Is the business good?
How good a business is HTHT?
H World Group Limited earns 62% on the capital it employs against a 9.0% cost of capital, so the business is worth more the bigger it gets.
62%
Return on invested capital · cost of capital 9.0% · 53 points above what the capital costs: growth creates value
- Operating margin
- 27%
Operating margin · Lodging median 24% · fiscal year to FY2025
- Cash conversion
- 1.49×
Cash conversion · 2.18× a year ago · every dollar of reported profit arrived as cash, and more
- Share count, year on year
- −0.94%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | −17% |
| FY2021 | 1.3% |
| FY2022 | −2.1% |
| FY2023 | 22% |
| FY2024 | 22% |
| FY2025 | 27% |
Details›
- Gross marginfiscal year to FY2025
- 100%
- Operating marginfiscal year to FY2025
- 27%
- Net marginfiscal year to FY2025
- 20%
- Free cash flow margin
- 30%
- Revenue, trailing twelve months
- $25.3B
- Free cash flow, trailing twelve months
- $7.55B
- Net income, trailing twelve months
- $5.08B
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- 62%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.