Meituan has reorganized its community group-buying unit, Meituan Select, due to its continued losses, according to a report by LatePost on Tuesday. As part of the reorganization, Meituan has appointed two managers from its B2B food distribution unit, Kuailv, one of the company’s newer initiatives that achieved a national gross profit last year. Meituan’s new initiatives segment saw an operating loss of up to RMB 28.4 billion in 2022 overallm making Kuailv one of its few bright spots. Meituan Select was rebranded as a “next-day supermarket” last October with more product categories available to customers, but it still struggled to generate a profit. According to sources cited by LatePost, Meituan Select is expected to achieve a positive operating profit margin in the third quarter of this year in the Guangdong region, with other regions expected to follow suit by the end of the year. [LatePost, in Chinese]