Core Insights - Dada Nexus Limited reported a year-on-year growth in monthly transacting users and orders through the JD App, with both increasing by over 100% in Q3 2024, reflecting strong customer engagement and trust [2][6] - The company achieved a 46% year-over-year revenue increase for Dada NOW in the first nine months of 2024, driven by enhanced partnerships with chain merchants and improved delivery service quality [2][6] - Total net revenues for Q3 2024 were RMB 2,429.4 million, a decrease from RMB 2,621.8 million in Q3 2023, indicating challenges in certain revenue streams [3][6] Financial Performance - The net revenues generated from JD NOW decreased to RMB 930.2 million in Q3 2024 from RMB 1,540.3 million in Q3 2023, primarily due to a decline in online advertising and fulfillment services revenues [6][9] - Dada NOW's net revenues increased by 38.6% from RMB 1,081.6 million in Q3 2023 to RMB 1,499.2 million in Q3 2024, mainly attributed to a rise in order volume for intra-city delivery services [6][9] - Total costs and expenses for Q3 2024 were RMB 2,656.7 million, down from RMB 2,862.6 million in Q3 2023, reflecting improved operational efficiency [7][8] Loss Metrics - The loss from operations was RMB 226.8 million in Q3 2024, compared to RMB 210.5 million in Q3 2023, indicating ongoing challenges in achieving profitability [9][10] - The net loss for Q3 2024 was RMB 197.3 million, up from RMB 166.0 million in the same quarter of the previous year [9][10] - Non-GAAP net loss for Q3 2024 was RMB 59.4 million, compared to RMB 9.2 million in Q3 2023, highlighting the impact of operational challenges [10][26] Operational Highlights - The number of orders delivered in Q3 2024 was 477.7 million, with gross billings amounting to RMB 2,323.1 million, reflecting the scale of operations [11][11] - The company has implemented a "Riders' Children Care Program" to support the families of delivery riders, enhancing its social responsibility initiatives [12][13] - Dada has launched various rider care activities in nearly 70 cities, focusing on improving the well-being of riders and fostering community engagement [13][13]

Core Viewpoint - Dada Nexus Limited, a leading local on-demand retail and delivery platform in China, is set to release its unaudited financial results for Q3 2024 on November 13, 2024, after U.S. market close [1]. Group 1: Financial Results Announcement - The unaudited financial results for the third quarter ended September 30, 2024, will be announced on November 13, 2024 [1]. - A conference call to discuss the earnings will take place at 8:30 p.m. Eastern Time on the same day [2]. - Participants must register in advance for the conference call and will receive details including dial-in numbers and a unique access PIN [2]. Group 2: Company Overview - Dada Nexus Limited operates JD NOW, one of China's largest local on-demand retail platforms, and Dada Now, a leading local on-demand delivery platform [4]. - The two platforms are interconnected, with JD NOW increasing order volume for Dada Now, while Dada Now enhances the delivery experience for JD NOW participants [4].

Group 1 - Chinese stocks, including Dada Nexus, experienced a rally following a surprise 50-basis-point rate cut by the People's Bank of China, with Dada Nexus stock rising by 5% after an earlier gain of 15.5% [1] - The Shanghai Composite index surged by 8.1%, marking its best single-day performance since 2008, driven by traders positioning themselves ahead of a weeklong holiday and a positive response to a recent stimulus package [2] - The central bank's directive for banks to lower mortgage rates on existing home loans is aimed at supporting the struggling property market in China, further fueling the stock market rally [2] Group 2 - Dada Nexus specializes in on-demand retail and delivery services and has a close partnership with JD.com, which holds a majority stake in the company [2] - JD.com received a price-target increase from Citigroup, raising its target from $41 to $52, and maintains a buy rating, reflecting investor optimism about its growth potential [3] - The recent market rebound in China is seen as unpredictable, with concerns about the effectiveness of the stimulus package and ongoing economic weaknesses, suggesting that while exposure to China may be beneficial, a diversified portfolio is advisable [4]

