STO Earnings: Integration Benefits Begin to Show as Market Share Reaches Highs; Shares Undervalued
STO Express' third-quarter revenue and recurring EBIT rose 22% and 69%, respectively, year over year. Parcel volume grew 18%, far outpacing industry growth of 3%, partly due to the acquisition of Danniao. Unit parcel costs fell by approximately CNY 0.04, or 2%, from the previous quarter.