Operating losses at Chinese food delivery and services platform Meituan-Dianping surged 57% year-on-year to RMB 3.7 billion (around $557 million) in the fourth quarter of last year, amid rising costs for its core food delivery business and as a foray into shared bikes via Mobike took its toll.

While the company’s overall revenues almost doubled compared with the same period in 2017, food delivery revenue slumped in the fourth quarter, declining 1.5% quarter-on-quarter due to broader macroeconomic pressure and growing competition, according to the financial statement from Meituan.

The cost of food delivery in the December quarter increased 53.6% year-on-year to RMB 9.5 billion, which management attributed to the mounting salary costs for its delivery fleet.

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Dingzhang Yu

Dingzhang is an intern reporter based in Shanghai. He is fascinated with China's tech landscapes and is also interested in data journalism. Contact him via yudingzhang.robin@gmail.com.

Colum Murphy

Managing Editor, Technode.