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Temu owner PDD Holdings has reported total revenues at the discount e-retail group hit ¥247bn (£27bn) in the full year to 31 December 2023, nearly doubling from ¥130bn (£14.2bn) in 2022.
The group attributed its financial performance to its marketing efforts, which led to more transactions.
As a result, operating profits for the full year also rose 93% from ¥30bn (£3.3bn) in 2022 to ¥58bn (£6.3bn).
During the fourth quarter, Temu recorded an increase of 123% in revenues to ¥89bn (£9.7bn), while operating profits jumped 146% to ¥22bn (£2.4bn).
Chen Lei, chair and CEO of PDD Holdings, said: “2023 represents a pivotal chapter in our corporate history. We saw growing demand driven by encouraging consumer sentiment.”
In the US, research from Earnest Analytics has revealed that Temu has surpassed Walmart’s and Target’s second-time purchase rates.
The research also found that over 28% of Temu’s first-time shoppers return to make a second purchase. This is nearly 100% higher than Walmart and Target, and even higher when compared to Etsy and Five Below.
