Yunji Announces First Quarter 2024 Unaudited Financial Results
First Quarter 2024 Highlights
-
Total revenues in the first quarter of 2024 were
RMB127.9 million (US$17.7 million ), compared withRMB178.7 million in the same period of 2023. The change was primarily due to soft consumer confidence and the Company's continued strategy to refine its product selection across all categories and optimize its selection of suppliers and merchants, which had a near-term impact on sales. -
Repeat purchase rate[2] in the twelve months ended
March 31, 2024 was 74.4%.
Mr. Shanglue Xiao, Chairman and Chief Executive Officer of
"During the quarter, we maintained a stable gross margin. We will continue to refine our operations while efficiently managing our assets," said Mr.
First Quarter 2024 Unaudited Financial Results
Total revenues were
- Revenues from sales of merchandise were
RMB102.0 million (US$14.1 million ), compared withRMB143.0 million in the same period of 2023. - Revenues from the marketplace business were
RMB24.1 million (US$3.3 million ), compared withRMB32.9 million in the same period of 2023. - Other revenues were
RMB1.8 million (US$0.3 million ), compared withRMB2.8 million in the same period of 2023.
Total cost of revenues decreased by 30.7% to
Total operating expenses decreased by 11.0% to
-
Fulfillment expenses decreased by 19.2% to
RMB21.9 million (US$3.0 million ), or 17.1% of total revenues, fromRMB27.1 million , or 15.2% of total revenues, in the same period of 2023. The decrease was mainly due to (i) reduced warehousing and logistics expenses due to lower merchandise sales, and (ii) reduced personnel costs as a result of staffing structure refinements. -
Sales and marketing expenses decreased by 12.8% to
RMB25.8 million (US$3.6 million ), or 20.2% of total revenues, fromRMB29.6 million , or 16.6% of total revenues, in the same period of 2023. The decrease was mainly due to the reduction in member management fees, partially offset by an increase in business promotion expenses. -
Technology and content expenses decreased by 0.2% to
RMB13.3 million (US$1.8 million ), or 10.4% of total revenues, fromRMB13.4 million , or 7.5% of total revenues, in the same period of 2023. -
General and administrative expenses decreased by 2.0% to
RMB14.9 million (US$2.1 million ), or 11.6% of total revenues, fromRMB15.2 million , or 8.5% of total revenues, in the same period of 2023. The decrease was mainly due to the reduction in personnel costs as a result of staffing structure refinements, partially offset by an increase in the allowance for credit losses.
Loss from operations was
Financial income, net was
Net income was
Adjusted net income (non-GAAP)[3] was
Basic and diluted net income per share attributable to ordinary shareholders were both nil, compared with basic and diluted net loss per share of
Acquisition of Land Use Right
In
Use of Non-GAAP Financial Measures
In evaluating the business, the Company considers and uses adjusted net income/(loss) as a supplemental measure to review and assess operating performance. The presentation of this non-GAAP financial measure is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with
The Company presents adjusted net income/(loss) because it is used by management to evaluate operating performance and formulate business plans. Adjusted net income/(loss) enables management to assess operating performance without considering the impact of share-based compensation recorded under ASC 718, "Compensation-Stock Compensation." The Company also believes that the use of this non-GAAP measure facilitates investors' assessment of operating performance.
This non-GAAP financial measure is not defined under
The Company compensates for these limitations by reconciling the non-GAAP financial measure to the nearest
For more information on the non-GAAP financial measures, please see the table captioned "Reconciliation of Non-GAAP Measures to the Most Directly Comparable Financial Measures" set forth at the end of this press release.
Conference Call
The Company will host a conference call on
International: |
1-412-902-4272 |
United States Toll Free: |
1-888-346-8982 |
Mainland China Toll Free: |
4001-201203 |
Hong Kong Toll Free: |
800-905945 |
Conference ID: |
|
A telephone replay of the call will be available after the conclusion of the conference call for one week.
