Hong Kong-based restaurant operator TAI HING GROUP (06811) released its audited results for the year ended 31 December 2025, highlighting a strong recovery driven by multi-brand expansion and disciplined cost control.
Revenue and Earnings • Group revenue rose 7.5% year on year to HK$3.54 billion, supported by same-store sales growth across core brands. • Gross profit increased 6.9% to HK$2.60 billion; gross margin held firm at 73.5% (FY2024: 73.9%). • Operating improvements lifted profit before tax 78.9% to HK$139.93 million, while profit attributable to shareholders surged 72.3% to HK$108.10 million. • Basic EPS advanced to HK11.12 cents (FY2024: HK6.24 cents).
Segment Performance • Hong Kong & Macau contributed HK$3.28 billion revenue (+10.9%) and HK$153.16 million segment profit (FY2024: HK$127.21 million). • Mainland China revenue fell to HK$262.20 million (–22.3%) with a segment loss of HK$12.06 million (FY2024: loss of HK$48.06 million). • Restaurant network expanded to 224 outlets (198 in Hong Kong & Macau, 26 in Mainland China).
Cost Structure and Margins • Cost of materials consumed rose to HK$935.94 million, representing 26.5% of revenue (FY2024: 26.1%). • Staff costs edged up 6.2% to HK$1.26 billion; their share of revenue eased to 35.7% (FY2024: 36.1%). • Amortisation of right-of-use assets, rental and related expenses totalled HK$525.43 million, or 14.8% of revenue (FY2024: 15.3%). • Impairment charges on property, plant, equipment and right-of-use assets were HK$45.89 million (FY2024: HK$47.44 million).
Balance Sheet and Liquidity • Cash and cash equivalents increased to HK$380.44 million; the Group remained debt-free at year-end. • Current ratio stood at 0.8×, reflecting lease liabilities and contract liabilities; excluding these, the adjusted current ratio was 1.7×. • Gearing ratio (net debt to capital plus net debt) was 55.6% (FY2024: 56.0%). • Capital expenditure during the year reached HK$102.90 million, mainly for new stores and factory enhancements. • Contingent liabilities arising from bank guarantees totalled HK$78.50 million.
Capital Management • The Board proposed a final dividend of HK5.00 cents per share; combined with the interim HK3.50 cents, the full-year payout will be HK8.50 cents per share, pending approval at the 22 May 2026 AGM. • The Company repurchased and cancelled 33.98 million shares (including 27.54 million bought in January 2025) for HK$29.56 million, reducing issued share capital to 971.42 million shares.
Operational Highlights • Flagship brand “Tai Hing” remained the largest contributor with HK$1.33 billion revenue (+5.7%). • “Men Wah Bing Teng” generated HK$909.30 million (+2.6%). • “Asam Chicken Rice” revenue climbed 10.4% to HK$275.40 million, aided by three new outlets. • “Trusty Congee King” achieved 25.8% growth to HK$174.20 million and secured its 16th consecutive Michelin Bib Gourmand recognition. • Group membership app “Tai Hing Group App” exceeded 330,000 members, supporting digital sales and voucher campaigns.
Outlook Management will prioritise core-brand consolidation, selective expansion in high-traffic districts, continued cost discipline and further digital initiatives—including upgrading the Group’s app and deploying AI-driven operational tools—to strengthen competitiveness amid industry headwinds and evolving consumer preferences. The Group also plans additional elderly-friendly menu offerings and ongoing ESG initiatives, such as fleet electrification and participation in the “e-HKD” pilot for green rewards.