Atour Lifestyle (NASDAQ:ATAT) Releases Quarterly Earnings Results

Atour Lifestyle (NASDAQ:ATAT) issued its quarterly earnings data on Tuesday. The company reported $0.48 earnings per share for the quarter, missing the consensus estimate of $0.56 by ($0.08), Zacks reports. The company had revenue of $511.48 million during the quarter, compared to the consensus estimate of $480.12 million. Atour Lifestyle had a net margin of 16.75% and a return on equity of 55.00%.

Here are the key takeaways from Atour Lifestyle’s conference call:

• Third-quarter net revenue rose 30.5% to CNY 3.4 billion, while adjusted net profit increased 26.2% to CNY 615 million.
• Adjusted net profit margin fell 0.7 percentage points to 17.9%, reflecting the faster-growing, lower-margin retail mix and continued investment in talent and organizational capabilities.
• Hotel RevPAR was 100.45% of the year-ago level. Atour opened 128 hotels in the quarter and maintained its full-year target of about 480 openings, alongside a target of about 80 closures.
• Retail revenue grew 51% to CNY 1.4 billion, and management raised its 2026 retail revenue growth outlook to 50%–55%, from 40% previously.
• The company reported CNY 2.7 billion in cash and cash equivalents and CNY 2.5 billion in net cash. It said dividends and share repurchases have delivered more than $260 million in shareholder returns so far this year, with a long-term target of about 100% of prior-year net income.

Atour Lifestyle Trading Up 3.0%

NASDAQ ATAT traded up $1.08 during trading on Wednesday, reaching $37.13. The company’s stock had a trading volume of 608,627 shares, compared to its average volume of 1,048,743. The firm has a market capitalization of $5.10 billion, a price-to-earnings ratio of 18.29, a price-to-earnings-growth ratio of 1.00 and a beta of 0.66. Atour Lifestyle has a 12 month low of $30.07 and a 12 month high of $43.17. The firm has a 50 day moving average price of $33.04 and a 200 day moving average price of $34.98.

Analysts Set New Price Targets

A number of brokerages recently commented on ATAT. Weiss Ratings upgraded shares of Atour Lifestyle from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Thursday, October 8th. Wall Street Zen upgraded Atour Lifestyle from a “hold” rating to a “buy” rating in a report on Sunday, September 13th. Zacks Research downgraded Atour Lifestyle from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, July 14th. Finally, HSBC initiated coverage on Atour Lifestyle in a research note on Wednesday, October 7th. They set a “buy” rating and a $39.70 target price on the stock. Eight investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, Atour Lifestyle currently has an average rating of “Moderate Buy” and an average target price of $46.62.

Atour Lifestyle News Summary

Investors following ATAT have been watching these news items:

• Positive Sentiment: Third-quarter revenue rose 30.5% year over year to RMB 3.43 billion (about $511.5 million), exceeding the roughly $480 million analyst estimate. Atour revenue climbs 30.5%
• Negative Sentiment: Despite the revenue beat, adjusted earnings were $0.48 per share, below the $0.56 consensus estimate. Same-hotel revenue also declined, raising concerns about performance at existing properties amid sales growth. Shares fall as same-hotel revenue declines
• Negative Sentiment: Atour’s FY 2026 revenue outlook of $1.9 billion is below analysts’ roughly $2.0 billion expectation, suggesting a softer near-term growth outlook than investors had anticipated.

Atour Lifestyle Company Profile

Atour Lifestyle Holdings Limited is a China-based hospitality company that operates a network of hotels under brands including Atour, Atour S and Atour Light. Its hotels emphasize comfortable accommodations, service and design inspired by local culture. The company primarily expands through hotel management and franchise arrangements, working with property owners and operators rather than relying solely on hotels it owns. Its services include hotel operations, reservations and guest experiences.