In Q2 2021, GTV of Meituan food delivery business increased by 59.5% year over year. The daily average number of food delivery transactions increased by 58.9% year over year to 38.9 million.
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The number of its transacting users grew to 628.4 million while the number of active merchants grew to 7.7 million.
Food delivery
In Q2 2021, GTV of Meituan food delivery business increased by 59.5% year over year to RMB173.6 billion.
The daily average number of food delivery transactions increased by 58.9% year over year to 38.9 million.
Revenue increased by 59.0% year-over-year to RMB23.1 billion. Operating profit increased 95.2% to RMB2.4 billion in the second quarter of 2021, with the operating margin further improving to 10.6% from 8.6%.
In-store, hotel & travel
Meituan’s in-store, hotel & travel segment continued to post steady growth, with revenue growing by 89.3% year-over-year to RMB8.6 billion in the second quarter of 2021.
Operating profit increased 93.7% to RMB3.7 billion in the second quarter of 2021 from RMB1.9 billion in the same period of 2020, and with the operating margin increasing to 42.6% from 41.6%.
For hotel booking, demand for travel continued to rise compared to the previous quarter.
Meituan’s domestic room nights surpassed 140 million for the second quarter of 2021, representing a stellar 81% year-over-year growth, and a two-year CAGR of 22% from the same period of 2019
New initiatives and others
During the second quarter of 2021, Meituan expanded investments in new initiatives, especially around retail, which corresponds perfectly with Meituan’s “Food+Platform” strategy.
Revenues from the new initiatives and other segments increased by 113.6% year-over-year to RMB12.0 billion, primarily driven by the growth in retail businesses, B2B food distribution services, and bike-sharing and moped services.
Operating loss for the segment increased both year-over-year and quarter-over-quarter to RMB9.2 billion in the second quarter of 2021, while operating margin improved sequentially by 4.8 percentage points to negative 76.8%.
Finance Highlights
For the second quarter of 2021, Meituan continued to showcase strong growth momentum, with revenues increasing by 77% in the second quarter of 2021 to RMB43.8 billion from RMB24.7 billion for the same period of 2020.
Meituan’s food delivery and in-store, hotel & travel segments maintained high growth during the quarter, realizing an aggregate operating profit by segment of RMB6.1 billion in the second quarter of 2021, an increase from RMB3.1 billion for the same period of 2020.
On the other hand, operating loss for the new initiatives and other segments widened as it continues to invest in areas. As a result, both adjusted EBITDA and adjusted net loss experienced negative year-over-year growth for the second quarter of 2021 and decreased to negative RMB1.2 billion and RMB2.2 billion, respectively.
Meituan’s net cash flows generated from operating activities decreased to RMB2.9 billion in the second quarter of 2021 from RMB5.6 billion for the same period of 2020.
It had cash and cash equivalents of RMB71.4 billion and short-term treasury investments of RMB51.1 billion as of June 30, 2021, compared to the balances of RMB17.8 billion and RMB35.3 billion as of March 31, 2021, respectively.