Super Hi Reports Unaudited Financial Results for the First Quarter of 2024
Super Hi International Holding (NASDAQ: HDL and HKEX: 9658), operating Haidilao hot pot restaurants, announced its unaudited financial results for Q1 2024. Revenue increased by 16.6% to $187.6 million, with Haidilao operations contributing $180.3 million. The company opened 4 new restaurants, totaling 119. Guest visits rose by 21.7% to 7.3 million, while same-store sales grew by 10%. However, income from operations margin declined to 6.6% from 7%. Operational costs and staff expenses also increased, leading to a net loss of $4.5 million compared to a $5.6 million income in Q1 2023. Basic and diluted net loss per share were $0.01. Super Hi successfully listed on Nasdaq in May 2024, raising $60.57 million from an offering of ADSs.
- Revenue increased by 16.6% to $187.6 million.
- Haidilao restaurant operations revenue grew by 15.7% to $180.3 million.
- Guest visits rose by 21.7% to 7.3 million.
- Same-store sales growth was 10%, compared to 8.8% in the full year of 2023.
- Opened 4 new Haidilao restaurants, expanding the total to 119.
- Revenue from delivery business increased by 61.1% to $2.9 million.
- Revenue from other business rose by 33.3% to $4.4 million.
- Successful listing on Nasdaq, raising $60.57 million.
- Income from operations margin declined to 6.6% from 7%.
- Net loss of $4.5 million, compared to a $5.6 million income in Q1 2023.
- Basic and diluted net loss per share were $0.01, down from net income per share of $0.01 in Q1 2023.
- Staff costs increased by 19.8% to $63.6 million.
- Raw materials and consumables costs rose by 16.5% to $62.8 million.
- Other income decreased by $2.2 million due to less government grants.
- Increased other losses of $11.2 million mainly from unrealized foreign exchange losses.
Insights
Super Hi’s financial performance in Q1 2024 indicates a healthy growth trajectory. A
However, the decline in income from operation margin from
A critical point for investors is the net loss of
Short-term: Investors might see volatility due to the company's net loss and rising operational costs. Long-term: The expansion strategy and increased guest visits suggest potential for substantial growth, provided that cost management improves.
Super Hi's Q1 2024 financial results showcase strong market positioning and effective brand management. The
Revenue from the delivery business also saw a significant rise of
In the context of the broader market, Super Hi’s ability to maintain stable raw material costs as a percentage of revenue amid expansion is notable. This stability is important given the rising costs in other areas such as staff expenses. The company’s challenge will be to balance these costs while continuing to grow its market share.
For investors, the key takeaway is the company’s strong brand appeal and expanding international footprint, which position it well for future growth despite current financial challenges.
SINGAPORE, June 18, 2024 (GLOBE NEWSWIRE) -- Super Hi International Holding Ltd. (NASDAQ: HDL and HKEX: 9658) (“Super Hi” or the “Company”), a leading Chinese cuisine restaurant brand operating Haidilao hot pot restaurants in the international market, today announced its unaudited financial results for the first quarter of FY2024 ended March 31, 2024.
First Quarter 2024 Highlights
- Revenue was US
$187.6 million , representing an increase of16.6% from US$160.9 million in the same period of 2023. - Opened 4 net new Haidilao restaurants in the first quarter of 2024. Total number of Haidilao restaurants expanded from 115 as of December 31, 2023 to 119 as of March 31, 2024.
- Total table turnover rate1 and same-store table turnover rate2 were both 3.9 times per day, compared to 3.3 times per day in the same period of 2023.
- Had over 7.3 million total guest visits, representing an increase of
21.7% from 6.0 million in the same period of 2023. - Same-store sales growth3 was
10.0% , compared to8.8% in the full year of 2023. - Income from operation margin4 was
6.6% , compared to7.0% in the same period of 2023.
_______________________
1 Calculated by dividing the total tables served for the period by the product of total Haidilao restaurant operation days for the period and average table count during the period.
2 Calculated by dividing the total tables served for the period by the product of total Haidilao restaurant operation days for the period and average table count at the Company’s same stores during the period.
3 Refers to the year-over-year growth of the aggregate gross revenue from Haidilao restaurant operations at the Company’s same stores for the period indicated.
4 Calculated by income from operation divided by total revenue. Income from operation is calculated by (loss) profit for the period excluding interest income, finance costs, unrealized foreign exchange differences arising from remeasurement of balances which are not denominated in functional currency, net gain arising on financial assets at fair value through profit or loss and income tax expense.
