E Commerce China Dangdang Earnings: Here’s Why the Stock is Rising Now
E Commerce China Dangdang Inc (ADR) (NYSE:DANG) had a loss and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 8.3%.
E Commerce China Dangdang Inc (ADR) Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased to $-0.15 in the quarter versus EPS of $-0.20 in the year-earlier quarter.
Revenue: Rose 24.75% to $214.7 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: E Commerce China Dangdang Inc (ADR) reported adjusted EPS loss of $0.15 per share. By that measure, the company beat the mean analyst estimate of $-0.19. It beat the average revenue estimate of $214.44 million.
Quoting Management: “We are pleased to report another quarter of solid financial and operational results with better than expected sales, highest gross margin since the second quarter of 2011, and better operating efficiency,” said Ms. Peggy Yu Yu, Dangdang’s Executive Chairwoman. “Books and media sales grew by 24% in this quarter, which allows us to maintain dominant market share in online media sector. Dangdang’s marketplace program once again demonstrated outstanding growth momentum, as marketplace GMV grew at 193% year-over-year in the first quarter. Sales from general merchandise, which include both self-procurement and marketplace, exceeded sales from books and media for the second consecutive quarter.”
Key Stats (on next page)…