Dial-in numbers for the replay are as follows:
United States Toll Free |
1-877-344-7529 |
International |
1-412-317-0088 |
Replay Access Code |
4223382 |
Safe Harbor Statements
This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the
About
For more information, please visit https://investor.yunjiglobal.com/
Investor Relations Contact
Investor Relations
Email: Yunji.IR@icrinc.com
Phone: +1 (646) 224-6957
Email: Yunji.IR@icrinc.com
Phone: +1 (646) 224-6957
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|
||||||
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS |
||||||
(All amounts in thousands, except for share and per share data, unless otherwise noted) |
||||||
|
||||||
|
|
As of |
||||
|
|
2023 |
|
2024 |
||
|
|
RMB |
|
RMB |
|
US$ |
ASSETS |
|
|
|
|
|
|
Current Assets |
|
|
|
|
|
|
Cash and cash equivalents |
|
517,542 |
|
478,833 |
|
66,318 |
Restricted cash |
|
27,169 |
|
26,196 |
|
3,628 |
Short-term investments |
|
7,195 |
|
245 |
|
34 |
Accounts receivable, net (Allowance for |
|
64,312 |
|
71,163 |
|
9,856 |
Advance to suppliers |
|
14,058 |
|
11,224 |
|
1,555 |
Inventories, net |
|
42,716 |
|
35,686 |
|
4,942 |
Amounts due from related parties |
|
1,361 |
|
1,990 |
|
276 |
Prepaid expenses and other current assets[
4]
|
|
134,247 |
|
154,614 |
|
21,414 |
|
|
|
|
|
|
|
Total current assets |
|
808,600 |
|
779,951 |
|
108,023 |
|
|
|
|
|
|
|
Non-current assets |
|
|
|
|
|
|
Property and equipment, net |
|
175,451 |
|
175,259 |
|
24,273 |
Long-term investments |
|
364,159 |
|
375,316 |
|
51,981 |
Operating lease right-of-use assets, net |
|
16,507 |
|
15,672 |
|
2,169 |
Other non-current assets (Allowance for |
|
189,067 |
|
172,301 |
|
23,863 |
|
|
|
|
|
|
|
Total non-current assets |
|
745,184 |
|
738,548 |
|
102,286 |
|
|
|
|
|
|
|
Total assets |
|
1,553,784 |
|
1,518,499 |
|
210,309 |
|
|
|
|
|
|
|
|
||||||
|
||||||
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED) |
||||||
(All amounts in thousands, except for share and per share data, unless otherwise noted) |
||||||
|
||||||
|
|
As of |
||||
|
|
2023 |
|
2024 |
||
|
|
RMB |
|
RMB |
|
US$ |
LIABILITIES AND SHAREHOLDERS' |
|
|
|
|
|
|
Current Liabilities |
|
|
|
|
|
|
Accounts payable |
|
96,782 |
|
82,783 |
|
11,465 |
Deferred revenue |
|
9,412 |
|
10,538 |
|
1,459 |
Incentive payables to members[ 5] |
|
124,889 |
|
100,027 |
|
13,854 |
Member management fees payable |
|
4,373 |
|
3,901 |
|
540 |
Other payable and accrued liabilities |
|
109,200 |
|
107,923 |
|
14,947 |
Amounts due to related parties |
|
3,535 |
|
3,190 |
|
442 |
Operating lease liabilities - current |
|
3,376 |
|
3,416 |
|
473 |
|
|
|
|
|
|
|
Total current liabilities |
|
351,567 |
|
311,778 |
|
43,180 |
|
|
|
|
|
|
|
Non-current liabilities |
|
|
|
|
|
|
Operating lease liabilities |
|
11,122 |
|
11,252 |
|
1,558 |
|
|
|
|
|
|
|
Total non-current liabilities |
|
11,122 |
|
11,252 |
|
1,558 |
|
|
|
|
|
|
|
Total Liabilities |
|
362,689 |
|
323,030 |
|
44,738 |
|
||||||
|
||||||
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED) |
||||||
(All amounts in thousands, except for share and per share data, unless otherwise noted) |
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|
||||||
|
|
As of |
||||
|
|
2023 |
|
2024 |
||
|
|
RMB |
|
RMB |
|
US$ |
|
|
|
|
|
|
|
Shareholders' equity |
|
|
|
|
|
|
Ordinary shares |
|
70 |
|
70 |
|
10 |
Less: |
|
(116,108) |
|
(116,045) |
|
(16,072) |
Additional paid-in capital |
|
7,328,680 |
|
7,327,734 |
|
1,014,879 |
Statutory reserve |
|
16,254 |
|
16,254 |
|
2,251 |
Accumulated other comprehensive income |
|
85,291 |
|
86,706 |
|
12,009 |
Accumulated deficit |
|
(6,123,971) |
|
(6,120,131) |
|
(847,628) |
Total Yunji Inc. shareholders' equity |
|
1,190,216 |
|
1,194,588 |
|
165,449 |
Non-controlling interests |
|
879 |
|
881 |
|
122 |
Total shareholders' equity |
|
1,191,095 |
|
1,195,469 |
|
165,571 |
Total liabilities and shareholders' equity |
|
1,553,784 |
|
1,518,499 |
|
210,309 |
|
||||||
|
||||||
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS)/INCOME |
||||||
(All amounts in thousands, except for share and per share data, unless otherwise noted) |
||||||
|
||||||
|
|
For the Three Months Ended |
||||
|
|
