GHG - Earnings call 3 2023 | GreenTree Hospitality Group Ltd.

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Operator

Hello, ladies and gentlemen. Thank you for standing by for GreenTree's Third Quarter 2023 Financial Results Release. [Operator Instructions] As a reminder, today's conference call is being recorded. I would now like to turn the meeting over to your host for today's call, Mr. Rene Vanguestaine of Christensen, GreenTree's Investor Relations firm. Rene. proceed Please

Rene Vanguestaine

as Hello, GreenTree's MJ. is thank for as you on services. Thank release everyone, was us. well ir.XXX.com, at earnings IR and PR distributed joining Newswire our you, website and on earlier available today

posted we website. our IR PowerPoint presentation As comments also that the to a a reminder, same accompanies

[ and Megan Executive Selina Yang, and for Chief by On the Zhu Mr. Allen Ms. Ms. are discuss present and Q&A Ms. company's GreenTree Ms. Ms. President Alex Xu, your Yang Sales Officer; financials not will Financial Officer; and in will will Ms. follows. will Huang, They today. the and ], during answer quarter call session, from Chairman Vice operations, of who to the of which Ms. and Zhou, Mr. Xu performance be Director; Chief then Huang Mr. from Zhu Financial available questions XXXX, available who followed overview and Zhu, the guidance. Marketing; stepping is business Bill third discuss

as believes, outlook Reform confident, terminology estimates, forward, plans, can of statements. that anticipates, as continue, I'd Section of you within Act Act to are such is to, Securities remind the statements call future, in defined XXE similar Private conference of U.S. Securities we begin, Litigation going Exchange by forward-looking aims, Before target, XXXX. be meaning as intends, contains identified and like of These amended forward-looking the this the statements expect, may, will, and likely XXXX or

are statements and those market the to involve and which performance to predict company's industry, and statements including forward-looking materially management's and risks, from operating about unknown current are that expectation company's that difficult other company many cause current which are which the in may differ statements Any facts, results, upon or of uncertainties historical and events and achievements control, beyond forward-looking Such statements. of to based the not factors, its all conditions known and relate actual are are statements. the

place should undue statements. forward-looking not these You reliance on

regarding are information made information in or All the Further with the and provided forward-looking Commission. and these risks, is this the company any factors including included U.S. currently otherwise, conference Exchange call date. occurrences statements to company's today's result new statement applicable uncertainties not during Securities filing other information, any The future undertake as of forward-looking except obligation under does as of or law. events required update a

go Alex my introduce Chairman Xu, Mr. pleasure please is Xu. Officer, It to ahead. our Mr. now Chief and Executive

Alex Xu

XXXX with quarter Rene, hello, summer slowed pace vacation. a us levels recovery its with you RevPAR everyone, remained of as thank in strong business surge and in tourists rebound. XX.X% the September as quarter joining reaching travel of increased number RevPAR hotel continued to third and a The July slightly Thanks, tourism of but of year-over-year, and year-over-year for today. stable. of good August, business had and high our as in XXX% in a We during the third recovery

and our provide stable implement operating and profitability expand high-quality on stable sales and focused development long-term to long-term continue franchisees strategic maintain channel, to operation the will We service plan, growth. maintain hotel network helping our and

XXX.X is XX.X%. of in the The up RevPAR. number was The due XXX.X X,XXX, with RevPAR Compared hotels up revenues recovery ADS increase the increase XX to were X.X%. RMB Core with to XXX.X in the million, XX.X%. was million margin net margin XX.X%. the income store, was restaurant of RMB of margin Cash that's the the of and the RMB XX.X%. non-GAAP, million of increase was closure offset up million, with a of RMB XXX.X XXX.X per daily past Please to XXX, with RMB the RMB RMB that's partially a activities of XX.X%. in by XXX.X a million. months. XX.X%. And was turn a income, increased margin that's EBITDA, average provided Slide X. operations with over Total XX Adjusted hotel up that quarter XXX% non-GAAP Net was restaurants million XXXX, by operating from was Income sales third RMB ADS,

income hotel, detailed Slide X income numbers shows adjusted and net for revenues, total from EBITDA. operations,

see XXX. in the On the than XXX% quarter July compared levels early the and Slide prepandemic then XXXX. September. with performance RevPAR was in of you slide, great. the operating performance At of third slow of weekly to gradually RMB its X, XXXX was bottom August, in more RevPAR RevPAR gradually recovered can down

festival the development in and the growth. round a National mid-autumn of we ushered new During and Day,

