GreenTree Hospitality : First Half 2023 Results Presentation

First Half 2023 Results

September 19, 2023

Disclaimer

This presentation does not constitute or form part of any offer for sale or subscription of or solicitation or invitation of any offer to buy or subscribe for any securities. Neither this presentation nor any part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever. Specifically, this presentation does not constitute a "prospectus" within the meaning of the Securities Act of 1933, as amended.

Our historical results are not necessarily indicative of results to be expected for any future period. The financial data contained in this presentation for the periods and as of the dates indicated are qualified by reference to and should be read in conjunction with our financial statements and related notes and "Management's Discussion and Analysis of Financial Condition and Results of Operations" included in our public filings with the U.S. Securities and Exchange Commission (the "SEC").

This presentation includes certain non-GAAP financial measures, which are different from financial measures calculated in accordance with U.S. GAAP. Such non-GAAP financial measures should be considered in addition to and not as a substitute for or superior to financial measures calculated in accordance with U.S. GAAP. In addition, the definitions of Adjusted EBITDA and Margin and Core Net Income and Margin in this presentation may be different from the definition of such terms used by other companies, and therefore comparability may be limited. A quantitative reconciliation of non-GAAP financial measures to the most directly comparable U.S. GAAP financial measures has been included in this presentation.

Except for historical information, all of the statements, expectations, and assumptions contained in this presentation constitute forward-looking statements made under the "safe harbor" provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and the U.S. Private Securities Litigation Reform Act of 1995. These statements include descriptions regarding the intent, belief or current expectations of GreenTree Hospitality Group Ltd. (the "Company"), its officers or its management with respect to the consolidated results of operations and financial condition of the Company. The Company may also make written or oral forward-looking statements in its reports filed with or furnished to the SEC, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. These statements can be recognized by the use of

words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to," "confident,"

"future," words or expressions of similar meaning. Such forward-looking statements are not guarantees of future performance and involve known and unknown factors, risks and uncertainties that may cause our actual results, performance or achievements to be materially different from those expressed or implied by the forward-looking statements. Such factors and risks include, but are not limited to the following: the Company's goals and growth strategies; its future business development, financial condition and results of operations; trends in the hospitality industry in China and globally; competition in our industry; fluctuations in general economic and business conditions in China and other regions where we operate; the regulatory environment in which we and our franchisees operate; and assumptions underlying or related to any of the foregoing. You should not place undue reliance on these forward-looking statements. Further information regarding these and other risks, uncertainties or factors is included in the Company's filings with the SEC, copies of which are available for free in the Investor Relations section of the Company's website at http://ir.998.com or upon request from the Company's Investor Relations Department. All information provided, including the forward-looking statements made, in this presentation are current as of the date hereof. Neither the delivery of this presentation nor any further discussions of the Company after the date hereof shall, under any circumstances, imply that there has been no change in the affairs of the Company since such date. Except as required by law, the Company undertakes no obligation to update any such information or forward-looking statements to reflect events or circumstances after the date on which the information is provided or statements are made, or to reflect the occurrence of

unanticipated events.	2

Contents

01 02 03 04

First Half 2023	First Half 2023	First Half 2023	Appendix
Performance Review	Strategic Execution：	Operating and
	Hotel Business and	Financial Highlights:
	Restaurant Business	Hotel Business and
		Restaurant Business

3

01

First Half 2023 Performance Review

First Half 2023 (H1) Highlights

RevPAR

ADS( Average Daily

Sales Per Store)

Total Revenues

Income from Operations

Net Income

Adjusted EBITDA (Non-GAAP)(2)

Core Net Income (Non-GAAP)(3)

Cash Provided by Operating Activities

RMB 130

6,213

794.2MM

150.9MM

177.3MM

226.9MM

136.1MM

313.1MM

Compared with 2022 H1(1)

Up 35.8%

Up 22.9%

Up 12.1%

Turn positive with margin 19.0%

Turn positive with margin 22.3%

Up 137.8% with margin 28.6%

Up 65.2% with margin 17.1%

Up 117.5%

Note:

1.	As Da Niang Dumplings and Bellagio are all under the control of the founder, Alex S. Xu, the company accounted for the common-control acquisitions by using the pooling of interest method. The consolidated balance sheets and consolidated statements
	of comprehensive income/(loss) include the results of each of the combining entities or businesses from the earliest date presented or since the date when the combining entities or businesses first came under common control. In this report, the
	comparative financial data have been restated to reflect the business combinations under common control occurred.
2.	Adjusted EBITDA (non-GAAP) is calculated as net income plus other operating expenses, income tax expense, share of loss in equity investees, net of tax, interest expense, depreciation and amortization, losses from investment in equity securities and
	provision for bad debt, but excludes other operating income, interest income and other, net, gains from investment in equity securities, share of gains in equity investees (net of tax), and other income, net. The calculation of Adjusted EBITDA (non-GAAP)
	included in this report has been aligned according to the abovementioned definition.
3.	Core net income is calculated as net income plus share-based compensation, losses from investments in equity securities (net of 25% tax), other general expenses but excludes government subsidies (net of 25% tax), gains from investment in equity
	securities (net of 25% tax), and other income (net of 25% tax).	5