Vipshop Holdings (NYSE: VIPS) reported Q3 EPS of $0.25, $0.08 better than the analyst estimate of $0.17. Revenue for the quarter came in at $2.7 billion versus the consensus estimate of $2.61 billion.

Third Quarter 2019 Highlights

• Total net revenue for the third quarter of 2019 increased by 10.0% year over year to RMB19.6 billion (US$2.7 billion) from RMB17.8 billion in the prior year period.
• GMV[1] for the third quarter of 2019 increased by 17% year over year to RMB31.7 billion from RMB27.2 billion in the prior year period.
• Gross profit for the third quarter of 2019 increased by 16.6% year over year to RMB4.2 billion (US$592.4 million) from RMB3.6 billion in the prior year period.
• Net income attributable to Vipshop's shareholders for the third quarter of 2019 increased by 282.7% year over year to RMB875.5 million (US$122.5 million) from RMB228.7 million in the prior year period.
• Non-GAAP net income attributable to Vipshop's shareholders[2] for the third quarter of 2019 increased by 140.2% year over year to RMB1.2 billion (US$168.3 million) from RMB500.8 million in the prior year period.
• The number of active customers[3] for the third quarter of 2019 increased by 21% year over year to 32.0 million from 26.5 million in the prior year period.
• Total orders[4] for the third quarter of 2019 increased by 33% year over year to 127.6 million from 95.7 million in the prior year period.

Mr. Eric Shen, Chairman and Chief Executive Officer of Vipshop, stated, "We are pleased to have delivered strong operational and financial results for the third quarter of 2019. Our total active customers increased by 21% year over year, demonstrating their healthy growth momentum backed by the successful execution of our merchandising strategy. The robust growth in the number of total active customers continued to drive our topline growth, represented by a 10% year-over-year growth for the third quarter of 2019. Going forward, we will continue to focus on procuring deep discount products and offering superior value to our customers, further expanding our market share in China's discount retail segment. We are confident that we will continue to drive long-term value creation and deliver solid return to all our shareholders."

Mr. Donghao Yang, Chief Financial Officer of Vipshop, further commented, "In the third quarter of 2019, we delivered solid topline growth with substantial year-over-year improvement in our bottom-line. These successes are the result of our focus on the highly profitable apparel-related categories, of which the GMV grew by 29% year over year, including GMV from the newly acquired Shan Shan Outlets. As we continue to execute on our merchandising strategy and further improve our procurement and negotiation capabilities, we believe we will see further improvement in our financial results and key operating metrics over time."

Business Outlook

For the fourth quarter of 2019, the Company expects its total net revenue to be between RMB26.1 billion and RMB27.4 billion, representing a year-over-year growth rate of approximately 0% to 5%. These forecasts reflect the Company\'s current and preliminary view on the market and operational conditions, which is subject to change.

For earnings history and earnings-related data on Vipshop Holdings (VIPS) click here.