On March 26, Meituan released its results for the fourth quarter and full year of 2025. The filing showed full-year revenue of RMB 364.9 billion (USD 53.3 billion), up 8% year-on-year (YoY). Amid intense competition in commerce, particularly in food delivery, it reported a net loss of RMB 23.4 billion (USD 3.4 billion) and an operating loss of RMB 17 billion (USD 2.5 billion). Its core local commerce segment recorded an operating loss of RMB 6.9 billion (USD 1 billion), marking the company’s second consecutive operating loss.
Fourth-quarter revenue was RMB 92 billion (USD 13.4 billion), up 4.1% YoY. Adjusted net loss reached RMB 15.1 billion (USD 2.2 billion), compared with adjusted net profit of RMB 9.8 billion (USD 1.4 billion) in the same period a year earlier.
During the earnings call, executives said per-order losses in food delivery are expected to narrow in the following quarter. Since the start of the year, Meituan has continued to lead the market in gross transaction value for mid- to high-priced food delivery orders.
As of the close of trading in Hong Kong on April 9, Meituan shares were at HKD 88, (USD 11.2) giving it a market capitalization of about HKD 543.4 billion (USD 69.4 billion).
Part of the case for investor patience rests on Meituan’s international business, where management is pointing to new markets and improving unit economics.
In 2025, growth in grocery retail and overseas operations lifted revenue in its “new initiatives” segment to RMB 104 billion (USD 15.2 billion), up 19% YoY.
“Keeta in Saudi Arabia is expected to achieve positive monthly unit economics by the end of 2026,” Wang said on the call as he discussed Meituan’s international expansion. Outside Hong Kong, Keeta has already completed coverage of the major countries in the Gulf region and has also launched operations in Brazil.
Earlier, Keeta in Hong Kong turned profitable last October, achieving positive monthly unit economics after 29 months. In Saudi Arabia, management said favorable market characteristics support higher overall profitability in food delivery, suggesting a faster path to positive unit economics than in Hong Kong.
Wang said Meituan’s core principle in China has been to create value across the ecosystem and support long-term industry growth, rather than engage in aggressive price competition. He said Keeta will follow the same approach overseas.
Meituan points to the Middle East as evidence supporting its overseas expansion, where order volume has remained stable despite reduced subsidies. Management said that in Brazil, the focus is Sao Paulo, with priority on building and refining service in the southern parts of the city to establish a differentiated position.
“Overall losses will still exist in 2026 because in the second half of 2025 we entered many new markets and other new countries, and orders in those markets are still growing. But we expect the overall losses from new initiatives in 2026 will not exceed those in 2025.”
Beyond its international business, Meituan used the call to outline a longer-term strategy around artificial intelligence, with an emphasis on real-world deployment.
In 2025, the company increased investment in AI, focusing on infrastructure and physical deployment capabilities. Full-year R&D spending reached RMB 26 billion (USD 3.8 billion), up 23% YoY.
On the call, CEO Wang Xing said the only viable strategy in the current AI cycle is to take an offensive approach. However, he said Meituan will not pursue a token-based strategy, alluding to moves by peers such as Alibaba, which recently established the Alibaba Token Hub (ATH) business group. Instead, Meituan views AI as a way to improve, strengthen, or transform its core local services business.
Wang said that since early 2023, Meituan has made large-scale investments in AI, including talent, and described itself as one of the largest AI investors outside companies with cloud computing roots. It continues to develop its proprietary foundation model, LongCat, while also working with third-party model providers to better understand real-world environments.
He added that effective AI integration depends on accurately identifying user needs and executing tasks efficiently, a challenge that extends beyond chatbot capabilities.
This is particularly relevant in local services, where consumer scenarios are complex, merchant data is fragmented, and much information remains insufficiently digitized. Platforms also require deep capabilities in fulfillment and delivery, an area where AI could provide improvements.
Built on years of operations, Meituan has accumulated extensive data on real-world consumption and a large base of user reviews. It has opened its AI assistant, Xiaotuan, to all users within the Meituan app, covering its full range of local services. Users can input service requests and receive matches with relevant merchants and products.
Wang offered an example: “I work in Wangjing, and my friend is in Zhongguancun. We plan to have lunch together, but we only have two hours. We need to find a Sichuan restaurant somewhere in between that tastes good and has convenient parking.” He said meeting such a request requires integrating map data, point-of-interest information, and real-time restaurant availability.
Drawing on large volumes of real-world data, Xiaotuan can analyze reviews and generate recommendations tailored to individual preferences.
Wang said model capabilities will continue to improve, and Meituan will deepen Xiaotuan’s integration within its app.
Other operating details discussed on the call were secondary but pointed to areas of focus within its broader local retail ecosystem.
For one, Xiaoxiang Supermarket is becoming a more central component of Meituan’s quick commerce strategy. During the reporting period, it maintained growth while improving operating efficiency. By expanding its private-label range and extending coverage into nighttime consumption scenarios, it has sustained fast fulfillment and a consistent user experience.
Management also addressed the acquisition of Dingdong Maicai’s mainland China business, citing two main drivers: improving fresh retail and e-commerce capabilities, particularly in the supply chain, and expanding coverage and service quality in East China, where Dingdong has a strong presence.
Note: HKD, RMB figures are converted to USD at rates of HKD 7.83 = USD 1 and RMB 6.85 = USD 1 based on estimates as of April 10, 2026, unless otherwise stated. USD conversions are presented for ease of reference and may not fully match prevailing exchange rates.