which excluded share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments from EBITDA (non-GAAP), was RMB1.2 billion (US
$171 million ) in the fourth quarter of 2024, compared with RMB1.1 billion in the fourth quarter of 2023 and RMB2.1 billion in the previous quarter. Adjusted EBITDA (non-GAAP) for the full year of 2024 was RMB6.8 billion (US$935 million ), compared with RMB6.3 billion for the full year of 2023. - Adjusted EBITDA is a segment measure. Adjusted EBITDA from the Legacy-Huazhu segment was RMB1.5 billion in the fourth quarter of 2024, compared with RMB1.1 billion in the fourth quarter of 2023 and RMB2.1 billion in the previous quarter. Adjusted EBITDA from the Legacy-Huazhu segment was RMB7.0 billion for the full year of 2024, compared with RMB6.2 billion for the full year of 2023. Adjusted EBITDA from the Legacy-DH segment was a loss of RMB247 million in the fourth quarter of 2024, compared with a loss of RMB6 million in the fourth quarter of 2023 and a positive RMB21 million in the previous quarter. The year-over-year decline was mainly due to the RMB417 million impairment loss in the fourth quarter of 2024. Adjusted EBITDA from the Legacy-DH segment was a loss of RMB161 million, which included the RMB420 million impairment loss and the RMB97 million of one-off restructuring costs, for the full year of 2024, compared with a positive RMB68 million for the full year of 2023.
- For the second half of 2024, the board of directors of the Company (the “Board”) declared a cash dividend in the aggregate amount of approximately US
$300 million , of US$0.09 7 per ordinary share, or US$0.97 per American Depositary Share (the “ADS”). For the full year of 2024, total shareholder returns reached US$767 million , including US$500 million cash dividend and US$267 million share repurchase. - As H World is pursuing a more asset-light model, we believe the manachised and franchised business better reflects the Company’s growth trajectory in the long-run. Therefore, in addition to the total revenue guidance, the Company is providing revenue guidance for the manachised and franchised business.
- For the first quarter of 2025, H World expects its revenue growth to be in the range of
0% -4% , compared to the first quarter of 2024 or in the range of3% -7% excluding DH. H World expects its manachised and franchised revenue growth to be in the range of18% -22% , compared to the first quarter of 2024. - For the full year of 2025, H World expects revenue growth to be in the range of
2% -6% , compared to the full year of 2024, or in the range of5% -9% excluding DH. H World expects its manachised and franchised revenue growth to be in the range of17% -21% , compared to the full year of 2024. - For the full year of 2025, H World expects to open around 2,300 hotels and close around 600 hotels.
SINGAPORE and SHANGHAI, March 20, 2025 (GLOBE NEWSWIRE) -- H World Group Limited (NASDAQ: HTHT and HKEX: 1179) (“H World”, the “Company”, “we” or “our”), a key player in the global hotel industry, today announced its unaudited financial results for the fourth quarter and full year ended December 31, 2024.
As of December 31, 2024, H World’s worldwide hotel network in operation totaled 11,147 hotels and 1,088,218 rooms, including 122 hotels from DH. During the fourth quarter of 2024, our Legacy-Huazhu business opened 520 hotels, including 4 leased and owned hotels, and 516 manachised and franchised hotels, and closed a total of 202 hotels, including 17 leased and owned hotels and 185 manachised and franchised hotels. As of December 31, 2024, H World had a total of 3,013 unopened hotels in the pipeline, including 2,988 hotels from the Legacy-Huazhu business and 25 hotels from the Legacy-DH business.
Legacy-Huazhu – Fourth Quarter and Full Year of 2024 Operational Highlights
As of December 31, 2024, Legacy-Huazhu had 11,025 hotels in operation, including 557 leased and owned hotels, and 10,468 manachised and franchised hotels. In addition, as of the same date, Legacy-Huazhu had 1,062,329 hotel rooms in operation, including 82,580 rooms under the lease and ownership model, and 979,749 rooms under the manachise and franchise models. Legacy-Huazhu also had 2,988 unopened hotels in its pipeline, including 5 leased and owned hotels, and 2,983 manachised and franchised hotels. The following discusses Legacy-Huazhu’s revenue per available room (“RevPAR”), average daily room rate (“ADR”) and occupancy rate for its leased and owned hotels, as well as manachised and franchised hotels for the periods indicated.
- The ADR was RMB277 in the fourth quarter of 2024, compared with RMB284 in the fourth quarter of 2023, and RMB301 in the previous quarter.
- The occupancy rate for all the Legacy-Huazhu hotels in operation was
80.0% in the fourth quarter of 2024, compared with80.5% in the fourth quarter of 2023, and84.9% in the previous quarter. - Blended RevPAR was RMB222 in the fourth quarter of 2024, compared with RMB229 in the fourth quarter of 2023, and RMB256 in the previous quarter.
- For all the Legacy-Huazhu hotels which had been in operation for at least 18 months, the same-hotel RevPAR was RMB222 in the fourth quarter of 2024, a
6.7% decline from RMB238 in the fourth quarter of 2023, due to a4.6% decrease in same-hotel ADR and a 1.8 percentage-point contraction in same-hotel occupancy rate.
Legacy-DH – Fourth Quarter and Full Year of 2024 Operational Highlights
As of December 31, 2024, Legacy-DH had 122 hotels in operation, including 76 leased hotels, and 46 manachised and franchised hotels. In addition, as of the same date, Legacy-DH had 25,889 hotel rooms in operation, including 15,490 rooms under the lease model, and 10,399 rooms under the manachise and franchise models. Legacy-DH also had 25 unopened hotels in the pipeline, including 12 leased hotels and 13 manachised and franchised hotels. The following discusses Legacy-DH’s RevPAR, ADR and occupancy rate for its leased as well as manachised and franchised hotels (excluding hotels temporarily closed) for the periods indicated.
- The ADR was EUR115 in the fourth quarter of 2024, compared with EUR115 in the fourth quarter of 2023 and EUR117 in the previous quarter.
- The occupancy rate for all Legacy-DH hotels in operation was
70.5% in the fourth quarter of 2024, compared with63.8% in the fourth quarter of 2023 and69.8% in the previous quarter. - Blended RevPAR was EUR81 in the fourth quarter of 2024, compared with EUR73 in the fourth quarter of 2023 and EUR82 in the previous quarter.
