Detailed Narrative
Strategic Focus on Quality and Experience
Atour is adapting to China's service consumption shift from scale-driven expansion to value-driven upgrades, emphasizing quality and experience. The company is embedding innovation across products, operations, and organization to drive sustainable growth. This user-first philosophy, with experience as its cornerstone and brand as its anchor, is seen as fundamental to navigating industry cycles and market changes.
Hotel Business Performance and Network Expansion
The hotel portfolio showed sequential improvement in Q1 2026, with overall RevPAR at RMB 311.6, representing 102.4% of 2025 levels, driven by ADR increases. Mature hotels (in operation >18 months) achieved 98.3% of 2025 RevPAR. Atour opened 110 new hotels in Q1, bringing the total to 2,088, with a healthy pipeline of 751 hotels under development. The CRS channel accounted for 63.7% of room nights sold, and corporate members contributed 19.3%.
Brand Development and Differentiation
Atour continues to refine its brand portfolio. Atour 3.6, the latest upper mid-scale product, has received positive market feedback. Atour Origin hotels exceeded RMB 400 in RevPAR, forming a differentiated tier. Upscale SAVHE hotels surpassed RMB 910 in RevPAR and RMB 1,000 in ADR, attracting a diverse customer base. Atour Light 3.3 demonstrated stronger pricing power, with RevPAR more than 10% higher than the 3.0 version, and is expanding in second-tier and above cities.
Retail Business Innovation and Growth
The retail business sustained strong growth, with revenue reaching RMB 1,071 million, up 54.4% year-over-year. Atour Planet maintained leadership in the bedding category on major third-party platforms. The company's product methodology focuses on iterative innovation, translating user sensations into definable standards. For example, the Deep Sleep Thermo-Regulating Comforter Pro 3.0 summer season achieved over RMB 100 million in GMV within 45 days of launch.
Membership Engagement and ESG Initiatives
Registered individual members grew 20% year-over-year to 116 million, with a focus on deepening synergy between hotel and retail businesses around the 'Deep Sleep' core scenario. Atour also highlighted its ESG progress, including the release of its 2025 ESG report and the establishment of the Atour Foundation. A new public welfare program targets frontline housekeeping staff across China's service industry.
Shareholder Returns and Financial Health
Atour declared a cash dividend of approximately USD 72 million for the first half of 2026, representing about 31% of the previous year's net profit. Total share repurchases have exceeded USD 100 million since last year. The company maintains a healthy cash position with RMB 3.7 billion in cash and cash equivalents and RMB 3.4 billion in net cash as of March 31, 2026. The shareholder return policy targets approximately a 100% payout ratio based on previous fiscal year's GAAP net profit.