The express delivery industry is gradually getting rid of the vicious price war in the past and beginning to move towards healthy competition. The latest data shows that the industry’s single-ticket revenue continues to increase, and industry representatives point out that the express delivery industry concentration will further increase.
Business volume decreased, single ticket revenue generally increased
On the evening of May 18, a number of express delivery companies announced their main operating data in April, and the industry generally showed an increase in revenue and an increase in single-ticket revenue.
Yunda Co., Ltd. (002120) announced that the revenue of express service business in April was 2.859 billion yuan, a year-on-year increase of 0.03%, the completed business volume was 1.132 billion votes, a year-on-year decrease of 19.37%, and the express service single ticket revenue was 2.53 yuan, a year-on-year increase of 24.02%.
In April 2022, YTO Express (600233) achieved express product revenue of 3.122 billion yuan, a year-on-year increase of 10.78%, business completion volume of 1.246 billion tickets, a year-on-year decrease of 4.83%, and express product single-ticket revenue of 2.51 yuan, a year-on-year increase of 16.41%.
Yuantong Express said that from the end of 2021, the settlement mode of the Cainiao parcel business in the company’s express delivery business will be adjusted from the original settlement between Hangzhou Cainiao Supply Chain Management Co., Ltd. and franchisees to direct settlement with the company. In April 2022, due to the above adjustments, the company’s rookie wrap business affected the single-ticket revenue of express products by about 0.07 yuan. After excluding such effects, the company’s express product single-ticket revenue was 2.44 yuan, a year-on-year increase of 13.43%.
STO Express (002468) achieved a revenue of 2.033 billion yuan in express service business in April 2022, a year-on-year increase of 11.42%, and completed a business volume of 791 million tickets, a year-on-year decrease of 7.68%. The company said that in April 2022, the adjustment of the company’s Cainiao wrapping business settlement model affected the express service revenue of about 0.11 yuan per ticket. After excluding the impact, the single ticket express service revenue was 2.46 yuan, a year-on-year increase of 15.49%.
The day before, SF Holding (002352.SZ) also disclosed the “April 2022 Express Logistics Business Operation Briefing”. The announcement shows that the company’s operating income in April 2022 will reach 18.227 billion yuan, a year-on-year increase of 29.45%. SF Holding’s single-ticket revenue in April increased by 1.65% year-on-year, which has maintained year-on-year growth for 6 consecutive months, and the quality of operation has been continuously improved.
It is understood that the unit price of the express delivery industry will generally rise in November 2021, and the unit price of express products and services in the first quarter of 2022 will remain relatively stable after the peak season in the fourth quarter of 2021.
Industry gradually bid farewell to vicious competition
From the perspective of the whole industry, the overall business volume of the national express delivery service industry in April still showed a downward trend. According to the operation of the postal industry in April announced by the State Post Bureau on May 16, from January to April, the total business volume of express service enterprises nationwide completed 31.71 billion pieces, a year-on-year increase of 4.2%, and the cumulative revenue reached 313.33 billion yuan, a year-on-year increase of 2.3%. In April, the business volume of national express delivery service enterprises completed 7.48 billion pieces, a year-on-year decrease of 11.9%, and the business income reached 74.05 billion yuan, a year-on-year decrease of 10.1%.
From January to April, the top five cities in terms of express delivery business were Guangzhou, Jinhua (Yiwu), Shenzhen, Jieyang and Hangzhou. The top five cities in terms of express business revenue are Shanghai, Guangzhou, Shenzhen, Hangzhou, and Jinhua (Yiwu).
It is worth mentioning that since May, the express delivery industry has shown signs of recovery, and transportation capacity has been released in an orderly manner. Data from the State Post Bureau shows that this year’s “May 1” holiday express delivery investment volume exceeded that of the same period last year, with year-on-year growth of 2.3% and 19.7% respectively. In addition, the continuous development of the logistics supply guarantee policy will help promote the accelerated recovery of express logistics operations.
YTO Express executives said in an investor survey recently that the express delivery industry has a broad space for development. First, as one of the representative industries of the new economy, the express delivery industry has a sufficiently large business scale; secondly, the industry scale effect and network effect are significant, and asset barriers are high; at the same time, the franchise express delivery industry has an excellent business model, with accounts receivable and inventory Less cash flow.
YTO Express believes that in 2021, the express delivery industry will achieve milestone development with business volume exceeding 100 billion yuan and business revenue exceeding 1 trillion yuan. Various regulatory policies have been introduced one after another, and the industry’s operating environment has improved significantly. The competition strategy of major express service companies will gradually change from price to price. Driven to value-driven, the price of a single ticket has gradually stabilized and rebounded, and the industry price has continued to return to a reasonable level. The express delivery industry will transform from “bigger” to “stronger” in the future, and gradually enter a new era of high-quality development.
“In recent years, small and medium-sized express delivery service companies and some express delivery brands have gradually withdrawn from the market. In the future, the market share of major express delivery service companies will continue to expand, and the industry concentration will further increase. With the guidance of industry regulatory policies and the transformation of the business strategies of leading companies, the past The vicious price competition in China is unsustainable, and the industry will be differentiated under the relatively stable price situation, and companies with strong management capabilities and excellent service quality will stand out.” YTO Express said.
Essence Securities’ latest research report pointed out that the logistics supply guarantee policy continued to exert force, the express delivery volume rebounded, and the industry continued to recover. For the Tongda department, the single-ticket profit of each company still maintained a high level, and it is optimistic that the leading performance will improve.