Jin Hui, CEO of H World commented: “In 2024, H World achieved the 10,000-hotel milestone, and continued our fast network expansion in China. In the year of 2024, Legacy-Huazhu opened over 2,400 new hotels, far exceeding our initial target of 1,800 hotels, supported by our strong brand reputation and excellent product quality. While Legacy-Huazhu’s full-year RevPAR declined slightly year-over-year from a high base last year, Legacy-Huazhu maintained a high occupancy rate of
“Regarding our business outside China, our Legacy-DH business recorded a
Fourth Quarter and Full year of 2024 Unaudited Financial Results
| (RMB in millions) | Q4 2023 | Q3 2024 | Q4 2024 | 2023FY | 2024FY |
| Revenue: | |||||
| Leased and owned hotels | 3,453 | 3,690 | 3,373 | 13,796 | 13,843 |
| Manachised and franchised hotels | 2,016 | 2,602 | 2,499 | 7,694 | 9,498 |
| Others | 116 | 150 | 151 | 392 | 550 |
| Total revenue | 5,585 | 6,442 | 6,023 | 21,882 | 23,891 |
Revenue in the fourth quarter of 2024 was RMB6.0 billion (US
Revenue for the full year of 2024 was RMB23.9 billion (US
Revenue from leased and owned hotels in the fourth quarter of 2024 was RMB3.4 billion (US
For the full year of 2024, revenue from our leased and owned hotels was RMB13.8 billion (US
Revenue from manachised and franchised hotels in the fourth quarter of 2024 was RMB2.5 billion (US
For the full year of 2024, revenue from manachised and franchised hotels was RMB9.5 billion (US
Other revenue represents revenue generated from businesses other than our hotel operations, which mainly includes revenue from the provision of IT products and services and Huazhu Mall™ and other revenue from the Legacy-DH segment, totaling RMB151 million (US
For the full year of 2024, other revenue was RMB550 million (US
(RMB in millions) | Q4 2023 | Q3 2024 | Q4 2024 | 2023FY | 2024FY | |||||
| Operating costs and expenses: | ||||||||||
| Hotel operating costs | (3,996 | ) | (3,799 | ) | (4,190 | ) | (14,341 | ) | (15,285 | ) |
| Other operating costs | (10 | ) | (11 | ) | (5 | ) | (34 | ) | (31 | ) |
| Selling and marketing expenses | (326 | ) | (303 | ) | (296 | ) | (1,072 | ) | (1,176 | ) |
| General and administrative expenses | (644 | ) | (672 | ) | (725 | ) | (2,086 | ) | (2,508 | ) |
| Pre-opening expenses | (3 | ) | (19 | ) | (4 | ) | (35 | ) | (50 | ) |
| Total operating costs and expenses | (4,979 | ) | (4,804 | ) | (5,220 | ) | (17,568 | ) | (19,050 | ) |
Hotel operating costs in the fourth quarter of 2024 were RMB4.2 billion (US
For the full year of 2024, hotel operating costs were RMB15.3 billion (US
Selling and marketing expenses in the fourth quarter of 2024 were RMB296 million (US
For the full year of 2024, selling and marketing expenses were RMB1.2 billion (US
General and administrative expenses in the fourth quarter of 2024 were RMB725 million (US
For the full year of 2024, general and administrative expenses were RMB2.5 billion (US
Pre-opening expenses in the fourth quarter of 2024 were primarily related to the Legacy-Huazhu segment and totaled RMB4 million (US
Pre-opening expenses for the full year of 2024 were RMB50 million (US
Other operating income, net in the fourth quarter of 2024 was RMB99 million (US
Other operating income, net for the full year of 2024 was RMB359 million (US
Income from operations in the fourth quarter of 2024 was RMB902 million (US
Income from operations for the full year of 2024 was RMB5.2 billion (US
Operating margin, defined as income from operations as a percentage of revenue, was
Operating margin for the full year of 2024 was
Other income, net in the fourth quarter of 2024 was an expense of RMB14 million (US
Other income, net for the full year of 2024 was RMB51 million (US
Gains (losses) from fair value changes of equity securities in the fourth quarter of 2024 were losses of RMB19 million (US
For the full year of 2024, losses from fair value changes of equity securities were RMB66 million (US
Income tax expense in the fourth quarter of 2024 was RMB578 million (US
For the full year of 2024, income tax expense was RMB1.7 billion (US
Net income attributable to H World Group Limited in the fourth quarter of 2024 was RMB49 million (US
Net income attributable to H World Group Limited for the full year of 2024 was RMB3.0 billion (US
EBITDA (non-GAAP) in the fourth quarter of 2024 was RMB974 million (US
EBITDA (non-GAAP) for the full year of 2024 was RMB6.2 billion (US
Cash flow. Operating cash inflow in the fourth quarter of 2024 was RMB2.7 billion (US
Operating cash inflow for the full year of 2024 was RMB7.5 billion (US
Cash, cash equivalents and restricted cash. As of December 31, 2024, the Company had a total balance of cash and cash equivalents of RMB7.5 billion (US
Debt financing. As of December 31, 2024, the Company had a total debt and net cash balance of RMB5.4 billion (US
Cash Dividend
The Board has approved the declaration and payment of an ordinary cash dividend (the “Cash Dividend”), for the second half of 2024 in the aggregate amount of approximately US
Shareholder Return
In July 2024, H World announced a three-year shareholder return plan with an aggregate amount of up to US
Guidance
As H World is pursuing a more asset-light model, we believe the manachised and franchised business better reflects the Company’s growth trajectory in the long-run. Therefore, in addition to the total revenue guidance, the Company is providing revenue guidance for the manachised and franchised business.
For the first quarter of 2025, H World expects its revenue growth to be in the range of
For the full year of 2025, H World expects revenue growth to be in the range of
For the full year of 2025, H World expects to open around 2,300 hotels and close around 600 hotels.
The above forecast reflects the Company’s current and preliminary view, which is subject to change.
Conference Call
H World’s management will host a conference call at 8 a.m. U.S. Eastern time on Thursday, March 20, 2025 (8 p.m. Hong Kong time on Thursday, March 20, 2025) following the announcement.
To join by phone, all participants must pre-register this conference call using the Participant Registration link of https://register-conf.media-server.com/register/BI303638c962504ffcb81bb09e374f8485. Upon registration, each participant will receive details for the conference call, including dial-in numbers, conference call passcode and a unique access PIN.
A live webcast of the call can be accessed at https://edge.media-server.com/mmc/p/z7bi4fve or the Company’s website at https://ir.hworld.com/news-and-events/events-calendar.
A replay of the conference call will be available for twelve months from the date of the conference at the Company’s website, https://ir.hworld.com/news-and-events/events-calendar.