Mr. Yu Li, CEO & Executive Director of Super Hi, commented, “We delivered a strong performance in the first quarter of 2024, with a
Ms. Cong Qu, Financial Director and Board Secretary of Super Hi, added, “We are thrilled to announce our successful listing on Nasdaq, which marks a significant milestone for Super Hi International Holding Ltd. This achievement not only enhances our visibility in the global market but also provides us with additional resources to support our growth initiatives. Our financial performance in the first quarter of 2024 demonstrates our ability to effectively execute our strategic plans. As we move forward, we remain committed to optimizing our supply chain, building our brand, and leveraging digital support to empower our restaurants and drive sustainable growth.”
First Quarter 2024 Financial Results
Revenue was US
- Revenue from Haidilao restaurant operations was US
$180.3 million , representing an increase of15.7% from US$155.8 million in the same period of 2023. The increase was mainly driven by (i) continued recovery in international markets; (ii) enhanced operational performance of Haidilao restaurants, which resulted in higher table turnover rates and increased guest visits; and (iii) ongoing business expansion and increased brand influence. - Revenue from delivery business was US
$2.9 million , representing an increase of61.1% from US$1.8 million in the same period of 2023. The increase was mainly driven by (i) increased brand influence; and (ii) the Company’s efforts to enhance partnerships with local delivery platforms. - Revenue from other business was US
$4.4 million , representing an increase of33.3% from US$3.3 million in the same period of 2023. This was a result of the growing popularity of hot pot condiment products and Haidilao-branded and sub-branded food products to local customers and retailers.
Raw materials and consumables used were US
Staff costs were US
Income from operations was US
Loss for the period was US
Basic and diluted net loss per share were both US
Operational Highlights
Haidilao Restaurant Performance
The following table summarizes key performance indicators of Haidilao restaurants for the quarters indicated.
| As of/For the Three Months Ended March 31, | |||
| 2024 | 2023 | ||
| Number of restaurants | |||
| Southeast Asia | 72 | 69 | |
| East Asia | 18 | 17 | |
| North America | 19 | 18 | |
| Others(1) | 10 | 10 | |
| Total | 119 | 114 | |
| Total guest visits (million) | |||
| Southeast Asia | 5.1 | 4.4 | |
| East Asia | 0.8 | 0.6 | |
| North America | 0.9 | 0.6 | |
| Others(1) | 0.5 | 0.4 | |
| Overall | 7.3 | 6.0 | |
| Table turnover rate(2) (times per day) | |||
| Southeast Asia | 3.7 | 3.3 | |
| East Asia | 4.2 | 3.1 | |
| North America | 4.2 | 3.2 | |
| Others(1) | 3.8 | 3.3 | |
| Overall | 3.9 | 3.3 | |
| Average spending per guest(3) (US$) | |||
| Southeast Asia | 19.4 | 20.8 | |
| East Asia | 28.4 | 28.8 | |
| North America | 43.3 | 51.3 | |
| Others(1) | 42.2 | 41.1 | |
| Overall | 24.9 | 26.0 | |
| Average daily revenue per restaurant(4) (US$ in thousands) | |||
| Southeast Asia | 15.8 | 15.2 | |
| East Asia | 16.1 | 11.9 | |
| North America | 21.5 | 19.3 | |
| Others(1) | 24.4 | 22.4 | |
| Overall | 17.5 | 15.9 | |
Notes:
(1) Others include Australia, the United Kingdom and the United Arab Emirates.
(2) Calculated by dividing the total tables served for the period by the product of total Haidilao restaurant operation days for the period and average table count during the period in the same geographic region.
(3) Calculated by dividing the revenue generated from Haidilao restaurant operations for the period by total guest visits for the period in the same geographic region.
(4) Calculated by dividing the revenue from Haidilao restaurant operations for the period by the total Haidilao restaurant operation days for the period in the same geographic region.
Same-Store Sales
The following table sets forth details of the Company’s same store sales for the quarters indicated.
| As of/For the Three Months Ended March 31, | |||
| 2024 | 2023 | ||
| Number of Same Stores(1) | |||
| Southeast Asia | 65 | ||
| East Asia | 14 | ||
| North America | 18 | ||
| Others(5) | 7 | ||
| Total | 104 | ||
| Same Store Sales(2) (US$ in thousands) | |||
| Southeast Asia | 93,125 | 89,780 | |
| East Asia | 21,091 | 16,567 | |
| North America | 36,256 | 31,189 | |
| Others(5) | 16,246 | 13,989 | |
| Total | 166,718 | 151,525 | |
| Average same store sales per day(3) (US$ in thousands) | |||
| Southeast Asia | 15.9 | 15.6 | |
| East Asia | 16.6 | 13.4 | |
| North America | 22.1 | 19.3 | |
| Others(5) | 25.5 | 22.3 | |
| Total | 17.7 | 16.4 | |
| Average same store table turnover rate(4) (times/day) | |||
| Southeast Asia | 3.8 | 3.3 | |
| East Asia | 4.3 | 3.2 | |
| North America | 4.2 | 3.2 | |
| Others(5) | 3.8 | 3.3 | |
| Total | 3.9 | 3.3 | |
Notes:
(1) Includes restaurants that commenced operations prior to the beginning of the periods under comparison and opened for more than 75 days in the first quarter of 2023 and 2024, respectively.
