Home Inns Group Reports Fourth Quarter and Full Year 2013 Financial Results 2,180 Hotels in 287 Cities in China at Year End

Full Year Income from Operations Improved 91.6% and EBITDA Grew 37.2%

SHANGHAI, March 12, 2014 /PRNewswire/ -- Home Inns & Hotels Management Inc. (NASDAQ: HMIN) ("Home Inns Group" or "the Company"), a leading economy hotel chain in China, today announced its unaudited financial results for the fourth quarter and full year ended December 31, 2013. 

Fourth Quarter and Full Year 2013 Financial Highlights

  • Total revenues increased 9.8% to RMB 1.61 billion (US$265.9 million) for the fourth quarter of 2013 and increased 10.1% to RMB 6.35 billion (US$1.05 billion) for the full year of 2013, which was within the guidance range.
  • EBITDA (non-GAAP) increased 35.5% to RMB 254.9 million (US$42.1 million) for the fourth quarter of 2013 and increased 37.2% to RMB 1,165.6 million (US$192.6 million) for the full year of 2013.  Adjusted EBITDA (non-GAAP) increased 28.2% to RMB 333.9 million (US$55.2 million) for the fourth quarter of 2013 and increased 22.7% to RMB 1.39 billion (US$229.8 million) for the full year of 2013.

Key Financial Results

(RMB in Millions except RMB per ADS)

4Q13

4Q12

V%

FY13

FY12

V%

Total Revenues

1,609.7

1,465.7

9.8%

6,353.0

5,769.7

10.1%

Income from Operations

105.5

36.3

191.1%

524.6

273.7

91.6%

     Adj. Income from Operations*

127.2

79.2

60.5%

625.6

464.1

34.8%

Net Income

12.9

6.3

104.7%

196.2

(26.8)

F

     Adj. Net Income*

91.8

80.6

13.9%

422.8

300.3

40.8%

EBITDA

254.9

188.2

35.5%

1,165.6

849.5

37.2%

     Adj. EBITDA*

333.9

260.5

28.2%

1,391.2

1,133.4

22.7%

Diluted Earnings per ADS

0.27

0.14

92.9%

4.20

(0.59)

F

     Adj. Diluted Earnings per ADS*

1.91

1.74

9.8%

8.83

6.62

33.4%


Note: Consolidation of Motel 168 financial results started on October 1, 2011
"V%" represents year-over-year percentage change in amounts
"F" denotes a favourable change when the prior period amount was negative
* Indicates a non-GAAP financial measure which excludes share-based compensation expenses, integration expenses, upfront fee amortization of term loans, accelerated fee amortization on early extinguishment of Term Loan, gain or loss on change in fair value of convertible notes, gain or loss on change in fair value of interest swap transaction and net foreign exchange gain or loss (see commentary at the end of this earnings release for full details).

Fourth Quarter and Full Year 2013 Operational Highlights

  • Home Inns Group opened 437 new hotels in 2013 and operated 2,180 hotels across 287 cities in China under its three brands as of December 31, 2013.  There were a total of 417 viable hotel projects in the development pipeline at the end of 2013, including 161 hotels contracted or under construction (136 of which were franchised-and-managed hotels) and 256 hotels under due diligence (all of which were franchised-and-managed hotels), demonstrating continued strong interest in the three hotel brands within Home Inns Group.

                        Hotels Count                  

    Openings   

    Closures   


Group

Home Inn

Motel 168

Yitel

4Q13

FY13

4Q13

FY13

Total number of Hotels

2,180

1,784

378

18

139

437

10

29

     Leased-and-Operated

872

696

163

13

22

77

2

8

     Franchised-and-Managed

1,308

1,088

215

5

117

360

8

21

Contracted/under Construction

161

135

19

7





     Leased-and-Operated

25

17

7

1





     Franchised-and-Managed

136

118

12

6





Under Due Diligence

256

228

23

5





  • As of December 31, 2013, Home Inns Group had a total of 16.9 million unique active non-corporate members under its frequent guests program.

Operating Metrics







4Q2013

3Q2013

4Q2012

FY2013

FY2012

Occupancy Rate

84.0%

89.4%

83.8%

86.1%

86.1%

Average Daily Rate (ADR, RMB)

163

173

165

165

168

Revenue per Available Room (RevPAR, RMB)

137

154

138

142

144

  • For the fourth quarter of 2013, occupancy rate increased by 0.2% while ADR decreased by 1.2%, resulting in a year-over-year decrease of 0.7% in RevPAR.  The decrease in ADR was mainly due to soft market conditions and absence of pricing opportunities in the fourth quarter of 2013.  The sequential decrease in RevPAR was due to seasonality.
  • For the full year of 2013, occupancy rate remained stable, while ADR decreased by 1.8%, resulting in a year-over-year decrease of 1.4% in RevPAR.  The year-over-year decrease in ADR has narrowed compared to a year ago as market conditions stabilized and the hotels in lower tier cities continued to ramp up towards maturity. 

"Despite the weak market environment, our revenue results are within expectations, and the Company achieved continued margin expansion for the fourth consecutive quarter in 2013," said Mr. David Sun, the Company's chief executive officer.  "We exceeded our new hotel opening target, achieved stable performance from our mature hotels, and delivered improved earnings and profitability through the growth of our franchised-and-managed business, operational improvement from Motel 168 hotels, and effective cost control initiatives and productivity gains."

"While we are experiencing near term challenges in the macro environment, we continue to believe in the long-term growth prospects of China's travel and lodging industry," Mr Sun continued. "In the earlier years, we operated predominantly with the leased-and-operated business model while delivering rapid revenue growth.  Today, the Company has transformed into a franchise-focused growth portfolio enabling continued unit growth to strengthen its leadership in market presence.  As a result, , we expect a more moderate revenue growth going forward, but we  feel confident in the underlying business structure we have built to deliver stable margin expansion, meaningful earnings growth and increasing cash generation to create greater value for our shareholders."

