Vipshop Reports Unaudited Second Quarter 2025 Financial Results

Core Viewpoint - Vipshop Holdings Limited reported stabilization in its business trajectory, with a return to growth in total GMV driven by strong performance in apparel categories and an increase in Super VIP members [2][3]. Financial Performance - Total net revenues for Q2 2025 were RMB 25.8 billion (US$ 3.6 billion), a decrease from RMB 26.9 billion in the prior year period [3]. - Gross profit for Q2 2025 was RMB 6.1 billion (US$ 845.2 million), compared to RMB 6.3 billion in the prior year, with a gross margin of 23.5% [4]. - Operating expenses increased by 6.3% year-over-year to RMB 4.6 billion (US$ 637.0 million), representing 17.7% of total net revenues [5]. - Income from operations was RMB 1.7 billion (US$ 237.0 million), down from RMB 2.2 billion in the prior year, with an operating margin of 6.6% [6]. - Net income attributable to shareholders was RMB 1.5 billion (US$ 208.0 million), compared to RMB 1.9 billion in the prior year, resulting in a net margin of 5.8% [8]. Non-GAAP Measures - Non-GAAP income from operations for Q2 2025 was RMB 2.4 billion (US$ 334.4 million), down from RMB 2.6 billion in the prior year, with a non-GAAP operating margin of 9.3% [7]. - Non-GAAP net income attributable to shareholders was RMB 2.1 billion (US$ 290.0 million), compared to RMB 2.2 billion in the prior year, with a non-GAAP net margin of 8.0% [9]. Customer Metrics - The number of active customers decreased to 43.5 million from 44.3 million in the prior year [11]. - Total orders for Q2 2025 were 193.0 million, down from 197.8 million in the prior year [11]. Cash Flow and Balance Sheet - As of June 30, 2025, the company had cash and cash equivalents of RMB 24.7 billion (US$ 3.5 billion) and short-term investments of RMB 3.0 billion (US$ 416.2 million) [11]. - Net cash generated from operating activities was RMB 1.3 billion (US$ 181.6 million) for the quarter [11]. Shareholder Returns - The company repurchased US$ 349.8 million of its ADSs during the quarter under its US$ 1.0 billion share repurchase program, with an unutilized amount of US$ 646.0 million remaining [14]. Business Outlook - For Q3 2025, the company expects total net revenues to be between RMB 20.7 billion and RMB 21.7 billion, indicating a year-over-year increase of approximately 0% to 5% [15].