GHG · GreenTree Hospitality Group Ltd.

GreenTree Hospitality reported unaudited Q4 and FY 2025 results showing significant revenue declines amid operational challenges. Q4 total revenues fell 24.9% YoY to RMB 228.7 million (US$32.7 million), driven by a 20.9% drop in hotel revenues to RMB 189.9 million due to 9.5% RevPAR decline to RMB 105, closures of 15 L&O hotels, partially offset by new openings. Restaurant revenues plunged 39.9% to RMB 39.1 million from 21.8% ADS decrease to RMB 3,312 and store closures. FY revenues decreased 18.3% to RMB 1,097.4 million (US$156.9 million). GAAP net loss narrowed to RMB -55.7 million from RMB -72.8 million, while non-GAAP core net income rose to RMB 63.2 million from RMB 57.8 million. Operational metrics reflected pressure: hotel occupancy at 64.7% (down from 68.6%), ADR RMB 162 (down 4.0%); restaurants AC RMB 38 (down 17.8%), ADT 88 (down from 93). Revenue breakdowns showed L&O total down 10.9% to RMB 106.2 million, F&M down 31.3% to RMB 105.1 million due to RMB 21.0 million fee waivers and membership declines (core F&M down 10.9%), wholesales down 46.4%. Operating costs decreased 20.3% to RMB 158.5 million, aiding gross profit of RMB 70.1 million (margin 30.7% vs. 34.7%). G&A expenses dropped 43.1% to RMB 24.5 million, though restaurant impairments persisted at RMB 66.5 million goodwill and RMB 17.3 million intangibles. Hotel portfolio stood at 4,580 properties with 327,060 rooms, 76 openings, 1,260 pipeline; restaurants at 191 stores. Same L&O store revenues fell 10.4% in Q4, signaling demand weakness.