Detailed Overview of Financial Results for Fourth Quarter and Full Year 2013

Total Revenues

(RMB/USD in Millions)

       Fourth Quarter 2013     

           Full Year 2013          


RMB

USD

V%

RMB

USD

V%

    Leased-and-Operated Hotels

1,401.6

231.5

7.4%

5,587.5

923.0

8.2%

    Franchised-and-Managed Hotels

208.0

34.4

29.4%

765.5

126.5

26.5%

Total Revenues

1,609.7

265.9

9.8%

6,353.0

1,049.4

10.1%

Less: Business Taxes and Related Surcharges

-98.5

-16.3

9.3%

-391.8

-64.7

10.9%

Net Revenues

1,511.2

249.6

9.9%

5,961.2

984.7

10.1%








Note: "V%" represents year-over-year percentage change in amounts

  • The year-over-year increases in total revenues from both leased-and-operated and franchised-and-managed hotels in the fourth quarter and full year of 2013 were mainly driven by an increase in the number of hotels in operation.  The Company continues to focus on the franchised-and-managed business model which it expects will represent the majority of new hotel openings over the next few years.

Total Operating Costs and Expenses / Total Operating Income

(RMB/USD in Millions)


Fourth Quarter 2013







Adjusted



GAAP Results


Reconciliation


Non-GAAP Results



RMB

USD

Vpts


RMB_

USD


   RMB

__USD

Vpts

Leased-and-Operated Hotel Costs


1,246.0

205.8

-5.1pts


3.5

0.6


1,242.5

205.2

-3.8pts













Franchised-and-Managed Hotel Personnel Costs


31.9

5.3

0.3pts


2.7

0.5


29.1

4.8

0.3pts

Sales and Marketing Expenses


47.0

7.8

1.2pts


0.4

0.1


46.6

7.7

1.2pts

General and Administrative Expenses


81.4

13.4

-0.6pts


15.0

2.5


66.4

11.0

-0.3pts













Total Operating Costs and Expenses


1,406.3

232.3

-4.1pts


21.6

3.6


1,384.7

228.7

-2.6pts













Total Operating Income


105.5

17.4

4.1pts


21.6

3.6


127.2

21.0

2.5pts













(RMB/USD in Millions)


Full Year 2013







Adjusted



GAAP Results


Reconciliation


Non-GAAP Results



RMB

USD

Vpts


RMB_

USD


   RMB

__USD

Vpts

Leased-and-Operated Hotel Costs


4,867.0

804.0

-3.9pts


21.7

3.6


4,845.3

800.4

-2.6pts













Franchised-and-Managed Hotel Personnel Costs


157.3

26.0

0.3pts


11.0

1.8


146.3

24.2

0.3pts

Sales and Marketing Expenses


109.9

18.2

0.4pts


1.5

0.3


108.4

17.9

0.4pts

General and Administrative Expenses


313.5

51.8

-0.6pts


66.9

11.0


246.6

40.7

-0.1pts













Total Operating Costs and Expenses


5,447.7

899.9

-3.6pts


101.1

16.7


5,346.6

883.2

-1.9pts













Total Operating Income


524.6

86.7

3.6pts


101.1

16.7


625.6

103.3

1.8pts













Note: "Vpts" represents year-over-year change in percentage points of total revenues

Total operating costs and expenses were RMB 1.41 billion (US$232.3 million) for the fourth quarter of 2013, representing 87.4% of total revenues for the quarter, and RMB 5.45 billion (US$ 899.9 million) for the full year of 2013, representing 85.8% of total revenues for the year.  Total operating costs and expenses excluding any share-based compensation expenses and acquisition and integration costs (non-GAAP) for the fourth quarter of 2013 were 86.0% of total revenues, compared to 88.6% in the same period a year ago, and 84.2% for the full year of 2013 compared to 86.1% for the full year of 2012.

  • Total leased-and-operated hotel costs were RMB 1.25 billion (US$205.8 million) for the fourth quarter of 2013, representing 88.9% of the leased-and-operated hotel revenues for the quarter compared to 92.6% in the same period a year ago, and RMB 4.87 billion (US$804.0 million) for the full year of 2013, representing 87.1% of the leased-and-operated revenues for the year compared to 89.9% for the full year of 2012.  Total leased-and-operated hotel costs excluding any share-based compensation expenses and acquisition and integration costs (non-GAAP) were 88.6% of the leased-and-operated hotel revenues in the fourth quarter of 2013 compared to 91.0% in the same period a year ago, and 86.7% for the full year of 2013 compared to 88.1% for the full year of 2012.  The year-over-year decreases in total leased-and-operated hotel costs as a percentage of leased-and-operated hotel revenues for both the fourth quarter and the full year of 2013 were mainly due to continued productivity gains at the hotel operational level.

Pre-opening cost was RMB 13.5 million (US$2.2 million) for the fourth quarter of 2013 and RMB 77.9 million (US$12.9 million) for the full year of 2013.

  • Personnel costs of franchised-and-managed hotels were RMB 31.9 million (US$5.3 million) for the fourth quarter of 2013, representing 15.3% of the franchised-and-managed hotel revenues for the quarter, which was unchanged from the same period a year ago, and RMB 157.3 million (US$26.0 million) for the full year of 2013, representing 20.6% of the franchised-and-managed revenues for the year compared to 20.7% for the full year of 2012.  Personnel costs of franchised-and-managed hotels excluding share-based compensation expenses (non-GAAP) were 14.0% of franchised-and-managed hotel revenues in the fourth quarter of 2013, compared to 13.8% in the same period of 2012, and 19.1% for the full year of 2013, which was unchanged from the full year of 2012. 
  • Sales and marketing expenses were RMB 47.0 million (US$7.8 million) for the fourth quarter of 2013, representing 2.9% of total revenues for the quarter compared to 1.7% in the same period a year ago, and 109.9 million (US$18.2 million) for the full year of 2013, representing 1.7% of total revenues compared to 1.3% for the full year of 2012. Sales and marketing expenses excluding share-based compensation expenses (non-GAAP) were 2.9% of total revenues for the fourth of quarter 2013 compared to 1.7% in the same period of 2012, and 1.7% of total revenues for the full year of 2013 compared to 1.3% of total revenues in 2012.  Both year-over-year increases in the sales and marketing expenses as a percentage of total revenues for the fourth quarter and full year were mainly due to increased spending on marketing programs including mobile apps development and implementation in support of Home Inns Group's multi-brand strategy and increased cost associated with the Company's member rewards program.  The Company's on-going marketing efforts remained cost-effective to support steady revenue expansion.
  • General and administrative expenses were RMB 81.4 million (US$13.4 million) for the fourth quarter of 2013, representing 5.1% of total revenues compared to 5.7% in the same period a year ago, and RMB 313.5 million (US$51.8 million) for the full year of 2013, representing 4.9% of total revenues compared to 5.5% for the full year of 2012.  General and administrative expenses excluding any share-based compensation expenses, and acquisition and integration costs (non-GAAP) were 4.1% of total revenues for the quarter compared to 4.5% in the same period of 2012, and 3.9% of total revenues for the full year of 2013 compared to 4.0% for the full year of 2012.  The year-over-year decreases in general and administrative expenses as a percentage of total revenues in both the fourth quarter and full year of 2013 were driven by effective cost control initiatives at headquarters with continued leverage from economies of scale.

