MEITUAN(03690) 安信国际证券·2024-09-02 06:02Investment Rating - The report assigns a "Buy" rating for the company [6]. Core Insights - The company has shown strong performance in the second quarter, with net profit exceeding market expectations by 23%, and core local business operating profit increasing by 37% year-on-year [11]. - The company is benefiting from improved operational efficiency and a reduction in losses from new business segments, with a significant narrowing of losses to 1.3 billion RMB, better than the market's expectation of 2.1 billion RMB [34]. - The target price has been raised to 151 HKD, reflecting an increase in profit forecasts for the core local business [15]. Financial Performance - Total revenue for Q2 reached 82.3 billion RMB, a year-on-year increase of 21%, slightly above market expectations [14]. - Core local business revenue grew by 19% year-on-year to 60.7 billion RMB, while new business revenue increased by 29% to 21.6 billion RMB [14]. - Adjusted EBITDA rose by 95% to 15 billion RMB, surpassing market expectations by 23% [14]. - The company has also announced a new share buyback plan worth 1 billion USD, enhancing shareholder returns [15]. Operational Highlights - The company has seen a robust increase in order volume for its on-demand services, with daily order volume for instant delivery reaching 67.77 million, a year-on-year increase of 14.2% [12]. - The active user base for food delivery has grown to 730 million, with an increase in order frequency among high-frequency users [12]. - The penetration rate of flash purchase services among food delivery users has reached 50%, expanding into various categories [12]. Future Projections - The company expects a revenue growth of 20.6% year-on-year for Q3, with core local business and new business projected to grow by 19% and 25% respectively [15]. - The adjusted net profit forecast for 2024 has been raised by 23%, indicating strong growth potential [15].