Pinduoduo (PDD) Tops Q1 EPS by 4c, Revenues Beat

May 20, 2019 5:42 AM EDT

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Pinduoduo (NASDAQ: PDD) reported Q1 EPS of ($0.20), $0.04 better than the analyst estimate of ($0.24). Revenue for the quarter came in at $677.3 million versus the consensus estimate of $586.57 million.

  • GMV1 in the twelve-month period ended March 31, 2019 was RMB557.4 billion (US$2 83.1 billion), an increase of 181% from RMB198.7 billion in the twelve-month period ended March 31, 2018.
  • Total revenues in the quarter were RMB4,545.2 million (US$677.3 million), an increase of 228% from RMB1,384.6 million in the same quarter of 2018.
  • Average monthly active users3 in the quarter were 289.7 million, an increase of 74% from 166.2 million in the same quarter of 2018.
  • Active buyers4 in the twelve-month period ended March 31, 2019 were 443.3 million, an increase of 50% from 294.9 million in the twelve-month period ended March 31, 2018.
  • Annual spending per active buyer5 in the twelve-month period ended March 31, 2019 was RMB1,257.3 (US$187.3), an increase of 87% from RMB673.9 in the twelve-month period ended March 31, 2018.

“We kicked off 2019 with a strong quarter thanks to the continued support of our users,” said Mr. Zheng Huang, Chairman and Chief Executive Officer of Pinduoduo. “GMV in the last twelve months increased to RMB557.4 billion, driven by the rapid growth in our annual active buyer base and annual spending per active buyer. These metrics reflect our success in increasing user engagement and improving user experience. We will continue to invest strategically in our users and merchants in 2019 and drive greater engagement with more practical functions and fun features.”

“In the first quarter of 2019, our revenue increased by 228% year-over-year to RMB4,545.2 million,” added Mr. Huang. “This was driven primarily by an increase in our online marketing services revenues. The increase in marketing spend by our merchants is an endorsement of the value that our platform offers. As our users’ shopping experience improves on our platform, they transact more frequently and confidently, which translates to greater exposure and return on investments for our merchants. We are still very early in monetizing our platform and will continue to be mindful of balancing monetization and growth.”

For earnings history and earnings-related data on Pinduoduo (PDD) click here.



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