Income from Operations was RMB 105.5 million (US$17.4 million) for the fourth quarter of 2013 and RMB 524.6 million (US$86.7 million) for the full year of 2013.  Income from operations excluding share-based compensation expenses and integration cost (non-GAAP) for the fourth quarter of 2013 was RMB 127.2 million (US$21.0 million), or 7.9% of total revenues, compared to RMB 79.2 million, or 5.4% of total revenues, in the same period of 2012.  Income from operations excluding share-based compensation expenses and integration cost (non-GAAP) for 2013 was RMB 625.6 million (US$103.3 million), or 9.8% of total revenues, compared to RMB 464.1 million, or 8.0% of total revenues, in 2012.  The year-over-year increases in the income from operations margin rate for both the fourth quarter and full year of 2013 were mainly driven by the increasing higher-margin revenue contribution from franchised-and-managed operations, continued operational improvements from Motel 168 hotels, and meaningful cost control savings and productivity gains from both the hotel level and corporate headquarters.

EBITDA (non-GAAP)  

(RMB/USD in Millions) 


             Fourth Quarter 2013            


                     Full Year 2013                   



RMB

USD

%Rev

V%


RMB

USD

%Rev

       V%

EBITDA (Non-GAAP)


254.9

42.1

15.8%

35.5%


1,165.6

192.6

18.3%

37.2%

     Net Foreign Exchange (Gain) / Loss


-13.6

-2.2

-0.8%



-49.8

-8.2

-0.8%


     Share-Based Compensation Expenses


19.6

3.2

1.2%



86.0

14.2

1.4%


     Accelerated Fee Amortization due to Early











     Extinguishment of Term Loan


-

-

-



41.9

6.9

0.7%


     Integration Cost


2.0

0.3

0.1%



15.0

2.5

0.2%


     Non-Operating Income


-

-

-



-0.9

-0.2

0.0%


     Loss on Fair Value Change in Convertible Notes


70.9

11.7

4.4%



133.4

22.0

2.1%













Adjusted EBITDA (Non-GAAP)


333.9

55.2

20.7%

28.2%


1,391.2

229.8

21.9%

22.7%












Note: "%Rev" represents amount as a percentage of total revenues

         "V%" represents year-over-year percentage change in amounts

 Consolidated Net Income Attributable to Home Inns Group's Shareholders

(RMB/USD in Millions)    

              Fourth Quarter 2013         

                      Full Year 2013                


RMB

USD

%Rev

V%

RMB

USD

    %Rev

       V%

Net Income (GAAP)

12.9

2.1

0.8%

104.7%

196.2

32.4

3.1%

           F

     Net Foreign Exchange (Gain) / Loss

-13.6

-2.2

-0.8%


-49.8

-8.2

-0.8%


     Share-Based Compensation Expenses

19.6

3.2

1.2%


86.0

14.2

1.4%


     Integration Cost

2.0

0.3

0.1%


15.0

2.5

0.2%


     Amortization of Upfront Fees on Term Loan

-

-

-


1.0

0.2

0.0%


     Accelerated Fee Amortization on Early









     Extinguishment of Term Loan Interest

-

-

-


41.9

6.9

0.7%


     Non-Operating Income

-

-

-


-0.9

-0.2

0.0%


     Loss on Fair Value Change in Convertible Notes         

70.9

11.7

4.4%


133.4

22.0

2.1%











Adjusted Net Income (Non-GAAP)

91.8

15.2

5.7%

13.9%

422.8

69.8

6.7%

40.8%










Note: "%Rev" represents amount as a percentage of total revenues

         "V%" represents year-over-year percentage change in amounts

         "F" denotes favourable changes when the prior period amount was negative

Basic and Diluted Earnings Per Ordinary Share and Per ADS


          Fourth Quarter 2013     

            Full Year 2013           


Ordinary Share

ADS Share

Ordinary Share

ADS Share


RMB

USD

RMB

USD

RMB

USD

RMB

USD

Basic

0.14

0.02

0.27

0.05

2.12

0.35

4.23

0.70

Diluted

0.14

0.02

0.27

0.04

2.10

0.35

4.20

0.69










Adjusted Basic (Non-GAAP)

0.98

0.16

1.96

0.32

4.56

0.75

9.12

1.51

Adjusted Diluted (Non-GAAP)

0.96

0.16

1.91

0.32

4.41

0.73

8.83

1.46

Cash Flow

Net operating cash flow for the fourth quarter of 2013 was RMB 276.8 million (US$45.7 million), compared to RMB 217.7 million in the same period of 2012.  Capitalized expenditures for the fourth quarter of 2013 were RMB 320.6 million (US$53.0 million), while related cash paid for capital expenditures during the quarter was RMB 271.4 million (US$44.8 million).  

For the full year of 2013, net operating cash flow was RMB 1.19 billion (US$195.8 million), compared to RMB 747.8 million in 2012.  Capitalized expenditures for 2013 were RMB 929.5 million (US$153.5 million), while related cash paid for capital expenditures during the year was RMB 897.5 million (US$148.3 million).  

Balance Sheet

As of December 31, 2013, Home Inns Group had cash and cash equivalents of RMB 1.16 billion (US$191.1 million).  The outstanding balance of convertible notes issued in December 2010 (measured at fair value) was RMB 1.16 billion (US$191.2 million).  The outstanding balance of the U.S. dollar-denominated three-year term loan was RMB 713.3 million (US$117.8 million).

Outlook for First Quarter and Full Year 2014

Home Inns Group targets to open no less than 450 new hotels in 2014, including approximately 70 to 90 leased-and-operated hotels and 360 to 380 franchised-and-managed hotels. 

Home Inns Group expects total revenues for the group for 2014 to be in the range of RMB 6,800 million to RMB 7,000 million, representing a growth of 7.0% to 10.2% over 2013.  Total revenues for the group in the first quarter of 2014 are expected to be in the range of RMB 1,460 million to RMB 1,490 million.

