Temu: sales up, profits down

Revenues of PDD – the holding company that controls Temu – rose 7% to 103.98 billion yuan ($14.53 billion) during the quarter ended June, beating analysts’ estimate of 103.34 billion yuan, according to data compiled by LSEG.

Its operating profit fell 21%. Adjusted earnings per US depository share stood at 22.07 yuan, beating the estimate of 15.74 yuan.

Competition from Amazon is very strong. Temu is testing the sale of food – under an advertisement for the sale of Coca-Cola on its site – in Italy.