(Yicai) Feb. 21 -- Chinese hotpot chain operator Haidilao International Holding said its net profit probably soared more than 168 percent last year as consumption in China gradually recovered.

Net profit was at least CNY4.4 billion (USD610 million) in 2023, versus CNY1.64 billion the year before, the Jianyang-based company said yesterday. Revenue likely rose at least 34 percent to no less than CNY41.4 billion (USD5.8 billion).

Haidilao put the profit surge down mainly to a higher table turnover rate and improvements in sales operations.

After jumping by as much as 4.2 percent earlier today, the company’s shares [HKG: 6862] finished 1.6 percent up at HKD14.06 (USD1.80) apiece. Hong Kong’s broader stock market added the same.

Haidilao started to take steps in 2021 to weather the Covid-19 pandemic. It spun off Super Hi International Holding for an independent listing in Hong Kong in December 2022, thereby removing the loss-making overseas unit from its financial report. Including its overseas business performance, net profit was around CNY1.4 billion in 2022 on revenue of CNY34.7 billion.

Profit likely surged 72 percent last year from the pre-pandemic level of 2019, with a 66 percent jump in revenue. Haidilao attributes the gains mainly to the expansion of its restaurant network.

The company opened five new restaurants in the first six months of last year while reopening 24 eateries and closing 18 under-performers. As of the end of June, it had 1,360 restaurants in the Chinese mainland and 22 in Hong Kong, Macau, and Taiwan.

Editor: Martin Kadiev