Use of Non-GAAP Financial Measures
To supplement the Company’s unaudited consolidated financial results presented in accordance with U.S. Generally-Accepted Accounting Principles (“GAAP”), the Company uses the following non-GAAP measures defined as non-GAAP financial measures by the U.S. Securities and Exchange Commission (“SEC”): adjusted net income (loss) attributable to H World Group Limited excluding share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments; adjusted basic and diluted earnings (losses) per share/ADS excluding share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments; EBITDA; adjusted EBITDA excluding share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments. The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with U.S. GAAP. For more information on these non-GAAP financial measures, please see the table captioned “Unaudited Reconciliations of GAAP and non-GAAP Results” set forth at the end of this release. The Company believes that these non-GAAP financial measures provide meaningful supplemental information regarding Company performance by excluding share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments that may not be indicative of Company operating performance. The Company believes that both management and investors benefit from referring to these non-GAAP financial measures in assessing Company performance and when planning and forecasting future periods. These non-GAAP financial measures also facilitate management’s internal comparisons to the Company’s historical performance. The Company believes these non-GAAP financial measures are also useful to investors in allowing for greater transparency with respect to supplemental information used regularly by Company management in financial and operational decision-making. A limitation of using non-GAAP financial measures excluding share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments is that share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments have been and may continue to be significant and recurring in the Company’s business. Management compensates for these limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure. The accompanying tables have more details on the reconciliations between GAAP financial measures that are most directly comparable to non-GAAP financial measures.
The Company believes that EBITDA is a useful financial metric to assess the operating and financial performance before the impact of investing and financing transactions and income taxes, given the significant investments that the Company has made in leasehold improvements, depreciation and amortization expense that comprise a significant portion of the Company’s cost structure. In addition, the Company believes that EBITDA is widely used by other companies in the lodging industry and may be used by investors as a measure of financial performance. The Company believes that EBITDA information provides investors with a useful tool for comparability between periods because it excludes depreciation and amortization expense attributable to capital expenditures. The Company also uses adjusted EBITDA to assess operating results of its hotels in operation. The Company believes that the exclusion of share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments helps facilitate year-over-year comparisons of the results of operations as the share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments may not be indicative of Company operating performance.
Therefore, the Company believes adjusted EBITDA more closely reflects the financial performance capability of our hotels. The presentation of EBITDA and adjusted EBITDA should not be construed as an indication that the Company’s future results will be unaffected by other charges and gains considered to be outside the ordinary course of business.
The use of EBITDA and adjusted EBITDA has certain limitations. Depreciation and amortization expense for various long-term assets (including land use rights), income tax, interest expense and interest income have been and will be incurred and are not reflected in the presentation of EBITDA. Share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments 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 the results. The Company compensates for these limitations by providing the relevant disclosure of depreciation and amortization, interest income, interest expense, income tax expense, share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments all in the reconciliations to the U.S. GAAP financial measures and in the consolidated financial statements, all of which should be considered when evaluating the performance of the Company.
The terms EBITDA and adjusted EBITDA are not defined under U.S. GAAP, and neither EBITDA nor adjusted EBITDA is a measure of net income, operating income, operating performance or liquidity presented in accordance with U.S. GAAP. When assessing the operating and financial performance, investors should not consider these data in isolation or as a substitute for the Company’s net income, operating income or any other operating performance measure that is calculated in accordance with U.S. GAAP. In addition, the Company’s EBITDA or adjusted EBITDA may not be comparable to EBITDA or adjusted EBITDA or similarly titled measures utilized by other companies since such other companies may not calculate EBITDA or adjusted EBITDA in the same manner as the Company does.
Reconciliations of the Company’s non-GAAP financial measures, including EBITDA and adjusted EBITDA, to the consolidated statement of operations information are included at the end of this press release.
About H World Group Limited
Originated in China, H World Group Limited is a key player in the global hotel industry. As of December 31, 2024, H World operated 11,147 hotels with 1,088,218 rooms in operation in 19 countries. H World’s brands include Hi Inn, Elan Hotel, HanTing Hotel, JI Hotel, Starway Hotel, Orange Hotel, Crystal Orange Hotel, Manxin Hotel, Madison Hotel, Joya Hotel, Blossom House, Ni Hao Hotel, CitiGO Hotel, Steigenberger Hotels & Resorts, MAXX, Jaz in the City, IntercityHotel, Zleep Hotels, Steigenberger Icon and Song Hotels. In addition, H World also has the rights as master franchisee for Mercure, Ibis and Ibis Styles, and co-development rights for Grand Mercure and Novotel, in the pan-China region.
H World’s business includes leased and owned, manachised and franchised models. Under the lease and ownership model, H World directly operates hotels typically located on leased or owned properties. Under the manachise model, H World manages manachised hotels through the on-site hotel managers that H World appoints, and H World collects fees from franchisees. Under the franchise model, H World provides training, reservations and support services to the franchised hotels, and collects fees from franchisees but does not appoint on-site hotel managers. H World applies a consistent standard and platform across all of its hotels. As of December 31, 2024, H World operated 9 percent of its hotel rooms under the lease and ownership model, and 91 percent under the manachise and franchise model.
For more information, please visit H World’s website: https://ir.hworld.com.
Safe Harbor Statement Under the U.S. Private Securities Litigation Reform Act of 1995: The information in this release contains forward-looking statements which involve risks and uncertainties. Such factors and risks include our anticipated growth strategies; our future results of operations and financial condition; economic conditions; the regulatory environment; our ability to attract and retain customers and leverage our brands; trends and competition in the lodging industry; the expected growth of demand for lodging; and other factors and risks detailed in our filings with the U.S. Securities and Exchange Commission. Any statements contained herein that are not statements of historical fact may be deemed to be forward-looking statements, which may be identified by terminology such as “may,” “should,” “will,” “expect,” “plan,” “intend,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “forecast,” “project” or “continue,” the negative of such terms or other comparable terminology. Readers should not rely on forward-looking statements as predictions of future events or results.
H World undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law.
