J P M O R G A N Asia Pacific Credit Research 28 August 2025 Meituan (3690) Balance sheet deterioration + potential rating downgrade = move to Neutral Meituan's 2Q25 net profit dropped 90% yoy, as it ramped up consumer subsidies to fend off Alibaba and JD from a fierce food delivery competition. We expect the company to turn loss-making along with a deterioration in credit profile in 2025E/26E, as a result of (1) potential market share loss to Alibaba due to the latter's strong commitment to expand in the Ch ...