Meituan 3690 02 (Jun 23 - Dec 27)

[winston]

vested

Meituan Posts Third Straight Profit After Chinese Travel Grew

by Sarah Zheng

Sales rose 22% to 76.5 billion yuan ($10.7 billion) in the quarter ended September, compared to an average projection for 76.01 billion yuan.

Net income almost tripled to 3.59 billion yuan.

Order volumes would slow this quarter, given short-term headwinds from the macroeconomy and extreme weather.

Expanded into adjacent areas like grocery retailing and group-buying, although in March it abandoned its costly self-operated ride-hailing service. As the domestic e-commerce rivalry heats up, Meituan has deepened its investments in short video and live-streaming to compete with upstarts like ByteDance Ltd’s Douyin.

Source: Bloomberg

https://finance.yahoo.com/news/meituan- ... 24190.html

[winston]

vested

MEITUAN 3Q Non-IFRS Adj. NP Grows 62.4% YoY to RMB5.73B, Topping Forecast

MEITUAN-W (03690.HK) announced its results for the third quarter ended September 2023.

It recorded a net profit of RMB3.593 billion, up 1.95 times year-on-year, and higher than the profit of RMB2.4-3.502 billion as predicted by three brokers consolidated in this website.

On a non-IFRS basis, an adjusted profit of RMB5.727 billion was recorded, representing a 62.4% year-on-year increase, which was higher than the forecasted adjusted profit of RMB4.823-5.695 billion by the eight brokers consolidated in this website.

The adjusted EBITDA gained 28.9% year-on-year to RMB6.189 billion.

During the period, revenue amounted to RMB76.467 billion, representing a 22.1% year-on-year growth.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/analy ... stock-news

[winston]

vested

Meituan cautious as profit triples

by Themis Qi

Tripled its net profit to 3.59 billion yuan (HK$3.93 billion).

Growth in its main meal delivery business should slow this quarter and spending on promotions rise.

Expects diners to take advantage of atypically warm weather to dine out, even as the macroeconomic environment remains weak.

Revenue from in-store, hotel booking, and travel sector businesses benefited from a domestic travel rebound over the summer with transaction volume rising 90 percent year-on-year.

Source: The Standard

https://www.thestandard.com.hk/section- ... it-triples

[winston]

vested

Broker│Opinion

Jefferies│Maintains long-term bullish view

Citi│Quarterly revenue broadly in line with expectations

CLSA│Sustainable and healthy growth

JPMorgan│Financial outlook deteriorated due to macro and investment impacts

Nomura│Quarterly results in line, but 4Q guidance weak

BOCI│Efficiency improvement

Goldman Sachs│Mixed quarterly results

UOB Kay Hian│Solid quarterly results

Huatai Securities│Moving forward amidst challenges

Haitong International│Pressure in the current quarter

UBS│Quarterly results in line, more investments may drag down profitability

Morgan Stanley│Uncertain growth and profitability outlook

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

vested

Order volume growth may slow down in 4Q23F

Revenue grew 22.1% yoy to Rmb76.5bn in 3Q23, in line with our expectation, driven by solid growth of core local commerce (+25% yoy) and new initiatives (+15% yoy).

Adjusted NP reached Rmb5.7bn in 3Q23, up 62.4% yoy, beating our expectation, driven by GPM expansion and operating leverage.

We expect Meituan to deliver yoy topline growth of 19% in 4Q23F (+21% for core commerce and +15% for new businesses), and its adjusted NP to grow 332% yoy.

Reiterate Add, with a higher DCF-based TP of HK$276.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... 15BFD99345

[winston]

vested

JPM Slashes MEITUAN-W (03690.HK) TP to $67, Trims Financial Forecasts

JPMorgan remarked in a report that MEITUAN-W (03690.HK) shares have been down 23% so far after the market cut its 2024 adjusted EPS forecast by 2%, implying a further 21% P/E cut this year.

However, JPM believed that MEITUAN's core business earnings growth prospects and competition in the local services market, would play an important role in determining the valuation multiple.

The broker dropped its revenue and operating growth forecasts for the group's core local businesses this year to 15% and 5%, respectively, due to the weak macro-economy and competition in the local services market.

The broker's target price on MEITUAN is accordingly axed from $100 to $67, and the rating is Neutral.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

vested

Meituan (3690 HK)
4Q23 Preview: Pressured Margin Given Persisting Headwinds And Competition

Despite the solid consumption momentum of Spring Festival 2024, we remain cautious
on Meituan moving into 2024, as we see a few potential downside risks including:
a) shrinking operating margin in ISHT due to aggressive competition from Douyin,
b) moderating FD order volume growth, and
c) a lukewarm macro environment.

We saw a shift in the valuation methodology for Metiuan from SOTP to PE due to an overall
slower revenue growth.

Downgrade to HOLD and lower our target price to HK$70.00.

Source: UOBKH

https://research.uobkayhian.com/content ... 153eb6cacf

[winston]

vested

M Stanley: MEITUAN-W (03690.HK) Shr Price Surge May be Tied to More Ambitious Loss Cuts in Meituan Select Reportedly

Surged more than 10% on Friday (1 Mar), believed to be due to reports that the company may stop operating Meituan Select, its community group-buying business, in a bid to cut losses from its new initiatives segment.

The broker estimated new initiatives operating losses of RMB15 billion and RMB10 billion for this year and next year respectively, with a potential 14% upside in share price from current levels, assuming the new initiatives break even next year.

Source: AAstocks.com

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

Citi's Forecast of MEITUAN-W (03690.HK) 4Q23 Results (Table)

Citi Research released a report, outlining its forecast of MEITUAN-W (03690.HK)'s 4Q23 results:

Item│4Q23 Forecast│YoY Change

Total revenue│RMB72.476 billion│+20.5%

Core local commerce revenue│RMB54.201 billion│+24.7%

New business revenue│RMB18.275 billion│+9.7%

Gross profit margin│34.3%│+6.1 ppts

Non-IFRS adjusted profit│RMB3.346 billion│+303.6%

Non-IFRS adjusted EBITDA│RMB4.571 billion│+54.4%

Profit│RMB1.62 billion│Loss to Profit


Related News: CLSA Trims MEITUAN-W (03690.HK) TP to $182, Expects 4Q23 Rev. to Grow Healthily

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

vested

Meituan’s revenue beats estimates after staving off ByteDance's challenge

By Jane Zhang

Meituan’s quarterly revenue climbed 23%, a sign that it’s making headway in efforts to fend off a challenge from ByteDance Ltd’s Douyin in China’s meal delivery arena.

Sales of 73.7 billion yuan (RM47.98 billion) in the December quarter, versus the 72.7 billion yuan average projection. Net income was 2.22 billion yuan, also better than a consensus of estimates

Source: Bloomberg

https://theedgemalaysia.com/node/705634