—Financial Tables and Operational Data Follow—
| H World Group Limited | ||||||||
| Unaudited Condensed Consolidated Balance Sheets | ||||||||
| December 31, 2023 | December 31, 2024 | |||||||
| RMB | RMB | US$3 | ||||||
| (in millions) | ||||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | 6,946 | 7,474 | 1,024 | |||||
| Restricted cash | 764 | 50 | 7 | |||||
| Short-term investments | 2,189 | 3,603 | 494 | |||||
| Accounts receivable, net | 755 | 817 | 112 | |||||
| Loan receivables - current, net | 184 | 114 | 16 | |||||
| Amounts due from related parties, current | 210 | 297 | 41 | |||||
| Inventories | 59 | 60 | 8 | |||||
| Other current assets, net | 949 | 800 | 108 | |||||
| Total current assets | 12,056 | 13,215 | 1,810 | |||||
| Property and equipment, net | 6,097 | 5,682 | 778 | |||||
| Intangible assets, net | 5,280 | 4,776 | 654 | |||||
| Operating lease right-of-use assets | 25,658 | 24,992 | 3,424 | |||||
| Finance lease right-of-use assets | 2,171 | 2,272 | 311 | |||||
| Land use rights, net | 181 | 174 | 24 | |||||
| Long-term investments | 2,564 | 2,316 | 317 | |||||
| Goodwill | 5,318 | 5,221 | 715 | |||||
| Amounts due from related parties, non-current | 25 | 51 | 7 | |||||
| Loan receivables, net | 163 | 190 | 26 | |||||
| Other assets, net | 663 | 668 | 94 | |||||
| Deferred tax assets | 1,043 | 1,054 | 144 | |||||
| Assets held for sale | 2,313 | 1,941 | 266 | |||||
| Total assets | 63,532 | 62,552 | 8,570 | |||||
| LIABILITIES AND EQUITY | ||||||||
| Current liabilities: | ||||||||
| Short-term debt | 4,049 | 880 | 120 | |||||
| Accounts payable | 1,019 | 983 | 135 | |||||
| Amounts due to related parties | 77 | 74 | 10 | |||||
| Salary and welfare payables | 1,067 | 1,201 | 165 | |||||
| Deferred revenue | 1,637 | 1,822 | 250 | |||||
| Operating lease liabilities, current | 3,609 | 3,492 | 478 | |||||
| Finance lease liabilities, current | 45 | 50 | 7 | |||||
| Accrued expenses and other current liabilities | 3,261 | 4,006 | 549 | |||||
| Dividends payable | 2,085 | 0 | 0 | |||||
| Income tax payable | 562 | 813 | 111 | |||||
| Total current liabilities | 17,411 | 13,321 | 1,825 | |||||
| Long-term debt | 1,265 | 4,546 | 623 | |||||
| Operating lease liabilities, non-current | 24,215 | 23,634 | 3,238 | |||||
| Finance lease liabilities, non-current | 2,697 | 2,843 | 390 | |||||
| Deferred revenue | 1,072 | 1,351 | 185 | |||||
| Other long-term liabilities | 1,118 | 1,472 | 201 | |||||
| Deferred tax liabilities | 845 | 919 | 126 | |||||
| Retirement benefit obligations | 124 | 111 | 15 | |||||
| Liabilities held for sale | 2,536 | 2,084 | 286 | |||||
| Total liabilities | 51,283 | 50,281 | 6,889 | |||||
| Equity: | ||||||||
| Ordinary shares | 0 | 0 | 0 | |||||
| Treasury shares | (906 | ) | (274 | ) | (38 | ) | ||
| Additional paid-in capital | 11,861 | 9,620 | 1,318 | |||||
| Retained earnings | 794 | 2,449 | 336 | |||||
| Accumulated other comprehensive income | 386 | 382 | 52 | |||||
| Total H World Group Limited shareholders' equity | 12,135 | 12,177 | 1,668 | |||||
| Noncontrolling interest | 114 | 94 | 13 | |||||
| Total equity | 12,249 | 12,271 | 1,681 | |||||
| Total liabilities and equity | 63,532 | 62,552 | 8,570 | |||||
| H World Group Limited | ||||||||||||||||||||
| Unaudited Condensed Consolidated Statements of Comprehensive Income | ||||||||||||||||||||
| Quarter Ended | Year Ended | |||||||||||||||||||
| December 31, 2023 | September 30, 2024 | December 31, 2024 | December 31, 2023 | December 31, 2024 | ||||||||||||||||
| RMB | RMB | RMB | US$ | RMB | RMB | US$ | ||||||||||||||
| (in millions, except shares, per share and per ADS data) | ||||||||||||||||||||
| Revenue: | ||||||||||||||||||||
| Leased and owned hotels | 3,453 | 3,690 | 3,373 | 462 | 13,796 | 13,843 | 1,897 | |||||||||||||
| Manachised and franchised hotels | 2,016 | 2,602 | 2,499 | 342 | 7,694 | 9,498 | 1,301 | |||||||||||||
| Others | 116 | 150 | 151 | 21 | 392 | 550 | 76 | |||||||||||||
| Total revenue | 5,585 | 6,442 | 6,023 | 825 | 21,882 | 23,891 | 3,274 | |||||||||||||
| Operating costs and expenses: | ||||||||||||||||||||
| Hotel operating costs: | ||||||||||||||||||||
| Rents | (1,033 | ) | (1,088 | ) | (1,100 | ) | (151 | ) | (4,290 | ) | (4,365 | ) | (598 | ) | ||||||
| Utilities | (160 | ) | (194 | ) | (155 | ) | (21 | ) | (685 | ) | (690 | ) | (94 | ) | ||||||
| Personnel costs | (1,331 | ) | (1,371 | ) | (1,393 | ) | (191 | ) | (4,684 | ) | (5,326 | ) | (730 | ) | ||||||
| Depreciation and amortization | (320 | ) | (315 | ) | (305 | ) | (42 | ) | (1,329 | ) | (1,254 | ) | (172 | ) | ||||||
| Consumables, food and beverage | (361 | ) | (337 | ) | (336 | ) | (46 | ) | (1,327 | ) | (1,293 | ) | (177 | ) | ||||||
| Others | (791 | ) | (494 | ) | (901 | ) | (123 | ) | (2,026 | ) | (2,357 | ) | (323 | ) | ||||||
| Total hotel operating costs | (3,996 | ) | (3,799 | ) | (4,190 | ) | (574 | ) | (14,341 | ) | (15,285 | ) | (2,094 | ) | ||||||
| Other operating costs | (10 | ) | (11 | ) | (5 | ) | (1 | ) | (34 | ) | (31 | ) | (4 | ) | ||||||
| Selling and marketing expenses | (326 | ) | (303 | ) | (296 | ) | (40 | ) | (1,072 | ) | (1,176 | ) | (161 | ) | ||||||
| General and administrative expenses | (644 | ) | (672 | ) | (725 | ) | (99 | ) | (2,086 | ) | (2,508 | ) | (344 | ) | ||||||