These forecasts reflect our current and preliminary views and are subject to change.

This announcement contains translations of certain RMB amounts into U.S. dollars solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB 6.0537 to US$1.00, the noon buying rate for December 31, 2013 set forth in the H.10 statistical release of the Federal Reserve Board.

Key Personnel Change

Huiping Yan will be resigning as chief financial officer effective April 30, 2014, in pursuit of opportunities outside of the Company.  Ms. Yan joined the Company in July 2009 as the senior vice president of finance and strategy and was later promoted to chief financial officer on May 1, 2010.  A search for a replacement has commenced and May Wu, our current chief strategy officer and former chief financial officer, will be acting CFO effective from May 1, 2014, until a suitable candidate comes on board.

Conference Call Information

Management will hold an earnings conference call at 9 PM U.S. Eastern Time on Wednesday, March 12, 2014 (9 AM Beijing/Hong Kong Time on Thursday, March 13, 2014).

Dial-in details for the earnings conference call are as follows:

U.S. (toll free):

1.866.519.4004

U.S.:                                  

1.845.675.0437

China Mainland:              

800.819.0121 or 400.620.8038

Hong Kong (toll free):     

800.930.346

Hong Kong:                      

852.2475.0994 

U.K. (toll free):                

080.8234.6646

U.K.:                                

44.2030.598.139

Australia (toll free):         

1.800.457.076

Taiwan (toll free):           

008.0112.6920



International:                           

65.6723.9381



Pass code for all regions:

Home Inns

A replay of the conference call may be accessed by phone at the following numbers until the end of Thursday, March 20, 2014 U.S. Eastern Time.

U.S. toll free:                

1.855.452.5696

China toll free:             

800.870.0205 or 400.602.2065

Hong Kong toll free:    

800.963.117

International:                          

61.2.8199.0299



Conference ID number:          

90487869

Live and archived webcasts of this conference call will be available at http://english.homeinns.com.

About Home Inns Group

Home Inns Group is a leading economy hotel chain in China based on number of hotels and hotel rooms as well as geographic coverage of the hotel chain. Since the Company commenced operations in 2002, it has built Home Inns as one of the best-known economy hotel brands in China. In October of 2011, the Company acquired Motel 168, another well-known hotel chain in China, as its second economy hotel brand. Home Inns Group aims to offer a consistent product and high-quality services to primarily serve the fast growing population of value-conscious individual business and leisure travelers who demand clean, comfortable and convenient lodging. Home Inns Group's ADSs, each of which represents two ordinary shares, are currently trading on the NASDAQ Global Select Market under the symbol "HMIN." For more information about Home Inns Group, please visit http://english.homeinns.com.

Safe Harbor

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. Any statements in this press release that are not historical facts are forward-looking statements that involve factors, risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such factors and risks include our anticipated growth strategies; our future results of operations and financial condition; the economic conditions of China; the regulatory environment in China; our ability to attract customers and leverage our brand; trends and competition in the lodging industry; the expected growth of the lodging market in China; our expected successful consolidation and integration of Motel 168 with our existing operations; and other factors and risks detailed in our filings with the Securities and Exchange Commission.  This press release also contains statements or projections that are based upon information available to the public, as well as other information from sources which management believes to be reliable, but it is not guaranteed by us to be accurate, nor does it purport to be complete. We undertake no obligation to update or revise to the public any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law.

Non-GAAP Financial Measures

To supplement Home Inns Group's unaudited consolidated financial results presented in accordance with U.S. GAAP, Home Inns Group uses the following non-GAAP measures:

(a)   total operating costs and expenses excluding share-based compensation expenses and acquisition and integration costs
(b)   total leased-and-operated hotel costs excluding share-based compensation expenses and integration costs
(c)   personnel costs of franchised-and-managed hotels excluding share-based compensation expenses
(d)   sales and marketing expenses excluding share-based compensation expenses
(e)   general and administrative expenses excluding share-based compensation expenses and acquisition and integration costs
(f)    income from operations excluding share-based compensation expenses and acquisition and integration costs
(g)   adjusted net income attributable to shareholders excluding any share-based compensation expenses, foreign exchange gain or loss, acquisition and integration cost, upfront fee amortization of term loan, gain or loss from fair value change of convertible notes and interest swap derivatives and other non-operating expenses
(h)   adjusted basic and diluted earnings per ADS and per share excluding foreign exchange gain or loss, share-based compensation expenses, gain on buy-back of convertible bonds, issuance costs for convertible notes, gain or loss from fair value change of convertible notes, acquisition and integration cost, non-operating expenses and upfront fee amortization of term loan, and
(i)    adjusted EBITDA excluding foreign exchange gain or loss, share-based compensation expenses, gain on buy-back of convertible bonds, issuance costs for convertible notes, gain or loss from fair value change of convertible notes, acquisition and integration costs, non-operating expenses and upfront fee amortization of term loan 

The presentation of these non-GAAP financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with U.S. GAAP. For more information on these non-GAAP financial measures, please see the table captioned "Reconciliations of GAAP and non-GAAP results" set forth at the end of this press release.

Home Inns Group believes that, used in conjunction with GAAP financial measures, these non-GAAP financial measures provide meaningful supplemental information regarding the Group's performance, and both management and investors benefit from referring to these non-GAAP financial measures in assessing the Group's performance and when planning and forecasting future periods. Management believes that EBITDA, defined as earnings before interest, income tax expense, depreciation and amortization, is a useful financial metric to assess Home Inns Group's operating and financial performance before the impact of investing and financing transactions and income taxes.  In addition, management believes that EBITDA is widely used by other companies in the lodging industry and may be used as an analysis tool by both management and investors to measure and compare Home Inns Group's operational and financial performance with industry peers.

One of the limitations of using non-GAAP income from operations, EBITDA, adjusted EBITDA and non-GAAP net income attributable to shareholders is that they do not include all items that impact Home Inns Group's net income (loss) for the period.  These non-GAAP measures exclude share-based compensation expenses, foreign exchange gain or loss and gain or loss from fair value change of convertible notes, which have been and will continue to be a significant recurring expense in Home Inns Group's business. In addition, Home Inns Group's EBITDA and adjusted EBITDA may not be comparable to EBITDA or similarly titled measures utilized by other companies since such other companies may not calculate EBITDA in the same manner as Home Inns Group does.  Management compensates for this and other limitations by providing specific information regarding the GAAP amounts excluded from each non-GAAP measure.  Home Inns Group computes the non-GAAP financial measures using the same consistent method from quarter to quarter. Reconciliations of GAAP and non-GAAP results are included at the end of this press release. The non-GAAP adjustment items do not include the tax impact.