March 31, 202 3 |
|
2024 |
||
|
|
RMB |
|
RMB |
|
US$ |
Revenues: |
|
|
|
|
|
|
Sales of merchandise, net |
|
142,958 |
|
102,046 |
|
14,133 |
Marketplace revenue |
|
32,957 |
|
24,057 |
|
3,332 |
Other revenues |
|
2,829 |
|
1,755 |
|
243 |
Total revenues |
|
178,744 |
|
127,858 |
|
17,708 |
Operating cost and expenses: |
|
|
|
|
|
|
Cost of revenues |
|
(93,462) |
|
(64,745) |
|
(8,967) |
Fulfilment |
|
(27,118) |
|
(21,908) |
|
(3,034) |
Sales and marketing |
|
(29,585) |
|
(25,808) |
|
(3,574) |
Technology and content |
|
(13,352) |
|
(13,326) |
|
(1,846) |
General and administrative |
|
(15,172) |
|
(14,835) |
|
(2,055) |
Total operating cost and expenses |
|
(178,689) |
|
(140,622) |
|
(19,476) |
Other operating income |
|
909 |
|
3,432 |
|
475 |
Income/(loss) from operations |
|
964 |
|
(9,332) |
|
(1,293) |
Financial (loss)/income, net |
|
(22,192) |
|
14,665 |
|
2,031 |
Foreign exchange income/(loss), net |
|
2,363 |
|
(241) |
|
(33) |
Other non-operating income, net |
|
486 |
|
- |
|
- |
(Loss)/Income before income tax |
|
(18,379) |
|
5,092 |
|
705 |
Income tax expense |
|
(3,079) |
|
(331) |
|
(46) |
Equity in loss of affiliates, net of tax |
|
(1,475) |
|
(896) |
|
(124) |
Net (loss)/income |
|
(22,933) |
|
3,865 |
|
535 |
Less: net income attributable to non- |
|
- |
|
2 |
|
- |
Net (loss)/income attributable to |
|
(22,933) |
|
3,863 |
|
535 |
|
||||||
|
||||||
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS)/INCOME
|
||||||
(All amounts in thousands, except for share and per share data, unless otherwise noted) |
||||||
|
||||||
|
|
For the Three Months Ended |
||||
|
|
March 31, 202 3 |
|
2024 |
||
|
|
RMB |
|
RMB |
|
US$ |
Net (loss)/income attributable to |
|
(22,933) |
|
3,863 |
|
535 |
Net (loss)/income |
|
(22,933) |
|
3,865 |
|
535 |
Other comprehensive (loss)/income |
|
|
|
|
|
|
Foreign currency translation |
|
(11,927) |
|
1,415 |
|
196 |
Total comprehensive (loss)/income |
|
(34,860) |
|
5,280 |
|
731 |
Less: total comprehensive income |
|
- |
|
2 |
|
- |
Total comprehensive (loss)/income |
|
(34,860) |
|
5,278 |
|
731 |
Net (loss)/income attributable to |
|
(22,933) |
|
3,863 |
|
535 |
Weighted average number of |
|
1,983,680,743 |
|
1,967,014,878 |
|
1,967,014,878 |
Net loss per share attributable to |
|
|
|
|
|
|
Basic |
|
(0.01) |
|
- |
|
- |
Diluted |
|
(0.01) |
|
- |
|
- |
|
||||||
|
||||||
NOTES TO UNAUDITED FINANCIAL INFORMATION |
||||||
(All amounts in thousands, except for share and per share data, unless otherwise noted) |
||||||
|
||||||
|
|
For the Three Months Ended |
||||
|
|
March 31, 202 3 |
|
2024 |
||
|
|
RMB |
|
RMB |
|
US$ |
Share-based compensation |
|
|
|
|
|
|
Technology and content |
|
(139) |
|
420 |
|
58 |
General and administrative |
|
(715) |
|
(1,248) |
|
(173) |
Fulfillment |
|
(2,820) |
|
(118) |
|
(16) |
Sales and marketing |
|
(631) |
|
63 |
|
9 |
Total |
|
(4,305) |
|
(883) |
|
(122) |
|
||||||
|
||||||
RECONCILIATION OF NON-GAAP MEASURES TO THE MOST DIRECTLY COMPARABLE FINANCIAL MEASURES |
||||||
(All amounts in thousands, except for share and per share data, unless otherwise noted) |
||||||
|
||||||
|
|
For the Three Months Ended |
||||
|
|
March 31, 202 3 |
|
2024 |
||
|
|
RMB |
|
RMB |
|
US$ |
Reconciliation of Net (Loss)/Income to Adjusted Net |
|
|
|
|
|
|
Net (loss)/income |
|
(22,933) |
|
3,865 |
|
535 |
Add: Share-based compensation |
|
(4,305) |
|
(883) |
|
(122) |
Adjusted net (loss)/income |
|
(27,238) |
|
2,982 |
|
413 |
[1]. This announcement contains translations of certain Renminbi (RMB) amounts into |
[2]. "Repeat purchase rate" in a given period is calculated as the number of transacting members who purchased not less than twice divided by the total number of transacting members during such period. "Transacting member" in a given period refers to a member who successfully promotes |
[3]. Adjusted net income is a non-GAAP financial measure, which is defined as net income excluding share-based compensation expense. See "Reconciliation of Non-GAAP Measures to the Most Directly Comparable Financial Measures" set forth at the end of this press release. |
[4]. As of |
[5]. As of |
[6]. As of |
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