| Pre-opening expenses | (3 | ) | (19 | ) | (4 | ) | (1 | ) | (35 | ) | (50 | ) | (7 | ) | ||||||
| Total operating costs and expenses | (4,979 | ) | (4,804 | ) | (5,220 | ) | (715 | ) | (17,568 | ) | (19,050 | ) | (2,610 | ) | ||||||
| Goodwill impairment loss | (4 | ) | - | - | - | (4 | ) | - | - | |||||||||||
| Other operating income (expense), net | 155 | 85 | 99 | 13 | 404 | 359 | 49 | |||||||||||||
| Income (loss) from operations | 757 | 1,723 | 902 | 123 | 4,714 | 5,200 | 713 | |||||||||||||
| Interest income | 85 | 50 | 53 | 7 | 248 | 210 | 29 | |||||||||||||
| Interest expense | (76 | ) | (77 | ) | (74 | ) | (10 | ) | (385 | ) | (318 | ) | (44 | ) | ||||||
| Other income (expense), net | 2 | 1 | (14 | ) | (2 | ) | 573 | 51 | 7 | |||||||||||
| Gains (losses) from fair value changes of equity securities | 124 | (34 | ) | (19 | ) | (3 | ) | 109 | (66 | ) | (9 | ) | ||||||||
| Foreign exchange gains (losses) | 140 | (1 | ) | (155 | ) | (21 | ) | 90 | (272 | ) | (37 | ) | ||||||||
| Income (loss) before income taxes | 1,032 | 1,662 | 693 | 94 | 5,349 | 4,805 | 659 | |||||||||||||
| Income tax (expense) benefit | (281 | ) | (382 | ) | (578 | ) | (79 | ) | (1,204 | ) | (1,662 | ) | (228 | ) | ||||||
| Income (Loss) from equity method investments | (8 | ) | 12 | (54 | ) | (7 | ) | (14 | ) | (41 | ) | (6 | ) | |||||||
| Net income (loss) | 743 | 1,292 | 61 | 8 | 4,131 | 3,102 | 425 | |||||||||||||
| Net (income) loss attributable to noncontrolling interest | (0 | ) | (19 | ) | (12 | ) | (1 | ) | (46 | ) | (54 | ) | (7 | ) | ||||||
| Net income (loss) attributable to H World Group Limited | 743 | 1,273 | 49 | 7 | 4,085 | 3,048 | 418 | |||||||||||||
| Gains (losses) arising from defined benefit plan, net of tax | (9 | ) | - | 6 | 1 | (9 | ) | 6 | 1 | |||||||||||
| Gains (losses) from fair value changes of debt securities, net of tax | (31 | ) | - | (13 | ) | (2 | ) | (12 | ) | (38 | ) | (5 | ) | |||||||
| Foreign currency translation adjustments, net of tax | (23 | ) | 128 | (70 | ) | (10 | ) | 175 | 28 | 4 | ||||||||||
| Comprehensive income (loss) | 680 | 1,420 | (16 | ) | (3 | ) | 4,285 | 3,098 | 425 | |||||||||||
| Comprehensive (income) loss attributable to noncontrolling interest | (0 | ) | (19 | ) | (12 | ) | (1 | ) | (46 | ) | (54 | ) | (7 | ) | ||||||
| Comprehensive income (loss) attributable to H World Group Limited | 680 | 1,401 | (28 | ) | (4 | ) | 4,239 | 3,044 | 418 | |||||||||||
| Earnings (Losses) per share: | ||||||||||||||||||||
| Basic | 0.23 | 0.41 | 0.02 | 0.00 | 1.28 | 0.98 | 0.13 | |||||||||||||
| Diluted | 0.23 | 0.40 | 0.02 | 0.00 | 1.25 | 0.96 | 0.13 | |||||||||||||
| Earnings (Losses) per ADS: | ||||||||||||||||||||
| Basic | 2.33 | 4.10 | 0.16 | 0.02 | 12.83 | 9.78 | 1.34 | |||||||||||||
| Diluted | 2.31 | 3.99 | 0.16 | 0.02 | 12.55 | 9.64 | 1.32 | |||||||||||||
| Weighted average number of shares used in computation: | ||||||||||||||||||||
| Basic | 3,182,802,226 | 3,102,868,424 | 3,080,973,793 | 3,080,973,793 | 3,183,163,131 | 3,115,130,107 | 3,115,130,107 | |||||||||||||
| Diluted | 3,217,737,686 | 3,257,589,866 | 3,123,364,616 | 3,123,364,616 | 3,351,421,211 | 3,278,308,290 | 3,278,308,290 | |||||||||||||
H World Group Limited | ||||||||||||||||||||
| Unaudited Condensed Consolidated Statements of Cash Flows | ||||||||||||||||||||
| Quarter Ended | Year Ended | |||||||||||||||||||
| December 31, 2023 | September 30, 2024 | December 31, 2024 | December 31, 2023 | December 31, 2024 | ||||||||||||||||
| RMB | RMB | RMB | US$ | RMB | RMB | US$ | ||||||||||||||
| (in millions) | ||||||||||||||||||||
| Operating activities: | ||||||||||||||||||||
| Net income (loss) | 743 | 1,292 | 61 | 8 | 4,131 | 3,102 | 425 | |||||||||||||
| Share-based compensation | 38 | 79 | 73 | 10 | 143 | 322 | 44 | |||||||||||||
| Depreciation and amortization, and other | 346 | 329 | 326 | 45 | 1,448 | 1,337 | 183 | |||||||||||||
| Impairment loss | 430 | 32 | 469 | 64 | 516 | 537 | 74 | |||||||||||||
| Loss (income) from equity method investments, net of dividends | 8 | (9 | ) | 65 | 9 | 72 | 97 | 13 | ||||||||||||
| Investment (income) loss and foreign exchange (gain) loss | (452 | ) | (15 | ) | 195 | 27 | (925 | ) | 250 | 34 | ||||||||||
| Changes in operating assets and liabilities | 1,359 | 43 | 1,323 | 182 | 2,508 | 1,886 | 259 | |||||||||||||
| Other | (61 | ) | (58 | ) | 192 | 26 | (219 | ) | (13 | ) | (2 | ) | ||||||||
| Net cash provided by (used in) operating activities | 2,411 | 1,693 | 2,704 | 371 | 7,674 | 7,518 | 1,030 | |||||||||||||
| Investing activities: | ||||||||||||||||||||
| Capital expenditures | (313 | ) | (209 | ) | (205 | ) | (28 | ) | (901 | ) | (898 | ) | (123 | ) | ||||||
| Purchase of investments | (700 | ) | (32 | ) | (3,099 | ) | (424 | ) | (3,509 | ) | (4,017 | ) | (550 | ) | ||||||
| Proceeds from maturity/sale and return of investments | 771 | 406 | 176 | 24 | 2,972 | 2,563 | 351 | |||||||||||||
| Loan advances | (140 | ) | (75 | ) | (54 | ) | (7 | ) | (262 | ) | (193 | ) | (26 | ) | ||||||
| Loan collections | 36 | 65 | 73 | 10 | 147 | 229 | 31 | |||||||||||||
| Other | 69 | 11 | 10 | 1 | 76 | 77 | 10 | |||||||||||||
