Zhongtong Finance learned that Citigroup has issued a research report stating that it maintains a "buy" rating on Meituan-W (03690) with a target price of HKD 140. Citigroup said that KeeTa recently announced its launch in Hong Kong 7-11, and believes that it will help the company expand its scope to non-food categories such as daily necessities, flowers, cakes, and other categories in the future. There are also reports that the company will enter the Middle East region in September or October.

The bank expects Meituan's quarterly revenue to reach RMB 80.2 billion, up 18% year-on-year, and the non-GAAP net profit is expected to reach RMB 12.6 billion, higher than the market's general forecast. The bank expects the company's performance in the second quarter to be roughly in line with expectations, and the core local business operations to be slightly ahead. The focus is on the growth in food delivery transaction volume and unit economic efficiency, revenue growth and profit margin trends in dine-in business in the third and fourth quarters, and the latest developments on KeeTa.