Caixin
Caixin Global – Latest China News & Headlines

Home >

ABOUT US

CX Tech is Caixin Global's real-time tech news portal, featuring 24-hour news, short-form analysis, and roundups from business and tech media in China.

Meituan Delivers First Profit

By Teng Jing Xuan and Qian Tong / Aug 23, 2019 07:03 PM / Business & Tech

Local services and food delivery giant Meituan Dianping has reported its first quarterly net profit since its blockbuster IPO in Hong Kong a year ago.

The company booked a net profit of 876 million yuan ($123.7 million) in the three months ending June 30, compared to a net loss of 7.72 billion yuan in the same period last year. This bumped the company into profit-making territory for the first half, despite a net loss in the first quarter of this year.

Meituan’s revenue in the second quarter was 22.7 billion yuan, up 50.6% from a year ago.

In the year since its Hong Kong listing, Meituan has had to rein in spiraling costs from its bike-sharing investment, while stumbling in its efforts to expand into ride-hailing.

But the company’s core food delivery business remains strong, with the number of food delivery orders increasing 34.6% to 2.1 billion yuan in the second quarter and gross profit from food delivery increasing 102.8% to 2.9 billion yuan in the same period from a year ago, according to Meituan’s results announcement.

Contact reporter Teng Jing Xuan (jingxuanteng@caixin.com)

Related: Baidu Moving Out, Bytedance and Ant Marching in to Most Valuable Tech Firm Leader Board

Share this article
Open WeChat and scan the QR code