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China Lodging Group, Limited (HTHT) Announces Its Preliminary Results for Hotel Operation in the Second Quarter of 2015

SHANGHAI, China, July 14, 2015 (GLOBE NEWSWIRE) -- China Lodging Group, Limited (NASDAQ:HTHT) ("China Lodging Group" or the "Company"), a leading and fast-growing multi-brand hotel group in China, today announced its preliminary results for the hotel operation in the second quarter ended June 30, 2015.

Hotel Development

Number of hotels in operation Number of rooms in operation
Opened Closed (1) Net added As of Net added As of
in Q2 2015 in Q2 2015 in Q2 2015 June 30, 2015 in Q2 2015 June 30, 2015
Leased hotels 5 (6) (1) 616 578 74,758
Manachised hotels 207 (9) 198 1,731 17,639 168,421
Franchised hotels 11 (1) 10 37 585 3,165
Total 223 (16) 207 2,384 18,802 246,344
(1) In the second quarter, six leased hotels were closed, among which, four lease contracts expired and two were closed for brand consolidation. Nine manachised hotels were closed, among which, two were transformed to franchised model and seven were closed due to urban rezoning and other reasons.
Number of hotels in pipeline as
of June 30, 2015
Leased hotels 19
Manachised and franchised hotels 721
Total 740

Operating Metrics

For the quarter ended
June 30, March 31, June 30,
2014 2015 2015
Occupancy rate (as a percentage)
Leased hotels 91% 83% 87%
Manachised hotels 91% 81% 85%
Franchised hotels N/A 66% 74%
Blended 91% 82% 86%
Average daily room rate (in RMB)
Leased hotels 191 182 201
Manachised hotels 173 161 172
Franchised hotels N/A 174 171
Blended 180 168 181
RevPAR (in RMB)
Leased hotels 174 150 176
Manachised hotels 158 131 146
Franchised hotels N/A 115 126
Blended 164 137 156

Like-for-like performance for leased and manachised hotels opened for at least 18 months during the current quarter

As of and for the quarter ended
June 30, yoy
2014 2015 change
Total 1,380 1,380
Leased hotels 552 552
Manachised and franchised hotels 828 828
Occupancy rate (as a percentage) 94% 89% -5%
Average daily room rate (in RMB) 182 185 1%
RevPAR (in RMB) 171 164 -4%

Business Update by Segment

Hotel breakdown by segment
Number of hotels in operation
Net added As of
in Q2 2015 June 30, 2015
Economy hotels 175 2,148
HanTing Hotel 98 1,836
Leased hotels (1) 502
Manachised hotels 99 1,334
Hi Inn 42 231
Leased hotels (2) 39
Manachised hotels 44 186
Franchised hotels -- 6
Elan Hotel 35 81
Manachised hotels 29 71
Franchised hotels 6 10
Midscale and upscale hotels 32 236
JI Hotel 15 145
Leased hotels (1) 65
Manachised hotels 16 80
Starway Hotel 17 86
Leased hotels 3 7
Manachised hotels 10 58
Franchised hotels 4 21
Joya Hotel -- 3
Leased hotels -- 2
Manachised hotels -- 1
Manxin Hotels & Resorts -- 2
Leased hotels -- 1
Manachised hotels -- 1
Total 207 2,384
Same-hotel operational data by segment
Number of hotels in operation Same-hotel RevPAR Same-hotel ADR Same-hotel Occupancy
As of For the quarter ended For the quarter ended For the quarter ended
June 30, June 30, yoy June 30, yoy June 30, yoy
2014 2015 2014 2015 change 2014 2015 change 2014 2015 change
Economy hotels 1,293 1,293 165 157 -5% 175 176 0% 94% 89% -5%
Leased hotels 505 505 168 161 -4% 179 181 1% 94% 89% -5%
Manachised and franchised hotels 788 788 163 154 -6% 172 172 0% 95% 89% -5%
Midscale and upscale hotels 87 87 240 254 6% 279 302 8% 86% 84% -2%
Leased hotels 47 47 260 279 7% 296 325 10% 88% 86% -2%
Manachised hotels 40 40 209 213 2% 249 261 4% 84% 82% -2%
Total 1,380 1,380 171 164 -4% 182 185 1% 94% 89% -5%

About China Lodging Group, Limited

China Lodging Group, Limited is a leading and fast-growing multi-brand hotel group in China. The Company provides business and leisure travelers with high-quality, and conveniently-located hotel products under seven brands, namely, Joya Hotel, Manxin Hotels & Resorts, JI Hotel, Starway Hotel, HanTing Hotel, Elan Hotel, and Hi Inn. For more information, please visit the Company's website: http://ir.huazhu.com.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: The information in this release contains forward-looking statements which involve risks and uncertainties.Such factors and risks include our anticipated growth strategies; our future results of operations and financial condition; the economic conditions of China; the regulatory environment in China; our ability to attract customers and leverage our brand; trends and competition in the lodging industry; the expected growth of the lodging market in China; and other factors and risks detailed in our filings with the Securities and Exchange Commission. Any statements contained herein that are not statements of historical fact may be deemed to be forward-looking statements, which may be identified by terminology such as "may," "should," "will," "expect," "plan," "intend," "anticipate," "believe," "estimate," "predict," "potential," "forecast," "project," or "continue," the negative of such terms or other comparable terminology. Readers should not rely on forward-looking statements as predictions of future events or results.

The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law.

CONTACT: Ida Yu Sr. Manager of Investor Relations Tel: 86 (21) 6195 9561 Email: ir@huazhu.com http://ir.huazhu.comSource:China Lodging Group, Limited