GreenTree revenue drops 18.7% to RMB235 million

• GreenTree Hospitality Group (NYSE:GHG) reported Q2 2026 revenue of RMB235.1 million, down 18.7% year over year.
• Net income declined to RMB21.3 million, while core net income increased 4.4% to RMB47.2 million.
• The company improved gross margin to 37.7% despite lower hotel and restaurant revenue.

GreenTree Hospitality Group (NYSE:GHG) reported second-quarter 2026 revenue of RMB235.1 million (US$34.7 million), down 18.7% year over year, as lower hotel and restaurant revenue affected overall results.

Hotel revenue declined 16.2% to RMB204.6 million and restaurant revenue fell 33.5% to RMB30.5 million, with the company citing weaker revenue per available room (RevPAR), average daily sales (ADS), and net closures of leased-and-operated locations.

GreenTree reported operating costs of RMB146.5 million, down 20%, while general and administrative expenses decreased 35%, helping keep income from operations at RMB48.2 million compared with RMB49.2 million in the prior-year period.

Net income declined to RMB21.3 million from RMB160 million a year earlier, while core net income, a non-GAAP measure, increased 4.4% to RMB47.2 million during the quarter.

GreenTree improved gross margin to 37.7% from 36.7% despite lower revenue, reflecting lower operating costs and reduced expenses during the period.

The company operates hospitality businesses in China, including hotel and restaurant operations, and its quarterly results reflected changes in demand and its leased-and-operated property portfolio.