MEITUAN-W CEO Aims to Reduce Losses in Meituan Select, Ensuring Stable Growth in Takeaway Orders

$MEITUAN-W(03690.HK)$ , after turning a profit last year, plans to minimize losses in Meituan Select, focusing on strategic adjustments rather than scaling up. CEO Wang Xing aims to raise price markups and cut subsidies for Meituan Select, while prioritizing key capabilities over market expansion.

Internal restructuring will enable closer collaboration between takeaway delivery, in-store, and hotel + travel segments to enhance operational efficiency and value creation. Wang anticipates that all new businesses, except Meituan Select, will break even this year.

Regarding KeeTa's development, Wang acknowledges the challenges but underscores the company's financial strength for expansion. Overseas market penetration may take a decade, but MEITUAN remains patient, evaluating ROI and avoiding hasty investments.

Addressing competition concerns with Douyin $ByteDance(FT0001)$ in local life services, MEITUAN is confident in maintaining its industry-leading position. Despite market dynamics, takeaway orders are expected to sustain healthy and stable growth this year.