Don't do "price substitution", do "high quality": Banu, with a guest average spending of 139 yuan, is opening up a new path in the territory of HAIDILAO.

BANU Hotpot, has made quality hotpot the top priority. On June 17th, Du Zhongbing founded BANU and updated its prospectus. According to the disclosure, its revenue reached 2.85 billion yuan by 2025, a year-on-year increase of 23.4%, and its profit (adjusted) reached 320 million yuan, an increase of up to 88.7%. Compared to the previous 145 stores disclosed, BANU has opened about 55 new stores in the past 12 months, bringing the total number of stores to 200. In the pressured consumer environment of the catering industry, BANU not only has a strong momentum, but also in terms of micro-operational indicators, it can rival or even surpass the hotpot industry leader HAIDILAO. For example, in 2025, BANU achieved a table turnover rate of 3.6 times per day, close to HAIDILAO's 3.9 times per day. The former's table turnover rate has not seen an increase, and it improved by about 0.4 times per day last year; BANU's same-store sales growth rate reached 4.8%, far exceeding the latter's -6.7%. Especially valuable is that BANU's average customer spending far exceeds the competition. Its per capita consumption in 2025 reached 139 yuan, which is 43.3 yuan higher than HAIDILAO's 95.7 yuan (mainland restaurants part), with a growth rate of 45%. HAIDILAO is renowned for its service, but faced with such a strong competitor, the value of BANU lies in the fact that it did not pursue the path of low-price competition, but responded to the upgrading demand for quality consumption. It has carved out a new path of "product-ism", setting a benchmark for both its own success and the industry's competitive landscape. According to the prospectus, from 2026 onwards, BANU plans to open 177 stores in the next three years, showing a confident and resilient pace of development for the future. In terms of development, BANU, led by Du Zhongbing, shows a similar level of determination to HAIDILAO ten years ago. By the end of 2025, BANU had 180 directly operated stores, while HAIDILAO had a total of 176 stores by the end of 2016 (167 of which were domestic), roughly equivalent in scale. At that time, HAIDILAO's key operational indicators were as follows: The overall table turnover rate was 4.5 times per day, with a store gross margin of 25.5%. Typically, restaurants would achieve break-even within about 1-3 months of operation, with most restaurants achieving net income within 6-13 months. Based on a solid single-store model, HAIDILAO surged ahead, with its number of stores reaching a peak of 1,597 in mid-2021, an approximate eight-fold increase in five years, with revenue growth of around 420%. Comparatively, BANU currently also has a solid operational foundation. Its table turnover rate has increased from 3 times per day in 2022 to 3.6 times per day in 2025, and the store operating profit margin is 24.9%. Typically, the restaurants would achieve break-even within 2-4 months of opening, with an investment payback period of less than 14 months. Similarly to HAIDILAO, ten years ago, BANU's approach has been "open a store, make a success", showing a trend of "explosive growth". The main difference between the two lies in the scale of revenue, determined by their respective stages of development. In 2025, HAIDILAO's revenue from its restaurant segment was around 40 billion yuan, with growth nearly stagnating; in comparison, although BANU's scale is currently lower by an order of magnitude, it is rapidly catching up. For example, since 2023, the number of stores opened by BANU has increased from 86 to 200, with a growth rate of up to 132.6%. Moreover, from the perspective of store efficiency, BANU has performed even better. Its monthly store efficiency has increased from 1,600 yuan in 2022 to 2,650 yuan in 2025. HAIDILAO's average monthly store efficiency is generally estimated at around 2,000 yuan. HAIDILAO's per capita consumption in its stores in China has long been unable to exceed 100 yuan. In contrast, BANU's per capita consumption has consistently remained in the range of 140-150 yuan, while maintaining an increasing table turnover rate, which is particularly impressive. Currently, BANU has successfully operated 200 directly managed stores nationwide, and there is reason to believe that its model of quality hotpot has been fully validated and is ready for rapid replication on a larger scale. In the world of hotpot, HAIDILAO's service-oriented approach has become the industry benchmark, creating a unique competitive advantage and leading to the narrative of "HAIDILAO, you can't learn it". Those who imitate me live, those who are like me die. Du Zhongbing's establishment of BANU did not rely on simply copying the successful experiences of others; instead, he chose to focus on the product. All work methods and organizational