Shangri-La Asia (69) investor relations material

Executive summary

• Effective revenue grew 4.9% year-over-year in 1H26 to USD1,323.8 million, with consolidated revenue up 6.4% to USD1,124.0 million, driven by hotel operations and investment properties.

• Effective EBITDA rose 9.6% year-over-year to USD404.9 million, with margin expanding to 30.6%.

• Operating PATMI surged 75% year-over-year to USD88.9 million; consolidated profit attributable to owners after non-operating items increased 53.7% to USD89.0 million.

• Interim dividend of HK$0.05 per share declared, unchanged from prior year.

• Two new hotels opened in China in 2026, expanding the group's footprint and brand presence.

Financial highlights

• Group RevPAR increased 6% year-over-year to USD111, with effective EBITDA margin up 1.3pp to 30.6%.

• Consolidated revenue rose 6.4% year-over-year to USD1,124.0 million, and consolidated EBITDA margin improved by 1.9pp to 25.8%.

• Operating cash flow more than doubled to USD135.8 million, and free cash flow nearly tripled to USD107.1 million compared to 1H25.

• Earnings per share increased 53.4% to 2.50 US cents.

• Net assets attributable to owners reached USD5,358.9 million, up 0.6% from year-end 2025.

Outlook and guidance

• Management remains cautiously optimistic for H2 2026, citing strong long-term travel demand but noting risks from Middle East conflicts and extreme weather in China.

• Focus remains on asset-light growth, operational efficiency, and prudent financial discipline.

• Brand elevation and new product launches are driving strong interest from third-party owners for hotel management agreements.

• Several new hotel management agreements signed, supporting expansion in China and internationally.

• The new TRADERS brand targets upper-midscale and China markets, with the first hotel opening expected in 1Q27.