Overview

Home Inns & Hotels Management Inc. is a China-based economy hotel chain. The Company develops and operates economy hotels across China under its Home Inn brand. The Company either leases real estate properties, on which it develops and operates hotels or it franchises its brand to hotel owners or manages these hotel properties. The Company refers to the former type of hotels as leased-and-operated hotels and to the latter type of hotels as franchised-and-managed hotels. As of June 30, 2006, the Company's Home Inns hotel chain consisted of 63 leased-and-operated hotels in operation with an additional 33 leased-and-operated hotels under development, and 19 franchised-and-managed hotels in operation with an additional 24 franchised-and-managed hotels under development, covering 40 cities in China. Additional Information from Reuters

Financials (In millions of CNY)

Income Statement

Quarterly
(Sep '06)

Annual
(2005)

Annual
(2004)

Total Revenue

151.26

269.03

90.90

Gross Profit

45.86

62.82

26.96

Operating Income

13.62

30.60

8.87

Net Income

7.90

20.93

5.97

Balance Sheet

Total Current Assets

194.52

56.43

34.27

Total Assets

632.64

375.00

174.30

Total Current Liabilities

228.71

119.19

39.77

Total Liabilities

338.48

195.92

57.44

Total Equity

294.16

179.08

116.86

Cash Flow

Net Income/Starting Line

-

20.93

5.97

Cash from Operating

-

70.60

28.66

Cash from Investing

-

-159.34

-42.32

Cash from Financing

-

100.17

28.61

Net Change in Cash

-

11.44

14.95

                                                                       Source:  Google Finance

 

Key Elements

  • expand geographical coverage to capitalize on our early-mover advantage
  • increase penetration in existing markets
  • continue to build brand awareness and customer loyalty
  • increase our revenue per available room, or RevPAR, by optimizing customer channel mix and maximizing room rate growth
  • As of September 30, 2006, the Home Inns hotel chain consisted of 78 leased-and-operated hotels and 29 franchised-and-managed hotels in operation, with an additional 33 leased-and-operated hotels and 23 franchised-and-managed hotels under development, covering 45 cities in China. The average number of rooms per hotel in operation was 119.
  • Total revenues increased 106.3% year-over-year and 15.9% sequentially to RMB160.4 million (US$20.3 million).
  • During the third quarter of 2006, Home Inns opened 25 new hotels. As of September 30, 2006, the Home Inns hotel chain consisted of 107 hotels in operation with an additional 56 hotels under development, covering 45 cities in China.
  • Occupancy rate for the Home Inns hotel chain was 94.0% in the third quarter of 2006, compared with 93.1% during the same period in 2005 and 97.7% in the previous quarter.
  • RevPAR, defined as revenue per available room, was RMB172, compared with RMB169 in the same period of 2005 and RMB182 in the previous quarter. The sequential decrease in both occupancy rate and RevPAR was primarily due to the 25 new hotels opened in the third quarter of 2006.

Charts

 

3 Month Chart

1 Year Chart

5 Year Chart

                                                                 Source:  BigCharts.com

News

              Source:  Yahoo Finance

 

Ownership