The presentation of EBITDA and adjusted EBITDA should not be construed as an indication that Home Inns Group's future results will be unaffected by other charges and gains Home Inns Group considers to be outside the ordinary course of its business.

Home Inns Group completed its acquisition of 100% equity interest in Motel 168, and took control of Motel 168 effective on October 1, 2011.  Home Inns Group has consolidated Motel 168's operating and financial results since October 1, 2011.  Home Inns Group has presented certain separated financial data of Motel 168 in this earning release for the purpose of providing more information to investors.  Home Inns Group had substantially completed Motel 168's integration as of the third quarter of 2013 and ceased to present separate operating metrics and revenues for Motel 168.

For investor and media inquiries, please contact:

Johnny Wang
Home Inns & Hotels Management Inc.
Tel: +86-21-3337-3333*3870
Email: johnnywang@homeinns.com

Cara O'Brien
FTI Consulting
Tel: +852-3768-4537
Email: cara.obrien@fticonsulting.com

Home Inns & Hotels Management Inc.

Unaudited Condensed Consolidated Balance Sheet










December 31, 2012


December 31, 2013



RMB '000


RMB '000


US$ '000








ASSETS







Current assets:







Cash and cash equivalents


663,156


1,156,743


191,080

Restricted cash


205,739


173,276


28,623

Accounts receivable, net


98,176


99,964


16,513

Receivables from related parties


6,818


5,509


910

Consumables


41,600


41,231


6,811

Prepayments and other current assets


172,534


181,232


29,937

Deferred tax assets


80,369


78,839


13,023








Total current assets


1,268,392


1,736,794


286,897





























Investment in a jointly controlled entity


6,625


5,832


963

Property and equipment, net


3,846,835


4,049,337


668,903

Goodwill


2,254,631


2,254,631


372,439

Intangible assets, net


1,149,419


1,112,499


183,772

Other assets


117,350


86,027


14,211

Non-current deferred tax assets


310,762


407,564


67,325








Total assets


8,954,014


9,652,684


1,594,510








LIABILITIES







Current liabilities:







Accounts payable


76,825


89,170


14,730

Payables to related parties


3,798


3,029


500

Short term loans


12,571


-


-

Finance lease liabilities


6,660


1,376


227

Salaries and welfare payable


215,569


222,865


36,815

Income tax payable


76,382


88,551


14,628

Other taxes payable


27,761


31,344


5,178

Deferred revenues


202,874


202,949


33,525

Other unpaid and accruals


165,886


228,881


37,808

Other payables


925,134


911,641


150,593

Deferred tax liability


29,439


52,155


8,615















Total current liabilities


1,742,899


1,831,961


302,619








Long term loans


735,404


713,337


117,835

Deferred rental


631,618


691,456


114,220

Deferred revenues


45,089


54,075


8,933

Finance lease liabilities


1,620


-


-

Deposits due to franchisees


91,462


115,351


19,055

Other long term payables


10,620


20,537


3,392

Unfavorable lease liabilities


370,548


337,627


55,772

Financial liabilities 2


1,066,771


1,157,295


191,172

Deferred tax liabilities


288,321


283,522


46,834








Total liabilities


4,984,352


5,205,161


859,832















Commitments and contingencies














Shareholders' equity







Ordinary shares (US$0.005 par value;
200,000,000 shares authorized,
91,672,320 and 94,814,866 shares issued
and outstanding as of December 31, 2012
and December 31 2013, respectively)


3,574


3,671


606








Additional paid-in capital


2,802,905


3,080,596


508,878

Statutory reserves


158,417


206,892


34,176








Retained earnings


992,505


1,140,252


188,356








Total Home Inns shareholders' equity


3,957,401


4,431,411


732,016








Noncontrolling interests


12,261


16,112


2,662








Total  shareholders' equity


3,969,662


4,447,523


734,678








Total liabilities and shareholders' equity


8,954,014


9,652,684


1,594,510








Note 1: The conversion of Renminbi ("RMB") into United States dollars ("US$") is based on rate of US$1.00=RMB6.0537 on December 31, 2013, representing the certificated exchange rate published by the Federal Reserve Board.

Note 2:Financial liabilities represent convertible notes  measured at fair value.

 

Home Inns & Hotels Management Inc.

Unaudited Condensed Consolidated Statement of Operations




Quarter Ended


Year Ended



December 31, 2012


September 30, 2013


December 31, 2013


December 31,2012


December 31,2013



RMB '000


RMB '000


RMB '000


US$ '000


RMB '000


RMB '000


US$ '000
















Revenues:














 Leased-and-operated hotels 


1,304,958


1,535,082


1,401,635


231,534


5,164,799


5,587,480


922,986

 Franchised-and-managed hotels 


160,724


204,078


208,048


34,367


604,936


765,491


126,450















 Total revenues 


1,465,682


1,739,160


1,609,683


265,901


5,769,735


6,352,971


1,049,436

 Less: Business tax and related surcharges 


(90,149)


(106,150)


(98,490)


(16,269)


(353,418)


(391,821)


(64,724)















 Net revenues 


1,375,533


1,633,010


1,511,193


249,632


5,416,317


5,961,150


984,712















 Operating costs and expenses: 














    Leased-and-operated hotel costs – 














 Rents and utilities 


(514,213)


(533,571)


(533,188)


(88,076)


(1,953,243)


(2,108,924)


(348,369)

 Personnel costs 


(245,909)


(273,501)


(256,064)


(42,299)


(1,037,371)


(1,073,754)


(177,372)

 Depreciation and amortization 


(158,078)


(172,918)


(180,503)


(29,817)


(612,789)


(692,945)


(114,466)

 Consumables, food and beverage 


(99,834)


(89,792)


(92,034)


(15,203)


(351,338)


(343,029)


(56,664)

 Others 


(190,804)


(172,590)


(184,221)


(30,431)


(687,254)


(648,299)


(107,091)















    Total leased-and-operated hotel costs 


(1,208,838)


(1,242,372)


(1,246,010)


(205,826)


(4,641,995)


(4,866,951)


(803,962)















    Personnel costs of Franchised-and-managed hotels 


(24,581)


