Jong Yezhang's questions to Super Hi International Holding Ltd (HDL) leadership • Q4 2024
Question
Jong Yezhang from Yezhang Securities asked about Super Hi's key competitive advantages that contribute to its success abroad compared to other Chinese brands. He also inquired about the typical payback period for newly opened stores and the reasons behind recent store operation pauses in Southeast Asia.
Answer
An unnamed executive attributed the company's success to a modest and respectful attitude towards overseas markets, diligence, and cautious decision-making. The executive stated that the payback period is typically within three years in Southeast Asia and about four years in North America, though performance in Cambodia and the Philippines has been challenging. Store closures were explained as a proactive strategy to stop losses in a timely manner, resulting from factors like expired leases or poor initial location selection.