Popular income of hotel industry

In recent years, hotel groups have launched a variety of personalized hotel brands, such as lifestyle, design aesthetics, science and technology video games and so on. Earned enough capital and consumers' attention in the spotlight.

After nearly ten years of development, the mid-end hotel market has gradually formed a tripartite confrontation. With the opening of Vienna Hotel under Jinjiang Group and All Seasons Hotel under Zhu Hua Group, who will be the third best?

"We have opened 808 stores and signed up for1more than 500 hotels."

Jinjiang Hotel: The domestic business has obviously picked up, and the hotel scale has greatly expanded.

The company's revenue and profit declined year-on-year, domestic hotels recovered rapidly, and overseas hotels' performance was under pressure.

Affected by the epidemic in 2020, the company achieved operating income of 7.002 billion yuan in the first three quarters, down 37.93% year-on-year, and net profit of 306.5438 billion yuan, down 65.54% year-on-year.

Different levels of epidemic control at home and abroad also lead to differences in hotel income data as the main source of income for the company.

In the first three quarters of 2020, the hotel business contributed 6.836 billion yuan, accounting for 98% of the total revenue, but decreased by 38.38% year-on-year, of which domestic hotels earned 5.329 billion yuan, accounting for 77.96% of the hotel revenue, decreasing by 33.60% year-on-year; In the first three quarters, the revenue of overseas hotels was 65.438+50.7 billion yuan, accounting for 22.05% of the hotel business, down 50.88% year-on-year.

The revenue of 20Q3 Company was 29120,000 yuan, down 29.64% year-on-year and up 53.18% quarter-on-quarter; The net profit returned to the mother was 654.38+0.6 million yuan, down 94.90% year-on-year and up 86.40% quarter-on-quarter.

20Q3' s revenue growth is mainly due to the gradual liberalization of domestic inter-provincial tourism policies, which contributes greatly to the performance of domestic hotels.

According to the key indicators of hotels, ADR of domestic hotels in 20Q3 Company is 196.22 yuan/room, OCC is 73.69%, and RevPar is 144.59 yuan/room, rising to 9 1.09%, 93.88% and 85 respectively.

The company's overseas hotel business was affected by the second outbreak of the European epidemic, and its recovery was not as good as that of domestic hotels.

The ADR of 20Q3 overseas hotels was 55.07 Euro/room, OCC was 44.56%, and RevPAR was 24.54 Euro/room, which were 95%, 64.07% and 60.86% respectively in the same period of last year. If the epidemic situation in Europe continues and cannot be effectively controlled in a short period of time, it is expected that the company's overseas hotel business will experience a significant year-on-year decline in 2020, which will further affect the company to some extent.

Fortunately, the company's overall hotel business is expected to be boosted by the good news of the recent phase III clinical trial of the vaccine.

During the epidemic, domestic hotels expanded against the trend, and the strategic layout was made in advance after the epidemic was fully recovered.

During the epidemic, many hotels in China were forced to close down or close down due to heavy operating pressure, and the hotel market as a whole was in a downturn. However, the company insisted on opening stores against the trend when the epidemic did not fully recover.

In the first three quarters of 2020, the company opened 666 new hotels 1266, withdrew 663 and opened 603 new hotels, including 55 directly operated hotels, 658 franchised hotels, 587 mid-range hotels and 16 budget hotels.

By September 30, 2020, the company had opened 9 hotels117 rooms with 896 rooms12 rooms1.

There are 4 150 mid-range hotels and 4,967 budget hotels, accounting for 45.52% and 54.48% of the total number of hotels opened respectively; There are 8 183 franchisees and 934 direct stores, accounting for 89.76% and 10.24% of the hotels opened respectively.

The company pays attention to the development of mid-range hotels in newly opened stores, which is in line with the increasing demand of mid-range hotels in China. After the outbreak in China, single hotels accelerated the clearance because of their weak pressure resistance.

On the other hand, the company accelerated the opening of stores during the epidemic period, and the number of hotels featuring cost control increased more, which was in line with the light asset development path of hotel industry management output.