structures revolve around the concept of "product-ism", emphasizing authenticity, health, flavor, quality ingredients, and pursuit of the ultimate dining experience, creating a systematic operational model. For example, tripe is a signature dish in Sichuan hotpot cuisine and also a signature dish at BANU. The team has meticulously interpreted tripe in terms of processing, ingredients, and experience. In terms of processing, BANU has abandoned the traditional alkali soaking process and adopted a unique "papain tenderization technology" to enhance the tenderness and elasticity of the tripe; in terms of ingredients, they source beef tripe from natural pastures in New Zealand; in terms of experience, the tripe is freshly cut by the staff at the table. For 25 years, the BANU team has continued to refine every detail of their products, with each product, like the tripe, having its own unique characteristics. For example, the mushroom soup must be made from carefully selected wild mountain mushrooms from the Yun-Gui plateau, with the restaurant insisting on daily on-site preparation. The team at BANU adheres to the principle of "using fresh ingredients instead of frozen ones, using natural ingredients without additives, and using ingredients on the same day without overnight storage". Financial data also proves that they invest more in good products. In 2025, raw materials and consumables accounted for approximately 30% of BANU's revenue. In terms of customer spending, this translates to over 40 yuan spent on ingredients per order, significantly higher than competitors, including HAIDILAO. As a result, BANU has achieved its most representative and recognizable signature matrix, consisting of the "One King, One Queen, Twelve Guardians". Currently, these 14 signature dishes contribute to around 50% of total sales and form the basis for long-term customer repurchase. The team's dedication to quality has ultimately led to a "snowball effect" in growth: BANU's membership has increased from about 3.7 million at the beginning of 2022 to nearly 20 million by 2026. BANU is currently in a period of rapid expansion, with vast potential for growth. Let's take the example of the Henan market, where BANU has established 54 stores. Comparing this to Henan's share of the national catering market, at about 3%, if BANU were to achieve the same density in other regions, theoretically, it could open 1,800 stores, exactly ten times the number in 2025. In reality, the Henan market is far from saturated, and we have not even taken into account the overseas market the number of Chinese restaurants abroad has reached approximately 700,000. The potential for growth is immense, and BANU has plenty of room to expand. Currently, BANU operates in only 57 cities, with its national strategy still in its early stages. According to the prospectus, in 2025, BANU entered 13 Shenzhen New Land Tool Planning & Architectural Design areas, where the average table turnover rate in the first month at these flagship stores was as high as 4.3, demonstrating the appeal and replicability of its product-oriented approach. The management team has also developed a "Henan model", which focuses on establishing a dense layout of stores in major commercial areas (especially provincial capitals), building widespread consumer awareness and accessibility, and expanding into more secondary cities to penetrate the region more effectively, accelerating regional expansion. Du Zhongbing and BANU have simultaneously completed the layout of a nationwide supply chain. According to the disclosure, they currently operate five central kitchens located in Central China (Xinxiang, Henan), Northern China (Langfang, Hebei), Eastern China (Wuxi, Jiangsu), Southern China (Dongguan, Guangdong), and Southwest China (Kunming, Yunnan), with a coverage radius of up to 600 kilometers for each central kitchen, achieving 24-hour fresh delivery. According to the plan in the prospectus, BANU plans to open 52, 61, and 64 stores in 2026, 2027, and 2028 respectively, with approximately 357 stores in three years. Based on last year's average store revenue of 19.8 million yuan per year, its revenue in 2028 is expected to reach around 7 billion yuan, an increase of approximately 1.4 times compared to 2025. Over a decade ago, HAIDILAO defined the golden age of the hotpot industry with its "service-oriented" approach; today, BANU is proving another possibility with its "product-oriented" strategy not competing on price or blind expansion, but winning through quality ingredients and ultimate dining experience to attract premium pricing and repeat customers. From 86 stores to 200, from a table turnover rate of 3.0 to 3.6, BANU has taken every step solidly and confidently. If HAIDILAO is the insurmountable mountain, then BANU is on the other side, creating its own plateau. And on this plateau, the view is becoming more and more expansive.