China Youzan records RMB168.17m loss in Q1

This increased from the RMB132.28m loss recorded in the first quarter of 2020.

Merchant service provider China Youzan Limited reported it incurred a $203.22m (RMB168.17m) loss in the first quarter of the year, compared to the $159.85m (RMB132.28m) in the same quarter last year.

The Hong Kong-listed Group’s revenue saw an 11.9% year-on-year increase in revenue to $503.92 (RMB417m); whilst its gross profit rose 15.7% YoY to $296m (RMB245m).

As of March 2021, the Group had 95,692 paying merchants, reflecting a 5% increase compared to the same period in 2020. Gross Merchandise Volume during the quarter also increased 13% YoY to $28.52b (RMB23.6b).

The Group had upgraded its sales network and set up operations service centers in Wuhan and Nanjing.

The Group also launched the Youzan WeCom Assistant that sought to empower merchants with private domain traffic to drive growth.

“Our mission is to help every merchant who values products and services achieve success in commerce,” The management of China Youzan said.

“To support merchants in improving operational efficiency and growing their businesses, we will implement five development strategies including growing merchants’ sales, growing merchants base and broadening sales network, continuously innovating and expanding solution offerings, continuously expanding ecosystem and enhancing capabilities to serve large merchants, and continuously building for the long-term development to strengthen our leadership in the cloud-based commerce services industry.”