Core Viewpoint - Quhuo Limited is changing the ratio of its American Depositary Shares (ADSs) to Class A ordinary shares from 1:10 to 1:900, effective August 25, 2025, which will be treated as a one-for-90 reverse ADS split without affecting the proportional equity interest of ADS holders [1][2][3]. Group 1: ADS Ratio Change - The new ADS Ratio will be one ADS for every 900 Class A ordinary shares, changing from the previous ratio of one ADS for every 10 shares [1]. - A post-effective amendment to the ADS Registration Statement on Form F-6 will be filed with the SEC to reflect this change, and the new CUSIP number for the ADSs will be 74841Q308 [2]. - Existing ADS holders will need to surrender 90 current ADSs to receive one new ADS, with Deutsche Bank Trust Company Americas managing the exchange process [3]. Group 2: Impact on ADS Holders - No fractional ADSs will be allocated due to the change; any aggregate fractions will be sold, and the net proceeds will be distributed to the entitled ADS holders [4]. - The trading price of Quhuo's ADS is expected to increase proportionally as a result of the change, although there is no assurance that it will be equal to or greater than 90 times the previous trading price [5]. Group 3: Company Overview - Quhuo Limited is a leading workforce operational solutions platform in China, providing tech-enabled solutions for on-demand consumer service businesses, including food delivery and mobility services [6]. - The company plays a crucial role in connecting service businesses with consumers, enhancing the efficiency and skill of workers through training and performance monitoring [6].

Industry Overview - The gig economy has significantly increased in popularity since the pandemic, allowing individuals to choose their work hours, workload, and workspace [1] - The gig economy is projected to reach $2.18 trillion by 2034, with a compound annual growth rate (CAGR) of 15.8% from 2025 [4] Company Insights - Uber exemplifies the successful application of the gig economy model, connecting riders with independent contractor drivers for on-demand services [6] - DoorDash dominates the U.S. food delivery market with over 65% market share, utilizing gig workers to maintain a flexible workforce and low operational costs [9] - Amazon plays a significant role in the gig economy through various programs like Flex, DSP, and MTurk, which provide flexible work options and support gig workers [12][13] Gig Worker Benefits - Gig workers enjoy the freedom to set their own schedules and determine their earnings based on completed tasks rather than fixed salaries [7][11] - The gig economy framework allows companies like DoorDash to adapt quickly to changing demand while providing workers with the flexibility to work part-time or full-time [11] Investment Opportunities - Companies such as Uber, DoorDash, and Amazon present potential investment opportunities aligned with the growth of the gig economy [5][8][14]

Summary of Key Points from the Earnings Call Industry Overview - The call focused on the gig economy, particularly companies like DoorDash (DASH), Uber (UBER), Airbnb (ABNB), and Lyft (LYFT) [1][2] Company-Specific Insights DoorDash (DASH) - **Price Target Increase**: The price target for DoorDash was raised from $275 to $300, reflecting strong performance and growth potential [1] - **Strong Execution**: DoorDash reported all-time highs in user frequency, monthly active users (MAUs), and subscribers, driven by growth in US restaurants and international markets [18] - **Growth in Orders**: The company saw an acceleration in US marketplace orders, with significant growth in new cohorts and retention of mature cohorts [18] - **Financial Projections**: The estimates for gross order value (GOV) for 2026 and 2027 were raised by 5% and 7%, respectively, with a corresponding increase in EBITDA estimates [19] Uber (UBER) - **Price Target**: The price target for Uber remains unchanged at $115, with a focus on long-term positioning in the autonomous vehicle market [11] - **Strong Growth Metrics**: Uber reported a 19% year-over-year growth in mobility trips and a 17% growth in delivery trips for Q2 2025 [8][7] - **Financial Performance**: Total gross bookings reached $46.756 billion, reflecting a 17% year-over-year increase [15] - **Market Position**: Uber is outperforming Lyft in the US, with estimates suggesting mid-teens growth for Uber compared to low-teens for Lyft [5] Airbnb (ABNB) - **Price Target Adjustment**: The price target for Airbnb was lowered from $130 to $120, indicating a cautious outlook [1] - **Room Night Growth**: Airbnb's room night growth is projected at 8% for Q3 2025 and 7% for 2026, which is slower compared to Booking Holdings (BKNG) [24] - **Investment Challenges**: The company's strategy to expand beyond core markets is taking longer to yield results, leading to a more challenging growth environment [24][25] Lyft (LYFT) - **Market Position**: Lyft is expected to face challenges as Uber continues to gain market share, with Lyft's growth guidance for Q3 indicating potential deceleration [5] Macro Trends - **Consumer Behavior**: There is a notable shift towards convenience in consumer behavior, particularly in food delivery, which is expected to continue driving growth for companies like DoorDash and Uber Eats [5] - **Autonomous Vehicle Impact**: The debate around autonomous driving remains unchanged, with no significant evidence to suggest a material impact on rideshare dynamics yet [5] Valuation Comparisons - **DASH vs. UBER**: DoorDash is trading at a premium to Uber on a growth-adjusted basis, with a valuation multiple of approximately 28x average EBITDA for 2026/2027 compared to Uber's 18x [20][13] - **ABNB vs. BKNG**: Airbnb's growth-adjusted multiple is approximately 25% higher than Booking Holdings, despite similar growth profiles [24][25] Conclusion - The gig economy is showing robust growth, particularly in food delivery and rideshare segments, with DoorDash and Uber positioned favorably. However, Airbnb faces challenges in scaling its growth strategy, and Lyft is at risk of losing market share to Uber. The overall sentiment remains cautiously optimistic, with adjustments in price targets reflecting the evolving market dynamics.