In the future, the company is expected to form scale effect on the premise of further increasing the number of hotels and rooms. With years of accumulated member customers and brand loyalty, it is expected that the company will continue to consolidate the leading position of A-share hotels.

The establishment of China Company, the retention of front-end brand characteristics and the integration of back-office functional departments are expected to realize resource sharing and complementary advantages.

In May 2020, the company optimized and adjusted the organizational structure of the group, and announced the establishment of the company in China and the establishment of dual headquarters in Shanghai and Shenzhen.

Jinjiang Capital, Platinum and Vienna Hotels will continue to carry forward the unique advantages and characteristics of each brand on the basis of maintaining their own unique genes; Integrate the back-office functional departments of the original brand company, realize resource sharing and complementary advantages, and further consolidate the situation of competition and cooperation.

The establishment of China Company is an important measure to promote the strategy of "deepening domestic global distribution and transnational operation" and a prelude to building a world-class hotel group. In the future, the integration of other brands and the construction of talent teams will gradually land, and it is expected that the organizational structure and operational efficiency of the company will be further improved.

According to the data of Tianyancha APP Professional Edition, at present, the names or business scope of domestic enterprises include "tourism, travel, air tickets, hotels, aviation, travel agencies and scenic spots", and the number of tourism-related enterprises with enterprise status of opening, surviving, moving in and moving out exceeds 3.4 million.

According to the data of Tianyancha APP Professional Edition, since 20 13 years, the number of national tourism-related enterprises (enterprise-wide status) has shown a rapid growth trend. In 20 13 years, the registered growth rate of such enterprises in China was only 14%, and it has been on the rise in the following years.

From 20 15 to 20 19, the registered growth rate of tourism-related enterprises remained at about 20%, and the number of registered enterprises increased from 343,000 in 20 15 to about 702,000 in 20 19.

As of June 9, 2020 10, based on industrial and commercial registration, the professional edition data of Tianyancha APP shows that the number of newly-added tourism-related enterprises in China has exceeded 430,000 this year.

BTG Hotel: It turned losses into profits for the first time in the year, and the newly opened hotel accelerated its territory expansion.

This year's epidemic has a great impact on the company's revenue and performance, and the net profit returned to the mother in the third quarter of the year recorded a positive value for the first time.

Affected by the domestic epidemic last year, in the first three quarters of 2020, the company achieved revenue of 3.576 billion yuan, down 42.60% year-on-year, and net profit attributable to the mother was 555 million yuan, down 177. 17% year-on-year.

With the continuous relaxation of the tourism policy of the Ministry of Culture and Tourism, the income of the main hotels has been improved, and the company's operating income of 20Q 1, 20Q2 and 20Q3 has achieved relatively stable growth, with income of 80 1 100 million yuan,1/0.04 million yuan and1respectively.

Although the company's gross profit margin in the first three quarters was only 3.45% due to the adjustment of accounting policies, and some sales expenses and management expenses were adjusted to operating costs, the gross profit margin in a single quarter increased from -43.53% in 20Q 1 to 0.5 1% in 20Q2 and 27.93% in 20Q3.

In the middle and high-end hotel market, asset-light strategy not only conforms to the industry pattern, but also highlights the company's brand operation ability.

In the first three quarters of 2020, there were 4,638 hotels and 32 1497 rooms, including 2,466 budget hotels and 24 1726 rooms, accounting for 53. 17% and 57.35% respectively.

The number of high-end hotels is 1079, and the number of rooms is 12 13, accounting for 23.26% and 28.76% respectively.

The number of cloud hotels reached 65 1, and the number of rooms was 35927, accounting for 14.04% and 8.52% respectively.

There are 442 other hotels with 2263 rooms1room, accounting for 9.53% and 5.37% respectively.

Although the overall performance of the company will be significantly affected by the epidemic in 2020, from the perspective of the continuous growth trend of the number of high-end hotels, the company attaches importance to catering to the high-end growth trend of the domestic hotel industry and making strategic layout for the future.

In addition, the overall growth of cloud hotels with luxury and personalized brands has also maintained steady growth, indicating that the company's accommodation brand for young travelers has been well received by the market.

