HK Stock Market Move | HAIDILAO (06862) rose nearly 3% in the morning, Lyon said the company's turnover rate is quite stable, and is expected to continue the growth trend in March.

HAIDILAO (06862) rose nearly 3% in the morning, up 2.85% at the time of the report, to HK$14.79, with a turnover of HK$97.15 million. According to a report released by Lyon, investors still remain cautious about the high expectations for HAIDILAO to reduce its dividend payout ratio and recover its table turnover rate. However, the bank believes that HAIDILAO's current challenges are steady, with a table turnover rate of 3.9 times in 2025. The report predicts that the number of stores will increase by 2%, in contrast to a 7% decrease in the overall hot pot store count by 2025. The bank also believes that easing competition for HAIDILAO will help with store expansion, estimating an average annual compound growth rate of 2-3% for the number of stores from 2026 to 2028. The bank also believes that HAIDILAO's focus on developing sub-brands is the correct strategic move. Haitong International pointed out that according to disclosures from management, the table turnover rate of HAIDILAO hot pot stores increased year-on-year in January and February 2026, with the trend continuing to grow in March, showing a steady recovery in the overall first quarter. At the industry level, the catering market is showing a stable upward trend, with improvements in consumer demand. The bank believes that HAIDILAO, as a leader in the hot pot sector, has strong brand power and operational capabilities with strong recovery resilience during the industry recovery period.