Th International Limited · NASDAQ:THCH
Th International — Q4 2024 Earnings Presentation
22 slides from Th International's earnings presentation, Apr 15, 2025
Slide 1: Tims China Q4 2024 Earnings Presentation
Tims China Nasdaq: THCH Q4 2024 Earnings Presentation April 15, 2025
Slide 2: Disclaimer and Risk Factors
Disclaimer and Risk Factors This presentation ("Presentation") is provided by TH International Limited (“THIL") for informational purposes only and does not constitute, or form a part of, an offer to sell, or the solicitation of an offer to sell or an offer to buy, any securities. The information he
Slide 3: 01. Business Update
01. Business Update
Slide 4: Improving Company Owned and Operated Store Contribution: 2024Q4
Improving Company Owned and Operated Store Contribution: 2024Q4 Q4 YOY 2022 2023 2024 (24 vs. 23) (1) 370bp Food and packaging 32.8% 35.1% 31.4% (1) 40bp Rental and property management fee 27.9% 20.6% 21.0% (1) Payroll and employee benefits 24.5% 22.8% 20.3% 250bp (1) 8.0% 40bp Other operating expen
Slide 5: Improving Company Owned and Operated Store Contribution: 2024FY
Improving Company Owned and Operated Store Contribution: 2024FY FY YOY 2022 2023 2024 (24 vs. 23) (1) 350bp Food and packaging 33.5% 35.0% 31.5% (1) Rental and property management fee 25.2% 20.8% 20.3% 50bp (1) Payroll and employee benefits 28.7% 21.9% 19.5% 240bp (1) 50bp Other operating expenses 1
Slide 6: Resilient Store Network & Loyalty Membership Highlights: 2024Q4
Resilient Store Network & Loyalty Membership Highlights: 2024Q4 YoY % Q4’22 Q4’23 Q4’24 (24 vs 23) Total stores 617 902 1,022 13.3% (1) Net new stores 131 143 76 (46.9)% Registered Loyalty club members (mm) 11.3 18.5 24.0 29.7% (2) Digital orders % 81.2% 83.6% 86.1% 2.5ppts Total revenues (RMBmm) 30
Slide 7: Resilient Store Network & Loyalty Membership Highlights: 2024FY
Resilient Store Network & Loyalty Membership Highlights: 2024FY YoY % FY’22 FY’23 FY’24 (24 vs 23) Total stores 617 902 1,022 13.3% (1) Net new stores 227 285 120 (57.9)% Registered Loyalty club members (mm) 11.3 18.5 24.0 29.7% (2) Digital orders % 80.1% 82.1% 86.1% 4.0ppts Total revenues (RMBmm) 1
Slide 8: Major Milestone with 1,000th China Store Opening
Major Milestone with 1,000th China Store Opening Total stores 1022 912 617 390 137 34 2019 2020 2021 2022 2023 2024
Slide 9: Coffee Plus Freshly Prepared Food – All-day Solutions
Our Differentiated Value Proposition: “Coffee Plus Freshly Prepared Food” – All-day Solutions Breakfast Lunch Afternoon Tea
Slide 10: Freshly Prepared Food
Freshly Prepared Food We have completed the “made-to-order” renovation of 636 new and existing stores by the end of December 2024. With this investment, our guests can watch our staff craft fresh meals from start to finish
Slide 11: Product Innovation Pleasing Local Tastes
Product Innovation Pleasing Local Tastes Black Gold Cheese Black Truffle Bacon & Maple Syrup Latte Walnut & Date Latte Mammoth Bagel Angus Beef Bagel Burger
Slide 12: Precision Targeting of Customer Segments
Precision Targeting of Customer Segments White-collar Family Fitness Enthusiast
Slide 13: Focus on Profitable & Capital-Efficient Growth
