More Q1 Earnings Report: Revenue Growth Of 228%, The Number Of Active Buyers Reached 443 Million 300 Thousand

The first quarter of 2019, released by the NASDAQ:PDD, showed that the platform GMV reached 557 billion 400 million yuan, up 181% yuan over the same period last year, compared with 198 billion 700 million yuan in the same period last year. In the Q1 quarter, the platform achieved a profit of 4 billion 545 million 200 thousand yuan, up 228% over the same period last year. At the end of March, the number of active buyers in the platform reached 443 million 300 thousand, representing a 294 million 900 thousand increase of 148 million 400 thousand over the same period last year, an increase of more than 50% over the same period last year. In the Q1 quarter, the average monthly users of the mobile clients reached more than 12, an increase of more than that of the same period last year, and the annual average consumption of the active buyers increased further to RMB yuan, up from the same period last year, compared with the same period last year.

New user scale continues to lead the whole industry.

According to the financial report, as of the 12 months of March 31, 2019, GMV was 557 billion 400 million yuan, up 181% from 198 billion 700 million yuan a year earlier.

According to the latest statistics of the National Bureau of statistics, the total retail sales of online goods in the whole country increased by 21% over the first quarter of 2019. The above data show that the growth of market share is still far ahead of the industry average.

The substantial growth of platform GMV is based on a comprehensive and comprehensive upgrading of user scale, user stickiness and average consumption.

By the end of March, the number of active buyers over many years has reached 443 million 300 thousand, a 148 million 400 thousand increase from 294 million 900 thousand in the same period last year, an increase of more than 50% over the same period last year.

In the Q1 quarter, the average monthly number of mobile clients reached 289 million 700 thousand, up 123 million 500 thousand from 166 million 200 thousand in the same period last year, up by more than 74% compared with the same period last year. The data only counted the number of APP users who entered the month, but did not include users who had access to many platforms through social networks and other access ports.

In the case of seasonal adjustment of the Spring Festival in the electricity supplier industry, the number of users continues to maintain exponential growth. The number of new users added to the platform for 12 months and the number of new users in single season continue to lead the whole industry.

According to the statistics of the three parties, such as Aurora data, TrustData and QuestMobile, the number of users in the 30 day user retention rate, the number of users daily open and the average daily user hours are all maintained.

The above data show that the user stickiness of many new ecommerce ecology continues to improve. Under this impetus, the number of active buyers of APP / month users is 65.35%, the highest level in history, and it is expected that this data will continue to grow.

According to the financial report, the average annual consumption of active buyers increased further to 1257.3 yuan in the 12 months ended March 31, 2019, representing an increase of 87% over the same period of 673.9 yuan in the same period.

The above data show that the consumption frequency of users with multiple platforms increases significantly, and the effect of consumption upgrading of the largest group is further enhanced.

In this regard, a lot of founder, CEO Huang Zheng said: "a lot of efforts began in 2019 with a strong growth season. The company will continue to make breakthroughs this year.

By focusing on "Pratt & Whitney", "people first" and "more open", we will continue to provide differentiated value for users and businesses, continue to expand and deepen the relationship with the active buyers in 443 million, and strengthen the foundation for realizing the vision of the new e-business.

Revenue grew 228% to 4 billion 545 million 200 thousand yuan, a sharp narrowing of the losses.

The high user activity and the leading purchase conversion rate have led to the rapid growth of more revenue.

In the Q1 quarter of 2019, a lot of revenue was achieved at 4 billion 545 million 200 thousand yuan, an increase of 228% over the same period last year of 1 billion 384 million 600 thousand yuan, which is higher than the market expectation.

Revenue growth is mainly driven by strong growth in online marketing technology services revenue.

In the Q1 quarter, a lot of online marketing technology services revenue reached 3 billion 948 million 400 thousand yuan, an increase of 256% over the same period last year of 1 billion 108 million 100 thousand yuan.

Platform trading service revenue was 596 million 800 thousand yuan, an increase of 116% over the same period last year, compared with 276 million 500 thousand yuan.

