Hello, everyone. Welcome to Quhuo second half and full year of 2022's earnings conference call. The company's results were released earlier today and are available on our IR website. On the call today are Chairman and CEO, Leslie Yu, CFO, Barry Ba. Leslie will review business operations and company highlights, followed by Barry, who will discuss financials and guidance. They will be available to answer your questions in the Q&A session that follows. Before we begin, I would like to remind you that this call may concern forward-looking statements made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
Such statements are based on management's current expectations and current market and operating conditions, relate to the events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond the company's control, which may cause the company's actual results, performance or achievements to differ materially from those in the forward-looking statements. Further information regarding this and other risks, uncertainties and factors is included in the company's filings with the US Securities and Exchange Commission. The company does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law. With that, I will now turn the call over to our Chairman and CEO, Mr. Leslie Yu. Please go ahead.
Thank you, Qishu Wang, thank you all for joining our second half and full year of 2022 earnings conference call. In 2021, we proposed a strategy to improve profitability after increasing revenues. We achieved this goal with full year revenue growth of 56% in 2021, followed by gross profit growth of 43.9% in 2022. Since the execution of this strategy at the beginning of 2021, we had made several initiatives to expand the revenue, which was mentioned in the 2021 annual report. To be more specific, in terms of the on-demand delivery solutions, we increased the number of delivery orders we fulfilled by expansion into new geographic markets in 2021.
In the mobility service solutions, we enlarged the customer base and the service scope of shared bike maintenance solutions and commenced the freight service solutions in July 2021. In the housekeeping and accommodation solutions, we started the in-depth operation of Chengdu and acquired Lai Lai to expand our solutions offering of hotels and B&Bs to enlarge the customer base of our housekeeping solutions. Those initiatives have maintained a stable income scale and achieved substantial increase in profits in 2022, despite the impact of the COVID-19 on localized life service. With full year revenue of RMB 3,820.4 million and a gross profit of RMB 252.7 million in 2022, Quhuo achieved a gross margin of 6.6%, higher than the 4.4% in 2021.
We achieved a historical turnaround in several figures, including operating income, adjusted EBITDA, adjusted net income. These results show the effectiveness of the company's strategy to improve profitability after increasing revenues, and the trustworthiness of the company's team to implement the strategy. We believe that the company's business model is sustainable, and it has very short payback period, with an average payback period of about 12 months. Next, let's move on to the service categories offered by Quhuo. We provide two categories of services on the gig economy platform. The first one is order fulfillment services for platforms, which mainly involves on-demand delivery solutions and mobility service solutions. Most of our clients in order fulfillment service platforms are well-known consumption service platforms such as Meituan, Didi, Ele.me, as well as some large chain catering enterprises such as KFC, McDonald's, Luckin Coffee and so on.
In this service, we provide standardized service products to our customers through executing lean management operations and charge a service fee for each order fulfilled. The revenue generated from this part is RMB 3.474 billion in 2022. The gross margin increases to 6.6% in 2022 from 4.1% in 2021. The second one entails our housekeeping and accommodation services provided under a SaaS service model. Our SaaS capability encompass the Quhuo+ platform itself and the service team dedicated to maintaining the upkeep of the platform, including customer service and technology support. With which we focus on empowering small and medium-sized localized life service providers and helping them expand revenue and improve efficiency. This mainly serves housekeeping and accommodation partners in the second half of 2022.
The primary source of revenue for SaaS service product is the commission collected from the partners based on the GMV charges through our platform. We have always believed that technology plays a huge role in business growth, efficiency, improvement, and partner empowerment. We are committed to using our experience and management capabilities accumulated over the past 10 years in the field of local life services to develop SaaS services that can empower local life service providers based on the power of technology. Through such service, we can connect the brand of Quhuo and the business resources on Quhuo local life platform to small and medium-sized localized life service providers, optimize their operational efficiency and compliance, and help this service provider reduce operational risks while increasing profits. Currently, this technology platform is capable of empowering various verticals such as laundry, hotel, B&B, and odd jobs in catering and housekeeping.
Relying on the SaaS system, Quhuo will help these service providers to integrate online traffic and business resources from multiple platforms based on the core management and operational capabilities accumulated over the years, as well as multi-channel brand building. Quhuo has expanded its operational strategy from urban B&B operation to rural B&B operation, achieving successful cases of light investment and detailed operation, and empowering more than 8,000 customers. The chat model tuned by AI, which has received a lot of attention recently, will be tentatively integrated into the business by Quhuo in the near future. For example, we can use AI to increase efficiency in training and communicating with workers. We can also use AI technology in our B&B business, where operators can use it to assist online information maintenance of B&B hotels, intelligent check-in and self-checkout of travelers.
