RLX Technology Announces Unaudited Third Quarter 2024 Financial Results

Core Viewpoint - RLX Technology Inc. reported strong financial results for Q3 2024, highlighting significant revenue growth driven by international expansion and effective cost optimization strategies [1][2]. Financial Performance - Net revenues reached RMB 756.3 million (US$ 107.8 million) in Q3 2024, a 51.6% increase from RMB 498.9 million in Q3 2023 [1][2]. - Gross profit was RMB 206.0 million (US$ 29.4 million) with a gross margin of 27.2%, up from 24.1% in the same period last year [2]. - U.S. GAAP net income was RMB 169.4 million (US$ 24.1 million), slightly down from RMB 176.6 million in Q3 2023 [2]. - Non-GAAP net income increased to RMB 261.9 million (US$ 37.3 million) from RMB 201.4 million in Q3 2023 [1][2]. Operational Highlights - The increase in gross margin was attributed to a favorable revenue mix and cost optimization efforts [2]. - Operating expenses rose to RMB 216.6 million (US$ 30.9 million), primarily due to fluctuations in share-based compensation expenses [2]. - The company maintained stable non-GAAP operating expenses while achieving rapid revenue growth, indicating operational leverage [1]. Shareholder Returns - The Board of Directors approved a cash dividend of US$ 0.01 per ordinary share, payable around December 13, 2024 [3]. Cash Flow and Balance Sheet - As of September 30, 2024, the company had total assets of RMB 16,402.5 million (US$ 2,337.3 million), an increase from RMB 16,315.1 million [8]. - Net cash generated from operating activities was RMB 156.6 million (US$ 22.3 million) in Q3 2024 [2].