On February 21, Haidilao announced that it is expected to record a net loss of approximately RMB 3.8 billion to RMB 4.5 billion for the year ending December 31, 2021. Haidilao said that compared with the revenue of about 28.6 billion yuan in 2020,The Group’s revenue in 2021 is expected to exceed RMB 40 billion, an increase of over 40%.
The expected loss is mainly attributable to:
①In 2021, the one-off losses and impairment losses on the disposal of long-term assets due to factors such as the closure of more than 300 restaurants and the decline in restaurant operating performance will total approximately RMB 3.3 billion to RMB 3.9 billion.
②The continuous changes and repeated epidemics in the world, the rapid expansion of the store network in 2020 and 2021, and the internal management problems of the company will have an impact on the operation of Haidilao restaurants.
On September 26, 2018, Haidilao, the catering “aircraft carrier”, was listed on the Hong Kong Stock Exchange with an issue price of HK$17.8/share, which soared to HK$19.64/share during the session, with a market value of HK$100 billion.
By February 2021, the share price of Haidilao reached a record high of HK$85.75 per share, and the total market value was once close to HK$470 billion.However, after that, Haidilao’s share price began to decline sharply. The current share price is only 20.2 Hong Kong dollars, with a market value of 112.6 billion Hong Kong dollars. The market value has evaporated by 360 billion Hong Kong dollars in one year.
