Atour Lifestyle Holdings Stock Earnings Reports

Atour delivered strong Q1 2026 results with total net revenues up 47.5% YoY to RMB 2,811 million, driven by robust retail growth and hotel network expansion. Retail revenue rose 54.4% YoY to RMB 1,071 million, led by successful product iterations (Deep Sleep series) and expanding market share; management raised full-year retail guidance to +30%–35% YoY. Hotel RevPAR improved modestly (RMB 311.6; 102.4% vs. Q1 2025) with ADR gains and stable occupancy, while mature hotels showed near-parity to 2025 levels. The company opened 110 new hotels in Q1, operates 2,088 hotels with a 751-project pipeline, and remains focused on quality-led expansion (full-year openings target unchanged). Management completed 37 closures in Q1 (full-year closure target remains ~80) and is providing renovation/support programs for older hotels. Gross profit rose in both segments (hotel gross profit +29.5% YoY; retail gross profit +58.3% YoY) though hotel margins were affected by revenue mix; adjusted EBITDA margin improved to 25.5%. Cash position is healthy (RMB 3.7 billion cash; net cash RMB 3.4 billion). Shareholder returns: announced a ~USD 72 million cash dividend for 1H26 and repurchases have exceeded USD 100 million YTD; policy targets ~100% payout ratio of prior-year GAAP net profit via dividends + buybacks. Management reiterated a long-term, user-first strategy, continued investment in brand/product innovation, membership expansion (116 million registered members, +20% YoY), and ESG/charitable initiatives. For full-year 2026, management expects total net revenues to grow ~24%–28% YoY.