Food delivery giant Meituan Q2 revenue rises 8.9%, beats estimates

[BEIJING] China's Meituan Dianping, whose on-demand service apps span grocery delivery and hotel booking, reported a steeper-than-expected rise in second-quarter revenue on Friday as eased lockdown measures saw more people venture out.

Revenue in the April-June quarter rose 8.9 per cent to 24.72 billion yuan (S$4.89 billion), topping the 23.48 billion yuan average of 16 analyst estimates, IBES data from Refinitiv showed.

Beijing-based Meituan reported a profit for the period of 2.21 billion yuan, up from 875.8 million yuan a year earlier.

Meituan earns more than half of its revenue from food delivery, where it controlled 67 per cent of the Chinese market in the first quarter, showed data from researcher Trustdata.

Its operations likely recovered to pre-pandemic levels in the second quarter in terms of traffic and revenue, China Merchants Securities analysts said in a research note prior to the results.

On Friday, Meituan said its second-quarter revenue for the segment grew 13.2 per cent to 14.54 billion yuan.

REUTERS