Jiumaojiu International Holdings, which operates the quick-service Tai Er fish soup restaurant chain, is curtailing its plans for new openings.
Jiumaojiu lifted its revenue in the the first half of 2024 by 6.4 percent to more than CNY 3 billion (USD 428 million, EUR 389 million), but its profit dropped 71.5 percent as it cut prices to hold onto customers, according to its H1 2024 results.
In response, the company is curtailing its plans for new openings, according to its H1 2024 financial report.
“In consideration of the changes in the external environment, looking ahead, the group will adopt a more prudent restaurant network expansion strategy and adjust its expansion target for 2024,” it said.
The company has dropped its goal of opening 100 new Tai Er self-operated restaurants in mainland China to 80. Jiumaojiu, which opened 134 new Tai Er stores in 2023, also plans to open 13 new self-operated Tai Er restaurants outside mainland China in 2024.
Jiumaojiu Chairman Guan Yihong said his company would ...
