Conference Call to Be Held at 7:00 A.M. U.S. Eastern Time on November 20, 2025
Vipshop Holdings Limited (NYSE: VIPS), a leading online discount retailer for brands in China (“Vipshop” or the “Company”), today announced its unaudited financial results for the quarter ended September 30, 2025.
Third Quarter 2025 Highlights
— Total net revenues for the third quarter of 2025 increased by 3.4% year over year to RMB21.4 billion (US$3.0 billion) from RMB20.7 billion in the prior year period.
— GMV[1] for the third quarter of 2025 increased by 7.5% year over year to RMB43.1 billion from RMB40.1 billion in the prior year period.
— Gross profit for the third quarter of 2025 was RMB4.9 billion (US$689.6 million), compared with RMB5.0 billion in the prior year period.
— Net income attributable to Vipshop's shareholders for the third quarter of 2025 increased by 16.8% year over year to RMB1.2 billion (US$171.5 million) from RMB1.0 billion in the prior year period.
— Non-GAAP net income attributable to Vipshop's shareholders[2] for the third quarter of 2025 increased by 14.6% year over year to RMB1.5 billion (US$210.9 million) from RMB1.3 billion in the prior year period.
— The number of active customers[3] for the third quarter of 2025 increased by 1.3% year over year to 40.1 million from 39.6 million in the prior year period.
— Total orders[4] for the third quarter of 2025 increased by 1.5% year over year to 166.4 million from 163.9 million in the prior year period.
Mr. Eric Shen, Chairman and Chief Executive Officer of Vipshop, stated, “We successfully regained business growth in the third quarter, driven by positive customer momentum, especially double-digit growth in Super VIP members, and broad-based strength across core categories. We have seen encouraging results since we strategically realigned the organization and reinforced the flywheel from merchandising, customer engagement to operations. Meanwhile, technology and AI are playing an increasingly vital role in unlocking growth potential and driving efficiency. Building on our unique position as an off-price retailer for brands, we are leaning into the opportunities ahead and firmly pursuing our long-term path to sustainable and profitable growth.”
Mr. Mark Wang, Chief Financial Officer of Vipshop, further commented, “In the third quarter, we are pleased to achieve better-than-expected top-line expansion and strong bottom-line growth. Our strategic yet disciplined investment in the business have effectively fueled customer and sales momentum. We are confident that this balanced approach drives long-term, sustainable value creation, and we are confidently on track to deliver on our shareholder return commitment.”
Third Quarter 2025 Financial Results
REVENUES
Total net revenues for the third quarter of 2025 increased by 3.4% year over year to RMB21.4 billion (US$3.0 billion) from RMB20.7 billion in the prior year period.
GROSS PROFIT
Gross profit for the third quarter of 2025 was RMB4.9 billion (US$689.6 million), compared with RMB5.0 billion in the prior year period. Gross margin for the third quarter of 2025 was 23.0%, compared with 24.0% in the prior year period.
OPERATING EXPENSES
Total operating expenses for the third quarter of 2025 were RMB3.9 billion (US$554.2 million), compared with RMB3.8 billion in the prior year period. As a percentage of total net revenues, total operating expenses for the third quarter of 2025 were 18.5%, compared with 18.2% in the prior year period.
— Fulfillment expenses for the third quarter of 2025 were RMB1.9 billion (US$260.6 million), compared with RMB1.7 billion in the prior year period. As a percentage of total net revenues, fulfillment expenses for the third quarter of 2025 were 8.7%, compared with 8.4% in the prior year period.
— Marketing expenses for the third quarter of 2025 were RMB667.2 million (US$93.7 million), compared with RMB617.8 million in the prior year period. As a percentage of total net revenues, marketing expenses for the third quarter of 2025 were 3.1%, compared with 3.0% in the prior year period.
— Technology and content expenses for the third quarter of 2025 were RMB438.6 million (US$61.6 million), compared with RMB454.2 million in the prior year period. As a percentage of total net revenues, technology and content expenses for the third quarter of 2025 were 2.1%, compared with 2.2% in the prior year period.
— General and administrative expenses for the third quarter of 2025 were RMB984.6 million (US$138.3 million), compared with RMB957.8 million in the prior year period. As a percentage of total net revenues, general and administrative expenses for the third quarter of 2025 were 4.6%, which remained stable as compared with that in the prior year period.
INCOME FROM OPERATIONS
Income from operations for the third quarter of 2025 was RMB1.26 billion (US$177.3 million), compared with RMB1.33 billion in the prior year period. Operating margin for the third quarter of 2025 was 5.9%, compared with 6.4% in the prior year period.
