On November 20th, the second-hand consumer electronics trading and service platform Wanwu Xinsheng (Love Recycling) Group released its third quarter 2024 performance report. In the third quarter of 2024, the total revenue of Wanwu Xinsheng Group was 4.05 billion yuan, a year-on-year increase of 24.4%. Non GAAP operating profit exceeded 100 million yuan (adjusted to exclude employee equity incentive expenses, intangible asset amortization, and deferred costs arising from acquisitions, the same below), a year-on-year increase of 40.9%, achieving nine consecutive quarters of profitability and achieving comprehensive profitability at the GAAP level.
In terms of revenue composition, the revenue from 1P (self operated) products reached 3.67 billion yuan, a year-on-year increase of 25.6%, and continued to be the engine of revenue growth. The revenue from 3P (platform) services was 380 million yuan, a year-on-year increase of 13.9%.
At the same time, the profitability of all things is comprehensively optimized. In the third quarter, the group achieved an operating profit of 24.89 million yuan and a net profit of 17.88 million yuan, achieving comprehensive profitability under the GAAP standard for a single quarter. In addition, the non GAAP operating profit margin of Wanwu Xinsheng increased from 2.3% in the same period last year to 2.6% this quarter, achieving profitability for nine consecutive quarters. The non GAAP net profit for a single quarter was RMB 90.06 million, a significant increase of 89.3% year-on-year. The non GAAP net profit margin increased from 1.5% in the same period last year to 2.2%.
As of the end of the third quarter, Wanwu Xinsheng had 1637 offline stores covering 263 cities across the country, with 587 stores equipped with multi category recycling capabilities. In the third quarter, Love Recycling's multi category recycling revenue reached 950 million yuan, a year-on-year increase of over 270%, and corresponding service revenue increased by over 400% year-on-year.
Chen Chen, Chief Financial Officer of Wanwu Xinsheng, said, "This quarter, Wanwu Xinsheng Group has further achieved good results in terms of profits. Our non GAAP operating profit scale has exceeded 100 million yuan for the first time, and we have reported GAAP operating profit for the first time. These are the phased results of improving operating expense efficiency and digesting historical mergers and acquisitions amortization. In this quarter, we actively executed repurchases and returned more than 12 million US dollars to shareholders. In the long-term development path, we will adhere to strengthening our own efficiency and creating more value for users and shareholders
In the third quarter of 2024, we are pleased to announce that the group's total revenue reached 4.05 billion yuan, achieving a healthy growth of 24.4% year-on-year, "said Chen Xuefeng, Chairman of the Board of Directors and CEO of Wanwu Xinsheng