Focus on Profitable & Capital-Efficient Growth Total stores(1) Market entry Store formats Q4’23 Q4’24 22% 1022 21% 7% 4% 82 946 68 89% 902 906 907 57% Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q3‘23 Q4’24 Company-owned Stores Franchised Stores Tims Express (Franchised) 76 Net New Store Openings in Q4’2024 12 Ne
Slide 14: The Individual Franchise Has Demonstrated Strong Growth And Remarkable Momentum
The Individual Franchise Has Demonstrated Strong Growth And Remarkable Momentum Applications Made-to-order Store Payback Period 6,200+ 2-3 years Individual franchise stores Individual Franchise stores already located across 14 provinces: Opened # ~100 Shanghai、Beijing、Zhejiang、Jiangsu、Anhui、 Signed
Slide 15: Further Expansion of Our Franchise Network on Track
Further Expansion of Our Franchise Network on Track Total Sub-Franchise Stores Penetrated Into New Cities With Our Franchisees 158% 446 382 333 302 283 The grand opening of our 1000th First store in Chuzhou, a tier-2 city 4Q'23 1Q'24 2Q'24 3Q'24 4Q'24 Store in Shanghai located in Anhui Province Reve
Slide 16: Steady Growth of Loyalty Club Members and Digital Orders
Steady Growth of Loyalty Club Members and Digital Orders Registered Loyalty Club Members (mm) Number of Orders (mm) 29.7% 15.4 24.0 13.3 13.5 12.3 13.3 13.5 12.3 20.0 21.4 22.8 10.9 16.9 18.5 9.2 12.4 14.7 11.3 Q4’22 Q1’23 Q2’23 Q3’23 Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 Q4’22 Q1’23 Q2’23 Q3’23 Q4’23 Q1’24
Slide 17: 02. Financial Highlights
02. Financial Highlights
Slide 18: Top-line Under Pressure Temporarily and Franchise Store Growth
Top-line Under Pressure Temporarily and Franchise Store Growth Total Revenues (mm) Net New Store Openings(1) (12.0)% 433.9 143 411.7 377.9 131 336.5 332.1 366.8 359.6 332.6 301.5 76 52 59 31 39 4 1 Q4’22 Q1’23 Q2’23 Q3’23 Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 Q4’22 Q1’23 Q2’23 Q3’23 Q4’23 Q1’24 Q2’24 Q3’24
Slide 19: Improving Company Owned and Operated Store Contribution: 2024Q4
Improving Company Owned and Operated Store Contribution: 2024Q4 Q4 YOY 2022 2023 2024 (24 vs. 23) (1) 370bp Food and packaging 32.8% 35.1% 31.4% (1) 40bp Rental and property management fee 27.9% 20.6% 21.0% (1) Payroll and employee benefits 24.5% 22.8% 20.3% 250bp (1) 8.0% 40bp Other operating expen
Slide 20: Improving Company Owned and Operated Store Contribution: 2024FY
Improving Company Owned and Operated Store Contribution: 2024FY FY YOY 2022 2023 2024 (24 vs. 23) (1) 350bp Food and packaging 33.5% 35.0% 31.5% (1) Rental and property management fee 25.2% 20.8% 20.3% 50bp (1) Payroll and employee benefits 28.7% 21.9% 19.5% 240bp (1) 50bp Other operating expenses 1
Slide 21: Near-Term Financial Priorities
Near-Term Financial Priorities Improve Adjusted Corporate EBITDA Margins(1) Optimize Cost Structure Deliver Sustainable Revenue Growth Expand Store-Level Profitability Accelerate Growth Franchise Store Network ____________________ (1) Calculated as adjusted corporate EBITDA as a percentage of total
Slide 22: Thank you!
About TH International Limited TH International Limited (Nasdaq: THCH) (“Tims China”) is the parent company of the exclusive master franchisees of Tim Hortons coffee shops in mainland China, Hong Kong. Tims China was founded by Cartesian Capital Group and Tim Hortons Restaurants International, a sub
TH International Limited (Tims China) — Q4 2024 Earnings Presentation on 6ix