Group 1 - Dada Nexus experienced a significant stock price increase of nearly 22% following the sale of shares by Walmart's subsidiary to JD.com, while the S&P 500 index remained flat during the same session [1] - Walmart's Global Pinnacle Corporation divested approximately 87.5 million ordinary shares and nearly 1.9 million American depositary shares (ADS) of Dada, representing over 9% of Dada's equity [2] - JD.com increased its majority stake in Dada to over 63% after the acquisition, indicating strong confidence in Dada's potential [2][3] Group 2 - The CEO of Walmart's China division, Christina Zhu, stepped down from Dada's Board of Directors immediately following the divestment [2] - The recent divestment by Walmart mirrors a previous sale of a similar stake in JD.com, suggesting a strategic shift in Walmart's approach to the Asian market [3] - JD.com's acquisition of Dada shares reflects its confidence in the growth prospects of the Chinese delivery market [3]

Investment Rating - The investment rating for Dada Group (DADA US) is Neutral [2][7]. Core Insights - The company's revenue for Q2 2024 was 2.35 billion RMB, a year-on-year decrease of 9.5%, with Dada Express revenue increasing by 47% due to higher delivery volumes from chain brands. JD Instant Delivery revenue fell by 44% due to a decline in advertising revenue and reduced fulfillment service income [1][5]. - The adjusted net loss for Q2 2024 was 140 million RMB, with a loss rate of 6%, which was better than Bloomberg's market expectation of a 200 million RMB loss [1][5]. - The operational cost ratio increased to 74% from 58% year-on-year, primarily due to rising rider costs from increased local delivery volumes [1][5]. Summary by Sections Financial Performance - For Q2 2024, total revenue was 2.35 billion RMB, down 10% from the previous quarter and down 9.5% year-on-year. Dada Express revenue was 1.44 billion RMB, up 47% year-on-year, while JD Instant Delivery revenue was 912 million RMB, down 44% year-on-year [5][6]. - The adjusted net profit margin for 2024 is projected to be approximately -7.4%, with an expected total loss of 710 million RMB [4][6]. Operational Highlights - JD Instant Delivery saw a 100%+ year-on-year increase in average monthly users and order volume, with peak daily orders reaching new highs. The user penetration rate in JD's ecosystem continues to improve [2][5]. - Dada Express completed orders and gross revenue increased by 21% and 23% year-on-year, respectively, as the company deepens partnerships with key accounts in the restaurant sector [2][5]. Outlook and Valuation - The company is expected to continue facing challenges in revenue growth due to adjustments in JD Instant Delivery's business model. Revenue is projected to decline by approximately 10% in Q3 2024, with Dada Express revenue expected to grow by 40% year-on-year [2][4]. - The target price has been adjusted down to 1.50 USD from 1.70 USD, reflecting a 13.6% potential upside from the current price of 1.32 USD [2][7].

Financial Data and Key Metrics Changes - Dada Group's total net revenues in Q2 2024 were RMB2.3 billion, with a year-on-year change primarily due to adjustments in the JD NOW business [5][24] - Non-GAAP net loss in Q2 was RMB142 million, improving sequentially by RMB53 million, with a non-GAAP net loss margin of 6.1%, narrowing by 1.8 percentage points [6][26] - Net revenues from JD NOW were RMB912 million, while Dada NOW revenues increased by 47% year-on-year to RMB1.4 billion [6][24] Business Line Data and Key Metrics Changes - JD NOW saw over 100% year-on-year growth in monthly transacting users and orders through the JD App [5] - Dada NOW's net revenues for the first half of 2024 increased by 51% year-on-year to RMB2.6 billion, driven by new customer expansion and increased penetration among existing partners [6][20] - The number of orders delivered by Dada NOW rose 21% year-on-year to 679 million in Q2 [19] Market Data and Key Metrics Changes - The average daily unique visitors through the JD App increased by over 70% year-on-year, with the user conversion rate up over 20% year-on-year [15] - The number of high-frequency users with the JD App channel increased by over 100% year-on-year [16] - JD NOW's average daily paid order volume increased by over 50% year-on-year in Q2 [17] Company Strategy and Development Direction - The company remains committed to high-quality growth, focusing on user experience and supply enhancement for JD NOW and Dada NOW [22] - Dada NOW is undergoing a brand upgrade to strengthen its image as a high-speed, high-quality delivery service provider [36] - The strategy includes deepening cooperation with JD.com to enhance user penetration and mindshare growth [47] Management's Comments on Operating Environment and Future Outlook - Management noted a stable recovery in consumer confidence, with online sales of physical goods growing by 6.4% year-on-year in Q2 [29] - The company anticipates that adjustments made earlier in the year will lead to sustainable high-quality growth in the long run [38] - Management expressed confidence in achieving breakeven and profitability in the long term, supported by strong growth in the restaurant and beverage sectors [46] Other Important Information - The company had RMB3.6 billion in cash and cash equivalents as of June 30, 2024, and had repurchased approximately USD9.8 million of ADSs as part of a USD 40 million share repurchase program [26] - The company has expanded its geographic coverage for JD NOW services nationwide, enhancing service availability for JD.com users [48] Q&A Session Summary Question: Update on consumer sentiment and competitive landscape - Management reported a stable recovery in consumer confidence, with online sales growth reflecting this trend [29] - JD NOW is gaining market share due to its integration with JD.com and expansion of high-quality supply [31] Question: User consumption patterns and pressure on take rates - Management noted that the supermarket category is stable, while non-supermarket categories are experiencing higher growth rates [40] - The company is actively collaborating with convenience store brands to meet consumer needs [39] Question: Financial guidance and cooperation with JD - Management indicated that JD NOW's GMV faced short-term challenges but is expected to improve with strategic adjustments [43] - The company aims to penetrate a significant portion of JD's user base, with ongoing efforts to enhance user experience [49]

