ZTOEFNYSETrucking & Courier Services (No Air)US GAAP · USD

ZTO Express (Cayman) Inc.

ZTO Express (Cayman) Inc. is a Cayman Islands holding company whose operating group provides express delivery and related logistics services in mainland China. Its business is built around a nationwide network partner model that combines outsourced pickup and last-mile delivery with company-controlled line-haul transportation and sorting.

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Revenue49.1bn USD
+10.9 %y/y
Operating profit (EBIT)10.5bn USD
−11.1 %y/y
EBIT margin21.3%
−5.3 ppy/y
Net income9,081m USD
+3.0 %y/y
Free cash flow6,754m USD
+8.6 %y/y

Fiscal year 2025 · change from previous year

Development 2020–2025

01020304050bn USD2020: 25.2 bn USD2020: EBIT 4.8 bn USD20202021: 30.4 bn USD2021: EBIT 5.5 bn USD20212022: 35.4 bn USD2022: EBIT 7.7 bn USD20222023: 38.4 bn USD2023: EBIT 10.0 bn USD20232024: 44.3 bn USD2024: EBIT 11.8 bn USD20242025: 49.1 bn USD2025: EBIT 10.5 bn USD202549.110.5
RevenueOperating profit (EBIT)

Business

Share of revenue
Express delivery services80 %

Core parcel pickup, transit, sorting, and final delivery for e-commerce and other shippers.

Line-haul transportation10 %

Trunk transport between sorting hubs and regional nodes within the network.

Sorting and network operations5 %

Centralized sorting and operating services that support parcel flow across China.

Value-added logistics services5 %

Ancillary logistics and service offerings beyond standard express delivery.

Products

Reported · share of revenue
93.1%FY2025100 %
  • Express Delivery Services93.1 %
  • Sale of Accessories5.0 %
  • Freight Forwarding Service1.6 %
  • Others0.2 %

Source: 20-F FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.

Customers

ZTO serves merchants and platforms that need nationwide parcel distribution in China, especially businesses tied to e-commerce fulfillment. It also handles shipments for other shippers that value broad coverage, speed, and a large partner-enabled delivery network.

E-commerce merchants

Send high parcel volumes through ZTO's network to reach consumers across China.

Online marketplaces and platforms

Use ZTO for broad, reliable parcel distribution tied to platform order flows.

Other business shippers

Buy express delivery and logistics services for domestic shipment needs.

Strategy

ZTO's strategy centers on scaling a partner-enabled express network that can handle large parcel volumes efficiently across China. It emphasizes control of line-haul transport and sorting while leveraging local partners for pickup and last-mile delivery, which supports coverage, flexibility, and operating scale.

Network scale and coverageMedium term

A denser nationwide network improves delivery reach, service reliability, and parcel throughput.

Operational control of core transport nodesMedium term

Control of sorting and line-haul transport helps maintain service consistency across the network.

E-commerce logistics penetrationLong term

Growth in e-commerce parcel volumes is a key demand driver for the express delivery model.

Geography

The business is centered in mainland China, where ZTO operates a nationwide express delivery network. The company is incorporated in the Cayman Islands, listed in New York and Hong Kong, and its principal executive offices are in Shanghai.

Risks

ZTO is exposed to China parcel-demand cycles, competitive pricing, and execution risk in a network-partner model that depends on local pickup and delivery performance. As a domestic express carrier, it also faces regulatory, labor, transportation, and infrastructure risks that can affect service reliability and cost structure.

Sorted by severity
LowMediumHighLowMediumHighImpact →Likelihood →Dependence on China parcel demand1Competitive pricing pressure2Network partner execution risk3
Impact is the risk’s severity and likelihood how probable it is over the next few years, both assessed from the company’s reports. Numbers match the list.
  1. Dependence on China parcel demandImpact: HighLikelihood: High

    Most operating activity is tied to express delivery volumes in mainland China, which move with consumer and e-commerce activity.

    Exposure: Mainland China

  2. Competitive pricing pressureImpact: HighLikelihood: High

    Express delivery in China is a competitive market, and volume growth can come with lower unit economics if pricing weakens.

    Exposure: Domestic express delivery

  3. Network partner execution riskImpact: HighLikelihood: Medium

    Pickup and last-mile delivery rely on network partners, so service quality and customer experience depend on third parties.

    Exposure: Partner network

Accounting

Judgemental items
VIE consolidation

The operating business in China is held through a variable interest entity structure, which requires consolidation judgments.

Impact: Affects which entities and results are included in the group accounts

Accrued delivery and transportation costs

Network partner payments and logistics costs may be recognized based on estimates before invoices are settled.

Impact: Affects cost timing and period-to-period comparability

Seasonality of parcel volumes

Express delivery volumes can vary by quarter due to e-commerce promotions and holiday shipping patterns.

Impact: Affects revenue and expense comparability across quarters

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Last updated: 28/09/2026