Super Hi International Holding (9658) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue increased 8.5% year-over-year to $199 million, with same-store sales up 5.3% and guest visits rising 6.9% to over 7.7 million.

• Net profit reached $16.4 million, reversing a prior loss, mainly due to foreign exchange gains and reduced losses.

• Operating profit declined 56.5% year-over-year to $3.65 million, with a margin of 1.9%.

• Restaurant network expanded, with 4 new openings and 1 closure, totaling 222 locations as of June 30, 2025.

• Enhanced operational efficiency through management decentralization, talent development, and new performance systems.

Financial highlights

• Haidilao restaurant revenue grew 7.3% year-over-year to $189.1 million, driven by new outlets.

• Takeout/delivery revenue surged 61% to $3.7 million; other business segments grew 27.1% to $6.1 million.

• Gross profit margin was 66%, down 0.3 percentage points year-over-year.

• Employee costs rose to $70.33 million (35.3% of revenue), up 1.1 percentage points year-over-year.

• Operating expenses increased to $23.25 million (11.7% of revenue), mainly due to higher outsourcing, consulting, and marketing costs.

Outlook and guidance

• Q3 and Q4 expected to be peak seasons, with higher table turnover and stable or slightly increasing gross profit margin.

• Over 10 new stores anticipated to open in 2025, with more planned for 2026.

• Continued focus on cost optimization, efficiency, and leveraging AI and innovation for operational improvements.

• Emphasis on management excellence, technological innovation, and targeted improvement plans for underperforming restaurants.

• Focus on expanding service scenarios, including late-night dining and family-friendly environments.