Online hotel and lifestyle service company Meituan reported an annual loss of RMB 6,685 million (USD 970 million) for 2022, despite a 22.8% rise in revenue during the time.
Cost of revenues, operating expenses and unallocated items for 2022 was RMB 131.3 billion (USD 19.1 billion), more than 60% of which were food delivery related costs.
The number of transacting users in 2022 was 677.9 million, down by 1.8% from previous year, while the number of active merchants rose more than 5% to 9.3 million.
The company said its in-store, hotel and travel business has been negatively affected by the repeated COVID outbreaks and prolonged pandemic control measures during 2022. For the most of 2022, strict travel controls remained in place, resulting in a prolonged depression of demand for hotel and travel.
Meituan said it diversified its Hotel+X packaged tours, launched joint marketing events with theme parks and major IP attractions, and deepened collaborations with hotel brands.