Question · Q3 2025
Ronald Learn of Bank of America asked about H World's outlook on cost control and margins, given recent improvements. He also requested an update on strategies to further enhance membership loyalty and marketing efforts, following the growth of the membership program to over 300 million.
Answer
Jin Hui (CEO) outlined membership strategies, including a new price guarantee program, diversifying to leisure and emergent demands (sports, inbound), enhancing corporate client services, and exploring cross-industry partnerships to boost engagement. Chen Hui (CFO) attributed EBITDA margin improvement to the asset-light strategy, strong supply chain for operating cost reduction, rental reductions for leased hotels, and optimized SG&A, with marketing investments based on ROI, indicating continued margin expansion is expected.
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