Delivery service Meituan surpasses anticipated revenue figures
In a recent financial report, Chinese technology giant Meituan revealed impressive growth in its fourth-quarter performance, with a revenue of RMB 73.7 billion (USD 10.19 billion) - a 22.6% year-over-year increase. A significant contributor to this revenue was the delivery services sector, which brought in RMB 21.9 billion (USD 3 billion), marking a 10.9% year-on-year growth.
The company's delivery service also saw growth in users and merchants, setting new records in the fourth quarter. Daily order volume in on-demand delivery rose 23.9% to 60 million in 2023. This growth was accompanied by a profit of RMB 13.9 billion (USD 1.9 billion), a stark contrast to the RMB 6.7 billion (USD 926.3 million) loss of 2022.
Meituan's food delivery service expansion is not limited to its domestic market. Last year, the company debuted its new food delivery brand, Keeta, in the Hong Kong market. According to Bloomberg, Keeta has become Hong Kong's second-largest food delivery platform.
Despite this success, Meituan is not in a hurry for expansion. Wang, from Meituan, stated that the company is actively evaluating opportunities in other markets, but will be careful in its approach. The company will be disciplined in evaluating the return on investment (ROI) for any expansion, avoiding "crazy all-in" investments.
Meituan's expansion strategy is focused on being cautious and conservative. This approach is evident in the company's hotel and travel business, which has grown significantly post-Covid-19, riding the domestic travel rebound. The second-largest revenue driver for Meituan was "other services and sales," which contributed RMB 20.8 billion (USD 2.8 billion) to the company's total revenue.
Analysts had forecasted a revenue of RMB 72.5 billion (USD 10 billion) for Meituan. However, the company surpassed these expectations, demonstrating its robust financial health. Meituan has a large cash reserve and free cash flow generated by its domestic business.
As of September 2025, there are no relevant search results detailing Meituan’s next target markets for expansion or the outcomes of such expansions. The article first appeared on Nikkei Asia and is republished here as part of 36Kr's ongoing partnership with Nikkei.
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