Yahoo Finance

• Total Revenue (Full Year 2024): RMB337.6 billion, a 22% year-over-year increase.

• Total Revenue (Q4 2024): RMB88.5 billion, a 20.1% year-over-year increase.

• Annual Transacting Users: Exceeded 70 million.

• Annual Active Merchants: Increased to 14.5 million.

• Cost of Revenue Ratio (Q4 2024): Decreased by 3.9 percentage points year-over-year to 62.2%.

• Selling and Marketing Expenses Ratio (Q4 2024): Decreased by 3.1 percentage points year-over-year to 19.6%.

• R&D Expenses Ratio (Q4 2024): Decreased to 6.1%.

• Total Segment Operating Profit (Q4 2024): RMB10.7 billion, up from RMB3.2 billion last year.

• Total Segment Operating Margin (Q4 2024): Increased from 4.3% to 12.1%.

• Adjusted Net Profit (Q4 2024): RMB9.8 billion.

• Cash and Cash Equivalents (End of 2024): RMB168.2 billion.

• Cash Generated from Operating Activity (Q4 2024): RMB16.9 billion.

• Core Local Commerce Revenue (Q4 2024): RMB65.6 billion, an 18.9% year-over-year increase.

• New Initiatives Segment Revenue (Q4 2024): RMB22.9 billion, a 23.5% year-over-year increase.

• New Initiatives Segment Operating Loss (Q4 2024): RMB2.2 billion, with an operating loss ratio of 9.5%.

• Warning! GuruFocus has detected 2 Warning Sign with MPNGF.

Release Date: March 21, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Meituan (MPNGF) reported a 22% year-over-year increase in total revenue for 2024, reaching RMB337.6 billion.

• The company saw a significant increase in annual transacting users, exceeding 70 million, and annual active merchants rising to 14.5 million.

• Meituan (MPNGF) expanded its international presence by launching Keeta in Saudi Arabia and starting drone operations in Dubai.

• The company achieved a notable milestone with its autonomous vehicles and drones, fulfilling 4.9 million and 1.45 million commercial orders, respectively.

• Meituan (MPNGF) maintained a strong net cash position with cash and cash equivalents totaling RMB168.2 billion as of December 31, 2024.

Negative Points

• Order volume growth for food delivery and certain nonfood categories was softer compared to the previous quarter due to warmer weather and earlier return of the working population to lower-tier cities.

• The company anticipates increased costs due to the implementation of a social security pilot program for couriers, which may impact profitability.

• Meituan (MPNGF) plans to significantly increase investment in overseas markets, which could lead to higher short-term financial resource allocation.

• The company faces challenges in improving the efficiency of its Meituan Select business, which requires time and patience to achieve long-term targets.

• Despite strong growth, the online penetration rate for in-store categories remains low compared to physical goods e-commerce, indicating potential market saturation challenges.