Based on the huge new user base, leading traffic and matching technology of supply and demand, it is an effective way to push retailers and brands to reduce costs.

During the period, the platform continued to adjust the related fees for high-quality businesses, including the payment of commission, and innovating advertising products and tools based on new business models to meet the changing needs of brands and further enhance the ROI of the group.

In order to help businesses get to know the new business model and its operation mechanism, more than 2 million universities launched in July 2018. As of the end of March 2019, more than more than 1300 businesses have visited and studied online courses.

A lot of business development strategies have been widely supported by brand partners and partners.

In the Q1 quarter of 2019, the revenue cost of the platform included the payment of 339 million 200 thousand yuan from the payment platform Tencent, and combined with this income, the gross profit margin was 81%.

The "inclusive" process, which is committed to serving the largest number of consumers in China, has been working hard since 2019.

In the first quarter of 2019, the cost of sales and marketing was 4 billion 889 million 300 thousand yuan, up 302% from the same period last year, compared with 1 billion 217 million 500 thousand yuan.

Relying on the support of the existing volume and the upstream industry belt and the brand side, since the first quarter of 2019, a series of large sales promotion activities such as "annual goods Festival", "Spring Festival not closing up", "good life ten thousand people" and "520 seconds killing Festival" have been launched continuously.

Driven by this, the consumption frequency of platform users continues to improve, and it promotes more and more to become the main online sales channel for 3C and electrical appliances.

In response, Jiuding, vice president of strategy, said: "the first quarter data in 2019 showed that the average consumption of users on the platform continued to increase, and new users would buy high-value goods in the early stages.

This reflects the optimization of product mix and the trust and confidence of new users in the platform.

Many activities in the "good life ten thousand person group" activities show that in the 10000 "ten thousand people" group, 3C, electrical appliances and high priced uniforms have achieved the highest rate of "ten thousand people".

For the first time, 400 Wuling Hongguang platforms were sold out in 18 seconds.

To meet the needs of the about 200000 subscribers as far as possible, the platform allocated two batches of vehicles respectively, providing 1000 Wuling Hongguang for the whole day, and the vehicles were sold out in 21 hours.

According to the financial report, based on the advantages and stable business strategy of the new electricity supplier mode, many of them provide the most competitive price goods for 443 million users while achieving healthy and stable cash flow and cash reserves.

In the first quarter of 2019, the loss of platform operation was 2 billion 120 million 500 thousand yuan, and the operating loss under non general accounting standards (NON-GAAP) was 1 billion 621 million 900 thousand yuan. Two data were narrowed sharply compared with 2 billion 640 million 900 thousand yuan and 2 billion 112 million 900 thousand yuan in the previous quarter, far below market expectations.

Among them, the net loss attributable to ordinary shareholders is 1 billion 877 million 700 thousand yuan, and the net loss attributable to common shareholders under non GAAP is 1 billion 379 million 100 thousand yuan.

As of March 31, 2019, cash and cash equivalents and restricted funds were mostly 37 billion 200 million yuan, up 6 billion 700 million yuan from 30 billion 500 million yuan in December 31, 2018.

Excluding restricted cash, many cash and cash equivalents are 22 billion 500 million yuan. Besides, the platform has 6 billion 900 million yuan for short-term investment projects.

R & D accounted for 12%, the value of innovative retail formats highlighted.

Financial reports show that in the first quarter of 2019, a lot of R & D fees increased to 667 million 100 thousand yuan, up 816% over the same period last year.

Platform R & D costs accounted for 14.68% of the revenue, higher than the industry average.

This part of the investment is mainly "intangible assets" such as talents, algorithms, systems and so on. Fixed assets account for only a small proportion.

By the end of 2018, the total number of employees was 3683. Among them, the number of engineers exceeded 1800, occupying half of the company.

In 2019, a lot of efforts will continue to increase R & D efforts. It is expected that at least 2000 technical engineers will be added. Over 1000 of them will focus on algorithm design and development.

In addition, many companies are collaborate with many research institutes around the world to explore the development of distributed AI technology.