Slide of reaching with restaurants continuing and X performance an operating upward shows long ADS level in highest the a the trend time.

starting Slide Now with XX.

penetration In our we and review to in in lower cities and will X execution in We further mid- business, hotel our South strategic our upscale segment our across Tier China. businesses. the the increased expanded

total from you Slide As XX, XXXX. XX.X% segment the to in That only our with continue XX of see grow at is end mid-to-upscale portfolio, our hotels. the of we XXX on can quarter, up

economy mid-scale core remains XX.X%. our segment the remained XX.X%, segment continue of the expansion into higher-end our with the While segments. stable business hotel we The at

to Slide turn Please XX.

lower most in and the of years, China's cities. X hotels our been past new driving Tier have X the Over

As X pipelines substantial will we the lower locations. Tier such current capitalize further greater penetration in cities hotels are XX.X% the cities, and opportunities in and of on we our in such pursue in

the franchise Slide street continued the number On to expanded of the stores, managed of in on and increasing restaurants we stores. our We business. focus XX, and restaurant increased unprofitable profitability closed proportion

areas of third economic profitability. closed of quarter decreasing improving helping XXXX, the XX, during XX activities, the Slide restaurants we On in

XXXX. and of Bellagio quarter you XX, F&M XXXX. of the sixth of Dumplings quarter restaurants Slide the proportion On first the in see the of We Da can opened the in since Niang acquisition and growth during our managed restaurants the third franchise

breakdown the Most are malls. restaurant shows XX restaurants by in our of shopping location. Slide currently

stores, there is street to for believe and this However, grow we intend potential substantial segment. we

Now to let and call Zhu. turn me Allen the Megan Megan? over

Megan Huang

financial increased operating quarterly third and our Slide ADR and for operating RevPAR at of Thank Slide start to the hotels hotels for L&O RevPAR turn Please quarter XXXX, increased the hotels increased the increased XX.X%. our F&M RMB shows to our to highlights. increased XXX XX% L&O occupancy you, our increased to our Alex. In performance. F&M L&O in hotels XXX. our F&M XXX. to Occupancy for hotels for reviewing XX to to ADR RMB trend RMB RMB XXX. at XX hotels to and our

direct to a XX million, most memberships membership from X.XX grew in the ago. sales. Individual up XX XX growth accounted Slide highlights our membership our for ago. a corporate from up year million year programs, to million X.XX million, grew which of And

please Now the ADS RMB increased business, third X.X% the to quarter in year-over-year. year XX. to individual the Slide number of grew members XXXX In X.X% X up compared turn X,XXX to to of million, restaurant X.XX before.

With to our that, over will Selina pass I CFO, the call Yang.

Yiping Yang

Allen ]. you, [ Megan Thank (sic)

to review increase and the total increased of XX.X% I increased were XX. Total the the to Slide total revenues million, hotel RMB will increase from second to the our F&M The XX.X% number XXX.X hotels year-over-year from hotel due recovery XXXX. million revenues revenues year-over-year, X.X% revenues to quarter XXX primarily XXX.X L&O Please Total up hotels. RMB hotel turn million. to hotels RMB million. in increased RMB business. was while of RevPAR First, In to in XXX.X compared XX.X% quarter, third

by mainly of in costs, and higher due business to of compared year. quarter decreased as hotel as On operating X.X% RMB second amortization operating administrative general operating hotel personnel Operating total XX.X% and higher expenses total to and and Slide expenses and composed RMB with was and and XX, costs and X.X% costs costs million, the partially XX.X% consumables as selling Urban. higher costs to quarter. were XXX.X assets, XXX.X well year-over-year the million costs second consolidation increase increase Argyle marketing expenses. decreased to The this increased utilities Operating hotel and of Total compared the to million higher RMB depreciation are costs, XXX.X rebounded, offset expenses increased expenses, the year-over-year.

