Huazhu Group-S (01179) announced interim results, with total revenue of 13.117 billion yuan, an increase of 10.96% year-on-year

According to the Zhitong Finance App, Huazhu Group-S (01179) announced the second quarter and interim results of 2026. In the second quarter of 2026, the group obtained total revenue of RMB 7.121 billion (same unit), an increase of 10.82% over the previous year; net profit attributable to Huazhu Group Co., Ltd. was 1,577 billion yuan, an increase of 2.14% year on year; basic profit per share.

In the first half of 2026, the group achieved total revenue of 13.117 billion yuan, an increase of 10.96% over the previous year; net profit attributable to Huazhu Group Co., Ltd. of 2,394 million yuan; basic profit of 0.77 yuan per share; and plans to pay an ordinary cash dividend of $0.087 per common share.

According to the announcement, in the second quarter of 2026, hotel turnover increased 13.2% year-on-year to 30.5 billion yuan. In terms of segments, the hotel turnover of the Huazhu China (HWC) division increased 15.3% year over year in the second quarter of 2026, and the hotel turnover from the Huazhu International (HWI) division decreased 9.4% year over year in the second quarter of 2026.

As of June 30, 2026, Huazhu's global network of active hotels has a total of 13,539 hotels and 1,335,445 guest rooms, including HWC's 13,417 hotels and HWI's 122 hotels. In the second quarter of 2026, the HWC business opened 498 hotels, including 1 leased and owned hotel and 497 managed franchised hotels, and closed a total of 176 hotels, including 19 leased and owned hotels and 157 managed franchised hotels. As of June 30, 2026, Huazhu had a total of 3,089 hotels to open, including 3,054 hotels in the HWC business and 35 hotels in the HWI business.

Huazhu CEO Jin Hui said, “During the second quarter, we once again achieved an increase in average rentable room revenue. Our HWC comprehensive average daily housing price increased 2.6% year over year, driving the overall average rentable room revenue to increase 1.1% over the same period. This performance is due to continuous product upgrades and a range of revenue management optimization measures. Meanwhile, our hotel network continues to expand steadily, reaching 498 new hotels opened in China; the number of hotels awaiting opening has increased year over year and month over month. We are still steadfastly moving towards the guiding goal of 2,200 to 2,300 new hotels to open throughout the year. Looking forward to the future, we will continue to promote the expansion of the 'brand-led' high-quality hotel network, relying on the China Residence Club membership system and technology development layout.”

“In the second quarter of 2026, the HWI Division's operating performance was adversely affected by the Middle East conflict and our expansion into the Southeast Asian developing market. The average daily housing price in Southeast Asia was low, and operations were still climbing. The HWI division's mixed average rentable room revenue fell 3.8% year over year, with average daily housing prices rising 0.9% and occupancy falling 3.5 percentage points. “Despite the ongoing tension in the Middle East, we believe the HWI division will show resilience given its low risk exposure in the region and our ongoing efforts to improve efficiency and optimize costs.”