(54,120)


(31,855)


(5,262)


(125,031)


(157,314)


(25,986)

    Sales and marketing expenses 


(24,793)


(24,193)


(47,040)


(7,770)


(76,878)


(109,935)


(18,160)

    General and administrative expenses 


(83,408)


(86,745)


(81,406)


(13,447)


(315,235)


(313,480)


(51,783)















 Total operating costs and expenses 


(1,341,620)


(1,407,430)


(1,406,311)


(232,305)


(5,159,139)


(5,447,680)


(899,891)















 Other income 


2,341


1,272


637


105


16,558


11,089


1,832
















 Income from operations 


36,254


226,852


105,519


17,432


273,736


524,559


86,653















 Interest income 


861


2,151


2,331


385


11,874


6,216


1,027

 Interest expenses 


(17,393)


(12,687)


(11,958)


(1,975)


(119,416)


(54,149)


(8,945)

 Accelerated fee amortization on early
extinguishment of Term Loan 


-


-


-


-


-


(41,872)


(6,917)

 (Loss)/gain from equity investment 


(493)


84


(466)


(77)


(2,305)


(792)


(131)

 Loss on change in fair value of convertible notes 


(45,356)


(57,275)


(70,870)


(11,707)


(87,099)


(133,404)


(22,037)

 Non-operating income 


19,683


19,019


20,879


3,450


43,248


53,663


8,864

 Non-operating expenses 


-


(1,000)


-


-


(6,665)


(1,000)


(165)

 Foreign exchange gain, net 


14,974


8,576


13,551


2,238


217


49,830


8,231















 Income before income tax expenses and noncontrolling interests 


8,530


185,720


58,986


9,746


113,590


403,051


66,580
















 Income tax expense 


(964)


(78,157)


(46,374)


(7,660)


(136,305)


(206,997)


(34,193)















 Net income/(loss) 


7,566


107,563


12,612


2,086


(22,715)


196,054


32,387















 Less:Net (income)/loss attributable to
noncontrolling interests 


(1,286)


440


241


40


(4,061)


168


28






























 Net income/(loss) attributable to ordinary shareholders 


6,280


108,003


12,853


2,126


(26,776)


196,222


32,415
















Earnings per share














- Basic


0.07


1.16


0.14


0.02


(0.29)


2.12


0.35















- Diluted


0.07


1.16


0.14


0.02


(0.29)


2.10


0.35















Weighted average ordinary shares outstanding














- Basic


91,027


92,790


93,880


93,880


90,805


92,676


92,676















- Diluted


92,445


93,398


94,440


94,440


90,805


93,418


93,418















Share-based compensation expense was included in the statement of operations as follows:














Leased-and-operated hotel costs - Personnel costs


2,038


1,887


1,789


296


8,199


7,904


1,306

Personnel costs of Franchised-and-managed hotels


2,476


2,700


2,743


453


9,578


11,013


1,819

Sales and marketing expenses


354


343


431


71


1,535


1,514


250

General and administrative expenses


17,620


16,153


14,656


2,421


74,064


65,584


10,834
















Note 1: The conversion of Renminbi ("RMB") into United States dollars ("US$") is based on rate of US$1.00=RMB6.0537 on December 31, 2013, representing the certificated exchange rate published by the Federal Reserve Board.

 

Home Inns & Hotels Management Inc.

Reconciliation of GAAP and Non-GAAP Results


















Quarter Ended December 31, 2013



GAAP
Result


%of Total
Revenue


Share-based
Compensation


 Integration
 cost


%of Total
Revenue


Non-GAAP Result


%of Total
Revenue



RMB '000




RMB '000


RMB '000




RMB '000





(unaudited)




(unaudited)


(unaudited)




(unaudited)


















Leased-and-operated hotel costs


(1,246,010)


77.4%


1,789


1,704


0.2%


(1,242,517)


77.2%

Personnel costs of Franchised-and-managed hotels


(31,855)


2.0%


2,743


-


0.2%


(29,112)


1.8%

Sales and marketing expenses


(47,040)


2.9%


431


-


0.0%


(46,609)


2.9%

General and administrative expenses


(81,406)


5.1%


14,656


317


0.9%


(66,433)


4.1%















Total operating costs and expenses


(1,406,311)


87.4%


19,619


2,021


1.3%


(1,384,671)


86.0%















Income from operations


105,519


6.6%


19,619


2,021


1.3%


127,159


7.9%
















































Quarter Ended December 31, 2013



GAAP
Result


%of Total
Revenue


Share-based
Compensation


 Integration
 cost


%of Total
Revenue


Non-GAAP Result


%of Total
Revenue



US$ '000




US$ '000


US$ '000




US$ '000





(unaudited)




(unaudited)


(unaudited)




(unaudited)


















Leased-and-operated hotel costs


(205,826)


77.4%


296


281


0.2%


(205,249)


77.2%

Personnel costs of Franchised-and-managed hotels


(5,262)


2.0%


453


-


0.2%


(4,809)


1.8%

Sales and marketing expenses


(7,770)


2.9%


71


-


0.0%


(7,699)


2.9%

General and administrative expenses


(13,447)


5.1%


2,421


52


0.9%


(10,974)


4.1%















Total operating costs and expenses


(232,305)


87.4%


3,241


333


1.3%


(228,731)


86.0%















Income from operations


17,432


6.6%


3,241


333


1.3%


21,006


7.9%















































Quarter Ended September 30, 2013



GAAP
Result


%of Total
Revenue


Share-based
Compensation


 Integration
 cost


%of Total
Revenue


Non-GAAP Result


%of Total
Revenue



RMB '000




RMB '000


RMB '000




RMB '000





(unaudited)




(unaudited)


(unaudited)




(unaudited)


















Leased-and-operated hotel costs


(1,242,372)


71.4%


1,887


2,818


0.3%


(1,237,667)


71.2%

Personnel costs of Franchised-and-managed hotels


(54,120)


3.1%


2,700


-


0.2%


(51,420)


3.0%

Sales and marketing expenses


(24,193)


1.4%


343


-


0.0%


(23,850)


1.4%

General and administrative expenses


(86,745)


5.0%


16,153


335


0.9%


(70,257)


4.0%















Total operating costs and expenses


(1,407,430)


80.9%


21,083


3,153


1.4%


(1,383,194)


