Principal Activities

The principal activities of the Group were restaurant operation and related delivery business in the Greater China regions.

Latest Results

The Group's profit attributable to shareholders for the year ended 31-12-2025 amounted to RMB 4.05 billion, a decrease of 14.0% compared with previous corresponding period. Basic earnings per share was RMB 0.7479. A dividend of HKD 0.384 per share was declared. Turnover amounted to RMB 43.23 billion, an increase of 1.1% over the same period last year, gross profit margin down 2.6% to 59.5%. (Announcement Date: 24 Mar 2026)

Business Review - For the year ended December 31, 2025

We will continue to implement the following development strategies to enhance the Group’s overall operational quality and profitability:

Deepening the Operation of a“Different Haidilao”

The Group comprehensively advanced the“Different Haidilao”strategy, and achieved a deep transformation from standardized operation to differentiated competition through the precise operating model of“one strategy for one restaurant”. In terms of diversified restaurant matrix and scenario innovation, targeting the characteristics of different business districts and segmented customer groups, the Group successfully built restaurant models including fresh-cut restaurants, late-night snack restaurants, family-oriented restaurants and pet-friendly restaurants. As of the end of 2025, we had completed the renovation of over 200 themed restaurants in aggregate, among which, fresh-cut restaurants and late-night snack restaurants achieved layout in key cities nationwide; the orderly establishment of scenario-based restaurants such as family-oriented restaurants and pet-friendly restaurants effectively enhanced the brand’s penetration and customer stickiness in the existing market. In terms of core product competitiveness building and differentiation strategy, the Group continued to focus on product innovation, and built a competitive moat through the“national + regional”dual-wheel driven product launch mechanism.During the year, we made every effort to create a“fresh-cut”series for meat dishes, and have currently launched several major categories such as fresh-cut seafood, fresh-cut beef, fresh-cut chicken and fresh-cut pork. We adhered to the seasonal update mechanism to ensure that product supply aligns with seasonal needs. To enhance the localized adaptability of regional products, the Group strategically delegated partial product decision-making authority to regional levels, as of the end of 2025, regional specialty products reached a total of over 100 types, covering categories such as soup bases, dishes and desserts, which precisely met the diversified preferences of consumers in different regions.

Comprehensively Advancing the“Pomegranate Plan”and Multi-brand Matrix

In 2025, the Group officially entered a new stage of group-level operation characterized by“multi-brand parallel development”. Our“Pomegranate Plan”has shifted from internal incubation to market expansion.

As of the end of 2025, the Group has successfully operated 20 sub-brands covering segmented areas such as seafood food stalls, sushi, western light meals, mini hot pot and Chinese fast food, with a total of 207 restaurants; and our revenue from other restaurant operation reached RMB1,520.6 million, representing a notable year-on-year increase. To further enable the synergistic development of entrepreneurial projects and improve quality and efficiency, we reorganized the rules of the“Pomegranate Plan”and established a dual-system incubation mechanism of“Chef”and“People’s Restaurant”. The“Chef”system focuses on independent entrepreneurship of employees, while the“People’s Restaurant”system leans towards project incubation planned and driven by the headquarters. We not only unleashed the potential of internal entrepreneurship through the“Chef”mechanism, but also achieved multi-category and multi-tier market coverage through the“People’s Restaurant”model.

In addition to the dine-in business, the Group’s delivery business (including“the single-serving high-quality fast food”) recorded significant growth in the past year. The revenue from the delivery business for the year reached RMB2,657.6 million, representing an increase of 111.9% compared to the previous year, and the Haidilao brand achieved a dual-wheel drive through the“in- restaurant + delivery”model. We comprehensively enhanced the supply capacity of the delivery business from four aspects: expanding categories, expanding restaurants, expanding time slots, and expanding channels. We have completed the layout of over 1,200 delivery networks nationwide and engaged in deep cooperation with all mainstream delivery platforms. We are also continuously optimizing the operational mechanism of the delivery business, developing new products that are more suitable for delivery scenarios, and improving the profit margin of the delivery business, while supporting other brands under the“Pomegranate Plan”to explore the delivery business.The delivery business has become an important pillar for the Group’s revenue growth, and will contribute to the high-quality development of the Group in the future.

