Uxin Limited Reports Financial Results for Q1 2024
Intellectia.AI2024-09-23
Uxin Limited Reports Financial Results for Q1 2024
Uxin Limited (Nasdaq: UXIN), China's leading used car retailer, announced its unaudited financial results for the first quarter ending June 30, 2024.
Key Financial Metrics
| Financial Metric | Q1 2024 | Q4 2023 | Q1 2023 | YoY Change (%) | QoQ Change (%) |
|---|---|---|---|---|---|
| Total Revenue (USD) | $55.2 million | $43.9 million | $39.8 million | +38.8% | +25.7% |
| Loss from Operations (USD) | $8.6 million | $15.1 million | $8.7 million | N/A | N/A |
| Non-GAAP Adjusted EBITDA (USD) | $4.7 million | $5.5 million | $6.4 million | N/A | N/A |
| Gross Margin (%) | 6.4% | 6.6% | 6.1% | N/A | N/A |
The company reported total revenue of $55.2 million for Q1 2024, a 38.8% year-over-year increase attributed mainly to strong performance in retail vehicle sales. Despite a stable gross margin, the loss from operations improved sequentially.
Revenue Breakdown by Segment
| Segment | Q1 2024 Revenue (USD) | Q4 2023 Revenue (USD) | Q1 2023 Revenue (USD) | YoY Change (%) | QoQ Change (%) |
|---|---|---|---|---|---|
| Retail Vehicle Sales Revenue | $44.7 million | $37.1 million | $25.7 million | +73.9% | +20.6% |
| Wholesale Vehicle Sales Revenue | $8.8 million | $5.5 million | $13.0 million | -32.3% | +60.0% |
| Other Revenue | $1.7 million | $1.4 million | $1.0 million | +70.0% | +21.4% |
Retail sales were strong with a 73.9% increase compared to the same period last year, driving Uxin's overall revenue growth. The decline in wholesale vehicle sales revenue year-over-year reflects a strategic focus on enhancing retail standards.
Key Developments
- Transaction Volume Growth : Total transaction volume increased by 38.1% quarter-over-quarter and 72.2% year-over-year, with retail transactions showing significant growth.
- Strategic Partnerships : Entering a partnership in Zhengzhou to enhance market presence.
- Customer Satisfaction : Net Promoter Score reached 65, the highest in the industry.
Management Comments
Mr. Kun Dai, Founder, Chairman, and CEO, stated the company's path towards growth with increased vehicle turnover efficiency and improved customer satisfaction. Uxin is actively expanding its network of superstores, which will bolster market presence and drive sales growth. CFO Mr. Feng Lin highlighted a significant year-over-year increase in retail vehicle sales revenue and reduced adjusted EBITDA loss due to disciplined cost control.
Business Outlook
The company projects retail transaction volume for the next quarter to range between 5,800 to 6,000 units, a sequential growth expectation of over 40%. Revenue is forecasted between RMB480 million and RMB500 million, with continued narrowing of adjusted EBITDA loss.
Stock Performance
Following the earnings report, Uxin's stock experienced a decrease of 2.21%.
Uxin's strategic focus on integrating its online and offline sales channels, coupled with enhanced pricing capabilities and operational efficiencies, highlights its potential for robust growth in upcoming quarters.
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