PDD Beats First Quarter Revenue Estimates – China Economic Review

PDD Holdings topped first-quarter revenue estimates on Wednesday, driven by its international marketplace Temu and growing consumer interest in Chinese discount e-commerce platform Pinduoduo, reports Reuters. The company’s revenue rose 131% to RMB86.81 billion ($11.99 billion) in the first quarter, compared with analysts’ average estimate of RMB75.66 billion based on LSEG data.

PDD shares increased by 5.7% in pre-session trading. Consumers in China have turned to cheaper shopping platforms such as Bytedance’s Pinduoduo and Douyin as a real estate downturn and rising local debt weigh on the country’s economic growth.

Ago, Pinduoduo’s sister app, sells a wide range of products, many of them made in China, at the lowest prices. Its popularity has grown since its launch in September 2022, as has competition with e-commerce incumbents such as Shein and Amazon in the United States and other markets.