Meituan Dianping (Meituan), China’s leading e-commerce platform for local lifestyle services that went public in Hong Kong on September 20, 2018, announced its total revenue surged by 97.2% year-on-year to 19.1 billion yuan (US$2.75 bn) in Q3 2018. Annual Transacting Users increased by 30.3% to 382.3 million as of September 2018. On average, the annual number of transactions each Transacting User made was 22.7.
In Q3 2018, Meituan Dianping’s total gross profit increased to 4.6 billion yuan from 3.4 yuan billion in the prior year period. Selling and marketing expenses as a percentage of total revenues decreased to 24.2% from 32.9%. Negative adjusted EBITDA and adjusted net loss were 1.2 billion yuan and 2.5 billion yuan, respectively. Overall monetization rate increased to 13.1% from 9.3%.
Total gross transaction volume (GTV) grew by 40.0% to 145.7 billion yuan in Q3 2018. In the twelve months ended September 30, 2018, annual transacting users increased by 30.3% to 382.3 million. On average, the annual number of transactions each Transacting User made was 22.7, an increase of 32.6% year-on-year. Annual active merchants grew by 44.3% to 5.5 million.
The daily average number of food delivery transactions increased by 48.5% to 19.4 million in Q3 2018. GTV of food delivery business increased by 54.4% to 80.0 billion yuan. Monetization rate was 14.0% in Q3 2018 as compared to 11.7% in Q3 2017.
Revenues from food delivery increased by 84.8% to 11.2 billion yuan, accounting for 58.6% of the total revenue. Gross profit from food delivery increased by 287.3% to 1.9 billion yuan. Gross margin for food delivery expanded to 16.6% in Q3 2018 from 7.9% in Q3 2017.
In-store, hotel & travel
GTV of in-store, hotel & travel businesses grew by 13.9% to 49.3 billion yuan in Q3 2018. The monetization rate increased to 9.0% from 7.0% in the prior year period, which was primarily driven by online marketing revenue.
Revenues from in-store, hotel & travel businesses increased by 46.8% to 4.4 billion yuan. The gross profit increased to 4.0 billion yuan from 2.7 billion yuan. The gross margin increased to 90.6% from 88.5%.
For the hotel booking business, the number of domestic room nights increased by 34.8% to 76.1 million in Q3 2018.
New initiatives and others
GTV from new initiatives and others grew by 83.1% to 16.4 billion yuan in Q3 2018. The monetization rate increased to 21.1% from 6.8%.
Revenues from new initiatives and others increased by 471.3% to 3.5 billion yuan. Gross margin for new initiatives and others decreased to negative 37.4% from 46.2%.