Meituan Q3 sales surge on China’s economic recovery, rise in takeouts

Meituan reported a 29% rise in quarterly revenue after China’s economic recovery boosted restaurants and whetted consumers’ appetite for takeout.

The world’s largest meal delivery service posted sales of 35.4 billion yuan ($5.4 billion) during the July-September period, beating the average estimate of 34 billion yuan. It also logged net income of 6.3 billion yuan, versus a projected 435 million yuan. Profit was bolstered by 5.8 billion yuan in investment gains.

The strong results affirm Meituan’s bounce-back from the pandemic disruptions of past quarters and could assuage investors worried about the impact of a Chinese antitrust crackdown on the internet sector. China’s third-largest tech corporation is now benefiting from rising travel and restaurant spending as the country returns to normal.