In recent years, the company closely follows the development trend of light assets in the domestic hotel market, and mainly adopts the mode of brand export such as franchising to increase the proportion of franchise stores.

The data shows that as of the first three quarters of 2020, the proportion of all hotel franchisees in the company reached 82.56%, up 2.65pct year-on-year, of which the proportion of budget hotel franchisees reached 75.30%, up1.34 pct year-on-year;

High-end franchisees accounted for 8 1.65%, an increase of 2.53pct；; The proportion of cloud hotel franchisees has remained at100%; Other hotel franchisees accounted for 99.55%, an increase of 0. 14pct.

The data of newly opened hotels in 20Q3 can better explain the development strategy of light assets and high-end hotels. During this period, there were 298 newly opened stores, including 288 franchised stores, accounting for 96.64% of newly opened hotels, and 84 high-end newly opened hotels, accounting for 28. 19% of newly opened hotels, respectively exceeding the proportion of franchised stores and high-end hotels in the first three quarters of 2020.

In the short term, the increase in the proportion of newly opened stores during the epidemic is expected to reduce the cost of store expansion, thus ensuring that the number of newly opened hotels will reach the set target during the year.

In the medium and long term, the increase in the proportion of high-end hotels can cater to the trend of consumption classification, and combine the promotion of different brands of the company to form a differentiation matrix of different hotel brands.

High-end hotels in 20Q3 increased significantly month-on-month, and the overall volume and price of hotels rose after the epidemic was controlled.

The ADR of budget hotels in 20Q3 Company was 149 yuan/room, OCC was 7 1.7%, and RevPAR was 107 yuan/room, which decreased by 15.82%, 13.8pct and 29.6/respectively.

The ADR of high-end hotels was 254 yuan/room, OCC was 67.7%, and RevPAR was 172 yuan/room, which decreased by 23.26%, 9.3pct and 32.55% respectively, and increased by 20.95%, 16.4pct and 59.26% respectively compared with the second quarter.

RevPAR of 20Q3 economy hotel has recovered to more than 70% in the same period of last year, and RevPAR of middle and high-end hotels has recovered to nearly 67% in the same period of last year, indicating that after the domestic epidemic situation was controlled, both ADR and OCC of corporate hotels rose steadily from the previous month, achieving both volume and price increases.

Under the background that there is a high probability that a large-scale epidemic will not happen again in China, it is expected that the main indicators and performance of the company's hotel business will continue to return to the level before the epidemic.

Large-scale activities are conducive to the medium-term development of the hotel business in North China, and large-scale international theme parks are conducive to the brand promotion of the company.

The hosting of the 2022 Beijing Winter Olympics will be beneficial to the overall development of China's cultural tourism industry, especially the accommodation demand of domestic and foreign tourists near the competition venues (pavilions) will greatly increase.

By 20Q3, the company had set up 1, 2 1 hotels in North China and Shandong, and the number of rooms reached 1 10277. It is expected that the 2022 Winter Olympics will directly benefit hotels in this area.

In addition, the Winter Olympics will attract domestic and foreign tourists to China's famous tourist cities through participation, which will benefit the company's hotel business in the Yangtze River Delta, Pearl River Delta and Sichuan-Chongqing regions.

In the spring of 202 1, Universal Studios Beijing finally opened its doors to welcome guests. As a listed hotel company under BTG Group, the largest shareholder in China, the company will have an important opportunity to gain brand promotion and accumulate reputation, which will bring opportunities for the company to continue its market share in Beijing and North China.

In the face of the feast of China's mid-range hotel market, whether foreign brands can catch up and share a piece of the action remains to be tested by the market. However, there are so many mid-range hotel brands, but they are afraid of encountering big waves.

And a good brand comes from a membership system and reservation platform that can really bring store traffic. Therefore, Zhao Huanyan believes that in a few years, many brands will be shuffled more than half, and all large and medium-sized hotel brands should strengthen their internal strength and invest in their own system construction, rather than flashy appearance.

"The annual rate of return will return to the previous 20%-30% growth level tomorrow." Mo Minjian said.

Note: The content of this article is mainly extracted from the theory of securities and retail capital of China Bank.