- Q3 revenue up 8.6%; international revenue up 35%
- International expansion weighs on profitability
- Expansion focusing on Latin America
BEIJING, Nov 26 (Reuters) - Didi Global reported an 8.6% rise in third-quarter revenue on Wednesday as the international expansion of China's largest ride-hailing platform accelerated, while its domestic market remained stable.
Didi operates China's dominant ride-hailing platform and has expanded internationally, primarily in Latin America, offering both ride-hailing and food delivery services.
Revenue reached 58.6 billion yuan ($8.28 billion) for the three months ended September 30, the company said on Wednesday. Net profit for the period was 1.5 billion yuan, compared with 900 million yuan in the same period last year.
The international segment, while representing a small fraction of total revenue, grew 35% to 3.96 billion yuan. Revenue from Didi's China Mobility segment rose 7.6% to 51.8 billion yuan.
ACCELERATING OVERSEAS INVESTMENT
The company has accelerated overseas investment this year, notably expanding food delivery to additional cities including Sao Paulo in August.
The international expansion weighed on profitability, with adjusted losses from the overseas segment rising by 1.4 billion yuan to 1.7 billion yuan.
In China, Didi maintains its leading position in ride-hailing while facing intensifying competition from rivals including Alibaba (9988.HK), opens new tab and Meituan (3690.HK), opens new tab.
These companies have integrated ride-hailing into broader digital ecosystems, appealing to users who prefer consolidated super-apps that connect passengers with multiple service providers, including smaller regional operators.
Didi resumed expansion in early 2023 after a regulatory crackdown that began in 2021 when the company pursued a U.S. initial public offering without Beijing's approval.
($1 = 7.0812 Chinese yuan renminbi)
Reporting by Liam Mo and Brenda Goh; Editing by Louise Heavens and Conor Humphries
Source: Reuters