Jiumaojiu International (9922) H1 2025 earnings summary

Executive summary

• Operated 729 restaurants across 138 cities, including 34 franchised/cooperative locations and 8 overseas cities as of June 30, 2025, down from 771 a year earlier due to closures and conversions.

• Registered membership exceeded 19 million, with partnerships in over 150 shopping malls.

• Multi-brand strategy with Tai Er, Song Hot Pot, and Jiu Mao Jiu, focusing on unique customer experiences and product differentiation, while optimizing the restaurant network and prioritizing high-potential brands.

• Same store sales declined across all major brands, with double-digit negative growth.

• Continued focus on upgrading store models, enhancing customer experience, and supply chain innovation.

Financial highlights

• Revenue for the six months ended June 30, 2025, declined 10.1% year-over-year to RMB2,753.4 million.

• Net profit attributable to equity shareholders fell 15.3% year-over-year; profit for the period decreased 13.7% to RMB58.7 million.

• Core operating profit dropped 37.2% year-over-year to RMB98.1 million.

• Store level operating profit fell to RMB310.5 million from RMB392.9 million.

• Earnings per share were RMB0.04, down from RMB0.05.

Outlook and guidance

• Prudent expansion with focus on optimizing and upgrading store models, closing underperforming outlets, and prioritizing high-quality core restaurants.

• Digital transformation and supply chain enhancements are key priorities, with the Guangzhou Nansha Supply Chain Center beginning trial operations.

• International expansion will target markets with large Chinese communities, including North America and Southeast Asia.

• Emphasis on employee pride, customer trust, and maintaining product quality, affordability, and safety.