Meituan (3690) Q2 2025 earnings summary

Executive summary

• Revenue for Q2 2025 grew 11.7% year-over-year to RMB91.8 billion, driven by both core local commerce and new initiatives.

• Operating profit dropped 98.0% year-over-year to RMB226 million, mainly due to intensified competition and higher incentives and marketing expenses.

• Net profit for Q2 2025 was RMB365 million, down from RMB11.4 billion in Q2 2024.

• Adjusted EBITDA and adjusted net profit for Q2 2025 were RMB2.8 billion and RMB1.5 billion, down 81.5% and 89.0% year-over-year.

• User base and order volume continued to grow, with Meituan app MAU surpassing 500 million and on-demand delivery orders exceeding 150 million in a single day.

Financial highlights

• Q2 2025 revenue: RMB91.8 billion (+11.7% YoY); H1 2025 revenue: RMB178.4 billion (+14.7% YoY).

• Q2 2025 operating profit: RMB226 million (0.2% margin), down from RMB11.3 billion (13.7% margin) in Q2 2024.

• Q2 2025 net profit: RMB365 million, down from RMB11.4 billion in Q2 2024.

• Adjusted EBITDA for Q2 2025: RMB2.8 billion (down 81.5% YoY); adjusted net profit: RMB1.5 billion (down 89.0% YoY).

• Cash and cash equivalents stood at RMB101.7 billion as of June 30, 2025.

Outlook and guidance

• Management expects continued fierce competition and negative short-term financial impact, but remains confident in long-term growth and market leadership.

• Core local commerce is expected to incur substantial loss in Q3 due to strategic investments.

• Plans to expand insurance and welfare programs for couriers nationwide by year-end.

• Continued investment in technology, AI, and overseas expansion, especially in grocery retail and new markets.

• Long-term profit targets for on-demand retail and grocery remain unchanged, with profitability expected to return as subsidies normalize.