ATRenew Inc. Reports Unaudited Third Quarter 2025 Financial Results

Core Insights - ATRenew Inc. reported a record total revenue of RMB5,149 million (US$723.3 million) for Q3 2025, marking a 27.1% year-on-year increase [3][5][6] - The company achieved improved profitability with adjusted income from operations rising by 34.9% year-on-year to RMB140 million (US$19.7 million) [3][9] - The number of consumer products transacted increased to 10.9 million, up from 9.1 million in the same period of 2024 [6][10] Financial Performance - Total net revenues increased by 27.1% to RMB5,149.2 million (US$723.3 million) from RMB4,051.2 million in Q3 2024 [5][6] - Net product revenues rose by 28.7% to RMB4,726.3 million (US$663.9 million) due to higher sales of pre-owned consumer electronics [5][6] - Net service revenues grew by 11.6% to RMB422.8 million (US$59.4 million), driven by the multi-category recycling business [7] Profitability Metrics - Income from operations was RMB120.8 million (US$17.0 million), a significant increase of 385.1% from RMB24.9 million in Q3 2024 [6][9] - Net income reached RMB90.8 million (US$12.8 million), up 407.3% from RMB17.9 million in the same period last year [10][11] - Adjusted net income (non-GAAP) was RMB110.2 million (US$15.5 million), reflecting a 22.3% increase year-on-year [10] Operating Costs - Operating costs and expenses rose to RMB5,033.2 million (US$707.0 million), an increase of 25.0% compared to RMB4,028.1 million in Q3 2024 [8] - Merchandise costs increased by 26.3% to RMB4,094.2 million (US$575.1 million) due to growth in product sales [12] - Fulfillment expenses were RMB437.1 million (US$61.4 million), up 25.9% as a result of increased personnel and logistics costs [12] Business Outlook - For Q4 2025, ATRenew expects total revenues to be between RMB6,080 million and RMB6,180 million, indicating a year-on-year increase of 25.4% to 27.4% [14] - The company is focusing on enhancing its fulfillment capabilities and exploring multi-category recycling services to capitalize on the circular economy [3][14] Recent Developments - ATRenew announced a new share repurchase program, allowing for the repurchase of up to US$50 million of its shares over a 12-month period [15]