Helens International Holdings Company Limited Announces Challenging Year, But Remains Optimistic About Platform-Based Transformation
Helens International Holdings Company Limited, a leading bar operator and franchise business in China, has announced its annual results for the year ended December 31, 2024, and the news is a mixed bag for investors.
Key Highlights:
– Revenue decreased by 37.8% to RMB752.2 million, mainly due to a weak consumer market and the company’s strategic transformation to a platform-based model [[8]] – Adjusted net profit was RMB100.6 million, despite the challenging market conditions [[8]] – The company continued to expand its bar network under the “HiBeer Partnership” program, with the total number of bars increasing from 479 at the end of 2023 to 560 by the end of 2024, and further to 579 as of March 19, 2025 [[7]] – Same-store sales declined by 21.3% in 2024, primarily due to the complex and volatile domestic economic market [[9]] – The company recognized impairment losses of RMB85.8 million on plant and equipment and right-of-use assets, as well as RMB9.5 million on investment properties, due to the decrease in fair value of its office building properties [[12]] – The company’s cash and bank balance decreased from RMB1,278.9 million as of December 31, 2023 to RMB806.4 million as of December 31, 2024, mainly due to the payment of dividends [[17]]
Shareholder-Relevant Information:
The Board has recommended the payment of a final dividend of RMB0.1146 per ordinary share for the year ended December 31, 2024, subject to shareholders’ approval at the upcoming Annual General Meeting. This represents a significant decrease from the previous year’s final dividend of RMB0.3153 per share [[11]]
The company’s strategic transformation to a platform-based model, with a focus on the “HiBeer Partnership” program, is a key development that shareholders should monitor. The success of this strategy will be crucial in determining the company’s future performance and share price.
The impairment losses recognized on the company’s assets, particularly the office building properties, could also be a concern for investors, as it may indicate a broader decline in the commercial property market in China.
Outlook and Conclusion:
Despite the challenges faced in 2024, the company remains optimistic about its platform-based transformation strategy. The management team is committed to further expanding the bar network, strengthening supply chain integration, and exploring new models to create value for consumers.
Investors should closely follow the company’s progress in executing its strategic initiatives, as well as any developments in the broader economic and market conditions that may impact the company’s performance.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research and due diligence before making any investment decisions.
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