Dada's 3Q 2021 updates: Q3 Total Revenue Growth Further Accelerated to 86% YOY

Rhea-AI Summary

Dada Nexus Limited (NASDAQ: DADA) reported its third-quarter results for 2021, highlighting a total net revenue of RMB1,686.8 million, reflecting a year-over-year growth of 86.4% in its last-mile delivery services. The company also noted a significant improvement in operating efficiency, with operating profit margins enhancing by over 16 percentage points. For the fourth quarter, Dada anticipates revenues between RMB2.0 billion and RMB2.1 billion, indicating a projected growth rate of 88% to 97% year-over-year. Dada continues to strengthen its partnership with JD.com for enhanced service delivery.

Positive

• Total net revenues reached RMB1,686.8 million, an 86.4% year-over-year increase.
• Operating profit margin improved by over 16 percentage points.
• Projected revenues for Q4 2021 are estimated between RMB2.0 billion and RMB2.1 billion, indicating growth of 88% to 97% year-over-year.

Negative

• None.

SHANGHAI, Nov. 23, 2021  /PRNewswire/ Dada Nexus Limited (Dada Group, NASDAQ: DADA), China's leading local on-demand delivery and retail platform, today announced its unaudited financial results for the third quarter ended September 30, 2021.

Financial highlights:

• Total net revenues were RMB1,686.8 million. Aligning the revenue of Dada Now last-mile delivery services to a comparable basis, revenue growth would have been 86.4% year over year, an acceleration compared with 81% revenue growth in the second quarter.
  
  
• Significant improvement in operating efficiency: Aligning the revenue of Dada Now last-mile delivery services to a comparable basis, operating profit margin substantially improved by over 16 percentage points.
  
  
• For the fourth quarter of 2021, Dada expects total revenue to be between RMB2.0 billion and RMB2.1 billion. Aligning the revenue of Dada Now last-mile delivery services to a comparable basis in the fourth quarters of 2020 and 2021, total revenue of the fourth quarter of 2021 will realize 88% to 97% year-over-year growth.

Operation highlights:

• Total Gross Merchandise Volume ("GMV") of JDDJ for the twelve months ended September 30, 2021 was RMB37.2 billion.
  
  
• Deepen ties with JD in Q3 2021. In October, Dada Group and JD.com jointly launched "Shop Now" or "Xiaoshigou", a unified brand for all on-demand retail services within the JD ecosystem. Through Shop Now, users can access on-demand services via multiple channels on JD, including the "Nearby" tab on the homepage of JD.com's app.

"Dada has always been committed to driving digital transformation in the retail industry and providing consumers with superior experience to meet the evolving demands," said Mr. Philip Kuai, Chairman and Chief Executive Officer of Dada. "We are excited to strengthen strategic cooperation with JD under the omni-channel strategy to explore the enormous potential in the on-demand retail industry. We will continuously work together to create more value for retailers, brands and consumers and serve the development of the real economy."

About Dada Group

Dada Group is a leading platform of local on-demand retail and delivery in China. It operates JDDJ, one of China's largest local on-demand retail platforms for retailers and brand owners, and Dada Now, a leading local on-demand delivery platform open to merchants and individual senders across various industries and product categories. The company's two platforms are inter-connected and mutually beneficial. The Dada Now platform enables improved delivery experience for participants on the JDDJ platform through its readily accessible fulfillment solutions and strong on-demand delivery infrastructure. Meanwhile, the vast volume of on-demand delivery orders from the JDDJ platform increases order volume and density for the Dada Now platform. In June 2020, Dada Group began trading on the Nasdaq Global Market, under the ticker symbol "DADA."

Contacts
Dada Group
E-mail: PR@imdada.cn

 

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SOURCE Dada Group

FAQ

What were Dada's total revenues for Q3 2021?

Dada's total net revenues for Q3 2021 were RMB1,686.8 million.

How much did Dada's revenue grow year-over-year in Q3 2021?

Dada's revenue grew by 86.4% year-over-year in Q3 2021.

What is Dada's revenue forecast for Q4 2021?

Dada expects total revenue for Q4 2021 to be between RMB2.0 billion and RMB2.1 billion.

What improvements did Dada report regarding its operating profit margin?

Dada reported a significant improvement in operating profit margin by over 16 percentage points.

What is Dada's projected revenue growth for Q4 2021 compared to the previous year?

Dada projects revenue growth of 88% to 97% year-over-year for Q4 2021.