Chinese group-buying website Meituan Dianping on March 11 reported its second quarterly loss since its Hong Kong IPO in September last year.
Meituan posted adjusted net loss of 1.86 billion yuan for fourth quarter 2018, versus a loss of 1.39 billion yuan from the year-ago period. The S&P Global Market Intelligence consensus normalized net loss estimate for the quarter was 2.24 billion yuan, with two analysts reporting.
Meanwhile, revenue for the three months to Dec. 31, 2018, jumped 89% year over year to 19.80 billion from 10.48 billion yuan. The company saw revenue growth of 66.1% to 11 billion yuan in its food delivery segment; 48% to 4.59 billion yuan in its in-store, hotel and travel segment; and 462.1% to 4.20 billion yuan in its new initiatives segment.
Selling and marketing expenses accounted for 22.9% of the total revenue, compared to 32.1% in the year-ago period. Gross transaction value rose 32.5% year over year to 138 billion yuan from 104.1 billion yuan.
For full-year 2018, Meituan Dianping reported that adjusted net loss rose to 8.52 billion yuan from 2.85 billion yuan in 2017, still better than the S&P Global Market Intelligence consensus net loss estimate of 9.45 billion yuan.
Revenue increased by 92.3% year over year to 65.22 billion yuan and GTV grew 44.3% to 515.6 billion yuan.
The company said it plans to solidify its market leadership in the food delivery sector in 2019 and to improve its platform's monetization capabilities by expanding its categories and deepening merchant penetration.
It also mentioned on the earnings call that it is currently restructuring its Mobike international business, which will lead to the closure of most international markets.
As of March 8, US$1 was equivalent to 6.72 Chinese yuan.