China's leading online brand discount retailer Vipshop has released its Q3 2024 financial report. According to the financial report, Vipshop achieved a net revenue of 20.7 billion yuan (RMB) and a Non GAAP net profit of 1.3 billion yuan in the third quarter. Meanwhile, the GMV for the third quarter was 40.1 billion yuan; The number of active users of Super VIP (SVIP) increased by 11% year-on-year.
At the same time, in the third quarter of this year, Vipshop actively promoted stock repurchases and continued to return to shareholders, investing a total of $275 million in stock repurchases. According to the announcement released in the second quarter, Vipshop will launch a new $1 billion buyback program after the existing buyback projects are fully utilized.
We will focus more on the long-term strategic positioning of brand sales, actively promote necessary business changes, and explore more opportunities in enriching the supply of high-quality brand products, strengthening differentiated shopping experiences, and enhancing technological innovation capabilities, "said Shen Ya, Chairman and CEO of Vipshop
In the third quarter of this year, the overall performance of Vipshop's core columns Super Brand Day and Super Category Day increased by 19% year-on-year, and the performance of autumn and winter trend categories increased by double digits year-on-year. The newly launched promotional columns "Limited Time Crazy Seconds" and "Everyday Low Price" have been collecting the most cost-effective products on the platform, and their performance has maintained rapid growth. In addition, in the third quarter, Vipshop deepened its autumn and winter customization cooperation with numerous brands, further enhancing the richness of its products.
In terms of core users, Vipshop continuously strengthens its perception of member value. In addition to adding joint membership benefits and enriching limited time life privileges, Vipshop also conducts private special sales activities both online and offline, as well as increasing the number of international big brand and luxury goods events, providing more SVIP users with exclusive and valuable experiences. In the third quarter of this year, SVIP active users contributed 49% of online consumption.
In the third quarter, Vipshop will continue to increase investment in technology research and development. Since the beginning of this year, the "Chaoche" large model developed by Vipshop has achieved application results in shopping guidance scenarios, helping users quickly understand products and improve shopping efficiency through high-quality graphic and video content. At the same time, the "Chaoche" big model promotes the upgrade of intelligent customer service, improves the quality of consulting services and problem-solving rates, and provides users with a better shopping experience.
According to the latest MSCI-ESG rating results, Vipshop has received an AA rating for two consecutive years, maintaining its leading position in the industry. Among them, in terms of public welfare undertakings, Vipshop has created a series of public welfare projects such as the Love Only Mom, Love Only Charity Plan, and Longtou Rural Revitalization. As of the end of the third quarter of this year, the cumulative investment in public welfare reached 752 million yuan.