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E-commerce upstart Pinduoduo reports robust Q1 revenue growth

BEIJING
2019-05-21 15:16

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BEIJING, May 21 (Xinhua) -- China's social e-commerce giant Pinduoduo reported soaring revenue growth in the first quarter of this year thanks to an expanding user base.    

Pinduoduo's revenues totaled 4.54 billion yuan (about 677.3 million U.S. dollars) in Q1, surging 228 percent year on year and mainly driven by an increase in its online marketing services revenues, according to its financial report disclosed Monday.    

Its gross merchandise volume (GMV) in the twelve-month period ended March 31, 2019, reached 557.4 billion yuan, up 181 percent year on year, data from the report showed.    

Huang Zheng, chairman and CEO of Pinduoduo, attributed the robust GMV expansion to the rapid growth in its annual active buyer base and annual spending per active buyer.    

The e-commerce upstart's monthly active buyers expanded by over 74 percent to reach 289.7 million in Q1, while active users grew over 50 percent to top 440 million during the twelve-month period.    

Founded in 2015, Pinduoduo is known for offering group buying deals with big discounts and enjoys a huge consumer base in rural areas and small cities.    

Huang said the company would continue to invest strategically in its users and merchants in 2019 and drive greater engagement with more practical functions and fun features.
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