China's Full Truck Alliance Q1 revenue rises 5.5% on transaction service growth

Full Truck Alliance

21/05/2026 09:41

Overview

China digital freight platform's Q1 2026 revenue rose 5.5% yr/yr

Adjusted net income for Q1 2026 declined yr/yr

Company declared Q2 2026 cash dividend totaling about $87.5 mln

Outlook

Company expects Q2 2026 net revenues between RMB3.07 bln and RMB3.17 bln

Company expects Q2 2026 net revenues excluding freight brokerage service of RMB2.21 bln to RMB2.30 bln

Full Truck Alliance says ongoing AI integration expected to improve logistics efficiency

Result Drivers

ORDER GROWTH - Co said increases in fulfilled orders and shipper MAUs drove Q1 revenue growth, with network effects strengthening both sides of its platform

TRANSACTION SERVICE REVENUE - Co said transaction service revenue grew over 33% yr/yr, driven by increases in order volume, penetration rate and per-order transaction service fee

COST INCREASES - Higher general and administrative expenses due to increased share-based compensation and R&D costs from Giga.AI consolidation weighed on profitability

Company press release: ID:nPn46ctNha

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
RMB 2.85 bln
Q1 Adjusted Net Income
RMB 1.20 bln
Q1 Net Income
RMB 994.10 mln
Q1 Adjusted Operating Income
RMB 1.22 bln
Q1 Operating Income
RMB 1.006 bln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy"

Wall Street's median 12-month price target for Full Truck Alliance Co Ltd is $12.83, about 51.6% above its May 20 closing price of $8.46

The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 14 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)