H World Group (DE:CL4A)
FRANKFURT:CL4A
Earnings Data
Report Date
May 26, 2026After Close (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
0.39Last Year’s EPS
0.31Same Quarter Last Year
Strong Buy
Based on 6 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The earnings call conveyed a predominantly positive operational and financial picture: solid revenue and strong profit growth, robust cash generation, successful turnaround of the acquired Legacy-DH business, rapid network expansion, and meaningful shareholder returns. Noted headwinds include flat ADR for the year, earlier RevPAR weakness (only improving in Q4), industry oversupply of low-quality rooms, planned closures and lease renegotiations, and cautious 2026 revenue guidance. Overall, the positives—particularly large margin and net income improvements, the DH turnaround, and strong asset-light growth—outweigh the challenges.Company Guidance
Group Revenue Growth
Group revenue grew 5.9% year-over-year to RMB 25.3 billion for full-year 2025, driven by Legacy-Huazhu revenue growth of 7.9% to RMB 20.5 billion.
Strong Profitability Expansion
Group Adjusted EBITDA increased 24.2% year-over-year to RMB 8.5 billion, with Adjusted EBITDA margin expanding 4.9 percentage points to 33.5%.
Adjusted Net Income Growth
Adjusted net income rose 32.9% year-over-year to RMB 4.9 billion.
Asset-Light M&F Business Outperformance
Manachised & franchise (M&F) revenue increased 23.1% year-over-year to RMB 11.7 billion and M&F gross operating profit rose 20.8% to RMB 7.6 billion; M&F profit contribution reached 69% of Group profit, up 5 percentage points YoY.
Network Expansion and Demand Metrics
Rooms in operation grew 16.2% year-over-year; Group hotel GMV increased 16.4% to RMB 108.1 billion; room nights sold to members rose 21.5% year-over-year, exceeding 245 million in 2025.
Legacy-DH Turnaround
Legacy-DH achieved a significant turnaround with adjusted EBITDA of around RMB 500 million (from a prior loss) and RevPAR up 8.2% year-over-year in 2025 due to revenue management, cost optimization and portfolio restructuring.
Strong Cash Generation and Healthy Balance Sheet
Operating cash flow was RMB 8.4 billion; cash & cash equivalents were RMB 15.4 billion and net cash was RMB 9.6 billion at year-end 2025.
Material Shareholder Returns
Total shareholder return for 2025 was ~USD 760 million (USD 400M H2 cash dividend, USD 250M interim dividend, ~USD 110M share repurchases), completing over 75% of the USD 2 billion 3-year TSR plan.
Ambitious 2026 Unit Growth Guidance
Company guided to open 2,200–2,300 hotels and close 600–700 hotels in 2026, implying ~12% year-over-year hotel network growth; upper-midscale portfolio exceeded 1,639 hotels (+17.6% YoY) and Intercity surpassed 100 operating hotels.
Product and Brand Initiatives
Launched HanTing Inn to target mass-market needs and continued multi-brand strategy in upper-midscale (Intercity, Grand Ji, Crystal, Mercure) with product upgrades and smart-service features to drive guest experience and franchise profitability.
DE:CL4A Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
DE:CL4A Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Mar 18, 2026 | €44.60 | €46.60 | +4.48% |
Nov 17, 2025 | €37.80 | €37.40 | -1.06% |
Aug 20, 2025 | €27.00 | €28.76 | +6.52% |
May 20, 2025 | €31.89 | €31.30 | -1.84% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does H World Group (DE:CL4A) report earnings?
H World Group (DE:CL4A) is schdueled to report earning on May 26, 2026, After Close (Confirmed).
What is H World Group (DE:CL4A) earnings time?
H World Group (DE:CL4A) earnings time is at May 26, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is the P/E ratio of H World Group stock?
The P/E ratio of H World Group is N/A.
What is DE:CL4A EPS forecast?
DE:CL4A EPS forecast for the fiscal quarter 2026 (Q1) is 0.39.