On July 29th, Guolonghui | HTSC released a report stating that Meituan has resilient profitability under pressure due to years of refined operation, and gave it a target price of HKD 150.7, maintaining a "buy" rating. The bank expects Meituan's Q2 revenue to reach RMB 79.92 billion, an increase of 17.6% YoY; non-IFRS net income of RMB 8.92 billion, an increase of 16.4% QoQ. Revenue forecast for 2024-2026 is RMB 325.2 billion, RMB 383.7 billion, and RMB 450.1 billion, respectively, with YoY growth rates of 17.5%, 18%, and 17.3%. Non-IFRS net profit forecasts are RMB 37.9 billion, RMB 53.4 billion, and RMB 70 billion, respectively, with YoY growth rates of 63.1%, 40.8%, and 31.1%. The bank expects that Meituan's Q2 food delivery order volume will increase by 13% YoY, and food delivery revenue will increase by 11%, mainly due to a slight decrease in the average order value under the trend of cost-effective consumption. On the profit side, the company actively improves the efficiency of subsidies and advertising monetization. It is expected that the unit profit of food delivery in Q2 will be RMB 1.6.