| Net cash provided by (used in) investing activities | (277 | ) | 166 | (3,099 | ) | (424 | ) | (1,477 | ) | (2,239 | ) | (307 | ) | |||||||
| Financing activities: | ||||||||||||||||||||
| Net proceeds from issuance of ordinary shares | - | - | - | - | 1,973 | - | - | |||||||||||||
| Payment of share repurchase | (848 | ) | (496 | ) | - | - | (848 | ) | (1,172 | ) | (161 | ) | ||||||||
| Proceeds from debt | 370 | 29 | 25 | 3 | 1,169 | 643 | 88 | |||||||||||||
| Repayment of debt | (204 | ) | (135 | ) | (49 | ) | (7 | ) | (5,862 | ) | (613 | ) | (84 | ) | ||||||
| Dividend paid | - | (1,389 | ) | (0 | ) | (0 | ) | - | (3,480 | ) | (477 | ) | ||||||||
| Purchase of prepaid put option | - | 0 | - | - | - | (710 | ) | (97 | ) | |||||||||||
| Other | (62 | ) | (113 | ) | (13 | ) | (2 | ) | (152 | ) | (172 | ) | (23 | ) | ||||||
| Net cash provided by (used in) financing activities | (744 | ) | (2,104 | ) | (37 | ) | (6 | ) | (3,720 | ) | (5,504 | ) | (754 | ) | ||||||
| Effect of exchange rate changes on cash, cash equivalents and restricted cash | 41 | 16 | 21 | 3 | 164 | 30 | 4 | |||||||||||||
| Net increase (decrease) in cash, cash equivalents and restricted cash, including cash classified within assets held for sale | 1,431 | (229 | ) | (411 | ) | (56 | ) | 2,641 | (195 | ) | (27 | ) | ||||||||
| Less: net increase (decrease) in cash and cash equivalents classified within assets held for sale | 17 | (4 | ) | 5 | 1 | 17 | (9 | ) | (1 | ) | ||||||||||
| Cash, cash equivalents and restricted cash at the beginning of the period | 6,296 | 8,165 | 7,940 | 1,088 | 5,086 | 7,710 | 1,057 | |||||||||||||
| Cash, cash equivalents and restricted cash at the end of the period | 7,710 | 7,940 | 7,524 | 1,031 | 7,710 | 7,524 | 1,031 | |||||||||||||
| H World Group Limited | ||||||||||||||||||||
| Unaudited Reconciliation of GAAP and Non-GAAP Results | ||||||||||||||||||||
| Quarter Ended | Year Ended | |||||||||||||||||||
| December 31, 2023 | September 30, 2024 | December 31, 2024 | December 31, 2023 | December 31, 2024 | ||||||||||||||||
| RMB | RMB | RMB | US$ | RMB | RMB | US$ | ||||||||||||||
| (in millions, except shares, per share and per ADS data) | ||||||||||||||||||||
| Net income (loss) attributable to H World Group Limited (GAAP) | 743 | 1,273 | 49 | 7 | 4,085 | 3,048 | 418 | |||||||||||||
| Share-based compensation expenses | 38 | 79 | 73 | 10 | 143 | 322 | 44 | |||||||||||||
| (Gain) loss from fair value changes of equity securities | (124 | ) | 34 | 19 | 3 | (109 | ) | 66 | 9 | |||||||||||
| Foreign exchange (gain) loss, net | (140 | ) | 1 | 155 | 21 | (90 | ) | 272 | 37 | |||||||||||
| (Gain) loss on disposal of investments | 0 | (15 | ) | 25 | 3 | （516 | ) | 10 | 1 | |||||||||||
| Adjusted net income (loss) attributable to H World Group Limited (non-GAAP) | 517 | 1,372 | 321 | 44 | 3,513 | 3,718 | 509 | |||||||||||||
| Adjusted earnings (losses) per share (non-GAAP) | ||||||||||||||||||||
| Basic | 0.16 | 0.44 | 0.10 | 0.01 | 1.10 | 1.19 | 0.16 | |||||||||||||
| Diluted | 0.16 | 0.43 | 0.10 | 0.01 | 1.08 | 1.17 | 0.16 | |||||||||||||
| Adjusted earnings (losses) per ADS (non-GAAP) | ||||||||||||||||||||
| Basic | 1.62 | 4.42 | 1.04 | 0.14 | 11.03 | 11.94 | 1.64 | |||||||||||||
| Diluted | 1.61 | 4.29 | 1.03 | 0.14 | 10.84 | 11.68 | 1.60 | |||||||||||||
| Weighted average number of shares used in computation | ||||||||||||||||||||
| Basic | 3,182,802,226 | 3,102,868,424 | 3,080,973,793 | 3,080,973,793 | 3,183,163,131 | 3,115,130,107 | 3,115,130,107 | |||||||||||||
| Diluted | 3,217,737,686 | 3,257,589,866 | 3,123,364,616 | 3,123,364,616 | 3,351,421,211 | 3,278,308,290 | 3,278,308,290 | |||||||||||||
| Quarter Ended | Year Ended | |||||||||||||||||||
| December 31, 2023 | September 30, 2024 | December 31, 2024 | December 31, 2023 | December 31, 2024 | ||||||||||||||||
| RMB | RMB | RMB | US$ | RMB | RMB | US$ | ||||||||||||||
| (in millions, except per share and per ADS data) | ||||||||||||||||||||
| Net income (loss) attributable to H World Group Limited (GAAP) | 743 | 1,273 | 49 | 7 | 4,085 | 3,048 | 418 | |||||||||||||
| Interest income | (85 | ) | (50 | ) | (53 | ) | (7 | ) | (248 | ) | (210 | ) | (29 | ) | ||||||
| Interest expense | 76 | 77 | 74 | 10 | 385 | 318 | 44 | |||||||||||||
| Income tax expense | 281 | 382 | 578 | 79 | 1,204 | 1,662 | 228 | |||||||||||||
| Depreciation and amortization | 341 | 332 | 326 | 45 | 1,414 | 1,332 | 183 | |||||||||||||
| EBITDA (non-GAAP) | 1,356 | 2,014 | 974 | 134 | 6,840 | 6,150 | 844 | |||||||||||||
| Share-based compensation | 38 | 79 | 73 | 10 | 143 | 322 | 44 | |||||||||||||
| (Gain) loss from fair value changes of equity securities | (124 | ) | 34 | 19 | 3 | (109 | ) | 66 | 9 | |||||||||||
| Foreign exchange (gain) loss, net | (140 | ) | 1 | 155 | 21 | (90 | ) | 272 | 37 | |||||||||||
| (Gain) loss on disposal of investments | 0 | (15 | ) | 25 | 3 | (516 | ) | 10 | 1 | |||||||||||
| Adjusted EBITDA (non-GAAP) | 1,130 | 2,113 | 1,246 | 171 | 6,268 | 6,820 | 935 | |||||||||||||
| H World Group Limited | |||||||||||
| Segment Financial Summary | |||||||||||
| Quarter Ended December 31, 2023 | Quarter Ended September 30, 2024 | Quarter Ended December 31, 2024 | |||||||||
| Legacy- Huazhu | Legacy- DH | Legacy- Huazhu | Legacy- DH | Legacy- Huazhu | Legacy- DH | ||||||
