Net income attributable to shareholders, on a reported basis, was RMB34 million ($5.12 million) or RMB0.57 per ADS ($0.08 per ADS) in the March quarter, compared to RMB14.93 million or RMB0.25 per ADS a year earlier.
Driving the bottom-line growth, revenues surged 40% annually to RMB1.29 billion ($191.7 million), with strong contributions from the services segment. Revenues also came above the estimates.
Driving the bottom-line growth, revenues surged 40% annually, with strong contributions from the services segment
Revenues from product sales jumped 34% to RMB460 million, helped by the company’s aggressive marketing and promotional campaigns, acquisition of new brand partners and the increased popularity of brand partners’ products.
The top-line also benefitted from a 58% growth in gross merchandise volume to RMB7.8 billion. Distribution gross merchandise volume was up 32%, while non-distribution gross merchandise volume grew 62%.
At the end of the quarter, the company had
a total of 200 brand partners, up 28% year-over-year.
“We continue to grow our business in a sustainable and balanced manner, which we believe will better position us to drive growth over the long-term and offer both international and domestic brand partners a unique value proposition,” said CEO Vincent Qiu.
Related: Baozun Inc. Q4 2018 Earnings Conference Call Transcript
Encouraged by the positive results, the company sees a 34%-38% top-line growth in the second quarter and forecasts revenues in the range of RMB1.55 billion to RMB1.60 billion. Service revenues are estimated to grow about 40% year-over-year.
Baozun shares closed Tuesday’s trading session sharply higher. The stock has gained 8% since the beginning of the year.