- Huazhu Group Ltd (NASDAQ: HTHT) reported a first-quarter FY22 sales growth of 15.2% year-on-year to $423 million, beating the consensus of $378.25 million.
- The occupancy rate for all legacy-Huazhu hotels in operation was 59.2%, down 700 basis points Y/Y.
- Blended RevPAR (revenue per available room) was RMB132 versus RMB138 the previous year.
- The operating loss for the quarter was RMB(708) million or $(112) million compared to a loss of RMB(575) million last year.
- The company held RMB4.1 billion ($655 million) in cash and equivalents as of March 31, 2022.
- Adjusted EBITDA was RMB(333) million or $(53) million versus an adjusted EBITDA loss of RMB(133) million last year.
- Adjusted loss per ADS of $(0.33) beat the analyst consensus of $(0.38).
- The company has suspended providing or updating on annual revenue and hotel openings guidance in the wake of the spread of the Omicron variant in China.
- For Q2, Huazhu expects revenue to decline 2% to 6% Y/Y or to decline 23% to 27% if excluding DH.
- Price Action: HTHT shares are trading higher by 7.77% at $33.15 on the last check Tuesday.
Read at Benzinga