(2) Refers to the aggregate gross revenue from Haidilao restaurant operations at our same stores for the period indicated.
(3) Calculated by dividing the gross revenue from Haidilao restaurant operations for the period by the total Haidilao restaurant operation days at our same stores for the period.
(4) Calculated by dividing the total tables served for the period by the product of total Haidilao restaurant operation days for the period and average table count at our same stores during the period.
(5) Others include Australia, the United Kingdom and the United Arab Emirates.
Recent Developments
In May 2024, the Company issued 3,096,600 American Depositary Shares (“ADSs”), at a price of US
About Super Hi
Super Hi operates Haidilao hot pot restaurants in the international market. Haidilao is a leading Chinese cuisine restaurant brand. With roots in Sichuan from 1994, Haidilao has become one of the most popular and largest Chinese cuisine brands in the world. With almost 30 years of brand history, Haidilao is well-loved by guests for its unique dining experience — warm and attentive service, great ambiance and delicious food, standing out among global restaurant chains, which has made Haidilao restaurants into a worldwide cultural phenomenon. As of March 31, 2024, Super Hi had 119 self-operated Haidilao restaurants in 13 countries across four continents, making it the largest Chinese cuisine restaurant brand in the international market in terms of number of countries covered by self-operated restaurants.
Forward-Looking Statements
This press release contains statements that may constitute “forward-looking” statements pursuant to the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “aims,” “future,” “intends,” “plans,” “believes,” “estimates,” “likely to” and similar statements. SUPER HI may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in announcements, circulars or other publications made on the website of The Stock Exchange of Hong Kong Limited (the “SEHK”), in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about SUPER HI’s beliefs, plans and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: SUPER HI’s operations and business prospects; future developments, trends and conditions in the industry and markets in which SUPER HI operates; SUPER HI’s strategies, plans, objectives and goals and SUPER HI’s ability to successfully implement these strategies, plans, objectives and goals; SUPER HI’s ability to maintain an effective food safety and quality control system; SUPER HI’s ability to continue to maintain its leadership position in the industry and markets in which SUPER HI operates; SUPER HI’s dividend policy; SUPER HI’s capital expenditure plans; SUPER HI’s expansion plans; SUPER HI’s future debt levels and capital needs; SUPER HI’s expectations regarding the effectiveness of its marketing initiatives and the relationship with third-party partners; SUPER HI’s ability to recruit and retain qualified personnel; relevant government policies and regulations relating to SUPER HI’s industry; SUPER HI’s ability to protect its systems and infrastructures from cyber-attacks; general economic and business conditions globally; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in SUPER HI’s filings with the SEC and the announcements and filings on the website of the SEHK. All information provided in this press release is as of the date of this press release, and SUPER HI does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
Contacts
Investor Relations
Email: superhi_ir@superhi-inc.com
Public Relations
Email: media.hq@superhi-inc.com
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
| For the three months ended March 31, | |||||
| 2024 | 2023 | ||||
| USD’000 | USD’000 | ||||
| Revenue | 187,647 | 160,938 | |||
| Other income | 900 | 3,074 | |||
| Raw materials and consumables used | (62,845 | ) | (53,900 | ) | |
| Staff costs | (63,597 | ) | (53,071 | ) | |
| Rentals and related expenses | (4,410 | ) | (3,504 | ) | |
| Utilities expenses | (6,875 | ) | (6,224 | ) | |
| Depreciation and amortization | (20,478 | ) | (21,698 | ) | |
| Travelling and communication expenses | (1,480 | ) | (1,081 | ) | |
| Listing expenses | (628 | ) | - | ||
| Other expenses | (15,403 | ) | (13,479 | ) | |
| Other gains (losses) - net | (12,334 | ) | (1,089 | ) | |
