Gathered In The First Earnings Report: First Quarter GMV Increased By 93.7% Over The Same Period

On June 4th, first members of China's electricity supplier gathered together to announce the unaudited financial data in the first quarter of this year.

Data show that as of March 31, 2019, the first quarter of the GMV reached 6 billion 800 million yuan (US $1 billion), an increase of 93.7% over the same period last year. The total revenue reached 3 billion 385 million 600 thousand yuan (US $502 million 800 thousand), an increase of 53.2% over the same period last year.

It is worth mentioning that in the first quarter of 2019, it achieved a net profit of 16 million 900 thousand yuan (US $2 million 500 thousand). If the gross profit was achieved in accordance with the general accounting standards, the net profit reached 43 million 100 thousand yuan (US $6 million 400 thousand).

It is understood that this is the first time since its establishment, it has achieved a single quarterly profit.

Meanwhile, the number of members gathered has also maintained steady growth. The first quarter results showed that as of March 31, 2019, the number of members gathered in trading has reached 7 million 100 thousand, with a total membership of 9 million.

According to the previously announced prospectus, the repeat purchase rate of users in 2018 was as high as 93.6%.

Mr. GMV, chairman and chief executive officer, said: "our GMV grew by 93.7% over the same quarter, mainly due to the growth of membership, the implementation of the mall business model, and the improvement of supply chain.

In addition, we have enhanced user value by making use of big data technology and enhancing product management capabilities. All these efforts will continue to drive future growth. "

In order to further enhance the user's consumption experience, the organization structure of commodity operation was upgraded at the beginning of this year, and the platform for the third parties was opened. On the basis of consolidating its own advantageous sale business, two major business segments, supermarkets and shopping malls, have been added.

Chen Chen, chief financial officer, said that revenue grew by 53.2% over the same period last year, mainly because the platform enriched the number of hot sales and improved operating income and net income.

GMV growth is faster than revenue growth, as long as more and more brands are gathered. Products, pay more attention to private brand and new brands, have higher profit margins, and can improve profitability.

In addition, the new shopping mall mode helps to reduce operational capital requirements. In the future, we will continue to make use of cash and economies of scale to enhance profitability.