Haidilao International shares rose 7% in Hong Kong after the company reported first-half results:
- Delivery revenue jumped 121.2% to 2.05 billion yuan:
- Revenue from other restaurant operations surged 113.1% to 1.27 billion yuan:
- Haidilao stated that some newer restaurant formats under its "Pomegranate Plan" are entering "large-scale replication":
The results revealed that Haidilao's total revenue rose 7.9% year-on-year to 22.34 billion yuan ($3.32 billion) in the six months to June:
Core operating profit, a non-IFRS measure, increased by 4.4% to 2.51 billion yuan:
Delivery was Haidilao's fastest-growing business segment, with revenue jumping 121.2% driven mainly by rapid growth in its single-serving fast-food business and the expansion of its delivery network:
Revenue from Haidilao-branded restaurants, which accounted for 79.9% of group sales, fell 4% to 17.84 billion yuan:
As of the end of June, Haidilao operated 1,389 restaurants under its core hotpot brand:
What is driving Haidilao's growth?
Revenue from other restaurant operations surged 113.1% to 1.27 billion yuan, which Haidilao attributed to the development of catering brands under its "Pomegranate Plan":
The company mentioned that its food-stall hotpot and sushi formats have developed relatively mature single-restaurant models and entered the stage of "large-scale replication":
Citi noted that Haidilao's first-half operating profit before other income rose 13% from a year earlier:
