The meaning in this hadith is that if there is a group of needy people there, then distributing it among them is better than giving it to one person. But if there is no necessity there, then what is better is giving one head for one head, along with the fact that there is nothing in the report, in his saying, “I prefer that he distribute it,” to mean that the fitrah of one single head is to be distributed. It is possible that Imam عليه السلام intended that whoever is obligated to pay the fitrah of several heads should distribute and give each one of them one head, and that this is better than giving it to one man. According to this interpretation, there is no contradiction between this report and the first report. We have already explained in the first report that there is no harm in giving one man many heads. And what further clarifies that is what was narrated:
Commentary #5