Dada Nexus (DADA) Q2 2024 earnings summary

Executive summary

• JD Now monthly transacting users and orders via JD app grew over 100% year-over-year in Q2 2024.

• Dada Now revenue rose over 50% year-over-year in H1 2024, driven by chain merchant demand.

• Strategic focus on core businesses, user experience, and integration with JD.com ecosystem is driving sustainable growth.

• Focus on high-quality development led to improved net loss margins quarter-over-quarter.

Financial highlights

• Total net revenues for Q2 2024 were RMB 2,349.9 million, down 9.5% year-over-year from RMB 2,596.8 million.

• JD Now net revenues: RMB 912.4 million in Q2 2024, down from RMB 1,616.4 million in Q2 2023.

• Dada Now net revenues: RMB 1,437.5 million in Q2 2024, up 46.6% year-over-year.

• Non-GAAP net loss for Q2 was RMB 142.3 million, improving by RMB 53 million sequentially; non-GAAP net loss margin narrowed to 6.1%.

• Number of orders delivered rose to 679.2 million in Q2 2024 from 562.8 million in Q2 2023.

Outlook and guidance

• Management prioritizes user and order volume growth, aiming for deeper JD user penetration and long-term profitability.

• Confident in maintaining above-industry growth for Dada Now and long-term advertising monetization potential for JD Now.

• Business adjustments may pressure JD Now revenue in the short term, but expected to enable sustainable high-quality growth.