H World Group Limited Reports Fourth Quarter and Full Year of 2025 Unaudited Financial Results

manilatimes.net · 2026-03-18

A total of 12,858 hotels or 1,264,419 hotel rooms in operation as of December 31, 2025.Hotel turnover1 increased 18.4% year-over-year to RMB28.1 billion in the fourth quarter of 2025 and increased 16.4% year-over-year for the full year of 2025. Excluding Steigenberger Hotels GmbH and its subsidiaries ('DH”, or 'Legacy-DH”), hotel turnover from the Legacy-Huazhu2 segment increased 18.9% year-over-year in the fourth quarter of 2025 and increased 17.2% year-over-year for the full year of 2025. Hotel turnover from the Legacy-DH segment increased 13.7% year-over-year in the fourth quarter of 2025 and increased 8.5% year-over-year for the full year of 2025.Revenue increased 8.3% year-over-year to RMB6.5 billion (US$933 million)3 in the fourth quarter of 2025, surpassing the revenue guidance previously announced of a 2% to 6% increase compared to the fourth quarter of 2024, increasing 5.9% year-over-year to RMB25.3 billion (US$3.6 billion) for the full year of 2025. Manachised and franchised ('M&F”)revenue increased 21.0% year-over-year to RMB3.0 billion (US$432 million) in the fourth quarter of 2025, on the high end of M&F revenue guidance previously announced of a 17% to 21% increase, compared to the fourth quarter of 2024, increasing 23.1% year-over-year to RMB11.7 billion (US$1.7 billion) for the full year of 2025. Revenue from the Legacy-Huazhu segment in the fourth quarter of 2025 increased 9.1% year-over-year, exceeding the revenue guidance previously announced of a 3% to 7% increase, increasing 7.9% year-over-year for the full year of 2025. Revenue from the Legacy-DH segment in the fourth quarter of 2025 increased 5.3% as compared with fourth quarter of 2024, and decreasing 1.8% year-over-year for the full year of 2025. Net income attributable to H World Group Limited was RMB1.2 billion (US$168 million) in the fourth quarter of 2025, compared with RMB49 million in the fourth quarter of 2024 and RMB1.5 billion in the previous quarter. Net income attributable to H World Group Limited was RMB5.1 billion (US$726 million) for the full year of 2025, compared with RMB3.0 billion for the full year of 2024. EBITDA (non-GAAP) in the fourth quarter of 2025 was RMB2.1 billion (US$296 million), compared with RMB974 million in the fourth quarter of 2024 and RMB2.5 billion in the previous quarter. EBITDA (non-GAAP) for the full year of 2025 was RMB8.6 billion (US$1.2 billion), compared with RMB6.2 billion for the full year of 2024. Adjusted EBITDA (non-GAAP), which excluded share-based compensation expenses, gain (loss) from fair value changes of equity securities, foreign exchange gain (loss), net, and gain (loss) on disposal of investments from EBITDA (non-GAAP), was RMB2.2 billion (US$313 million) in the fourth quarter of 2025, compared with RMB1.2 billion in the fourth quarter of 2024 and RMB2.5 billion in the previous quarter. Adjusted EBITDA (non-GAAP) for the full year of 2025 was RMB8.5 billion (US$1.2 billion), compared with RMB6.8 billion for the full year of 2024. Adjusted EBITDA is a segment measure. Adjusted EBITDA from the Legacy-Huazhu segment was RMB1.9 billion in the fourth quarter of 2025, compared with RMB1.5 billion in the fourth quarter of 2024 and RMB2.4 billion in the previous quarter. Adjusted EBITDA from the Legacy-Huazhu segment was RMB8.0 billion for the full year of 2025, compared with RMB7.0 billion for the full year of 2024. Adjusted EBITDA from the Legacy-DH segment was RMB329 million in the fourth quarter of 2025, compared with a loss of RMB247 million in the fourth quarter of 2024 and a positive RMB67 million in the previous quarter. Adjusted EBITDA from the Legacy-DH segment was RMB499 million for the full year of 2025, compared with a loss of RMB154 million for the full year of 2024.For the second half of 2025, the board of directors of the Company (the 'Board”) declared a cash dividend in the aggregate amount of approximately US$400 million, of US$0.130 per ordinary share, or US$1.30 per American Depositary Share (the 'ADS”). For the full year of 2025, total amounts declared by the Company to shareholders reached ~US$760 million, including US$650 million of cash dividends and ~US$110 million of share repurchases. For the full year of 2026, H World expects revenue growth to be in the range of 2%-6%, compared to the full year of 2025, or in the range of 5%-9% excluding DH. H World expects its M&F revenue growth to be in the range of 12%-16%, compared to the full year of 2025.For the full year of 2026, H World expects to open 2,200 - 2,300 hotels and close 600 - 700 hotels. ______________________

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