Selling RMB increased quarter salaries. Selling this compared channel X.X% expenses million, higher of attributable sales and higher increase and increase commissions was a XX.X%. mainly second XX.X year. marketing and marketing year-over-year staff The expenses to were to of sales

RMB mainly due of million, was and The down expenses General debt, to compared and XX% XX.X year. this to XX.X% were second General with last quarter staff-related lower the decrease year. administrative expenses administrative decreased bad to lower consulting same compared of fees. quarter -- expenses lower and

RMB X.X RMB XXX.X XXX.X year-over-year. core XX. Slide X.X income to to million year-over-year to XXX.X hotel of RMB And positive trend EBITDA RMB increased million XXX.X year-over-year. increased from XXX.X% RMB Income net income million. from Adjusted million. Turning RMB increased hotels operations Net at million to million from

the call Financial me Director. Allen, let over Next, the turn to

Unknown Executive

RMB turn In to were quarter the third XX. XXX.X revenues Please Slide million. restaurant XXXX, of total

You the restaurants can breakdown F&M see also L&O and restaurants. for revenue

On expenses million and Slide XX.X% XX, decreased to year-over-year RMB operating costs XXX.X decreased X.X% total sequentially. and

costs trend You costs, the material personnel also and the can observe down rent. in

net million. million. XX. year-over-year. RMB income Slide X.X operations income RMB Income to to was Turning X.X Core increased Adjusted was was million. million from restaurant X.X Net XX.X RMB RMB EBITDA XXX.X%

Selina, please group. Next of the profitability introduce our

Yiping Yang

X.XX. Group was was X.XX. diluted basic Please diluted, ADS, income ADS, income per core turn Slide net per RMB and XX. Group to and net basic RMB non-GAAP,

Let's now take a look at Slide XX.

investments, total decrease had investments, cash million offset XXXX. equivalents, securities XX, of due operating and by of September X,XXX.X XX, from time June cash, and XXXX, and of loans bank property, cash as RMB equity to repayment was investment franchisees. As primarily million partially cash to restricted activities from short-term repayment of of company deposits and RMB X,XXX.X compared the The

based guidance we the on our expect revised to grow year, organic in upwards. We full now X first our this XX% year total year-over-year. to the XX% hotels months XX, Slide XXXX On performance them of of for revenues our

levels, and revenues business the restaurant year combined from total grow to reflecting expect our to XX% for over XX% of XXXX restaurants. full impact of We the closure XXXX hotel the of the organic

In of negotiated by investor company's for a its of a the was authorized total under share from for auspices XX, X.XX repurchased million consideration per our in transaction. of on its USD XXXX. Directors October repurchase made the XX XXX,XXX of years about USD Board X,XXX,XXX.XX at The price single USD a ADS the for repurchase program. share word X private total a Finally, October of of year, company a this ADS, repurchase a program

begin prepared are concludes now session. Operator, This Q&A our ready we remarks. to the

Operator

first with Morgan question Dan comes Xu Stanley. Today's Instructions] [Operator from

Xianda Xu

remaining to happening Alex from around think, -- of weakness it there the to, I let Was Slide this brief first wondering, to calendar the RevPAR about and was November, is possibly, Maybe quarter? back Was for it my beginning Thank in of you it From a decline of good X, season linear beginning question. the outlook. -- I'm management's XX%, any the And very is of a presentation, of the XXXX. April questions. the hear please? timing to since question you in which level. have that November? beginning management. for My I or to due first was due X observed low percentage think me for business? It's my you the a outlook I can, And question. terms I outlook of fourth as to was first XXXX, just mid-autumn went That is what since differences? by was festival, again. what if And RevPAR

