ZTO Express reports Q1 EPS RMB2.71 vs. RMB2.68 last year

Reports Q1 revenue RMB10.891B vs. RMB9.960B. Meisong Lai, Founder, Chairman and CEO of ZTO, commented, “During the Q1, ZTO maintained leading service quality and achieved 8.5B of parcel volume and 2.3B of adjusted net income. Retail volume increased by 46% year over year for the quarter as we penetrated deeper into reverse logistics, and we continued to work closely with various e-commerce platform and enterprise customers to develop differentiated products and services which include time-definite delivery and customized KA consumer services.” Lai added, “We believe competition in China’s express delivery industry has reached the “white-hot” stage, and it is further exacerbated by a greater portion of volume being either low value or loss-making for the logistic service providers. Our approach to network policies has been on maintaining consistency and cultivating long-term stability. At times of fierce competition, we are learning to better leverage our existing competitive advantage and at the same time, stay focused on initiatives that can bring about long-term prospects of profitable growth.”