According to the Zhitong Finance App, Meituan-W (03690) released results for the three months ended September 30, 2023. The group obtained revenue of 76.467 billion yuan (RMB, same below) during the period, an increase of 22.1%; operating profit of 3.359 billion yuan, a sharp increase of 239.9% over the previous year; profit for the period was 3,593 billion yuan, an increase of 195.3%; non-international financial reporting standards adjusted EBITDA of 6.189 billion yuan, up 28.9% year on year; non-international financial reporting standards adjusted net profit of 5.727 billion yuan, same This is an increase of 62.4% over the ratio.
The announcement stated that due to the recovery in local consumption, the revenue of both reporting segments of the Group increased.
Among them, the revenue of the core local business segment increased 24.5% from 46.3 billion yuan in the third quarter of 2022 to 57.7 billion yuan in the same period in 2023. The increase in revenue was mainly due to a recovery in consumption, an increase in the number of instant delivery transactions, and the amount of in-store, hotel and travel transactions. This was partly offset by increased subsidies deducted from revenue, and lower unit prices for customers in the Group's food and beverage takeout and Meituan flash sales businesses. The increase in transaction value in the in-store, hotel and travel businesses was also due to the Group's increased supply and improved marketing strategies. Profit from core local business operations increased 8.3% year-on-year to $10.1 billion, and the operating profit margin was 17.5%. The steady increase in profit from catering takeout operations was partially offset by a year-on-year decline in operating profit in the retail, hotel and travel businesses.
Revenue from the new business segment increased 15.3% from $16.3 billion in the third quarter of 2022 to $18.8 billion in the same period in 2023. This increase was mainly due to the year-on-year increase in the Group's retail merchandise business, which was partly offset by the contraction of the Group's own online car-hailing business.
In the third quarter, the number of instant delivery transactions increased 23.0% year over year. Food and beverage takeout has maintained a strong growth trend. The number of orders in a single day peaked at 78 million orders, a record high and doubled from three years ago.
In the third quarter, Meituan flash sales continued to show strong growth, with significant increases in order volume, merchant size, and user size. In August, the peak daily order value of Meituan Flash Sale exceeded 13 million orders. The number of users in different tier cities continues to grow, especially in lower tier cities. The purchasing frequency of core users has also accelerated, and consumers can use the Group's services for more time periods and consumption scenarios. On the merchant side, the group promotes the digitalization of small and medium-sized businesses and cooperates with nearly 400 brands. As a result, the number of active merchants on an annual basis in the third quarter increased 30% year over year. Merchants are providing an increasingly diverse range of SKUs to better meet instant retail channels and increase the supply of LBS-based products on the Group's platform. The number of “Meituan Lightning Depots” has now exceeded 5,000, effectively complementing the traditional offline retail supply. In the third quarter, non-food categories such as digital goods, home appliances, and beauty products continued to grow strongly. The Group believes that instant retail will continue to drive consumption growth and empower offline merchants. The Group maintains confidence in the growth potential and leading position of Meituan Flash Sale.
The in-store, hotel and travel business maintained strong growth in the third quarter, with transaction value increasing by more than 90% year over year. The number of quarterly active merchants increased by more than 50% year over year, and the number of quarterly trading users also increased significantly. The group consolidated the competitive advantage of the shelf model and used short videos and live broadcasts to promote explosive products.