Yiping Yang

your you, you Thank question. for Thank Dan. Okay.

have holiday, holiday. national we first the days. the RevPAR the the have year for about For XXXX, X actually, we this for days of national year, question the And X comparison for

day So of first period since beginning the -- very third also holiday day. we of the and holiday the with the here the compare RevPAR compared compared XXXX, year for when -- last -- we the last with

-- the the over of by increase day So XXXX. the holiday we the increased But find of till end, third XXXX period, whole find the day date if since over about we is when our will X%. we means, the year the -- that period RevPAR third we first compare compare end, XX%

Xianda Xu

bit little was for a November? that was seems the think event a that going there has about one-off? like just November, for How Week? below on also you it weekly XXX% to Or data. any Do calendar Golden it Early weakened

Yiping Yang

first your about words more and question. Dan,

So XXXX. October with the that the the is for decrease with X% 'XX, compared RevPAR compared a

this second increase the first than -- year, the holiday So observed for whole of for question, first less of next the that the XX% period that why we day is national is than because the less for XXXX. and holiday the

Alex Xu

and the slowdown Traditionally, been the Let period. the we comments, the work me hotel we trend on upward, our more add continue business will RevPAR. Selina's market. a year. business end the Dan, But the has the the on And the or to comments. the downward resilient slightly on fluctuation the resume to challenges travels of experienced then national than the model typically of After a holidays, November see of do downward before

So observe do is shift trend. major XXXX there November to whether this the the year-end, be we trend, see moment, will level. before a But we a and see going whether our below at in slightly to upward

is projection that our this occupancy with. we relatively So have because at begin moment higher to a

So structure downward pressure. be and our able and we -- may pricing to adjust this to offset the

with bit to a uncertain, know. be do the we continue, XXXX, economic but uncertain. believe we I'm little will the might So recovery regarding not It maybe

with then to the model with business in we are changes. our past, future observed you have -- deal dealt have So and

next of observed quarter we in year. So what earlier we the next the report part for will

Xianda Xu

question Can you in peers. rationale repurchase on our to or a know bit October? last been and details liquidity regarding trading our We of repurchase is share little volume, has the transaction. relatively your daily share compared volume this lower that share more My program or transaction trading

Or this just on sort a management's just is there repurchase share seeking to investors to the liquidity from company wondering, is actively from concern any I'm the do transaction this And does So in one-off transaction? perspective? our of onetime?

Alex Xu

ADS. of With impacted is open purchase our regard, transaction, not privately not Dan, has transactions. the daily it Since so volume it of market hotel the an this negotiated

shares. of percentage much And that entire sales far is as the smaller. so benefit of transaction, We that's to the that our increase the to we block And to think are help have investors shares may we number the concentrated, the be volume because structure shares, also besides, the has I private of able this Board as making believes, things increase a to that efforts the volume floating relatively lower shareholders. would trying the

share And so you. that's with can all I

Operator

Bruce The Instructions] comes Mi next from [Operator question UBS. with

Yuxuan Mi

have I the regarding first X is And actually questions. opening. one So hotel

for So about long-term plan XXXX and please us with could share you opening hotel your operation target? your hotel

second question RevPAR. on still the And is

Golden travel So leisure -- actually, day, strong observed demand very the in The Week. and the national term season also we have summer

a So -- but after maybe one-off investors some China's pent-up demand worry that it's reopening. the

So be QX RevPAR travel worry And assumption that year? for do XXXX in and what's your this you could demand sustainable leisure next next year?

