Meituan-W (HKEX: 03690) has unveiled its financial results for the second quarter and the first half of fiscal 2026, showcasing a resilient performance buoyed by a rationalizing competitive landscape and seasonal tailwinds. During the April-to-June period, the technology giant generated RMB 104.6 billion in revenue, marking a 14.4% year-over-year increase, while achieving a profit of RMB 2.2 billion for the quarter.
The company's core local commerce segment continued to demonstrate strength, with revenues reaching RMB 71.5 billion, up 10.1% from the prior year quarter. This growth was underpinned by sustained improvements in order mix, user demographics, and operational efficiencies within its on-demand retail businesses. Notably, operating profit for this division swung back to positive territory on a quarter-over-quarter basis, reaching RMB 5.7 billion, fueled by enhanced core user stickiness and high-quality expansion across its in-store, hotel, and travel verticals.
Meituan's newer initiatives, encompassing food and grocery retail alongside its international ventures, also made headway in improving operational efficiency. The new business segment posted revenue of RMB 33.1 billion, a robust 25% increase year-over-year, while successfully narrowing its operating loss to RMB 1.7 billion. Within grocery retail, the company deepened its "online + offline" channel strategy, with its XiaoXiang Supermarket footprint expanding to 68 cities and its Kuailehou physical store network reaching 40 locations nationwide.
Reinforcing its commitment to technological leadership, Meituan-W allocated RMB 7.7 billion to research and development in the second quarter, representing a substantial 22.5% surge compared to the same period last year and accounting for 7.3% of total revenue. In June, the company unveiled LongCat 2.0, its next-generation proprietary large language model, which stands as the industry's inaugural trillion-parameter model to complete both training and inference entirely on a domestic computing cluster.
Commenting on the results, CEO Wang Xing affirmed, "We will steadfastly increase our investment in ecosystem and technology, driving the integration of AI into real-world business scenarios to elevate user and merchant experiences while enhancing our operational efficiency—ultimately helping everyone eat better and live better."
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