Meituan first-quarter profit up 87pc to over 10b yuan

Chinese food delivery giant Meituan (3690) said its first-quarter net profit jumped by 87.3 percent to 10.06 billion yuan (HK$10.97 billion), partly driven by better-than-expected revenue growth.

Revenue for the period soared by 18.1 percent to 86.6 billion yuan compared to the 73.3 billion yuan seen during the same period in 2024.

Its core local commerce segment’s revenue increased by 17.8 percent to 64.3 billion yuan, and operating profit surged by 39.1 percent to 13.5 billion yuan for the three months that ended in March. Operating margin also improved by 3.2 percentage points to 21 percent.

Sales from the new initiatives segment rose by 19.2 percent to 22.2 billion yuan, leading to a 17.5 percent drop in operating loss to 2.3 billion yuan. Operating margin climbed by 4.6 percentage points to negative 10.2 percent.

Meituan said that during the quarter, it further enhanced user stickiness and elevated purchase frequency, especially among medium- to high-frequency users, through refined operational strategies.

It also pledged to continue to support merchants in achieving business growth and navigating industry cycles while offering consumers a diverse range of high-quality products going forward, according to a filing on Monday.

STAFF REPORTER