Tai Hing Group announced interim results for the six months ended 30 June 2026, reporting a solid top-line advance and a sharp rebound in profitability.
Revenue rose 8.2% year on year to HK$1.85 billion, driven by an 8.9% increase in Hong Kong & Macau turnover to HK$1.72 billion, which offset a marginal 0.2% contraction in Mainland China sales to HK$132.73 million. Gross profit margin edged up 0.1 percentage points to 73.5%.
Cost discipline underpinned the bottom-line recovery. Staff costs absorbed 35.6% of revenue, down 0.4 percentage points, while amortisation of right-of-use assets, rental and related expenses fell to 14.0% of revenue from 15.1%. Other operating expenses/revenue improved to 13.0% (after excluding one-off store-related impairments and write-offs).
Profit attributable to shareholders surged 83.5% to HK$74.88 million, lifting basic earnings per share to 7.71 HK cents, up 84.0%. Return on equity increased to 8.2% from 4.6% a year earlier.
The Board declared an interim dividend of 6.20 HK cents per share, 77.1% above last year’s payout. Tai Hing ended the period with HK$484.15 million in cash and no bank borrowings.
Network rationalisation continued: the Group operated 218 restaurants as of 30 June 2026 (190 in Hong Kong, 27 in Mainland China, 1 in Macau), six fewer than a year earlier. Capex totalled HK$32.02 million during the half.
Brand performance highlights • Tai Hing: revenue HK$696.24 million, +7.9% YoY, 37.6% of Group sales. • Men Wah Bing Teng: revenue HK$475.14 million, +8.4% YoY, 25.6% of Group sales. • Asam Chicken Rice: revenue HK$147.42 million, +13.9% YoY, 8.0% of Group sales. • Trusty Congee King: revenue HK$106.15 million, +31.3% YoY, 5.7% of Group sales.
Management cited robust domestic consumption in Hong Kong, successful marketing campaigns and ongoing cost optimisation for the improved results, while Mainland operations benefited from store integration and menu enhancements. The Group plans to maintain a “prudent yet selective” expansion strategy, continue digital investments, and focus on core brands to sustain growth amid a competitive dining landscape.