Café de Coral earnings tumble as Hong Kong diners tighten spending

By Irene Dong June 16, 2026

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Hong Kong restaurant operator Café de Coral Holdings reported lower revenue and profit for the year ended March 31 as weak consumer sentiment and shifting spending patterns continued to weigh on the city’s dining sector.

Revenue fell 4.5 per cent to HK$8.18 billion (roughly US$1.04 billion), while profit attributable to shareholders declined 29.5 per cent to HK$164.1 million ($20.95 million). Adjusted EBITDA decreased 16.7 per cent to HK$572.6 million ($73.1 million).

The company said changing consumer spending patterns and challenging market conditions continued to weigh on performance during the year.

Despite the weaker full-year performance, Café de Coral said results improved in the second half following a series of operational measures. Profit rose 151.1 per cent compared with the first half of the financial year and increased 32.2 per cent from the same period a year earlier.

Revenue from the group’s Hong Kong restaurant operations declined during the year, while its mainland China business generated HK$1.46 billion ($186.40 million) in revenue, down 2.3 per cent amid weak consumer demand and intense price competition.

The company said its mainland operations remained profitable and expanded to more than 190 outlets.

“As Hong Kong evolves into its new role in the integrated Greater Bay Area (GBA), local spending patterns and spending habits have fundamentally transformed,” said chairman Sunny Lo.

“For the catering industry, the most significant shift has been a redirection of dining and leisure consumption patterns – especially during weekends and long holidays. Adapting to this structural change in consumer behaviour, restaurant operators have been forced to deal with a rapidly changing, increasingly interconnected market.”

Looking ahead, Lo added that the group would continue to focus on improving operational efficiency and adapting to evolving consumer behaviour while pursuing growth opportunities across Hong Kong, mainland China and the Greater Bay Area.