DPC Dash (1405) H1 2026 earnings summary

Executive summary

• Revenue grew 20.8% year-over-year to RMB 3,133.8 million for H1 2026, driven by rapid store expansion and higher transaction volumes, despite a decline in average transaction price (ATP) due to third-party platform subsidies.

• Net profit attributable to owners rose 22.9% to RMB 81.0 million, with adjusted net profit up 7.4% to RMB 98.2 million.

• Store count reached 1,550 across 75 cities, with 235 net new stores opened in H1 2026 and entry into 15 new cities.

• Same-store transaction growth was positive (7.1%–8.5%), but same-store sales growth (SSSG) declined (as low as -4.8%) due to lower ATP.

• Loyalty membership grew to 41.9 million, with 18.1 million new customers in the past year.

Financial highlights

• Store-level EBITDA increased 8.3% to RMB 544.5 million (margin 17.4%, down from 19.4%), and store-level operating profit rose 2.9% to RMB 390.4 million (margin 12.5%, down from 14.6%).

• Adjusted EBITDA rose 8.6% to RMB 350.7 million (margin 11.2%, down from 12.4%), and adjusted net profit margin was 3.1% (down from 3.5%).

• Total delivery sales surged 44.7% to RMB 1,618.8 million, with third-party platform delivery up 81% and own channel delivery down 11.8%.

• Cash and bank balances stood at RMB 934.7 million, with a current ratio of 0.84 and gearing ratio of 7.9%.

• Net cash from operating activities was RMB 504.9 million, up from RMB 361.1 million year-over-year.

Outlook and guidance

• Targeting approximately 350 net new store openings in 2026, with 235 opened in H1 and additional 27 by mid-August; medium-term goal of 3,000 stores by 2030.

• SSSG expected to remain negative in H2 2026 due to high base and subsidy effects, but forecast to turn positive in 2027 as ATP initiatives and channel mix improvements take effect.

• Continued investment in supply chain centers, digital infrastructure, and brand building to support long-term growth.

• Plans to optimize channel mix, reduce reliance on third-party platforms, and improve ATP.

• Store operating profit margin expected to improve in H2 2026 and further in 2027, supported by cost-saving initiatives.