Cao Cao Travel (02643)'s mid-term revenue increased 9% year-on-year to a steady increase of 10.3 billion yuan in business

According to the Zhitong Finance App, Cao Cao Travel (02643) announced the 2026 interim results. In the first half of 2026, the company's business achieved steady growth. The company's GTV increased 13.6% from RMB 11 billion for the six months ended June 30, 2025 to RMB 12.4 billion for the six months ended June 30, 2026; the company's travel service revenue increased 13.9% from RMB 8.6 billion for the six months ended June 30, 2025 to RMB 9.8 billion for the six months ended June 30, 2026; and the company's total revenue increased 9.0% from RMB 9.5 billion for the six months ended June 30, 2025 to six months ended June 30, 2026 RMB 10.3 billion. This growth is mainly due to the company's refined operations in existing cities, providing relatively standardized and high-quality services through the company's custom-built vehicles. As a result, the company's average monthly active users increased 17.1% from 38.1 million in the six months ended June 30, 2025 to 44.6 million in the six months ended June 30, 2026.

In 11 quarterly surveys covering thousands of shared travel users across the country from the fourth quarter of 2023 to the second quarter of 2026, Cao Cao Travel was ranked No. 1 in “Best Service Reputation” among China's leading shared travel platforms, fully reflecting the company's relentless pursuit of excellence. The relevant surveys were commissioned by the company and carried out by an independent third party. China's ride-sharing market is huge but its penetration rate is low, and there are huge opportunities for growth. The company will continue to expand the scope of services to new cities. On June 30, 2026, the company's services covered 215 cities, with 20 new cities added in the first half of the year. Furthermore, thanks to its good reputation and brand awareness, as well as continuous optimization of driver and fleet management, the company's capacity has been greatly increased. The company's average number of monthly active drivers increased by 36.8% from 554,000 in the six months ended June 30, 2025 to 758,000 in the six months ended June 30, 2026.

While the scale has steadily expanded, the company's profitability has also increased. The company's gross margin increased from 8.7% for the six months ended June 30, 2025 to 9.0% for the six months ended June 30, 2026. The increase in profitability is mainly due to economies of scale brought about by the expansion of the scale of business operations and increased brand awareness. At the same time, the company's transaction engine “Cao Cao Brain” continues to use AI technology optimization algorithms to improve driver scheduling efficiency and user subsidy allocation efficiency, and effectively reduce user subsidies, thereby improving profitability. The company is actively exploring the expansion from traditional standalone applications to diversified intelligent portal access. The company cooperated with Doubao AI Ecosystem, became one of its first partners in the travel field, and conducted small-scale grayscale tests in June 2026.

Furthermore, with the company's competitive advantage, successful geographical expansion, Robotaxi's strong development momentum, and the strategic relationship with Geely Group, the company will continue to optimize its growth strategy and strive to achieve sustainable growth and improved profitability.