Quhuo Reports Unaudited Financial Results for the First Half of 2024

Core Viewpoint - Quhuo Limited reported a mixed financial performance for the first half of 2024, with significant growth in mobility service solutions but an overall decline in total revenues compared to the previous year [2][5][6]. Financial Performance - Total revenues decreased by 6.7% from RMB 1,736.3 million (US$ 239.5 million) in the first half of 2023 to RMB 1,619.9 million (US$ 222.9 million) in the first half of 2024 [5][24]. - Revenues from mobility service solutions increased by 71.7% year-over-year, reaching RMB 100.5 million (US$ 13.8 million) [2][6]. - Revenues from on-demand delivery solutions decreased by 9.1% to RMB 1,499.1 million (US$ 206.3 million) due to business optimization efforts [6][24]. - Housekeeping and accommodation solutions revenues fell by 27.8% to RMB 20.4 million (US$ 2.8 million) as a result of a business model transition [6][24]. Cost Management - Cost of revenues decreased by 4.5% year-over-year to RMB 1,595.2 million (US$ 219.5 million), primarily due to reduced labor costs and service fees [7][24]. - General and administrative expenses were reduced by 13.2% to RMB 70.9 million (US$ 9.8 million), attributed to expense control measures [8][24]. - Research and development expenses decreased by 25.7% to RMB 4.9 million (US$ 0.7 million) due to restructuring of the R&D team [8][24]. Operational Highlights - Quhuo International signed service contracts for over 3,000 vehicle units under its vehicle export solutions, with 815 units shipped in the first half of 2024 [2][3]. - The company expanded its services to 132 cities nationwide, up from 119 cities in the first half of 2023 [2][3]. Future Outlook - The company aims to advance its housekeeping services in China through partnerships with leading long-term rental platforms [4]. - There is significant growth potential in the vehicle export business, with expectations for increased revenue and shipments [4]. - Quhuo is focusing on global expansion, piloting on-demand delivery and ride-hailing services in select international cities [4].