SHANGHAI, China, Aug. 20, 2024 (GLOBE NEWSWIRE) -- Dada Nexus Limited (NASDAQ: DADA, “Dada”, the “Company”, or “we”), China’s leading local on-demand retail and delivery platform, today announced its unaudited financial results for the second quarter ended June 30, 2024. “I am grateful for the Board’s trust and honored to take on the responsibilities of Chairman. With the Board’s vision and leadership, we remain optimistic about the journey ahead of us in the on-demand retail and delivery industries,” said ...

SHANGHAI, China, Aug. 20, 2024 (GLOBE NEWSWIRE) -- Dada Nexus Limited (NASDAQ: DADA, “Dada” or the “Company”), China’s leading local on-demand retail and delivery platform, today announced that the board of directors (the “Board”) has elected Mr. Kevin Qing Guo to become a director and a member of the compensation committee of the Board and succeed Mr. Ian Su Shan as the chairman of the Board, effective August 20, 2024. Mr. Ian Su Shan will continue to serve as a director of the Company and a member of the ...

SHANGHAI, China, Aug. 14, 2024 (GLOBE NEWSWIRE) -- Dada Nexus Limited (NASDAQ: DADA, “Dada” or the “Company”), China’s leading local on-demand retail and delivery platform, today announced that it will release its unaudited financial results for the second quarter ended June 30, 2024, on Tuesday, August 20, 2024, after the close of U.S. markets. The Company will host a conference call to discuss the earnings at 9:30 p.m. Eastern Time on Tuesday, August 20, 2024 (9:30 a.m. Beijing time on Wednesday, August 2 ...

交银国际研究 公司更新 互联网 2024 年 7 月 19 日 收盘价 目标价 潜在涨幅 美元 1.33 美元 1.70↓ +27.8% 达达集团 (DADA US) 2 季度业绩预览:快送业务表现优异,京东场域结合仍未大规模变现 2024 年 2 季度业绩预览:我们预计收入 23 亿元(人民币,下同),与彭 博市场预期基本一致,同比下降 12%,下调 4 个百分点主要因京东到家广 告收入低于预期,达达快送/京东到家收入分别同比+44%/-46%(Visible Alpha 一致预期+40%/-41%);经调整净亏损 1.7 亿元,对应亏损率 7.4%, 对比彭博市场预期亏损 1.9 亿元。 分业务线来看,2 季度:1)达达快送:我们预计收入 14 亿元,同比增 44% ,上调4个百分点,得益于持续渗透KA客户获取市场份额,带动同城 配送单量增加。2)京东到家:我们下调收入预测 14%,因广告收入低于 预期。预计京东到家收入同比降 46%至 8.7 亿元,降幅高于 1 季度,主要 受低效业务渠道清理及战略变化如广告系统/资源向京东 app 倾斜影响。2 季度将是业务调整影响最大的季度,我们预计下半年降幅有所收 ...