Aaron Wu's questions to ZTO Express (Cayman) Inc (ZTO) leadership • Q2 2025
Question
Aaron Wu of UBS Group AG posed three questions regarding the pricing outlook for the remainder of the year, the progress and cost benefits of using unmanned vehicles, and the potential for increased shareholder returns via buybacks or dividends.
Answer
CFO Huiping Yan addressed pricing by noting that while competition was fierce, recent initiatives have helped stabilize the market, and the long-term trend must shift from price to value. On autonomous vehicles, she detailed ZTO's commercial deployment with partners like Neolix, which can reduce last-mile delivery costs from ~$0.12-0.15 to ~$0.08 per parcel. Regarding shareholder returns, she confirmed the company has sufficient cash for both dividends and buybacks and will continue to monitor market conditions to allocate capital.