Dingdong (Cayman) Limited Announces Second Quarter 2024 Financial Results

Core Viewpoint - Dingdong (Cayman) Limited reported significant financial growth in the second quarter of 2024, achieving both GAAP and non-GAAP profitability for the seventh consecutive quarter, driven by strong supply chain capabilities and increased customer engagement [2][3][9]. Financial Performance - GMV for Q2 2024 increased by 16.8% year-over-year to RMB6,218.7 million (US$855.7 million) from RMB5,322.4 million in Q2 2023 [2]. - Revenue for Q2 2024 was RMB5,599.0 million (US$770.4 million), up 15.7% from RMB4,840.6 million in the same quarter of 2023 [4]. - Non-GAAP net income surged by 1268.6% year-over-year to RMB103.1 million (US$14.2 million), compared to RMB7.5 million in Q2 2023 [2][7]. - Net income for Q2 2024 was RMB67.1 million (US$9.2 million), a turnaround from a net loss of RMB36.6 million in Q2 2023 [7][8]. Cost Structure - Total operating costs and expenses rose to RMB5,612.8 million (US$772.3 million) from RMB4,866.9 million in Q2 2023 [5]. - Cost of goods sold increased by 17.3% to RMB3,919.4 million (US$539.3 million), with the percentage of revenues slightly increasing to 70.0% [5]. - Fulfillment expenses were RMB1,252.9 million (US$172.4 million), a 9.7% increase, but as a percentage of total revenues decreased to 22.4% [5]. Profitability Metrics - Non-GAAP net profit margin was 1.8%, up 1.6 percentage points from the previous year, while GAAP net profit margin was 1.2%, an increase of 2.0 percentage points year-over-year [6][7]. - Basic and diluted net income per share was RMB0.20 (US$0.00), compared to a net loss per share of RMB0.12 in Q2 2023 [8]. Cash Flow and Balance Sheet - Net cash provided by operating activities was RMB245.7 million (US$33.8 million), marking the fourth consecutive quarter of net operating cash inflow [2]. - As of June 30, 2024, cash and cash equivalents, restricted cash, and short-term investments totaled RMB4.16 billion (US$572.1 million) [8]. Future Outlook - The company has raised its expectations for profitability and scale, anticipating significant year-over-year growth for the third quarter and the entire year of 2024 [9].