H World Group Achieves Strong Growth in 2025 Financial Performance and Hotel Expansion
- H World Group opened over 2,400 new hotels, increasing its global total to 3,565 hotels and 404,616 rooms.
- The company reported a 16.4% increase in gross merchandise volume for the year, reaching 108.1 billion RMB.
- H World Group’s operating profit rose 20.8% year-on-year to 7.6 billion RMB, reflecting strong financial performance.
H World Group Reports Strong Growth in 2025 Financial Results
H World Group Limited, a prominent global hotel management company, demonstrates robust growth in its unaudited financial results for the fourth quarter and the full year ending December 31, 2025. Celebrating its twentieth anniversary, the company expands its footprint by opening over 2,400 new hotels, bringing its total to 3,565 hotels and 404,616 rooms worldwide. Such ambitious expansion highlights H World Group’s commitment to scaling its operations while maintaining high standards of service and operational efficiency.
In the fourth quarter, the company experiences an impressive year-on-year increase of 18.4% in gross merchandise volume (GMV), reaching 28.1 billion RMB. This growth is supported by a 21.0% growth in revenue derived from managed and franchised hotels (M&F), totaling 3 billion RMB. For the entire year, GMV rises 16.4% to 108.1 billion RMB, with M&F revenue increasing by 23.1% to 11.7 billion RMB. These figures reflect a resilient operational performance amid evolving market dynamics and underline the effectiveness of H World Group’s strategic initiatives.
The company reveals a significant operating profit of 7.6 billion RMB, marking a 20.8% increase year-on-year. This positive trajectory continues in adjusted EBITDA, which reaches 2.2 billion RMB for the fourth quarter and 8.5 billion RMB for the year, up 24.2% compared to the previous year. Jin Hui, H World Group's CEO, underscores the improvement in revenue per available room (RevPAR) as a vital indicator of the company’s strength and quality, further solidifying its position as a market leader focused on high-quality growth strategies.
In addition to its impressive financial results, H World Group is successfully transitioning towards an asset-light business model, which is becoming increasingly important in the hospitality industry. This strategic shift not only enhances operational efficiency but also positions the company to adapt to changes in consumer behavior and market demand effectively. The focus on managed and franchised hotels allows for greater scalability and profitability, vital in today’s competitive landscape.
As H World Group continues to expand its global presence, it remains poised for future growth, fueled by strategic initiatives and a commitment to quality within the hospitality sector. The company’s latest results affirm its trajectory of success, paving the way for new opportunities and sustained operational excellence in the years to come.