PDD Holdings, the parent company of Temu, reported Q2 revenues of 97.1 billion yuan renminbi (€12.2bn), an increase of 86 percent. Net income increased 144 percent to RMB 32 billion (€4.0bn), and non-GAAP net income rose 125 percent to RMB 34.4 billion (€4.3bn).
“While encouraged by the solid progress we made in the past few quarters, we see many challenges ahead,” said Lei Chen, Chairman and co-CEO of PDD Holdings. “We are prepared to accept short-term sacrifices and a potential decline in profitability.”
Operating profit in the quarter was RMB 32.6 billion (€4.0bn), an increase of 156 percent, while non-GAAP operating profit reached RMB 34.99 billion, an increase of 139 percent versus the same quarter of 2023.
The company’s revenues from online marketing services and others were RMB 49.1 billion (€6.1bn), an increase of 29 percent, while revenues from transaction services reached RMB 47.9 billion (€6.0bn), up 234 percent.
“Looking ahead, revenue growth will inevitably face pressure due to intensified competition and external challenges,” added Jun Liu, VP of Finance at PDD Holdings.
