ZTO Express (Cayman) (NYSE:ZTO) Trading Up 7.7%

ZTO Express (NYSE: ZTO) is a leading express delivery company in China that operates through its subsidiaries in mainland China and Hong Kong. The company's core business involves providing express delivery services to customers in China, including e-commerce companies, small and medium-sized enterprises (SMEs), and individuals.

On August 19, 2021, ZTO Express announced that its Class A common stock had begun trading on The New York Stock Exchange (NYSE) under the symbol "ZTO." This marked a significant milestone for the company as it allowed it to tap into the global capital markets and raise additional funds to support its growth initiatives.

According to the company's press release, ZTO Express had already raised $1.2 billion in net proceeds from the initial public offering (IPO) of its Class A common stock on The Hong Kong Stock Exchange (HKEX) in June 2021. The company plans to use the proceeds from both IPOs to invest in expanding its express delivery network, enhancing its technology capabilities, and pursuing strategic partnerships.

In addition to its core express delivery business, ZTO Express also offers a range of value-added services, including logistics management, warehousing, and customs clearance. The company has a strong presence in China, with a network of over 10,000 pickup and drop-off locations and more than 300,000 delivery vehicles.

ZTO Express's financial performance has been strong in recent years, with revenue growing at a compound annual growth rate (CAGR) of 27.6% from 2018 to 2020. The company's net income also increased from $43.5 million in 2018 to $1.2 billion in 2020, reflecting its ability to generate strong revenue growth and manage costs effectively.

Overall, ZTO Express's successful IPO on the NYSE represents a significant milestone for the company as it continues to expand its business and tap into the global capital markets. With its strong financial performance and growing market presence, ZTO Express is well-positioned to benefit from the ongoing growth of the express delivery industry in China and beyond.