Non-GAAP income from operations[5] for the third quarter of 2025, which excluded share-based compensation expenses, was RMB1.6 billion (US$226.0 million), compared with RMB1.7 billion in the prior year period. Non-GAAP operating margin[6] for the third quarter of 2025 was 7.5%, compared with 8.2% in the prior year period.
NET INCOME
Net income attributable to Vipshop's shareholders for the thirdquarter of 2025 increased by 16.8% year over year to RMB1.2 billion (US$171.5 million) from RMB1.0 billion in the prior year period. Net margin attributable to Vipshop's shareholders for the thirdquarter of 2025 increased to 5.7% from 5.1% in the prior year period. Net income attributable to Vipshop's shareholders per diluted ADS[7] for the third quarter of 2025 increased to RMB2.42 (US$0.34) from RMB1.97 in the prior year period.
Non-GAAP net income attributable to Vipshop's shareholders for the thirdquarter of 2025, which excluded (i) share-based compensation expenses, (ii) impairment loss of investments, (iii) investment gain and revaluation of investments excluding dividends, (iv) reconciling items on the share of equity method investments, and (v) tax effects on non-GAAP adjustments, increased by 14.6% year over year to RMB1.5 billion (US$210.9 million) from RMB1.3 billion in the prior year period. Non-GAAP net margin attributable to Vipshop's shareholders[8]for the thirdquarter of 2025 increased to 7.0% from 6.3% in the prior year period. Non-GAAP net income attributable to Vipshop's shareholders per diluted ADS[9] for the third quarter of 2025 increased to RMB2.98 (US$0.42) from RMB2.47 in the prior year period.
For the quarter ended September 30, 2025, the Company's weighted average number of ADSs used in computing diluted income per ADS was 504,590,639.
BALANCE SHEET AND CASH FLOW
As of September 30, 2025, the Company had cash and cash equivalents and restricted cash of RMB25.1 billion (US$3.5 billion) and short term investments of RMB5.9 billion (US$831.7 million).
For the quarter ended September 30, 2025, net cash generated from operating activities was RMB1.7 billion (US$241.0 million), and free cash flow[10], a non-GAAP measurement of liquidity, was as follows:
Share Repurchase Program
During the quarter ended September 30, 2025, the Company repurchased US$24.6 million of its ADSs under its current US$1.0 billion share repurchase program, which is effective through February 2027. As of September 30, 2025, the Company had an unutilized amount of US$621.4 million under this program.
Recent Development
In September 2025, the Company listed a closed-end infrastructure securities investment fund in relation to certain outlet (the “Vipshop Outlet REIT”) on the Shanghai Stock Exchange (fund code: 508082.SH). The listing of the Vipshop Outlet REIT raised approximately RMB3.48 billion.
Business Outlook
For the fourth quarter of 2025, the Company expects its total net revenues to be between RMB33.2 billion and RMB34.9 billion, representing a year-over-year increase of approximately 0% to 5%. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which is subject to change.
Exchange Rate
The Company's business is primarily conducted in China and the significant majority of revenues generated are denominated in Renminbi. This announcement contains currency translations of Renminbi amounts into U.S. dollars solely for the convenience of the reader. Unless otherwise noted, all translations from Renminbi to U.S. dollars are made at a rate of RMB7.1190 to US$1.00, the effective noon buying rate on September 30, 2025 as set forth in the H.10 statistical release of the Federal Reserve Board. No representation is made that the Renminbi amounts could have been, or could be, converted, realized or settled into U.S. dollars at that rate on September 30, 2025 or at any other rate.
Conference Call Information
The Company will hold a conference call on Thursday, November 20, 2025 at 7:00 am U.S. Eastern Time, 8:00 pm Beijing Time to discuss the financial results.
All participants wishing to join the conference call must pre-register online using the link provided below.
Registration Link: https://register-conf.media-server.com/register/BIa4c765227cd84d4fb940f017c5724abc
Once pre-registration has been completed, each participant will receive dial-in numbers and a unique access PIN via email. To join the conference, participants should use the dial-in details followed by the PIN code.
A live webcast of the earnings conference call can be accessed at https://edge.media-server.com/mmc/p/o3vfr3h5. An archived webcast will be available at the Company's investor relations website at http://ir.vip.com.
About Vipshop Holdings Limited
Vipshop Holdings Limited is a leading online discount retailer for brands in China. Vipshop offers high quality and popular branded products to consumers throughout China at a significant discount to retail prices. Since it was founded in August 2008, the Company has rapidly built a sizeable and growing base of customers and brand partners. For more information, please visit https://ir.vip.com/.
Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” and similar statements. Among other things, the business outlook and quotations from management in this announcement, as well as Vipshop's strategic and operational plans, contain forward-looking statements. Vipshop may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases and other written materials, and in oral statements made by its officers, directors, or employees to third parties. Statements that are not historical facts, including statements about Vipshop's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Vipshop's goals and strategies; Vipshop's future business development, results of operations and financial condition; the expected growth of the online discount retail market in China; Vipshop's ability to attract customers and brand partners and further enhance its brand recognition; Vipshop's expectations regarding needs for and market acceptance of flash sales products and services; competition in the discount retail industry; fluctuations in general economic and business conditions in China and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in Vipshop's filings with the SEC. All information provided in this press release is as of the date of this press release, and Vipshop does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
Use of Non-GAAP Financial Measures
The condensed consolidated financial information is derived from the Company's unaudited interim condensed consolidated financial statements prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP”), except that comparative consolidated statements of income and cash flows for the period presented and the detailed footnote disclosures required by Accounting Standards Codification 270, Interim Reporting (“ASC270”) have been omitted. Vipshop uses non-GAAP net income attributable to Vipshop's shareholders, non-GAAP net income attributable to Vipshop's shareholders per diluted ADS, non-GAAP income from operations, non-GAAP operating margin, non-GAAP net margin attributable to Vipshop's shareholders, and free cash flow, each of which is a non-GAAP financial measure. For the periods presented in this press release, non-GAAP net income attributable to Vipshop's shareholders is net income attributable to Vipshop's shareholders excluding (i) share-based compensation expenses, (ii) impairment loss of investments, (iii) investment gain and revaluation of investments excluding dividends, (iv) reconciling items on the share of equity method investments, and (v) tax effects on non-GAAP adjustments. Non-GAAP net income attributable to Vipshop's shareholders per diluted ADS is computed using non-GAAP net income attributable to Vipshop's shareholders divided by weighted average number of diluted ADS outstanding for computing diluted earnings per ADS. Non-GAAP income from operations is income from operations excluding share-based compensation expenses. Non-GAAP operating margin is non-GAAP income from operations as a percentage of total net revenues. Non-GAAP net margin attributable to Vipshop's shareholders is non-GAAP net income attributable to Vipshop's shareholders as a percentage of total net revenues. Free cash flow is net cash from operating activities adding back the impact from internet financing activities and less capital expenditures, which include purchase and deposits of property and equipment and land use rights. Impact from internet financing activities added back or deducted from free cash flow contains changes in the balances of financial products, which are primarily consumer financing and supplier financing that the Company provides to customers and suppliers. The Company believes that separate analysis and exclusion of the non-cash impact of (i) share-based compensation expenses, (ii) impairment loss of investments, (iii) investment gain and revaluation of investments excluding dividends, (iv) reconciling items on the share of equity method investments, and (v) tax effects on non-GAAP adjustments add clarity to the constituent parts of its performance. The Company reviews these non-GAAP financial measures together with GAAP financial measures to obtain a better understanding of its operating performance. It uses these non-GAAP financial measures for planning, forecasting, and measuring results against the forecast. The Company believes that non-GAAP financial measures are useful supplemental information for investors and analysts to assess its operating performance without the effect of (i) share-based compensation expenses, (ii) impairment loss of investments, (iii) investment gain and revaluation of investments excluding dividends, (iv) reconciling items on the share of equity method investments, and (v) tax effects on non-GAAP adjustments. Free cash flow enables the Company to assess liquidity and cash flow, taking into account the impact from internet financing activities and the financial resources needed for the expansion of fulfillment infrastructure, technology platform, and Shan Shan Outlets. Share-based compensation expenses have been and will continue to be significant recurring expenses in its business. However, the use of non-GAAP financial measures has material limitations as an analytical tool. One of the limitations of using non-GAAP financial measures is that they do not include all items that impact the Company's net income for the period. In addition, because non-GAAP financial measures are not measured in the same manner by all companies, they may not be comparable to other similar titled measures used by other companies. One of the key limitations of free cash flow is that it does not represent the residual cash flow available for discretionary expenditures.
The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, the financial information prepared and presented in accordance with U.S. GAAP. For more information on these non-GAAP financial measures, please see the table captioned “Vipshop Holdings Limited Reconciliations of GAAP and Non-GAAP Results” at the end of this release.
Investor Relations Contact Tel: +86 (20) 2233-0732 Email: IR@vipshop.com
https://edge.prnewswire.com/c/img/favicon.png?sn=CN29767&sd=2025-11-20
View original content:https://www.prnewswire.com/news-releases/vipshop-reports-unaudited-third-quarter-2025-financial-results-302621494.html
SOURCE Vipshop Holdings Limited
https://rt.newswire.ca/rt.gif?NewsItemId=CN29767&Transmission_Id=202511200500PR_NEWS_USPR_____CN29767&DateId=20251120