Yiping Yang

question. for you Thank your

we question. hotels the that likely open we in last the this in the plan open likely means this hotels year to XXXX, shared contracts first year, that are number than end than Maybe of to about Actually, Okay. year. XX% And next year, we this year XXX a XXX, I is can time, to to towards XXX to of year. to signed answer XXX is XXX for sign and hotels XXX next of this about increase increase for That more XX% the year. And XXX year. this the have of are we more

Alex Xu

Okay.

a and the it the to is not and remaining that XXXX, do third quarter, during by fourth trying be RevPAR quarter that projection, pressure with same of driven reach earlier, the increase we stable believe summer the And the as of were significant XXXX, tourism. vacation level, leisure regard make the is the same because like will see the RevPAR compared discussed the we with So there. to we as we

leisure activities in and continued impacted business There and and year, because that at to will their be, will increase do but tourism the much. segment be especially next the primarily still travels. affordable retirees the not last larger affordable see the also, the do there certainly for And will as more demand leisure the of the believe in strong travel in summer. believe demand regarding are system-wide And the we will segment, I our priced most RevPAR the recovery gradually due portion result we economic as be percentage that value-driven hotels think, large a we our not on leisure travels, be

open the -- to closing because our to And to down system-wise, meanwhile, upward goal will be hotels. that's more RevPAR to own RevPAR the upscale around percentage. And store, mid- we're lease certain in continue system-wide right now maintain will we'll assumptions, our same segment increase will hotels. our hotel that the expired same continue and And XX%, we increase So same. is

of so the increasing RevPAR way And upward the for an because we'll system-wide the the XXXX. change, see continue to trend

Operator

[Operator Instructions] The Simon next Sachs. from question Cheung with Goldman comes

Simon Cheung

the Was XXX just that you for year? as expecting? maybe segments as another well -- to there more is hotel you this was a miss question. gross that that. XXX, broadly, overall or given XXX. opening One for questions. I and and are What hotel just have numbers is can and one is year of Selina given perhaps I the RevPAR next that And quarter. assumption just sort that guidance net sense the us and and a fourth restaurant? other were for Is then first So hotel the What then on was specifically I referring have XXX for of restaurant your sharing. X one of cannot sort for you Perhaps similarly year. give That's this

Can is, back I a XX%. quite costs, cost saving a question much bit basis, of then XX%, hotel then to and I've at EBITDA XX%, observed margin on sequential to, what, the your a And I look restaurant across there's that -- particularly hotel your business. back and second when pretty

saving you're Just if wanted potential thinking or expenses, and sense about further cost to any? how for scope margin a magnitude get the

Alex Xu

answer first I'll Simon. Thanks, question. the

leave margin, to the Regarding Selina. that I'll

that's hotels. the XXX an you, we the of of with -- have so that projection that's we signing that's opening the to to believe hotels. XXX, XXX, Simon, the And and internal the XXX shared what So I up

clarify you. want the with that's to number So I

RevPAR, I we quarter's XXXX. continue next that the at just continue the achieve level to that same of we project hard work and and to of Regarding think to reiterated, least

on XXXX. so quarter of fourth that's And

Okay.

So with -- Selina. that to regarding the margin, I'll leave

Yiping Yang

Thank Simon. you, Okay.

Here, I wrote X you. down questions for

better? better about restaurant before? The Because restaurant several I of million, the -- that's before, was is much XX -- nearly in first RMB income net this reasons. think the margin, hotel why for better was the one than is restaurant the quarter, Why than the

before. of as better one, first the the reason The and as recovery the the performance than restaurants industry, for of seasonality was the

closed the the And reason Second we of model. hotels months, that third better Niang past [ profitability much changed over remaining was than and franchise ], for XX Da the the stores unprofitable is XX reason the hotel before. we

have very We the stores. the was much always Luca profitability before. change to the franchise the already begun to street -- beginning and than was We profitability can And model. open for [ the investment begin -- better ], we trend see the at from And CapEx stable. trend it more the

we quarter So -- why it the money, third that's also the okay? for brand, in also Luca makes

the is second yes, quarter. profitability downwards we a little So with after your than quarter. question about Yes, the can October, Yes. the find fourth third yet entering

However, I -- we just model the explained -- begun adopted. franchise to as of because for model brand, be Da just Niang has our of

