Xiabuxiabu Catering Management (China) Holdings reported first-half 2026 revenue of RMB 1.49 billion, down 23.1% from RMB 1.94 billion a year earlier, as the group continued to streamline its restaurant portfolio and faced softer consumer demand.
The group recorded a net loss of RMB 36.20 million, an improvement of 55.2% from the RMB 80.83 million loss in H1 2025. Pre-tax loss narrowed to RMB 33.86 million from RMB 75.72 million. Management attributed the reduced deficit to leaner supply-chain operations, lower impairment charges and tighter cost controls.
Segment performance reflected the contrasting momentum of the company’s two core brands. Xiabuxiabu restaurants generated RMB 911.0 million in sales, down 19.8% year-on-year, while Coucou sales declined 31.0% to RMB 514.4 million. The condiment and other products unit remained relatively stable at RMB 46.0 million, slipping 2.4%.
Network optimisation accelerated: by end-June the group operated 761 outlets, comprising 644 Xiabuxiabu, 98 Coucou, 1 Xia Niu Pai steakhouse and 18 overseas sites. Compared with a year earlier, net restaurant count fell by 176, driven by the closure of 139 underperforming Xiabuxiabu units and 34 Coucou locations, partially offset by 29 openings in Mainland China. Seat turnover at Xiabuxiabu eased to 2.5x from 2.6x, while Coucou held steady at 1.4x.
Cost-line efficiencies were evident. Raw materials and consumables fell 19.2% to RMB 518.35 million, staff costs declined 25.8% to RMB 494.60 million, and depreciation and amortisation decreased 29.2% to RMB 225.07 million. Impairment charges on property, plant and equipment and right-of-use assets totaled RMB 56.01 million, roughly 30% lower than a year earlier.
The balance sheet showed cash and cash equivalents of RMB 256.52 million, supplemented by RMB 291.68 million in financial assets at fair value through profit or loss. Short-term borrowings rose to RMB 660.30 million, up 55.2%, mainly secured by pledged deposits; interest costs totaled RMB 20.66 million. Net current liabilities stood at RMB 420.34 million. Capital expenditure reached RMB 67.50 million, funding 29 new stores and refurbishments.
Management Changes: On 28 August 2026 founder Mr Ho Kuang-Chi was re-designated from executive to non-executive director. Executive director Mr Feng Hui-Huang became chief executive officer, separating the chairman and CEO roles in line with corporate governance guidelines.
Post-Period Event: On 13 August 2026 Xiabuxiabu and Tea Mi Tea (HK) amended their 2023 cooperation agreement, eliminating the 5% royalty fee on “Tea me tea” beverage sales effective 1 July 2026.
Outlook: The group plans to pursue disciplined multi-brand expansion, deepen digital membership engagement, and further optimise its supply-chain and restaurant network to enhance profitability amid ongoing consumer softness.