H World Q2 Revenue Up 10.8%, Raises Guidance, Announces $2.5B Return Plan
HTHT sits 37% above its 52-week low of $32.43.
Summary
H World reported Q2 revenue of RMB7.1B (+10.8% YoY), raised full-year revenue growth guidance to 4%-8%, and announced a US$2.5B shareholder return plan including a US$275M dividend.
Key Events · Earnings and Guidance · HTHT
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Q2 Revenue Up 10.8%
Total revenue reached RMB7.1 billion (US$1.1 billion), driven by 25.2% growth in manachised and franchised revenue.
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Net Income Rises to RMB1.6B
Net income attributable to H World was RMB1.6 billion (US$232 million), up 2.1% year-over-year.
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Full-Year Guidance Raised
Group revenue growth guidance raised to 4%-8% from 2%-6%; HWC revenue growth raised to 7%-11% from 5%-9%.
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$2.5B Shareholder Return Plan
Board approved a three-year plan for up to US$2.5 billion in dividends and share repurchases.
Analysis · HTHT · Real Estate & Construction
Solid Q2 results with revenue up 10.8% year-over-year, raised full-year guidance, and a new US$2.5 billion shareholder return plan including a US$275 million dividend. The raised guidance and capital return program are the key new developments that could move the stock.
At the time of this filing, HTHT was trading at $44.55 on NASDAQ in the Real Estate & Construction sector, with a market capitalization of approximately $12.4B. The 52-week trading range was $32.43 to $56.64. This filing was assessed with positive market sentiment and an importance score of 7 out of 10.