China's Home Inns net profit up about 27% on hotel expansion

Home Inn Nanjing

Chinese budget chain Home Inns & Hotels Management said third quarter net profit rose to $4.34 million with the gain supported by expansion.

The company gave no comparative data but based on figures from last year's third quarter financial report, net profit for the third quarter of 2008 rose about 27%.

Home Inns added that its mature hotels continued to provide stable revenues.

It had opened 148 new hotels as of the end of September, with a target of 200 for 2008.

Revenue increased 98.0% to $77.7 million in the third
quarter, including revenue of $5.7 million from the
Top Star hotel chain which the company acquired
last November.

The company said revenue in the fourth quarter is expected to come in at between $78.8 million and $81.7 million.
Source: Forbes