Looking ahead to 2023, we believe Quhuo's existing business will continue to grow. During the past three years, the COVID-19 has been influencing the global economy, and companies with main businesses on-demand delivery, mobility service, housekeeping, accommodation, have been affected seriously. With the end of the epidemic control and social restriction completely lifted, on-demand delivery, mobility, and housekeeping and accommodation services are expected to make a rapid rebound in 2023. In 2023, Quhuo will embark on new expansion, and we have officially launched Quhuo's international business in February 2023. Quhuo International will take full advantage of China's constituencies in both industry and internet, manufacturing capabilities in new energy vehicles, and mature internet technology and operational expertise to export industry plus internet products and services to overseas partners.
We aim to empower overseas partners with operational capability and technology of mobility services, such as online ride-hailing and on-demand delivery, along with export of Chinese electronic vehicles and mopeds. This strategy has achieved initial results, generating revenue from others. Quhuo is expected to give full play to its core competitive advantage in the industry with its existing technical and business capabilities, and help our partners make considerable progress in overseas markets. We are confident that Quhuo's global business will bring a new growth curve to the company. This concludes my statement, and I will turn the call over to our Chief Financial Officer, who will discuss our financial results for the year of 2022. Thank you.
Thank you, Leslie. Hello, everyone. Welcome to Quhuo second half and full year of 2022 conference call. Please be reminded that all amounts quoted here will be in RMB unless stated otherwise. Before I delve into our full year results, I would like to draw your attention to something notable and that occurred during the second half year of 2022. For the six months ended December 31, 2022, revenue was RMB 1,956.6 million. Slightly declined compared to 2021, which were RMB 2,087 million. Now, let us look at the segment results.
Our revenue from on-demand food delivery solutions were RMB 1,874.9 million, which represent a 9% decline from RMB 2,071 million in the second half year of 2021. This decrease was primarily due to the reduction in the number of delivery orders caused by the regional resurgence of COVID-19 in multiple areas during the later year of 2022. The revenue from our mobility service solutions Which include shared bike maintenance, ride hailing, and freight service solutions amounted to RMB 51.6 million, reflecting a decrease of 23.5% from RMB 67.4 million in the second year of 2021, which was primarily due to the reduce of customer demands resulting from the regional resurgence of COVID-19 in multiple areas during the second half of 2022.
The revenue from our housekeeping and accommodation solutions were RMB 30 million, which indicates a decrease of 37.6% from RMB 48.2 million in the second half year of 2021. This was primarily due to the reduce of customer demand caused by the regional resurgence of COVID-19 in multiple areas during the second half of 2022. The cost of revenues was RMB 1,797.8 million, representing a 12.8% year-over-year decrease, primarily in line with the reduce of customer demand resulting from COVID-19.
G&A expense were RMB 114.1 million, representing a slight increase of 2% from RMB 111.8 million in the second year of 2021. R&D expense were RMB 5.4 million, representing a decrease of 15.8% from RMB 10.9 million in the second year of 2021. Primarily due to the decrease in the headcount and overall compensation level for our research and development personnel as we restructured our R&D team. Speaking of income, our operating income was RMB 43.7 million compared to the operation loss of RMB 54.2 million in the second year of 2021.
We recorded another loss net of RMB 17.8 million compared to other loss net of RMB 6.6 million in the second half of 2021, primarily due to the reflection in the fair value of our investment in the mutual fund. Income tax expense was RMB 14.3 million, representing an increase of 75.2% from RMB 8.2 million in 2021. Net income attributable to Quhuo Limited was RMB 11.8 million, compared with net loss attributable to Quhuo Limited of RMB 46.4 million in the second half year of 2021. Adjusted EBITDA was RMB 47.8 million, compared with adjusted EBITDA of loss of RMB 23.3 million in the same period of 2021.
Adjusted net income was RMB 17.4 million, compared with adjusted net loss of RMB 53.0 million in the second half year of 2021. Let's move on to the full year of 2022. During the fiscal year of 2022, total revenue was RMB 3,820.4 million, compared with the total revenue of RMB 4,025.3 million in 2021. Let's further break down. The revenue from our on-demand food delivery solutions was RMB 3,638.87 million, which indicate a decrease of about 5% from RMB 3,829 million in 2021.