| Finance costs | (1,989 | ) | (2,349 | ) | |
| (Loss) Profit before tax | (1,492 | ) | 7,617 | ||
| Income tax expense | (3,053 | ) | (2,055 | ) | |
| (Loss) Profit for the year | (4,545 | ) | 5,562 | ||
| Other comprehensive income | |||||
| Item that may be reclassified subsequently to profit or loss: | |||||
| Exchange differences arising on translation of foreign operations | 6,109 | 1,089 | |||
| Total comprehensive income for the period | 1,564 | 6,651 | |||
| (Loss) Profit for the period attributable to: | |||||
| Owners of the Company | (4,457 | ) | 5,616 | ||
| Non-controlling interests | (88 | ) | (54 | ) | |
| (4,545 | ) | 5,562 | |||
| Total comprehensive income attributable to: | |||||
| Owners of the Company | 1,652 | 6,705 | |||
| Non-controlling interests | (88 | ) | (54 | ) | |
| 1,564 | 6,651 | ||||
| (Loss) Earnings per share | |||||
| Basic and diluted (USD) | (0.01 | ) | 0.01 | ||
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
| As of March 31, | As of December 31, | ||
| 2024 | 2023 | ||
| USD’000 | USD’000 | ||
| Non-current Assets | |||
| Property, plant and equipment | 159,516 | 168,724 | |
| Right-of-use assets | 162,576 | 167,641 | |
| Intangible assets | 345 | 402 | |
| Deferred tax assets | 1,878 | 1,995 | |
| Other receivables | 1,960 | 1,961 | |
| Prepayment | 352 | 295 | |
| Rental and other deposits | 19,419 | 16,903 | |
| 346,046 | 357,921 | ||
| Current Assets | |||
| Inventories | 29,406 | 29,762 | |
| Trade and other receivables and prepayments | 29,630 | 29,324 | |
| Financial assets at fair value through profit or loss | 66,462 | - | |
| Rental and other deposits | 2,618 | 3,882 | |
| Pledged bank deposits | 2,938 | 3,086 | |
| Bank balances and cash | 90,031 | 152,908 | |
| 221,085 | 218,962 | ||
| Current Liabilities | |||
| Trade payables | 36,521 | 34,375 | |
| Other payables | 29,079 | 34,887 | |
| Amounts due to related parties | 464 | 842 | |
| Tax payable | 8,934 | 9,556 | |
| Lease liabilities | 38,543 | 38,998 | |
| Contract liabilities | 8,921 | 8,306 | |
| Provisions | 1,186 | 1,607 | |
| 123,648 | 128,571 | ||
| Net Current Assets | 97,437 | 90,391 | |
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
| As of March 31, | As of December 31, | |||||
| 2024 | 2023 | |||||
| USD’000 | USD’000 | |||||
| Non-current Liabilities | ||||||
| Deferred tax liabilities | 1,373 | 1,347 | ||||
| Lease liabilities | 157,031 | 163,947 | ||||
| Contract liabilities | 3,084 | 3,098 | ||||
| Provisions | 8,310 | 7,799 | ||||
| 169,798 | 176,191 | |||||
| Net Assets | 273,685 | 272,121 | ||||
| Capital and Reserves | ||||||
| Share capital | 3 | 3 | ||||
| Shares held under share award scheme | * | * | ||||
| Share premium | 494,480 | 494,480 | ||||
| Reserves | (222,745 | ) | (224,397 | ) | ||
| Equity attributable to owners of the Company | 271,738 | 270,086 | ||||
| Non-controlling interests | 1,947 | 2,035 | ||||
| Total Equity | 273,685 | 272,121 | ||||
* Less than USD1,000
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
| For the three months ended March 31, | ||||||
| 2024 | 2023 | |||||
| USD’000 | USD’000 | |||||
| Net cash from operating activities | 24,018 | 27,732 | ||||
| Net cash used in investing activities | (73,548 | ) | (17,182 | ) | ||
| Net cash used in financing activities | (12,518 | ) | (11,275 | ) | ||
| Net decrease in cash and cash equivalents | (62,048 | ) | (725 | ) | ||
| Cash and cash equivalents at beginning of the period | 152,908 | 93,878 | ||||
| Effect of foreign exchange rate changes | (829 | ) | 158 | |||
| Cash and cash equivalents at end of the period | 90,031 | 93,311 | ||||
FAQ
What were Super Hi International Holding's Q1 2024 revenues?
How many new Haidilao restaurants did Super Hi open in Q1 2024?
What was the same-store sales growth for Super Hi in Q1 2024?
What was the net loss for Super Hi in Q1 2024?
What was the income from operations margin for Super Hi in Q1 2024?
How much did Super Hi raise from its Nasdaq listing in May 2024?
What was the revenue from Haidilao restaurant operations in Q1 2024?
How did Super Hi's delivery business perform in Q1 2024?
What was the total number of guest visits to Haidilao restaurants in Q1 2024?
What were the costs of raw materials and consumables for Super Hi in Q1 2024?
