Meituan's Hong Kong shares rise for two consecutive days

Meituan's Hong Kong shares rose for two consecutive days following the announcement of its fourth quarter and full-year 2021 results. 29 March closed with Meituan at HK$159.3 per share, up 5.78%, with a total market capitalisation of HK$984.749 billion. On March 28, Meituan's Hong Kong shares closed at HK$150.6 per share, up 11.56%.

Meituan announced its fourth quarter and full-year 2021 results after the Hong Kong stock market closed on March 25, with revenue of 179.1 billion yuan in 2021, up 56% year-on-year. 2021 saw transactions on Meituan's takeaway platform amount to 720.1 billion yuan, up 43.6% year-on-year;

Meituan takeaway achieved revenue of 96.3 billion yuan. In addition, Meituan continued to increase its nationwide investment in infrastructure, including warehousing and distribution logistics, with adjusted net loss expanding to RMB3.9 billion in the fourth quarter year-on-year and adjusted net loss for the full year to RMB15.6 billion.

In response to Meituan's performance during the reporting period, a number of institutions believe that the loss control was better than expected.

Among them, IFC's research report mentioned that Meituan's performance may be more resilient to repair as the impact of the epidemic in key regions wanes, and the company's long-term strategy and solid competitive barriers will become the fundamental support for its continued development.