At present, a technical advisory committee has been set up. YC China founder, former Microsoft global executive vice president and former Baidu President Lu Qizheng are leading the technical committee.

The new electricity supplier system based on leading technology is promoting more and more established retail formats. By continuously reducing the distance between production and consumption, we can find the most suitable and high-quality products for consumers.

Based on the "agricultural products central processing system" to build up the upstream system of agricultural products, is one of the new business of retail business.

Under the support of the "ground network" covering the main agricultural production areas of China, the "central processing system for agricultural products" has summed up the information of China's major producing areas, including geographical location, characteristic products and mature cycle, and has systematically matched all kinds of agricultural products in the short maturity period through the system operation, so as to accurately match the consumers in the short maturity period, thereby breaking through the inherent space and time constraints of agriculture, and forming a collective effect to help more agricultural production areas to form a long-term and stable production and marketing mechanism, so that the value of agriculture can be returned to producers and consumers.

In the changing market environment, the value of many innovative retail formats continues to highlight.

In 2019, the market price of fresh fruits fluctuated sharply, and the retail prices of many popular fruits doubled. However, based on their own ecology, the fruits of fresh fruits and vegetables were able to shake off the market fluctuation.

At the same time, the number of daily live users of "multi orchards" for public welfare fruit trees planted on the platform increased by 11 million compared with the beginning of 2019.

Based on long-term input and innovation, in 2018, sales of more than 65 billion 300 million agricultural products and agricultural and sideline products amounted to RMB $7 million, directly linked to more than 7 million farmers, becoming one of China's largest agricultural products upstream platforms, and continued to maintain strong growth after entering 2019.

On this basis, we should further deepen our efforts to deepen poverty stricken areas throughout the country and promote the "source of revolution" at the beginning of the first kilometre.

In April 2019, many innovative strategies to explore the mechanism of precision poverty alleviation and revitalization of rural areas were put forward. The first station of Duo farm was located in Baoshan, Yunnan, and 792 "poor people" who lived directly under the nationality of the Lisu ethnic group became the first "new farmers".

The "multi agricultural garden" has successfully established a modern coffee industry demonstration project integrating production, marketing, research and processing, and is committed to making the farmers who contribute the main productive forces and means of production become the core interests of the whole industrial chain.

Previously, in the coffee industry chain, the upstream growers could only get about 1% of the value of the whole industry chain.

Through this project, a lot of efforts will be made to achieve the direct supply of high-quality coffee beans at the source, providing consumers with the most cost-effective products, and effectively helping farmers increase their income level. This is also one of the effective practices of the platform's "Pratt and Whitney" values.

In the next 5 years, more and more agricultural production areas will be built, and 1000 "multi agricultural garden" projects will be built.

Regarding this, Li Xiaoyun, a member of the expert advisory committee of the poverty alleviation leading group of the State Council and a famous poverty alleviation expert, said: "the" multi agricultural garden "is aiming at the core issues of the distribution of interests in the agricultural industry and the retention of rural talents. If this mode is successful, it will promote the pformation of many rural development modes and form great changes.

On the downside of industrial products, many companies are continuing to increase their support for China's high quality manufacturing capacity through the "new brand plan", and batch cultivate the "universal" brand that serves the overwhelming majority of the people.

At present, the coverage of category has expanded to many categories such as daily chemicals, household appliances, 3C, daily necessities, glassware and so on.

At the same time, based on the practice and experience of "new brand plan", a lot of Shanghai's 100 time-honored brands launched the "Shanghai old brand new electricity supplier plan" to help the group embrace 443 million 300 thousand consumers.

The ongoing "better life ten thousand people" campaign is one of the results of the massive pformation and upgrading of upstream manufacturing industry.

Including nearly a thousand top brands at home and abroad, a lot of "new brand plan" members, and "Shanghai old brand new electricity supplier plan" alliance members, the brands participated in this activity, involving nearly 2000 enterprises, and launched a total of 10000 standards for the bottom line of the breakdown industry price, presenting an unprecedented price for consumers.