I of the much we profitability revenues the decreased well, fourth the sales -- quarter okay? Da as speaking, in expect mean year-over-year So although can brands the Niang

Alex Xu

therefore, so also impact margin. generated products our the as area. fees to also efficiency, optimum we'll and services, our using the terms reservation achieve of continue that do, better the the continue other improve due to we'll efficiency which The to slightly we and that back level, continue top I such of improve in we in -- supporting line previous future competition, drop our to that and but areas. that such market margin, improve will quality that in internal will level impact, we'll the the to secondly, slight our achieve system, of will to also we some Simon, overall the And in brand go will on and as think, franchisees, the fees productivity we a hope the see lowered margin, And increase that to margin, margin -- projected, with a fees, the management

is goal. our that So

have the have think So I we achieve and to -- still observed, hard we to that. we need work considering uncertainty really

Simon Cheung

I is check on you guess. what expecting order of your environment thought double that follow-up get new more competitive fee you to that you did one lower Can that is market a a sign The your your more has up think saying? I I fee that to something? ] yes, have that the to been be hotel you that now say question, just is actually -- or function So that because lowering in for more you market broadly? signing. our perspective, just the you're step-up new -- are is But been conductive hotels very franchisee How fact from sign-up, [

Alex Xu

fair our are number We're sign-up We by central a obligations lowering new past talking sign-up the fees. X Because and they the the have restaurants amount -- fees reservation the about franchisees a for various considering that from fees years. of hotels. existing like accumulated still of of not our supporting ongoing franchisee certain

words, the have from and current deal other obligations, restaurant immediate They rents, hotel also accumulated there the in to payments. the incurring the like only salaries current liabilities years. of -- past have to So go most the with business back the not we and X

you have of achieve with value franchisees So the their GreenTree the help shared strengths to profitabilities. key also the as system is to our we and

own So our adjusting by we to while of and feel their it ongoing maintain is healthy increase margin. them still profitability help us our to urgent to some for continue profit

sign-up the overall, a think application initial fees, I that is in the there trend downward area. that with in And market

So -- given. is and that

-- very area. has of more this the companies So going is a well this as and in as opportunities full the are I brands competing market that segment hotel there it's in think to also to are be -- both very, going --

own So current that our assessment that -- is is segment, Simon. the

Simon Cheung

Sorry, can I just -- clarify. just to

fee in it and whether a is the restaurant, see it difficulty, fee, lower you hotel only your that? restaurant wherever lowered restaurants? I only? is saying general, generally So think it's board you was have you're that across you that how the and does Or for

Alex Xu

only This hotel reservation the fees. No. -- talking the about is centralized we're sector for

it -- our for Niang traffic restaurants, anchored restaurants, And like is local more instance, malls. in a fluent to the the are those down a way. the For supermarket is are the supermarket traditionally, located market lot dynamic Because shopping of more Dumplings Da very significantly. and malls in

the [ in trend assumes consumer So behavior that ] area.

as a are we So result, mixed. the rebalancing

focusing So think, we the we the achieve And closed more a traffic in -- repositioning by of last our on XX the the stores. that But traffic that primarily stores while opening the will street street XX and profitability. months, brands, slowdown the front stable to restaurants. both locations, area, of in we areas think more restaurant I quality with closing down, are the those, food continue increase reason

very, that's our and food advantage and sector customers. opportunities healthy for of tasty think I try a to in to restaurant then the very the take important value-driven market provide new

Operator

is question Capital. [indiscernible] next The Instructions] from [Operator

Unknown Analyst

update the performance in separate the congratulations excellent give in the on Could third Firstly, of restaurant the the quarter. third quarter? the business and recovery on you a hotel

