Temu owner’s shares rise as results beat estimates despite tumbling profits

The company reported results for the three months ended June 30, with net profit down 12% while still surpassing Wall Street consensus. The earnings response was positive, with shares rising after the release.

PDD's enrichment shows FY2025 revenue of $61.8B, up 14.5% year over year, alongside a 22.7% net margin and $2.36 in diluted EPS. Those figures provide a broader growth and profitability backdrop, but they do not establish the size of the quarterly beat or explain the cause of the profit decline.

The next read-through comes from the detailed results and management commentary: investors will need to parse the balance between revenue momentum, promotional intensity, operating costs and the outlook. The share reaction suggests the beat currently carries more weight than the profit contraction, but the durability of that response depends on the next guidance and margin signals.