| RMB | RMB | RMB | RMB | RMB | RMB | ||||||
| (in millions) | (in millions) | (in millions) | |||||||||
| Leased and owned hotels | 2,288 | 1,165 | 2,461 | 1,229 | 2,178 | 1,195 | |||||
| Manachised and franchised hotels | 1,992 | 24 | 2,568 | 34 | 2,470 | 29 | |||||
| Others | 104 | 12 | 133 | 17 | 139 | 12 | |||||
| Revenue | 4,384 | 1,201 | 5,162 | 1,280 | 4,787 | 1,236 | |||||
| Depreciation and amortization | 282 | 59 | 271 | 61 | 265 | 61 | |||||
| Adjusted EBITDA | 1,136 | (6) | 2,092 | 21 | 1,493 | (247) | |||||
| H World Group Limited | |||||||
| Segment Financial Summary | |||||||
| Year Ended December 31, 2023 | Year Ended December 31, 2024 | ||||||
| Legacy- Huazhu | Legacy- DH | Legacy- Huazhu | Legacy- DH | ||||
| RMB | RMB | RMB | RMB | ||||
| (in millions) | (in millions) | ||||||
| Leased and owned hotels | 9,522 | 4,274 | 9,146 | 4,697 | |||
| Manachised and franchised hotels | 7,596 | 98 | 9,385 | 113 | |||
| Others | 320 | 72 | 491 | 59 | |||
| Revenue | 17,438 | 4,444 | 19,022 | 4,869 | |||
| Depreciation and amortization | 1,166 | 248 | 1,095 | 237 | |||
| Adjusted EBITDA | 6,200 | 68 | 6,981 | (161) | |||
Operating Results: Legacy-Huazhu(1)
| Number of hotels | Number of rooms | |||||||
| Opened in Q4 2024 | Closed (2) in Q4 2024 | Net added in Q4 2024 | As of December 31, 2024 | As of December 31, 2024 | ||||
| Leased and owned hotels | 4 | (17 | ) | (13 | ) | 557 | 82,580 | |
| Manachised and franchised hotels | 516 | (185 | ) | 331 | 10,468 | 979,749 | ||
| Total | 520 | (202 | ) | 318 | 11,025 | 1,062,329 | ||
| (1) Legacy-Huazhu refers to H World and its subsidiaries, excluding DH. (2) The reasons for hotel closures mainly included non-compliance with our brand standards, operating losses, and property-related issues. In Q4 2024, we temporarily closed 5 hotels for brand upgrade or business model change purposes. | ||||||||
| As of December 31, 2024 | ||
| Number of hotels | Unopened hotels in pipeline | |
| Economy hotels | 5,485 | 1,158 |
| Leased and owned hotels | 279 | 1 |
| Manachised and franchised hotels | 5,206 | 1,157 |
| Midscale, upper-midscale hotels and others | 5,540 | 1,830 |
| Leased and owned hotels | 278 | 4 |
| Manachised and franchised hotels | 5,262 | 1,826 |
| Total | 11,025 | 2,988 |
| For the quarter ended | ||||
| December 31, | September 30, | December 31, | yoy | |
| 2023 | 2024 | 2024 | change | |
| Average daily room rate (in RMB) | ||||
| Leased and owned hotels | 356 | 381 | 353 | - |
| Manachised and franchised hotels | 276 | 294 | 270 | - |
| Blended | 284 | 301 | 277 | - |
| Occupancy rate (as a percentage) | ||||
| Leased and owned hotels | +0.0 p.p. | |||
| Manachised and franchised hotels | -0.5 p.p. | |||
| Blended | -0.5 p.p. | |||
| RevPAR (in RMB) | ||||
| Leased and owned hotels | 298 | 333 | 296 | - |
| Manachised and franchised hotels | 221 | 249 | 215 | - |
| Blended | 229 | 256 | 222 | - |
| For full year ended | |||
| December 31, | December 31, | yoy | |
| 2023 | 2024 | change | |
| Average daily room rate (in RMB) | |||
| Leased and owned hotels | 372 | 364 | - |
| Manachised and franchised hotels | 290 | 281 | - |
| Blended | 299 | 289 | - |
| Occupancy rate (as a percentage) | |||
| Leased and owned hotels | +1.6 p.p. | ||
| Manachised and franchised hotels | +0.1 p.p. | ||
| Blended | +0.2 p.p. | ||
| RevPAR (in RMB) | |||
| Leased and owned hotels | 308 | 308 | - |
| Manachised and franchised hotels | 234 | 228 | - |
| Blended | 242 | 235 | - |
| Same-hotel operational data by class | |||||||||||||||
| Mature hotels in operation for more than 18 months | |||||||||||||||
| Number of hotels | Same-hotel RevPAR | Same-hotel ADR | Same-hotel Occupancy | ||||||||||||
| As of December 31, | For the quarter | yoy | For the quarter | yoy | For the quarter | yoy | |||||||||
| ended December 31, | change | ended December 31, | change | ended December 31, | change | ||||||||||
| 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | (p.p.) | |||||||
| Economy hotels | 3,757 | 3,757 | 179 | 166 | -7.5 | % | 215 | 204 | -5.0 | % | 83.2 | % | 81.0 | % | -2.2 |
| Leased and owned hotels | 272 | 272 | 215 | 202 | -6.0 | % | 253 | 239 | -5.3 | % | 85.1 | % | 84.5 | % | -0.6 |
| Manachised and franchised hotels | 3,485 | 3,485 | 175 | 161 | -7.8 | % | 211 | 200 | -5.0 | % | 82.9 | % | 80.5 | % | -2.4 |
| Midscale, upper-midscale hotels and others | 3,406 | 3,406 | 286 | 268 | -6.3 | % | 352 | 335 | -4.6 | % | 81.5 | % | 80.0 | % | -1.4 |
| Leased and owned hotels | 253 | 253 | 373 | 356 | -4.5 | % | 446 | 427 | -4.1 | % | 83.6 | % | 83.3 | % | -0.3 |
| Manachised and franchised hotels | 3,153 | 3,153 | 276 | 258 | -6.6 | % | 339 | 323 | -4.7 | % | 81.2 | % | 79.6 | % | -1.5 |
| Total | 7,163 | 7,163 | 238 | 222 | -6.7 | % | 289 | 276 | -4.6 | % | 82.2 | % | 80.5 | % | -1.8 |
| Same-hotel operational data by class | |||||||||||||||
| Mature hotels in operation for more than 18 months | |||||||||||||||
| Number of hotels | Same-hotel RevPAR | Same-hotel ADR | Same-hotel Occupancy | ||||||||||||
| As of December 31, | For the year | yoy | For the year | yoy | For the year | yoy | |||||||||
| ended December 31, | change | ended December 31, | change | ended December 31, | change | ||||||||||
