Quhuo Limited Reports Unaudited Financial Results for the Six Months Ended June 30, 2025

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Quhuo Limited (NASDAQ: QH), a Chinese gig economy platform, reported mixed financial results for H1 2025. The company generated total revenue of RMB1,131.4 million, with significant growth in its housekeeping and accommodation segment. The Chengtu homestay business saw revenue growth of 83.6% YoY with a 55.2% gross margin, while Lailai services increased revenue by 63.6% YoY.

The company is executing a dual-track strategy: optimizing on-demand delivery solutions amid intense competition and expanding housekeeping and accommodation solutions. Quhuo has also partnered with JD.com for delivery services and launched a beef supply chain partnership with NIU World, generating RMB14.4 million in revenue since May 2025.

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On the day this news was published, QH declined 8.18%, reflecting a notable negative market reaction. Argus tracked a peak move of +3.1% during that session. Argus tracked a trough of -15.0% from its starting point during tracking. Our momentum scanner triggered 10 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $575K from the company's valuation, bringing the market cap to $6M at that time.

Data tracked by StockTitan Argus on the day of publication.

BEIJING, Sept. 26, 2025 /PRNewswire/ -- Quhuo Limited (NASDAQ: QH) ("Quhuo" or the "Company"), a leading gig economy platform focusing on local life services in China, today announced its unaudited financial results for the six months ended June 30, 2025.

Despite a challenging market environment and intense industry competition, the Company continued to advance its dual-track strategy: on the one hand, optimizing on-demand delivery solutions to drive growth, and on the other, accelerating the expansion of housekeeping and accommodation solutions to further enhance profitability.

On-Demand Delivery Solutions: Optimizing Structure to Unlock Potential

Quhuo generated total revenue of RMB1,131.4 million in the first half of 2025. In the second quarter of 2025, competition in China's food delivery market intensified, with rising costs passed down to service providers and strategic adjustments by major clients reshaping the industry landscape.

In response, Quhuo focused on workforce management and operational optimization, leveraging its strong track record and reputation to secure new business opportunities. While new site launches and integrations temporarily increased costs, the Company observed signs of market share gains relative to its key competitor since May 2025, which management believes will lay a foundation for sustainable growth.

Meanwhile, Quhuo streamlined its management structure and reallocated resources by exiting underperforming sites and concentrating on higher-revenue locations, thereby improving overall operational quality. Management expects that economies of scale and profitability in on-demand delivery solutions may begin to materialize in the second half of 2025.

Housekeeping and Accommodation Solutions: Significant Growth in Revenue and Profitability

In the first half of 2025, Quhuo's housekeeping and accommodation businesses delivered robust results, with revenue up 70.8% year over year and gross profit increasing 63.4%, becoming a major driver of the Company's earnings mix.

• Chengtu (Homestay Business): Revenue grew 83.6% year over year, while gross profit surged 390.8%, achieving a gross margin of 55.2%. Supported by a scalable operating model and the rollout of its proprietary mini program, Chengtu now provides a seamless, closed-loop service from property search to payment. Looking forward, Chengtu plans to open its platform to more property owners by providing standardized management tools and marketing support, transitioning from a property management service provider into a platform operator.
• Lailai (Hotel and Home Services): Revenue increased 63.6% year over year, driven by its partnership with Ke Holdings Inc. ("Beike"), a leading housing transactions and services platform in China. Lailai provides comprehensive property-related services, including pre- and post-listing maintenance, daily housekeeping, and customized solutions for specific resident groups. Leveraging years of expertise in local life services and its proprietary digital dispatch system, Lailai integrates cleaning, repair, and other services on a single platform, ensuring efficient management and high-quality delivery. Its services currently cover Chengdu, Beijing, Shanghai, Ningbo, and Jinan, with plans to expand to Shenzhen, Guangzhou, and other cities. Management expects these initiatives to serve as new growth engines for Quhuo's sustainable development.

New Business Initiatives: Pursuing Stability While Expanding Opportunities

In the first half of 2025, Quhuo continued to optimize its on-demand delivery operations while expanding its housekeeping and accommodation businesses. Recently, the Company entered into a partnership with JD.com to provide on-demand delivery services in select cities, which management believes could generate incremental revenue in China's competitive food delivery market.

In addition, the Company's beef supply chain partnership with NIU World has been progressing since its launch in May 2025, generating approximately RMB14.4 million in revenue. Management views this as an important milestone in Quhuo's transformation from a fulfillment service provider to a supply chain enabler, creating additional value from its core delivery network.

Outlook

Looking ahead, Quhuo will continue to execute its dual-track strategy—strengthening its core operations while accelerating the growth of new business initiatives. With a focus on efficiency, structural optimization, and innovation, the Company aims to deliver more sustainable and stable long-term returns for its shareholders.

About Quhuo Limited

Quhuo Limited (NASDAQ: QH) is a leading gig economy platform focusing on local life services in China. Leveraging Quhuo+, its proprietary technology infrastructure, Quhuo is dedicated to empowering and linking workers and local life service providers and providing end-to-end operation solutions for the life service market. The Company currently provides multiple industry-tailored operational solutions, primarily including on-demand delivery solutions, mobility service solutions, housekeeping and accommodation solutions, and other services, meeting the living needs of hundreds of millions of families in the communities.

With the vision of promoting employment, stabilizing income and empowering entrepreneurship, Quhuo explores multiple scenarios to promote employment of workers, provides, among others, safety and security and vocational training to protect workers, and helps workers plan their career development paths to realize their self-worth.

Safe Harbor Statements

This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended and the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical or current fact included in this press release are forward-looking statements, including but not limited to statements regarding Quhuo's business development, financial outlook, beliefs and expectations. Forward-looking statements include statements containing words such as "expect," "anticipate," "believe," "project," "will," "may," "potential" and similar expressions intended to identify forward-looking statements. These forward-looking statements are based on Quhuo's current expectations and involve risks and uncertainties. Quhuo's actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of these risks and uncertainties, which include, without limitation, risks and uncertainties related to Quhuo's abilities to (1) manage its growth and expand its operations, (2) address any or all of the risks and challenges in the future in light of its limited operating history and evolving business portfolios, (3) establish in its competitive position in the on-demand food delivery market or further diversify its solution offerings and customer portfolio, (4) maintain relationships with major customers and to find replacement customers on commercially desirable terms or in a timely manner or at all, (5) maintain relationships with existing industry customers or attract new customers, (6) attract, retain and manage workers on its platform, and (7) maintain its market shares in relation to competitors in existing markets and its success in expansion into new markets. Other risks and uncertainties are included under the caption "Risk Factors" and elsewhere in the Company's filings with the Securities and Exchange Commission, including, without limitation, the Company's latest annual report on Form 20-F. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. All forward-looking statements are qualified in their entirety by this cautionary statement, and Quhuo undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date hereof.

 

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SOURCE Quhuo Limited