H World Group Limited

Latest Results (27.10.2025):

H World Group Limited reported a strong second quarter of 2025, showcasing growth in hotel operations, revenue, and profitability. The company expanded its global hotel network to over 12,137 hotels and achieved significant increases in key financial metrics, reflecting its continued strategic focus and asset-light approach.

Revenue Growth

Revenue for the second quarter of 2025 rose by 4.5% year-over-year to RMB6.4 billion (US$897 million), surpassing the high end of previous guidance. Notably, manachised and franchised revenue increased by 22.8%, exceeding expectations and highlighting the success of H World’s expansion strategy.

Increased Net Income

Net income attributable to H World Group Limited reached RMB1.5 billion (US$215 million) in the second quarter of 2025, up from RMB1.1 billion in the same period last year. This growth underscores the company’s effective management and operational efficiencies.

EBITDA Improvement

EBITDA (non-GAAP) for Q2 2025 was RMB2.5 billion (US$344 million), a substantial increase from RMB1.9 billion in Q2 2024. Adjusted EBITDA also saw growth, indicating robust underlying performance and profitability.

Dividend Declaration

For the first half of 2025, H World’s board declared a cash dividend of approximately US$250 million, equating to US$0.81 per American Depositary Share (ADS). This highlights the company's commitment to returning value to its shareholders.

Future Guidance

Looking ahead to the third quarter of 2025, H World projects revenue growth between 2%-6% year-over-year, or 4%-8% excluding the DH segment. The company also anticipates manachised and franchised revenue growth in the range of 20%-24%, reflecting continued confidence in its growth trajectory.