Yiping Yang

per increased store the the XX past of quarter compared the stores Mah. in And decreased for third with closure X% for our daily of But third third revenues sales same-store, the years. hotel lease-operated we over by business, Okay. quarter's year-over-year, XX by the the XX.X% has yes, -- Thank quarter, question, Mr. for XXXX. the for year-over-year, speaking because restaurant XX you can -- revenue that's increased average speaking, business. XX% find total year Actually, the the

profitability during total for Also, negative margin has has because hotel we of EBITDA -- hotels from hotels margin, reached the find for have And to has XX.X%. of recovered there positive has for the -- quarter. EBITDA business, the the our more including the So total operating yes, and I actually the can know you reached more increased negative above XX%, this the COVID-XX. to negative mean, EBITDA margin -- hotel lease the profitability opened hotels this is to most than XX%, restaurant, than margin lease-operated turned we from And our impact a since -- XX XX%.

we negative to tend to positive, the to of likely X.X%, are recovery operating our our X.X% EBITDA to that EBITDA for performance. the margin, quarter's the increase That So our that's hotels to EBITDA Due what margin. observed other lease the third continues operating was -- okay? blended lease impact our means about -- if hotels margin to we impact the

Operator

no like questions, further to I Yang question-and-answer this to our Seeing the for remarks. call would session. back concludes turn closing Selina

Alex Xu

Before operator, regarding is an earlier there question the question at have liquidity. the looked -- the regarding I --

think privately block answer discussed repurchase. only Dan, we I to this Dan. that question to in I forgot the negotiated about sales stock

Regarding the liquidity, price. share we have also the

We have and purchase share Directors -- undervalued share the -- we to implemented because Board is implemented of think -- various the due price program repurchase factors.

the business acquisitions. were the to up And performing standard. Number various not companies, one, performing after the of we are factors, -- and due to during some merger especially the pandemic, became public traded we made few a not

resolution, the So of and which quarterly also resolutions -- reports of trigger the that some into dispute our and that also management and -- attention interrupted time. various consume some and

pretty resolved. all are those think much I

-- continue to our operations dialogue to maintain more and the will we investors and with also various frequent areas, share new the and more growth and frequently plan our in a So the with business to investors.

that and -- believe our restaurant basically we of the service the value performance and our And also core the continue of terms hotels consistent consistent and consistent company's improvement. products to standard growth profitability, will and the the secondly, and companies. our will with quality the demonstrate in efficiencies liquidity to system-wide improve So improve basically of our

or dividend to by deploying routine experience our this continue current resuming opportunities. the our accumulated And -- and lot benefit the in shareholders to new learned either ways cash by investment we continued we'll the of And third, a explore share area. positions, in repurchases

units that we're even to performing our under challenging conditions. some of also demonstrated make And able so have we the of most

the make GTI, a to [ in GTI by the last about held of many held So it. privately point I want companies. is largest and has GHD shareholders ] is the XX% shareholders

the change structure. to trying also we're So

GHDs the and so access offering the the given lastly, follow-up liquidity. increase, opportunity and to further And increase further the liquidity. shares of the may shareholders And our a of then the again, to comes, we when direct the shares to considering also

will confident So the discussed strategic many, the years the years standardized overall, -- tier the profitability or the our Board next and that in new the in to third of price unleash share cities, increase Directors with -- second few located company of the so hope that the our pretty of share of of many We're hotels the true in company. potentials have the increase new next value areas a liquidity, eventually branded and company. and the fast-growing we in ways X many was and reflect

like regarding So that which Dan's is question to the I forgot answer I'd earlier. liquidity, first address

So pass continued all you thank your all the questions. you And I'll microphone pass support for thank -- and company. With the you to those that, for continued guidance of great for Selina. reaching I the call and advice to

Yiping Yang

participation for in call. Alex. thank of your GreenTree interest you, Thank today's GreenTree Again, management on and team, in we you our entire behalf your

require concludes contact us. to call. you any please us, reach today's further If plans Thank feel This you. have information or to free

Alex Xu

all. you, Thank

Operator

concluded. now has for Thank conference your The participation. you

disconnect now lines. may your You

GreenTree Hospitality (GHG) 22 Nov 232023 Q3 Earnings call transcript