Bank Contagion Keeps Buyers Sidelined, Pinduoduo’s “Investment” Leaves Investors Wanting

Pinduoduo Q4 Earnings Release

E-commerce company Pinduoduo released Q4 2022 results this morning. Revenue missed lofty analyst expectations, despite growing +46% year-over-year, while adjusted net income and adjusted earnings per share (EPS) beat analyst expectations. Pinduoduo’s stock has had a decent 2023 so far.

The company did not give a forecast, though noted “steady growth” of consumers during Q1 2023 while higher priced goods such as cell phones saw “decent growth”. Management noted that competition is “intense” as technology investment and expenses rose from RMB 13.8 billion to RMB 21.8 billion. “Temu,” the platform’s international brand, will expand to new markets including in Canada and Europe.