79.5%















Income from operations


226,852


13.0%


21,083


3,153


1.4%


251,088


14.4%
















































Quarter Ended December 31, 2012



GAAP
Result


%of Total
Revenue


Share-based
Compensation


 Integration
 cost


%of Total
Revenue


Non-GAAP Result


%of Total
Revenue



RMB '000




RMB '000


RMB '000




RMB '000





(unaudited)




(unaudited)


(unaudited)




(unaudited)


















Leased-and-operated hotel costs


(1,208,838)


82.5%


2,038


19,933


1.5%


(1,186,867)


81.0%

Personnel costs of Franchised-and-managed hotels


(24,581)


1.7%


2,476


-


0.2%


(22,105)


1.5%

Sales and marketing expenses


(24,793)


1.7%


354


-


0.0%


(24,439)


1.7%

General and administrative expenses


(83,408)


5.7%


17,620


558


1.2%


(65,230)


4.5%















Total operating costs and expenses


(1,341,620)


91.5%


22,488


20,491


2.9%


(1,298,641)


88.6%















Income from operations


36,254


2.5%


22,488


20,491


2.9%


79,233


5.4%















































Year Ended December 31, 2013



GAAP
Result


%of Total
Revenue


Share-based
Compensation


 Integration
 cost


%of Total
Revenue


Non-GAAP Result


%of Total
Revenue



RMB '000




RMB '000


RMB '000




RMB '000





(unaudited)




(unaudited)


(unaudited)




(unaudited)


















Leased-and-operated hotel costs


(4,866,951)


76.6%


7,904


13,761


0.3%


(4,845,286)


76.3%

Personnel costs of Franchised-and-managed hotels


(157,314)


2.5%


11,013


-


0.2%


(146,301)


2.3%

Sales and marketing expenses


(109,935)


1.7%


1,514


-


0.0%


(108,421)


1.7%

General and administrative expenses


(313,480)


4.9%


65,584


1,286


1.1%


(246,610)


3.9%















Total operating costs and expenses


(5,447,680)


85.8%


86,015


15,047


1.6%


(5,346,618)


84.2%















Income from operations


524,559


8.3%


86,015


15,047


1.6%


625,621


9.8%
















































Year Ended December 31, 2013



GAAP
Result


%of Total
Revenue


Share-based
Compensation


 Integration
 cost


%of Total
Revenue


Non-GAAP Result


%of Total
Revenue



US$ '000




US$ '000


US$ '000




US$ '000





(unaudited)




(unaudited)


(unaudited)




(unaudited)


















Leased-and-operated hotel costs


(803,962)


76.6%


1,306


2,273


0.3%


(800,383)


76.3%

Personnel costs of Franchised-and-managed hotels


(25,986)


2.5%


1,819


-


0.2%


(24,167)


2.3%

Sales and marketing expenses


(18,160)


1.7%


250


-


0.0%


(17,910)


1.7%

General and administrative expenses


(51,783)


4.9%


10,834


212


1.1%


(40,737)


3.9%















Total operating costs and expenses


(899,891)


85.7%


14,209


2,486


1.6%


(883,197)


84.2%















Income from operations


86,653


8.3%


14,209


2,486


1.6%


103,347


9.8%















































Year Ended December 31, 2012



GAAP
Result


%of Total
Revenue


Share-based
Compensation


 Integration
 cost


%of Total
Revenue


Non-GAAP Result


%of Total
Revenue



RMB '000




RMB '000


RMB '000




RMB '000





(unaudited)




(unaudited)


(unaudited)




(unaudited)


















Leased-and-operated hotel costs


(4,641,995)


80.5%


8,199


83,744


1.6%


(4,550,052)


78.9%

Personnel costs of Franchised-and-managed hotels


(125,031)


2.2%


9,578


-


0.2%


(115,453)


2.0%

Sales and marketing expenses


(76,878)


1.3%


1,535


48


0.0%


(75,295)


1.3%

General and administrative expenses


(315,235)


5.5%


74,064


13,160


1.5%


(228,011)


4.0%















Total operating costs and expenses


(5,159,139)


89.4%


93,376


96,952


3.3%


(4,968,811)


86.1%















Income from operations


273,736


4.7%


93,376


96,952


3.3%


464,064


8.0%
















Note 1: The conversion of Renminbi ("RMB") into United States dollars ("US$") is based on rate of US$1.00=RMB6.0537 on December 31, 2013, representing the certificated exchange rate published by the Federal Reserve Board.

 

Home Inns & Hotels Management Inc.

Reconciliation of GAAP and Non-GAAP Results (continued)


















Quarter Ended


Year Ended



December 31, 2012


September 30, 2013


December 31, 2013


December 31, 2012


December 31, 2013



RMB '000


RMB '000


RMB '000


US$ '000


RMB '000


RMB '000


US$ '000



(unaudited)


(unaudited)


(unaudited)


(unaudited)


(unaudited)


(unaudited)


(unaudited)































Net income attributable to ordinary shareholders (GAAP)


6,280


108,003


12,853


2,126


(26,776)


196,222


32,415

Foreign exchange gain, net


(14,974)


(8,576)


(13,551)


(2,238)


(217)


(49,830)


(8,231)

Share-based compensation


22,488


21,083


19,619


3,241


93,376


86,015


14,209

Integration cost


20,491


3,153


2,021


334


96,952


15,047


2,486

Interest expenses -- Upfront fee amortization of term loans


2,013


-


-


-


43,250


959


154

Accelerated fee amortization on early extinguishment of Term Loan


-


-


-


-


-


41,872


6,917

Non-operating (income)/expenses-- (Gain)/loss on change in fair value of interest swap transaction


(1,049)


-


-


-


6,665


(912)


(151)

Loss on change in fair value of convertible notes


45,356


57,275


70,870


11,707


87,099


133,404


22,037































Adjusted net income attributable to ordinary shareholders
(Non-GAAP)


80,605


180,938


91,812


15,170


300,349


422,777


69,836
















































Quarter Ended


Year Ended



December 31, 2012


September 30, 2013


December 31, 2013


December 31, 2012


December 31, 2013



RMB '000


RMB '000


RMB '000


US$ '000


RMB '000


RMB '000


US$ '000



(unaudited)


(unaudited)


(unaudited)


(unaudited)


(unaudited)


(unaudited)


(unaudited)
















Earnings per share (GAAP)














- Basic


0.07


1.16


0.14


0.02


(0.29)


2.12


0.35















- Diluted


0.07


1.16


0.14


0.02


(0.29)


2.10


0.35
















Weighted average ordinary shares outstanding















- Basic


91,027


92,790


93,880


93,880


90,805


92,676


92,676
















- Diluted


92,445


93,398


94,440


94,440


90,805


93,418


93,418

Adjusted earnings per share (Non-GAAP)














- Basic


0.89


1.95


0.98


0.16


3.31


4.56


0.75















- Diluted


0.87


1.85


0.96


0.16


3.31


4.41


0.73
















Weighted average ordinary shares outstanding















- Basic


91,027


92,790


93,880


93,880


90,805


92,676


92,676
















- Diluted


92,445


100,852


101,894


101,894


90,805


100,872


100,872
















Note 1: The conversion of Renminbi ("RMB") into United States dollars ("US$") is based on rate of US$1.00=RMB6.0537 on December 31, 2013, representing the certificated exchange rate published by the Federal Reserve Board.

