Blood renewal for a breakthrough? Zhang Yong resumes command at Haidilao, leading a young female team into tough battles
On January 14, the Hong Kong stock catering sector saw a bright spot. $HAIDILAO (06862.HK)$ After a prolonged period of sluggishness, the stock price opened significantly higher than usual. As of this writing, the increase has reached 7.42%, breaking through to a new high since mid-May of last year. Its affiliated company $YIHAI INTL (01579.HK)$ also rose nearly 3% in tandem.
The enthusiastic response from the capital market stems from a major announcement made on the previous evening: Founder Zhang Yong returned to the CEO position after four years, while the board welcomed four newly appointed female directors. A transformation concerning strategic leadership and organizational renewal has officially begun.
Zhang Yong resumes command, reappoints 'Next-Gen Female Team'
On the evening of January 13th, an announcement about changes in Haidilao's board of directors drew significant market attention. The announcement revealed that Gou Yiqun resigned as executive director and CEO, while Chairman and Executive Director Zhang Yong was appointed as the new CEO. This means that the founder who transformed Haidilao from a small shop into a foodservice giant has returned to the front lines to personally take charge after handing over executive authority four years ago.
In March 2022, Zhang Yong stepped down as CEO, passing the baton to Yang Lijuan, his most trusted 'top apprentice,' which was seen as part of a long-term succession plan aimed at invigorating the organization. In June 2024, Yang Lijuan moved to overseas operations, and Gou Yiqun, who has deep expertise in finance and supply chain management with over 20 years of experience within the Haidilao system, took over as CEO. According to reports, following this adjustment, Gou Yiqun did not leave but instead focused more on the intelligent transformation field where he excels.
Equally noteworthy alongside Zhang Yong’s return is the influx of 'new blood' to the board. Li Nana, Zhu Yinhua, Jiao Defeng, and Zhu Xuanyi were appointed as executive directors of the company.
Data indicates that these four new directors are all internally grown 'Haidilao insiders,' aged between 35 and 44, covering core business areas such as regional operations, product supply chains, and group strategy, with solid frontline management experience. Their addition diversifies the gender structure and age range of Haidilao’s board. In its announcement, Haidilao stated that these appointments aim to 'support the company’s ongoing innovation and long-term development, actively honing and nurturing the younger generation of the management team.'
The urgency of a 'second start-up': stagnation in growth and a critical transition period
Behind the surge in stock price lies the market’s deep expectation for Zhang Yong to return and resolve the current challenges. This return appears to be an inevitable choice for Haidilao amid its stagnant growth, public pressure, and key transitional struggles—a ‘second start-up’ crucial to its future has now begun.
Based on operational data, Haidilao has clearly fallen into a growth stagnation. The company's financial report for the first half of 2025 shows that it achieved revenue of 20.703 billion yuan (in RMB, unless otherwise stated), a year-on-year decrease of 3.7%; core operating profit was 2.408 billion yuan, down 14.0% year-on-year. Net profit attributable to owners of the company was 1.759 billion yuan, a year-on-year decline of 13.7%.
The table turnover rate, which is crucial to the restaurant industry, dropped to 3.8 times per day in the first half of 2025, significantly declining from 4.2 times per day in the same period of 2024, with both customer traffic and average spending per customer showing weak growth. In terms of store distribution, the company continues to be in a phase of contraction and adjustment. As of the end of June 2025, the number of self-operated Haidilao restaurants stood at 1,322, a net decrease of 21 stores year-on-year, indicating that the old model of expansion driven by its own capital scale is no longer sustainable.
Amidst this pressure on performance, public relations crises have continuously battered brand trust. From the 'urination incident' in March 2025 to the recent 'baby diaper in hot pot' incident, management loopholes at stores have been repeatedly exposed to the public eye.
To make matters worse, confidence in the capital markets continues to wane. As of the close on January 13, 2026, Haidilao’s share price had plummeted more than 80% from its historical high five years ago. Institutional investors are also retreating—Wind data shows that the number of mainland mutual funds heavily invested in Haidilao fell sharply from 25 at the end of 2024 to zero by the end of 2025. Prominent institutions like Goldman Sachs and JPMorgan have successively exited, reflecting deep market concerns.
If performance pressures and public opinion were the direct triggers for Zhang Yong's return, then the need to oversee the company's transition through a challenging period is the core rationale behind his resumption of leadership. Currently, Haidilao is striving to transform into a multi-brand, multi-format, and intelligent enterprise. The 'Pomegranate Plan,' launched in August 2024 as the core of its multi-brand incubation strategy, has spawned 14 new brands covering categories such as grilled meat, fried chicken, and light meals. As of the end of June 2025, these new brands operated 126 stores, with related revenues skyrocketing 227% year-on-year.
However, new business accounted for only 2.9% of total revenue in the first half of 2025. Most brands remain small in scale, facing the challenge of 'blooming in many areas but struggling to gain traction,' urgently needing a strong leader to consolidate resources and clarify strategic focus.
Conclusion
From voluntarily stepping down in 2022 to focus on long-term strategy, to taking the helm again in 2026 during a crisis, Zhang Yong’s role transition clearly reflects Haidilao’s strategic evolution from 'unbridled growth' to 'high-quality transformation.' This combination of 'founder returning + next-gen rising' not only demonstrates decisiveness in addressing current crises but also highlights foresight in building future talent pipelines.
However, the brief cheer in the capital markets is only the first step in rebuilding confidence. Zhang Yong’s 'second entrepreneurial journey' is destined to be an uphill battle—how to reverse the decline in performance, rebuild the tarnished brand reputation, and truly drive the multi-brand strategy to fruition will each be a tough challenge.
Author: Yuan
Risk Disclaimer: The above content only represents the author's view. It does not represent any position or investment advice of Futu. Futu makes no representation or warranty.Read more
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