Secoo Sees Strong Growth, Reports Higher Revenue and Higher Earnings
The Beijing-based company said today that its revenue for the third quarter soared more than 60 percent year-over-year to $228.9 million.
Secoo Holding Ltd. (Nasdaq: SECO), which operates one of the largest upscale products and services platforms in China, announced higher revenue and higher income for the third three months, driven by its rapid global expansion.
The Beijing-based company said today that its revenue for the third quarter soared more than 60 percent year-over-year to $228.9 million. Net income during the recent quarter reached $6.5 million, or 24 cents per fully diluted share, up 32 percent from the same period a year ago.
"We attribute this robust performance to our ability of leveraging our premium and diverse product and service offerings and industry-leading capabilities to gain deep footholds across the value chain in our industry," said Richard Rixue Li, chairman and chief executive officer of Secoo. "Notably, the number of our active customers increased by 91% year-over-year to a record high of 300,000 during the quarter."
During the third quarter, Secoo entered into partnerships with 97 new brands, it said, including renowned Calvin Klein, DIESEL, Nicole Miller, Alberta Ferretti, Philosophy, Mikael D, Villeroy & Boch, Marshall and LVMH's new beauty brand Cha Ling.
Further, in November, Secoo signed cooperation agreements with numerous high-end brands from the U.S., the U.K., France, Italy, Australia and Korea during the inaugural China International Import Expo (CIIE).
Looking ahead, the management said it expected revenue for the fourth quarter to be in the range of 1.9 billion yuan and 2 billion yuan, indicating an 35 percent to 42 percent increase year-over-year.
Despite strong revenue and earnings, the stock of Secoo remained flat Tuesday, trading up 4 cents in mid-afternoon in New York, at $10.69 per American depositary share.