Zto Express (Cayman), Inc. Sponsored Adr Class A ( (ZTO) ) has released its Q3 earnings. Here is a breakdown of the information Zto Express (Cayman), Inc. Sponsored Adr Class A presented to its investors.
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ZTO Express (Cayman) Inc. is a leading express delivery company in China, providing comprehensive logistics services through an extensive nationwide network. In its latest earnings report for the third quarter of 2025, ZTO Express reported a 9.8% increase in parcel volume to 9.6 billion and a 5.0% growth in adjusted net income to RMB2.5 billion. The company’s revenues rose by 11.1% to RMB11.9 billion, driven by a strong performance in its core express delivery services, which saw an 11.6% increase in revenue. However, the gross profit decreased by 11.4% to RMB2.96 billion, reflecting a decline in gross margin from 31.2% to 24.9%.
Key financial highlights include a 6.7% rise in net income to RMB2.54 billion and a 3.2% growth in net cash generated from operating activities to RMB3.21 billion. Despite a decrease in adjusted EBITDA by 4.2% to RMB3.58 billion, the company maintained a stable SG&A cost structure at 5.3% of revenue. Operationally, ZTO expanded its network with over 31,000 pickup/delivery outlets and more than 6,000 direct network partners.
Looking ahead, ZTO Express remains committed to quality growth and market expansion, despite a complex macroeconomic environment. The company has adjusted its annual volume guidance to reflect a 12.3% to 13.8% year-over-year growth, emphasizing the importance of network stability and sustainable future growth. Management expresses confidence in executing its corporate strategy to become a leading logistics service provider globally.