In the first half of 2025, Haidilao’s revenue and profit both fell. Among them, the group’s core operating profit (measured by non-international financial reporting standards) was 2.408 billion yuan, a decrease of 14.0% from the same period last year.

The financial report explained that the decline in profits was affected by the decline in turnover rate and the initial adjustments in innovative models such as products and scenarios. The Group believes that the decline in performance at this stage reflects the lack of management capabilities of management.

Currently, Haidilao has multiple catering brands. Among them, Haidilao Hot Pot Restaurant’s operating income in the first half of the year was 18.58 billion yuan, accounting for 89.8% of the total revenue in the first half of the year.

In terms of the number of stores, Haidilao Hotpot opened 25 new self-operated restaurants and 3 franchise restaurants in the first half of 2025. A total of 33 restaurants were closed due to the “Woodpecker” plan and other commercial reasons. As of June 30, 2025, Haidilao Hot Pot has operated a total of 1,363 restaurants, including 1,322 self-operated restaurants and 41 franchised restaurants.

In the first half of the year, the overall turnover rate of self-operated Haidilao hot pot restaurants was 3.8 times per day, while the data for the same period last year was 4.2 times per day. The financial report pointed out that the turnover rate and customer flow of Haidilao Restaurant have both declined, mainly due to intensified competition in the catering market and changes in customer consumption demand.