Note 2: The non-GAAP adjustment items do not include the tax impact.

 

Home Inns & Hotels Management Inc.

Reconciliation of GAAP and Non-GAAP Results (continued)


















Quarter Ended


Year Ended



December 31, 2012


Septembe 30, 2013


December 31, 2013


December 31, 2012

December 31, 2013



RMB '000


RMB '000


RMB '000


US$ '000


RMB '000


RMB '000


US$ '000



(unaudited)


(unaudited)


(unaudited)


(unaudited)


(unaudited)


(unaudited)


(unaudited)































Net income attributable to ordinary shareholders


6,280


108,003


12,853


2,126


(26,776)


196,222


32,415

Interest income


(861)


(2,151)


(2,331)


(385)


(11,874)


(6,216)


(1,027)

Interest expenses


17,393


12,687


11,958


1,975


119,416


54,149


8,945

Income tax expense


964


78,157


46,374


7,660


136,305


206,997


34,193

Depreciation and amortization


164,376


178,001


186,061


30,735


632,468


714,482


118,024
















EBITDA (Non-GAAP)


188,152


374,697


254,915


42,111


849,539


1,165,634


192,550
















Foreign exchange gain, net


(14,974)


(8,576)


(13,551)


(2,238)


(217)


(49,830)


(8,231)

Share-based compensation


22,488


21,083


19,619


3,241


93,376


86,015


14,209

Accelerated fee amortization on early extinguishment of Term Loan


-


-


-


-


-


41,872


6,917

Integration cost


20,491


3,153


2,021


333


96,952


15,047


2,486

Non-operating (income)/expenses -- (Gain)/loss on change in fair value of interest swap transaction


(1,049)


-


-


-


6,665


(912)


(151)

Loss on change in fair value of convertible notes


45,356


57,275


70,870


11,707


87,099


133,404


22,037
















Adjusted EBITDA (Non-GAAP) 


260,464


447,632


333,874


55,154


1,133,414


1,391,230


229,817
















%of total revenue


17.8%


25.7%


20.7%


20.7%


19.6%


21.9%


21.9%
















Note 1: The "Depreciation and amortization expense" includes the depreciation and amortization expenses of the Group. 

The depreciation and amortization expenses of all leased-and-operated hotels are included in "Operating costs and expenses". 

The depreciation and amortization expenses of administrative long-term assets are included in "General and administrative expenses".

 

Home Inns & Hotels Management Inc.

Operating Data



As of and for the quarter ended


As of and for the year ended



December 31, 2012


September 30, 2013


December 31, 2013


December 31, 2012


December 31, 2013



Group


Motel 168


excluding Motel 168


Group


Motel 168


excluding Motel 168


Group


Motel 168


excluding Motel 168


Group


Motel 168


excluding Motel 168


Group


Motel 168


excluding Motel 168

Total Hotels in operation:


1,772


334


1,438


2,051


355


1,696


2,180


378


1,802


1,772


334


1,438


2,180


378


1,802

      Leased-and-operated hotels


803


151


652


852


156


696


872


163


709


803


151


652


872


163


709

      Franchised-and-managed hotels


969


183


786


1,199


199


1,000


1,308


215


1,093


969


183


786


1,308


215


1,093
































Total rooms


214,070


49,745


164,325


243,459


50,874


192,585


256,555


52,889


203,666


214,070


49,745


164,325


256,555


52,889


203,666
































Occupancy rate (as a percentage)


83.8%


77.4%


85.6%


89.4%


85.1%


90.5%


84.0%


80.8%


84.8%


86.1%


78.0%


88.7%


86.1%


81.3%


87.3%
































Average daily rate (in RMB)


165


160


166


173


163


175


163


161


164


168


160


170


165


160


167
































RevPAR (in RMB)


138


124


143


154


139


159


137


130


139


144


125


151


142


130


146
































Like-for-like performance for hotels opened for at least 18 months during the current quarter



As of and for the quarter ended





















December 31, 2012


December 31, 2013





















Group


Motel 168


excluding Motel 168


Group


Motel 168


excluding Motel 168



















Total Hotels in operation:


1,563


327


1,236


1,563


327


1,236



















      Leased-and-operated hotels


749


170


579


750


171


579



















      Franchised-and-managed hotels


814


157


657


813


156


657


















































Total rooms


187,805


46,161


141,644


186,345


44,293


142,052


















































Occupancy rate (as a percentage)


86.6%


78.3%


89.4%


86.5%


82.4%


87.9%


















































Average daily rate (in RMB)


166


162


167


166


162


167


















































RevPAR (in RMB)


144


126


150


144


133


147


















































One Motel 168 Franchised-and-managed hotel was legally converted into Leased-and-operated hotels in 2012.

*    "Occupancy rate" refers to the total number of occupied rooms divided by the total number of available rooms in a given period.

"Average daily rate" refers to total hotel room revenues divided by the total number of occupied rooms in a given period.

"RevPAR" represents revenue per available room, which is calculated by dividing total hotel room revenues by the total number of available rooms in a given period, or by multiplying average daily rates and occupancy rates in a given period.

The operating data of multi-brand conversion hotels were included in "Motel 168". 

SOURCE Home Inns & Hotels Management Inc.



RELATED LINKS
http://english.homeinns.com

More by this Source


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

 

PR Newswire Membership

Fill out a PR Newswire membership form or contact us at (888) 776-0942.

Learn about PR Newswire services

Request more information about PR Newswire products and services or call us at (888) 776-0942.