Core Insights - New research indicates that Uber's quality control mechanisms have made drivers in Chicago as safe and reliable as traditional taxi drivers, suggesting a need for regulators to consider new quality-control measures [1][3][16] Company Practices - Uber employs a system of ratings and notifications to hold drivers accountable, which includes sending alerts for low ratings and providing resources for improvement [2][5] - The company conducts basic checks on criminal history and driving records for new drivers, but does not require extensive training like traditional taxi drivers [4][14] Research Findings - A study analyzed approximately 6.9 million UberX rides in Chicago, revealing that drivers improved their performance significantly after receiving notifications about low ratings [7][10] - The research found that drivers who received detailed feedback on their driving behavior showed greater improvement compared to those who did not [12][11] - UberX drivers outperformed traditional taxi drivers in metrics such as speeding and sudden braking, while taxi drivers were better at minimizing phone usage and taking quicker routes [15][16] Implications for the Industry - The findings challenge the conventional wisdom that experience and training lead to better service quality, suggesting that after-the-fact quality controls could replace burdensome screening processes in some industries [16][17] - The research indicates a potential shift towards removing barriers to entry in professions while maintaining service quality, which could lead to lower prices and fewer safety downsides [17]

Industry Landscape - The gig economy has multiple participants, with Deliveroo representing Britain's flexible labor market [1] - Britain's hiring and firing regulations are among the most lenient within the OECD [1] Political Considerations - The Labour Party views the flexibility of Britain's labor market as a vulnerability [1]

Government Policy & Labor Market - The British government aims to regulate and improve the productivity of the labor market, especially the gig economy [1] - The report questions whether Labour voters are willing to sacrifice the convenience of gig economy services like Deliveroo for the government's vision [1] Industry Implication - The analysis focuses on the potential impact of increased regulation on gig economy services [1] - The report highlights the trade-off between regulation and consumer convenience in the gig economy [1]

Government Policy & Labor Market - The British government aims to regulate and improve the productivity of the labor market, specifically the gig economy [1] - The government's vision may require changes in consumer behavior, such as potentially impacting the convenience of services like Deliveroo [1] Consumer Behavior & Economic Impact - The willingness of Labour voters to accept potential trade-offs between convenience (e.g, Friday night Deliveroo) and the government's policy goals is a key question [1]

Core Viewpoint - Quhuo Limited has announced a strategic partnership with NIU World to create a new chain brand incubation platform focused on fresh beef, aiming to meet the rising consumer demand for premium fresh beef in China through a vertically integrated supply chain ecosystem [1][4]. Group 1: Partnership Details - The partnership employs a dual-engine strategy of "Fresh Beef + New Chain Brands," leveraging NIU World's strengths in the entire industry chain from cattle farming to processing, combined with Quhuo's on-demand food delivery network [2][6]. - The collaboration aims to enhance supply chain efficiency and improve consumer experience while capturing opportunities in the expanding fresh beef market [2][4]. Group 2: Operational Synergies - NIU World controls end-to-end resources, ensuring consistent product quality and supply stability, while Quhuo provides a nationwide real-time delivery network for efficient product delivery [6]. - The initiative is led by Mr. Du Xin, who has extensive experience in brand incubation, and the project achieved over RMB 20 million in sales within the first month, indicating strong market acceptance [6]. Group 3: Market Expansion and Brand Incubation - The joint venture will support high-potential brands with significant fresh beef procurement capacity, offering services in supply chain management, digital operations, and strategic investment to accelerate brand scaling [6]. - The platform has secured cooperation with brands like Zhuang Popo Chinese Fresh Claypot, aiming to create a comprehensive national fresh beef chain brand matrix [6]. Group 4: Supply Chain Financing - The partnership will utilize supply chain financial solutions to help NIU World expand its procurement scale and slaughtering capacity, thereby reducing costs and improving supply chain flexibility [6].

Industry Trend - The AI gig economy is emerging, with compensation being offered in cryptocurrency [1]

Investment & Expansion - Mexican fintech OCN will invest $150 million in Mexico [1] - The investment aims to expand vehicle access for ride-hailing drivers in key Mexican cities [1] Industry Focus - OCN offers car rental models specifically for gig workers [1]