Empowering Brand Iteration through Digital and Intelligent Marketing, and Driving Image Revitalization and Upgrade with Dual Wheels

During the Reporting Period, the Group built a multi-dimensional marketing system through“headquarters coordination + regional localized reinforcement + restaurant standard execution”. On the product side, we made precise efforts around“seasonal product launches”and festival nodes;on the customer base side, we deepened our reach to customer groups such as college students and family customers. On the marketing side, we achieved a cross-boundary breakthrough in Haidilao IP collaborations, co-branding with ACG, online games, and celebrities, increasing fan-oriented marketing activities, and effectively reaching highly engaged and highly interactive customer groups. During these marketing events, the sales volume of related set meals and the click-through rates of products all significantly increased. At the same time, by setting up the all-platform IP account for“Haidilao’s XIAOLAOLAO”and deploying youth-oriented communication channels such as short dramas and animations, we achieved a deep breakthrough in brand image, with a significant increase in social platform exposure throughout the year. These youth-oriented activities reshaped consumers’established brand perception of Haidilao, established the connection between the brand and new scenarios, and accumulated new customer base assets.

Organizational Structure Reshaping: Building a“Front, Middle and Back Office”Synergistic System

To support the multi-brand and multi-track expansion strategy, the Group completed a deep transformation and restructuring of its organizational structure during the Reporting Period, establishing a systematic architecture with clear responsibilities and efficient linkage:

Front office (market breakthrough matrix): Focusing on market penetration and brand incubation, it empowers frontline business units with higher decision-making autonomy, so as to achieve rapid iteration and scaled expansion of various emerging brands in segmented tracks.

Middle office (intelligent strategic hub): Centered on the“intelligent middle office”, it undertakes the functions of strategic dispatch, resource coordination and technological empowerment, achieving scale effects and the replicability of experience through cross-brand resource integration.

Back office (cornerstone business guarantee): Deepening the fundamental base of the Haidilao brand, it focuses on the ultimate experience of service quality and the deep inheritance of brand culture, continuously consolidating its industry leading position and building a strong market competition barrier.

Building and Deepening the Intelligent Middle Office for the Catering Ecosystem

The Group firmly believes that digital and intelligent technology is the core engine supporting the future scaled expansion of Haidilao’s multiple brands. In 2025, the Group planned and established an“intelligent middle office for the catering ecosystem”shared by all brands, establishing a strategic direction of technology-driven expansion. This middle office is not only the technological foundation of the Group, but also the“digital and intelligent hub”for achieving strategic synergy and driving precise decision-making.

Experience standardization and AI empowerment: The intelligent middle office conducts digital modeling of Haidilao’s operational experience, service standards and product logic accumulated over thirty years. Through AI algorithms, we have preliminarily achieved automatic scheduling, intelligent ordering and precise inventory management, thereby reducing the difficulty of restaurant operation and management.

Full-link empowerment system: Leveraging this intelligent middle office, the Group has established a full-lifecycle support system encompassing site selection insights, precision marketing, and deep supply chain synergy. Through the intensive management model of“strong middle office”, new brands are able to share the core resources and technological capabilities accumulated by the Group, significantly improving the efficiency of resource allocation.

Management model transformation: Relying on the highly integrated data dashboards of the intelligent middle office, the management is able to gain insights into consumer behavioral preferences and the evolution of market trends in time, driving a deep transformation of the Group’s management model from“experience reliance”to“data-driven decision-making”, and enhancing the objectivity, precision and foresight of strategic decisions through quantitative analysis and predictive models.

Business Outlook - For the year ended December 31, 2025

The Group will continue to adhere to its core management philosophy of“customer satisfaction and employee efforts”. Our development initiatives mainly include:

•continuing to enhance the dining experience of consumers, including deepening the insight and perception of consumers’needs, continuously improving product research and development capabilities, and continuously refining our service capabilities to meet the personalized needs of consumers;

•comprehensively advancing the“Pomegranate Plan”, and continuing our diversified business strategy through institutional innovation, talent introduction, and management synergy;

•continuously increasing research and development investment in the intelligent middle office, optimizing the synergistic efficiency between franchised and self-operated restaurants, and empowering management with digital operations; and

•strategically pursuing acquisitions of high-quality assets to further diversify our catering business patterns and customer base.

Source: Haidilao Int'l (06862) Annual Results Announcement