This decrease was primarily due to the reduction in the number of delivery orders caused by the regional resurgence of COVID-19 in multiple areas during 2022. The revenue from our mobility service solution was RMB 108.1 million, reflecting a decrease of 1.9% from RMB 11, 10 million in 2021, which was primarily due to reduced customer demand caused by the regional resurgence of COVID-19 in multiple areas during 2022. The revenue from our housekeeping and accommodation solutions was RMB 73.6 million, indicating a decrease of 14.6% from RMB 86.2 million in 2021. This was primarily due to reduced of customer demand caused by the regional resurgence of COVID-19 in multiple areas during 2022.
Regarding the cost of revenue, it amounted to RMB 3,467.7 million, representing a 7.3% year-over-year decrease. primarily that decrease in service fees paid to workers, which were in line with the decrease of number of delivery orders resulting from the regional resurgence of COVID-19 in multiple locations, 2022. Let's move on to expenses. Our G&A expense amount to RMB 213.6 million, reflecting a decrease of 11.3% from RMB 240.7 million. This reduction was mainly due to a decrease in share-based compensation expense, which decreased from RMB 86.9 million in 2021, down to RMB 19.8 million in 2022.
R&D expense were RMB 12.5 million, representing a decrease of 77.7% from RMB 20.1 million in 2021. Primarily due to the decrease in headcount and the average compensation level for our R&D personnel as we restructured our R&D team. As our CEO mentioned earlier, in 2021, we proposed a strategy of improving profitability after increasing revenues. The effectiveness of this strategy was proven in 2022 as our operating income increased despite the challenged market conditions. Operating income was RMB. Operating income was RMB 35.6 million compared to operating loss of RMB 139 million in 2021.
Other loss net was RMB 26.1 million compared to other loss net of RMB 34 million in 2021. Primarily due to the fluctuation in the fair value of our investment in the mutual fund. Income tax expense was RMB 21 million, representing an increase of 74.6% from RMB 12 million in 2021. Net loss attributed to Quhuo Limited was RMB 13.1 million compared to a net loss attributed to Quhuo Limited of RMB 157.9 million in 2021. Adjusted EBITDA was RMB 58.6 million compared with adjusted EBITDA loss of RMB 72.7 million in 2021.
Adjusted net income was RMB 3.3 million compared with adjusted net loss of RMB 122.3 million in 2021. In terms of balance sheet in 2022, as of December 31st, 2022, the company has cash, short-term investment, and restricted cash of RMB 165.4 million and short-term debt of RMB 65.4 million. This concludes my prepared remarks. Thank you for your attention. We are now pleasure to take your questions. Operator, please go ahead.
Thank you. If you wish to ask a question, please press star one on your telephone and wait for your name to be announced. If you wish to cancel your request, please press star two. If you are on a speakerphone, please pick up the handset to ask your question. Once again, that is star then one to ask a question. Today's first question comes from Serena Ong with Tiger Brokers. Please go ahead.
Hi. Hi, thank you for taking my question. I wanna know what the strategy in 2022 is to improve profitability after increasing the revenues. What's the company strategy in 2023?
Thanks for the question. This is Leslie. The strategy for 2021 and 2022 is to improve profitability after increasing revenues. With focusing on achieving an increase in scale, which include both revenue and profit. From 2023 to 2025, in the view of strategy, we will extend along industry ecosystem to localize life, gradually transforming from a localized life order fulfillment service provider to a localized life operation service provider. For example, as a case of operation in B&B industry, the project Chengdu is currently in a leading position in this segment field and has empowered more than 8,000 small and medium-sized home stay service providers after two years operation. We provide a SaaS system and online traffic and brand operation in multi-platforms.
We provide offline housekeeping, supply chain services for decoration and consumable products. All of this, Quhuo will empower more small and medium-sized localized service providers through our SaaS services. Also relying on our nationwide operating network and leveraging accumulated technical capabilities and management expertise over the years, also the business resources we formed through long-term cooperation with consumption online platforms, we started to gradually realize super imposition and upgrading of the role from order fulfillment service provider to operation service provider in 2023 to 2025. Yeah, thanks for the question. Thank you.
Thank you. Ladies and gentlemen, as a reminder, if you would like to ask a question, please press star then one at this time. We will pause momentarily to assemble our roster. As a final reminder, if you would like to ask a question, please press star then one at this time. There are no further questions at this time. I'll hand the call back to the management team for closing remarks.
Yeah, thanks, Operator. We don't have further remarks. Yeah, thank you.
Thank you. This concludes today's conference call. We thank you all for attending today's presentation. You may now disconnect your lines and have a wonderful day.
Thank you. You too.