PEKING (dpa-AFX) - China Lodging Group, Limited (HTHT) Monday said net income attributable to China Lodging Group for the second quarter was RMB 40.3 million or $6.2 million, compared with net income attributable to China Lodging Group of RMB 79.7 million or $11.8 million in the year-ago quarter.
Earnings per ADS for the quarter was RMB 0.65 or $0.10, compared with RMB 1.29 last year.
Two Street analysts polled by Thomson Reuters expected earnings of RMB 0.68 per share for the quarter. Analysts' estimates typically exclude special items.
The company attributed the decrease in net income to the absence of one-time benefit of Shanghai Expo, higher pre-opening expenses and more leased-and-operated hotels in the ramp-up stage, as a result of our accelerated expansion.
Adjusted Net income attributable to China Lodging Group for the quarter was RMB 44.5 million or $6.9 million, compared with RMB 82.7 million or $12.2 million in the year-ago quarter.
Adjusted earnings per ADS was RMB 0.72 or $0.11, compared with RMB 1.34 last year.
Revenues for the quarter grew 24.8 percent to RMB 547.7 million or $84.7 million from RMB 438.9 million in the year-ago quarter. Four Street analysts had a consensus revenue estimate of RMB 539.1 million for the quarter.
The ADR, or average daily rate, for all hotels was RMB 182 in the second quarter of 2011, compared with RMB 196 last year.
Occupancy rate for all hotels in operation was 93 percent in the second quarter of 2011, compared with 98 percent last year.
RevPAR, defined as revenue per available room, was RMB 170 in the second quarter of 2011, compared with RMB 192 in the second quarter of 2010
Looking ahead to the third quarter, the company expects to achieve net revenues in the range of RMB 605 to RMB 625 million. The Street currently expect revenues for the third quarter of RMB 649.32 million.
Matthew Zhang, chief executive officer, said,' We are pleased to achieve 78 net new hotel openings in the first half of 2011, and remain confident in achieving our full year target of 200 new openings.'
Copyright RTT News/dpa-AFX