BingEx (NASDAQ:FLX), which operates under the FlashEx brand, reported first-quarter 2026 revenue of RMB 935.3 million, down from RMB 960.8 million a year earlier, as management cited intensifying market competition in China’s on-demand delivery industry.
Founder, Chairman and Chief Executive Officer Adam Xue said the company delivered “a stable performance amid a dynamic market environment,” fulfilling 57.9 million orders during the quarter. FlashEx had 3.1 million registered riders at quarter-end, and its average delivery time improved to 25.7 minutes.
The company reported gross profit of RMB 105.8 million, compared with RMB 126.7 million in the same period of 2025. Gross margin fell to 11.3% from 13.2% a year earlier. Chief Financial Officer Le Tang said cost of revenues declined to RMB 829.5 million from RMB 834.1 million, broadly in line with the revenue decrease.
Operating Expenses Decline as AI Use Expands
FlashEx reported total operating expenses of RMB 94.8 million in the first quarter, down 18.7% from RMB 116.7 million in the prior-year period. The company recorded RMB 38.5 million in selling and marketing expenses, RMB 39.9 million in general and administrative expenses and RMB 16.5 million in research and development expenses.
Income from operations was RMB 11 million, compared with RMB 10 million a year earlier, lifting operating margin to 1.2% from 1.0%. Non-GAAP income from operations was RMB 21.6 million, down from RMB 26.6 million in the first quarter of 2025. Non-GAAP net loss was RMB 11.1 million, compared with non-GAAP net income of RMB 49.6 million in the year-ago period.
As of March 31, 2026, FlashEx held cash and cash equivalents, restricted cash and short-term investments totaling RMB 859.1 million.
Tang said the company has used AI to improve organizational efficiency and optimize operations. Xue said AI tools are increasingly acting as “systematic efficiency drivers” across the organization, including customer service, partner onboarding and research and development. According to Xue, AI can now independently handle a majority of routine complaint types, while the time needed to test and launch new service scenarios has been reduced from roughly two months to one to two weeks. He added that new partner onboarding timelines have fallen from more than a week to under one day through AI agents.
Merchant Categories Show Mixed but Stable Trends
Management said FlashEx continued to execute a tiered merchant management strategy during the quarter, focusing on service response efficiency and resource allocation. Xue said cake and flower merchants remain among the company’s more predictable revenue sources because of stable and recurring delivery demand.
Order volume from the cake category exceeded 15.4 million in the quarter and grew year over year despite what Xue described as a high comparison base. He said FlashEx has upgraded delivery box designs, improved shock resistance standards and strengthened rider handling protocols to support fulfillment quality in the category.
Electronics delivery order volume rose 15.9% year over year, which Xue described as an important driver of order mix improvement. He said companies in automotive services, premium retail and consumer electronics have incorporated FlashEx into their standard fulfillment channels.
In response to an analyst question from Sifan Jiang of CICC, Tang said key account merchant gross merchandise value contribution improved steadily year over year, while average selling price held at a “relatively stable, elevated level.” Tang also said individual user orders remained steady across assisted purchasing, parcel pickup, food pickup, gift delivery and luggage delivery.
Technology Ecosystem Opens to Developers and AI Platforms
Xue highlighted several technology initiatives during the call, including the company’s April open-sourcing of its core command line interface tool. He said FlashEx became the first company in the intra-city on-demand delivery industry to do so.
The tool allows merchants to integrate FlashEx delivery services with point-of-sale or order management systems, and developers and enterprise clients can use it to place orders, request pricing and track shipments. Xue said leading AI agents, including Claude Code, Codex and Cursor, can invoke FlashEx services through the interface.
The initial open-source release supports four functions: price inquiry, order placement, order tracking and order cancellation. Xue said the company plans to continue expanding the tool’s capabilities.
FlashEx also completed quick app integration with Huawei’s HarmonyOS ecosystem, enabling users to initiate delivery requests through conversational interactions on devices without opening the FlashEx app. Xue said the company has fully opened its API interface to support major AI platforms in invoking order placement capabilities through standardized integrations.
Drone Delivery Moves Into Commercial Operations
Management devoted significant attention to FlashEx’s low-altitude logistics strategy. Xue said wholly owned subsidiaries of FlashEx entered into a strategic investment partnership with Hangzhou Low-Altitude Industry Development, making the company one of the first on-demand courier providers in Hangzhou’s low-altitude economy sector to receive strategic institutional backing.
Xue said low-altitude logistics is a strategic priority for technological advancement and long-term business expansion. FlashEx is working to combine aerial transportation with ground-based last-mile fulfillment, creating what management described as an air-ground logistics model.
The company has established five takeoff and landing sites and launched 14 drone delivery routes covering districts including Yuhang, Shangcheng and Gongshu. First-quarter drone delivery order volume grew 157% quarter over quarter. As of the end of April, the project had completed approximately 3,500 paid orders and nearly 2,900 drone flights while maintaining a 100% safety record, according to management.
Xue said the company’s Air FlashEx service has achieved delivery times approximately 20% to 30% faster than traditional ground-based delivery under normal operating conditions. He said drone delivery is particularly relevant for high-value and time-sensitive categories such as cakes, fresh flowers, premium retail and consumer electronics, as well as routes affected by cross-district travel, rivers, hills or heavy traffic congestion.
Management Outlines Priorities for 2026
Looking ahead, Xue said FlashEx will focus on three strategic priorities: deepening the use of AI across internal operations, accelerating low-altitude logistics commercialization and strengthening high-value merchant services and user scenario coverage.
Tang said the company remains committed to disciplined execution, expense control and service quality. He said FlashEx aims to refine its cost structure, improve margins and pursue business innovation while maintaining prudent financial management.
About BingEx (NASDAQ:FLX)
BingEx Limited, through its subsidiaries, provides on-demand courier services under the FlashEx brand name in the People's Republic of China. The company offers Flash-Riders as service providers. It serves individual and business customers, including local retailers, restaurants, and logistics players through its mobile platform and website. The company was incorporated in 2014 and is headquartered in Beijing, the People's Republic of China.
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