PDD (PDD) Q4 2025 earnings summary

Executive summary

• Celebrated 10th anniversary and marked the start of a new decade with the largest investment in high-quality development and supply chain upgrades.

• Launched the Hundred Billion Support Program to support merchants and farmers, focusing on brand-oriented growth and supply chain efficiency.

• Q4 2025 revenues rose 12% year-over-year to RMB 123.9 billion, driven by growth in online marketing and transaction services.

• Fiscal year 2025 revenues grew 10% to RMB 431.8 billion, but annual net income declined 12% to RMB 99.4 billion.

• Management emphasized long-term investments in supply chain and ecosystem, acknowledging these will impact near-term financials.

Financial highlights

• Q4 total revenues: RMB 123.9 billion, up 12% year-over-year; full year: RMB 431.8 billion, up 10%.

• Online marketing services revenue: RMB 60 billion in Q4, up 5% year-over-year; transaction services: RMB 63.9 billion, up 19%.

• Q4 GAAP operating profit: RMB 27.7 billion, up 8% year-over-year; non-GAAP: RMB 29.5 billion.

• Q4 net income attributable to shareholders: RMB 24.5 billion, down 11% year-over-year; full year: RMB 99.4 billion, down 12%.

• Net cash from operating activities: RMB 24.1 billion in Q4; RMB 106.9 billion for the year.

• Cash and short-term investments at year-end: RMB 422.3 billion.

Outlook and guidance

• Strategic focus remains on deep supply chain investment and high-quality development, not business diversification.

• Management expects continued margin fluctuations due to ongoing investments and macro uncertainty.

• Targeting long-term sustainable growth by upgrading supply chain and ecosystem.

• Ongoing investments will continue to affect financial performance in the near term.