| 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | (p.p.) | |||||||
| Economy hotels | 3,757 | 3,757 | 191 | 180 | -6.0 | % | 229 | 217 | -5.0 | % | 83.7 | % | 82.8 | % | -0.9 |
| Leased and owned hotels | 272 | 272 | 229 | 220 | -3.8 | % | 270 | 256 | -5.2 | % | 84.8 | % | 86.0 | % | +1.2 |
| Manachised and franchised hotels | 3,485 | 3,485 | 187 | 175 | -6.3 | % | 223 | 212 | -5.0 | % | 83.6 | % | 82.4 | % | -1.2 |
| Midscale, upper-midscale hotels and others | 3,406 | 3,406 | 301 | 285 | -5.2 | % | 369 | 351 | -4.8 | % | 81.5 | % | 81.2 | % | -0.3 |
| Leased and owned hotels | 253 | 253 | 384 | 373 | -2.9 | % | 467 | 446 | -4.5 | % | 82.2 | % | 83.5 | % | +1.4 |
| Manachised and franchised hotels | 3,153 | 3,153 | 290 | 274 | -5.5 | % | 356 | 339 | -4.9 | % | 81.4 | % | 80.9 | % | -0.5 |
| Total | 7,163 | 7,163 | 250 | 236 | -5.4 | % | 303 | 289 | -4.8 | % | 82.5 | % | 82.0 | % | -0.6 |
Operating Results: Legacy-DH(3)
| Number of hotels | Number of rooms | Unopened hotels in pipeline | ||||||||
| Opened in Q4 2024 | Closed in Q4 2024 | Net added in Q4 2024 | As of December 31, 2024(4) | As of December 31, 2024 | | As of December 31, 2024 | ||||
| Leased hotels | (1 | ) | (1 | ) | 76 | 15,490 | 12 | |||
| Manachised and franchised hotels | - | (15 | ) | (15 | ) | 46 | 10,399 | 13 | ||
| Total | - | (16 | ) | (16 | ) | 122 | 25,889 | 25 | ||
| (3) Legacy-DH refers to DH. (4) As of December 31, 2024, a total of 3 hotels were temporarily closed due to repair work. | ||||||||||
| For the quarter ended | ||||
| December 31, | September 30, | December 31, | yoy | |
| 2023 | 2024 | 2024 | change | |
| Average daily room rate (in EUR) | ||||
| Leased hotels | 118 | 118 | 115 | - |
| Manachised and franchised hotels | 111 | 116 | 115 | |
| Blended | 115 | 117 | 115 | |
| Occupancy rate (as a percentage) | ||||
| Leased hotels | +5.4 p.p. | |||
| Manachised and franchised hotels | +8.6 p.p. | |||
| Blended | +6.7 p.p. | |||
| RevPAR (in EUR) | ||||
| Leased hotels | 76 | 85 | 81 | |
| Manachised and franchised hotels | 69 | 77 | 82 | |
| Blended | 73 | 82 | 81 | |
| For full year ended | |||
| December 31, | December 31, | yoy | |
| 2023 | 2024 | change | |
| Average daily room rate (in EUR) | |||
| Leased and owned hotels | 115 | 117 | |
| Manachised and franchised hotels | 110 | 110 | |
| Blended | 113 | 114 | |
| Occupancy Rate (as a percentage) | |||
| Leased and owned hotels | +2.6 p.p. | ||
| Manachised and franchised hotels | +3.0 p.p. | ||
| Blended | +2.7 p.p. | ||
| RevPAR (in EUR) | |||
| Leased and owned hotels | 74 | 79 | |
| Manachised and franchised hotels | 67 | 71 | |
| Blended | 71 | 76 | |
Hotel Portfolio by Brand
| As of December 31, 2024 | |||
| Hotels | Rooms | Unopened hotels | |
| in operation | in pipeline | ||
| Economy hotels | 5,489 | 449,763 | 1,167 |
| HanTing Hotel | 4,139 | 359,475 | 711 |
| Hi Inn | 546 | 28,680 | 294 |
| Ni Hao Hotel | 415 | 31,335 | 136 |
| Elan Hotel | 162 | 8,018 | - |
| Ibis Hotel | 223 | 21,598 | 17 |
| Zleep Hotels | 4 | 657 | 9 |
| Midscale hotels | 4,547 | 484,733 | 1,204 |
| Ibis Styles Hotel | 105 | 10,105 | 8 |
| Starway Hotel | 724 | 58,547 | 127 |
| JI Hotel | 2,867 | 325,999 | 814 |
| Orange Hotel | 851 | 90,082 | 255 |
| Upper midscale hotels | 935 | 126,158 | 526 |
| Crystal Orange Hotel | 245 | 31,105 | 159 |
| CitiGO Hotel | 34 | 5,107 | 4 |
| Manxin Hotel | 166 | 15,585 | 64 |
| Madison Hotel | 149 | 17,623 | 105 |
| Mercure Hotel | 199 | 30,714 | 55 |
| Novotel Hotel | 31 | 6,850 | 19 |
| IntercityHotel(5) | 99 | 17,466 | 113 |
| MAXX(6) | 12 | 1,708 | 7 |
| Upscale hotels | 149 | 21,790 | 106 |
| Jaz in the City | 3 | 587 | 1 |
| Joya Hotel | 7 | 1,234 | 1 |
| Blossom House | 75 | 3,622 | 91 |
| Grand Mercure Hotel | 9 | 1,726 | - |
| Steigenberger Hotels & Resorts(7) | 55 | 14,621 | 13 |
| Luxury hotels | 16 | 2,325 | 5 |
| Steigenberger Icon(8) | 9 | 1,804 | 3 |
| Song Hotels | 7 | 521 | 2 |
| Others | 11 | 3,449 | 5 |
| Other hotels(9) | 11 | 3,449 | 5 |
| Total | 11,147 | 1,088,218 | 3,013 |
(5) As of December 31, 2024, 42 operational hotels and 108 pipeline hotels of IntercityHotel were under Legacy-Huazhu.
(6) As of December 31, 2024, 7 operational hotels and 7 pipeline hotels of MAXX were under Legacy-Huazhu.
(7) As of December 31, 2024, 12 operational hotels and 6 pipeline hotels of Steigenberger Hotels & Resorts were under Legacy-Huazhu.
(8) As of December 31, 2024, 3 operational hotels and 2 pipeline hotels of Steigenberger Icon were under Legacy-Huazhu.
(9) Other hotels include other partner hotels and other hotel brands in Yongle Huazhu Hotel & Resort Group (excluding Steigenberger Hotels & Resorts and Blossom House).
_______________________
1 Hotel turnover refers to total transaction value of room and non-room revenue from H World hotels (i.e., leased and operated, manachised and franchised hotels).
2 The conversion of Renminbi (“RMB”) into United States dollars (“US$”) is based on the exchange rate of US
3 The conversion of Renminbi (“RMB”) into United States dollars (“US$”) is based on the exchange rate of US
Contact Information
Investor Relations
Tel: +86 (21) 6195 9561
Email: ir@hworld.com
https://ir.hworld.com
FAQ
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