H World Group-S (01179) has released its results for the second quarter and first half of 2026. For the three months ended June 30, 2026, the group reported total revenue of RMB 7.121 billion, representing a year-on-year increase of 10.82%. Net profit attributable to H World Group Limited reached RMB 1.577 billion, up 2.14% from the same period last year, with basic earnings per share of RMB 0.50.

For the six-month period ended June 30, 2026, the group achieved total revenue of RMB 13.117 billion, a year-on-year growth of 10.96%. Net profit attributable to H World Group Limited stood at RMB 2.394 billion, with basic earnings per share of RMB 0.77. The board has proposed an ordinary cash dividend of USD 0.087 per ordinary share.

According to the announcement, hotel turnover for the second quarter of 2026 increased by 13.2% year-on-year to RMB 30.5 billion. By segment, hotel turnover from the H World China (HWC) division grew by 15.3% year-on-year during the quarter, while hotel turnover from the H World International (HWI) division declined by 9.4% year-on-year in the same period.

As of June 30, 2026, H World's global operating hotel network comprised 13,539 hotels and 1,335,445 rooms, including 13,417 hotels under HWC and 122 hotels under HWI. During the second quarter, the HWC business opened 498 hotels, consisting of 1 leased-and-owned hotel and 497 franchised and managed hotels, while closing 176 hotels in total, including 19 leased-and-owned properties and 157 franchised and managed properties. As of June 30, 2026, H World had 3,089 hotels in its pipeline, including 3,054 under HWC and 35 under HWI.

Chief Executive Officer of H World, Jin Hui, commented: "During the second quarter, we once again achieved growth in revenue per available room. Our HWC blended average daily rate rose 2.6% year-on-year, driving a 1.1% increase in blended RevPAR over the same period. This performance was underpinned by continuous product upgrades and a series of revenue management optimization initiatives. Meanwhile, our hotel network continued to expand steadily, with 498 new hotel openings in China, and our pipeline of upcoming hotels grew both year-on-year and sequentially. We remain firmly on track toward our full-year guidance of 2,200 to 2,300 new hotel openings. Looking ahead, leveraging our H World membership system and technology development, we will continue to drive a 'brand-led' expansion of a high-quality hotel network."

"In the second quarter of 2026, the operating results of the HWI division were negatively impacted by the Middle East conflict and our expansion into developing markets in Southeast Asia, where average daily rates are lower and operations are still in the ramp-up phase. The HWI division's blended RevPAR declined 3.8% year-on-year, with ADR up 0.9% and occupancy down 3.5 percentage points. Despite ongoing tensions in the Middle East, given the division's low risk exposure in that region and our continued efficiency improvements and cost optimization efforts, we believe the division will demonstrate resilience."