EarningsThe miss on revenue translates into a miss on earnings, with PDD's gross profit margin shrinking to 60.0% in 3Q24, due to the miss in commission revenue as PDD strengthens its merchant support.
ProfitabilityManagement reiterated its commitment in merchant support and investment in agriculture, implying its determination to drive declining trend of profitability in the long run.
Revenue GrowthThe introduction of Rmb10bn fee reduction program and high-quality merchant support program in late August have resulted in slower revs growth in 3Q24.