Pinduoduo stock jumps after surprise profit, although revenue comes up short

Shares of Pinduoduo Inc. jumped 7.1% in premarket trading Tuesday, after the China-based mobile marketplace connecting agricultural producers and consumers reported a surprise second-quarter profit although revenue nearly doubled but missed forecasts. The company swung to net income of RMB2.41 billion ($373.97 million), or RMB1.69 per American depositary share, from a loss of RMB899.35 million, or RMB0.75 per ADS, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share came to RMB2.85, beating the FactSet consensus for a per-share loss of RMB1.88. Revenue grew 89.0% to RMB23.05 billion ($3.57 billion), but missed the FactSet consensus of RMB26.63 billion. Average monthly active users rose 30% to 738.5 million, and active buyers in the 12-month period ended June 30 increased 24% to 849.9 million. The stock has tumbled 37.8% over the past three months through Monday, while the iShares MSCI China ETF has dropped 15.1% and the S&P 500 has gained 6.7%. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.

Pinduoduo stock jumps after surprise profit, although revenue comes up short
Shares of Pinduoduo Inc. jumped 7.1% in premarket trading Tuesday, after the China-based mobile marketplace connecting agricultural producers and consumers reported a surprise second-quarter profit although revenue nearly doubled but missed forecasts. The company swung to net income of RMB2.41 billion ($373.97 million), or RMB1.69 per American depositary share, from a loss of RMB899.35 million, or RMB0.75 per ADS, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share came to RMB2.85, beating the FactSet consensus for a per-share loss of RMB1.88. Revenue grew 89.0% to RMB23.05 billion ($3.57 billion), but missed the FactSet consensus of RMB26.63 billion. Average monthly active users rose 30% to 738.5 million, and active buyers in the 12-month period ended June 30 increased 24% to 849.9 million. The stock has tumbled 37.8% over the past three months through Monday, while the iShares MSCI China ETF has dropped 15.1% and the S&P 500 has gained 6.7%. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.