GreenTree Hospitality Group Ltd. (NYSE:GHG) Q1 2020 Earnings Conference Call - Final Transcript
Jun 04, 2020 • 09:00 pm ET
Good day, and welcome to the GreenTree Hospitality Group Ltd.'s First Quarter 2020 Financial Results Release Conference Call. [Operator Instructions] After today's presentation, there will be an opportunity to ask questions. [Operator Instructions]
I'd now like to turn the conference over to Rene Vanguestaine of Christensen, GreenTree's Investor Relations firm. Please go ahead, sir.
Thank you, Chuck. Hello, everyone, and thank you for joining us. GreenTree's earnings release was distributed earlier today and is available on our IR website at ir.998.com, as well as on PR Newswire services. As a reminder, we also posted a PowerPoint presentation that accompanies our comments today to the same IR website.
On the call from GreenTree are Mr. Alex Xu, Chairman and Chief Executive Officer; Ms. Selina Yang, Chief Financial Officer; Ms. Megan Huang, Director of IT Department; and Mr. Nicky Zheng, our IR Manager. Mr. Xu will present the Company's first quarter 2020 performance overview; followed by Ms. Huang, who will discuss business operations; and Ms. Yang will then discuss financials and guidance. They will be available to answer your questions during the Q&A session, which follows.
Before we begin, I'd like to remind you that this conference call contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 as amended and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminologies such as may, will, expects, anticipates, aims, future, intends, plans, believes, estimates, continue, target, is or are likely to, going forward, confident, outlook, and similar statements. Any statements that are not historical facts, including statements about the Company and its industry are forward-looking statements.
Such statements are based upon management's current expectations and current market and operating conditions and relate to events that involve known and unknown risks, uncertainties, and other factors, all of which are difficult to predict and many of which are beyond the Company's control, which may cause the Company's actual results, performance, or achievements to differ materially from those in the forward-looking statements. You should not place undue reliance on these forward-looking statements.
Future information regarding these and other risks, uncertainties or factors is included in the Company's filings with the U.S. Securities and Exchange Commission. All information provided, including the forward-looking statements made during this conference call are current as of today's date. The Company does not undertake any obligation to update any forward-looking statement as a result of new information, future events, or otherwise except as required under applicable law.
It is now my pleasure to introduce our Chairman and Chief Executive Officer, Mr. Alex Xu. Mr. Xu, please go ahead.
Alex S. Xu
Thank you, Rene, and thanks, everyone for joining our first quarter earning call today. Let's start with Slide 5. In the first quarter, our operating performance was severely impacted by COVID-19. Our blended ADR decreased 7.8% year-over-year to RMB150. Our occupancy rate dropped to 47.3%, and RevPAR decreased 44.1% to RMB71.
Nonetheless, we continued to expand our market presence