Shares of PDD Holdings (NASDAQ:PDD) traded erratically on Wednesday after the company reported fourth-quarter revenue that largely aligned with market expectations, while earnings declined compared with the previous year.
The Chinese e-commerce group generated revenue of 123.91 billion yuan ($17.96 billion) for the quarter ended December 31, slightly below the 124.4 billion yuan average estimate compiled by LSEG. Revenue still rose significantly from 88.88 billion yuan recorded in the same period of 2023, representing a 39% year-over-year increase.
Despite the strong sales growth, net income declined 11% to 24.54 billion yuan, down from 27.45 billion yuan in the prior-year quarter.
PDD’s stock had already dropped 13.5% year-to-date through Thursday’s close, before seeing gains during Friday’s trading session.