Core Viewpoint - ATRenew Inc. plans to release its unaudited financial results for Q4 and full year 2024 on March 11, 2025, before the U.S. market opens [1] Company Overview - ATRenew Inc. is a leading technology-driven platform for pre-owned consumer electronics transactions and services in China, headquartered in Shanghai [3] - The company was founded in 2011 and aims to give a second life to idle goods, addressing environmental impacts through recycling and trade-in services [3] - ATRenew integrates C2B, B2B, and B2C capabilities, providing end-to-end coverage of the value chain with proprietary inspection, grading, and pricing technologies [3] - The company is a participant in the United Nations Global Compact, adhering to principles of responsible business [3] Earnings Conference Call - The management will hold an earnings conference call on March 11, 2025, at 08:00 A.M. Eastern Time to discuss the financial results [2] - Listeners can access the call through various international and toll-free numbers, with a replay available until March 18, 2025 [2]

Core Points - ATRenew Inc. has been recognized by the United Nations Global Compact's "Forward Faster" campaign for its commitment to ESG practices and its role in China's circular economy [1][2][3] - The campaign celebrates the 20th anniversary of the ESG concept and selected ATRenew from 75 candidates based on its exemplary ESG performance [2] - ATRenew's CEO emphasized the importance of sustainable development and the company's mission to extend the lifecycle of consumer electronics through recycling and trade-in services [3][4] Company Overview - ATRenew operates a technology-driven platform for pre-owned consumer electronics transactions and services in China, founded in 2011 [5] - The company aims to address the environmental impact of pre-owned electronics by facilitating recycling and trade-in services [5] - ATRenew integrates C2B, B2B, and B2C capabilities, setting standards in the pre-owned consumer electronics industry through proprietary technologies [5]

Core Viewpoint - ATRenew Inc. operates in the circular economy sector, focusing on the reuse and recycling of pre-owned electronics through its trading platform, and has experienced a nearly 20% increase in stock price over the past five days [1] Company Summary - ATRenew Inc. is listed on NYSE under the ticker RERE and is involved in the circular economy, specifically targeting the electronics recycling market [1] - The company's trading platform facilitates the reuse and recycling of pre-owned electronics, aligning with sustainability trends [1] Stock Performance - The stock price of ATRenew Inc. has surged nearly 20% in the last five days, indicating positive market sentiment and potential investor interest [1]

A research analyst and a freelance writer looking for value investment opportunities. I have several years of investing experience. I am mostly interested in writing about bargain stocks of large companies. My interest is not limited to American companies but extends to firms operating in other countries but listed on US stock exchanges.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the nex ...

Investment Rating - The report assigns a rating of "Buy" with target price estimates of 15/10/6 for the years 2023/2024/2025 respectively [1]. Core Insights - The company achieved a significant milestone in Q3 2024 by reporting a GAAP operating profit for the first time, with revenue reaching 4.051 billion yuan, a year-over-year increase of 24.4% and a quarter-over-quarter increase of 7.27% [1]. - Non-GAAP net profit for Q3 2024 was reported at 178.8 million yuan, reflecting an impressive year-over-year growth of 89% [1]. - The company is benefiting from the growing trend of second-hand trading, with a notable performance through the JD.com channel, where total recovery amounts from trade-ins and exchanges increased by over 40% year-over-year [1]. Summary by Sections Financial Performance - Q3 2024 revenue was 4.051 billion yuan, with operating profit at 24.89 million yuan, marking a year-over-year increase of 41% [1]. - The overall gross margin was reported at 19.95%, a slight increase of 0.13 percentage points year-over-year [1]. Business Segments - The 3P business segment generated revenue of 380 million yuan, showing a year-over-year growth of 13.89% [1]. - The company’s high-margin business is expanding, with the monetization rate of the 3P business increasing by 25.59% year-over-year, accounting for approximately 90.64% of total revenue [1]. Market Trends - The report highlights the increasing consumer adoption of trade-in programs, with the "Double Eleven" shopping festival seeing a 246% year-over-year growth in trade-in transactions through JD.com [1]. - The company is transitioning towards a more selective retail model, with sales of second-hand goods through various channels showing a year-over-year growth of 114.6% [1]. Shareholder Returns - The company has been actively repurchasing shares, with a total repurchase amount reaching 23.5 billion yuan as of September 30, 2024 [1]. - The report indicates that the company is focusing on enhancing its service capabilities and expanding its store network to improve customer experience [1].

Financial Data and Key Metrics Changes - The total gross income for the third quarter reached RMB 40.5 billion, reflecting a year-over-year growth of 24.4% [2][10] - Total revenue for the third quarter was RMB 4.05 billion, with product revenue increasing by 25.6% year-over-year [2][10] - Non-GAAP operating income was RMB 1.04 billion, representing a 40.9% increase year-over-year, with a non-GAAP operating margin of 2.6% [6][14] - The company reported its first GAAP operating income of RMB 24.9 million [7][14] Business Line Data and Key Metrics Changes - The core recycling business revenue in mainland China grew by over 30% year-over-year, significantly outpacing the overall market growth [2][3] - Revenue from the multi-category recycling business increased by 270% year-over-year, generating over RMB 30 million in service revenue [5][19] - The trading services through JD.com saw a year-over-year increase of 246% during the Double 11 promotion [4][17] Market Data and Key Metrics Changes - The second-hand consumer electronics industry in China is growing at approximately 10% year-over-year [7][8] - The value of goods collected through JD.com via regular recycling and trading services increased by over 40% year-over-year [4][17] - The acceptance of second-hand goods is rising, with direct-to-consumer sales through various channels growing significantly [6][22] Company Strategy and Development Direction - The company aims to enhance service capabilities and user experience in both online and physical stores to build brand trust and secure recycling resources [2][3] - There is a focus on expanding the multi-category recycling services to meet growing consumer demand, particularly in luxury goods and high-value items [19][20] - The long-term strategy emphasizes strengthening supply chain advantages and consumer trust in the AHS Recycle brand [8][9] Management Comments on Operating Environment and Future Outlook - Management noted that consumer spending is slowing down, but the company is adapting by opening new physical stores to meet demand for idle goods [3][4] - The company expects total revenues for the fourth quarter of 2024 to be between RMB 4,740 million and RMB 4,840 million, indicating a year-over-year increase of 22.4% to 24.9% [15] - There is optimism regarding the growth of the trading business, with expectations for increased consumer adoption of trade-in services [17][18] Other Important Information - The company has initiated an ESG campaign in collaboration with leading consumer brands to promote eco-friendly recycling practices [9] - As of September 30, 2024, the company had cash and cash equivalents totaling $2.4 billion, indicating a strong cash position despite a decrease from the previous quarter [15] Q&A Session Summary Question: How are trading subsidies driving business growth? - Management highlighted that collaboration with JD.com has led to significant growth in recycling and trading business, with trading services doubling year-over-year [16][17] Question: What is the progress of the multi-category recycling business? - The multi-category recycling business has seen a 270% increase in recycling volume, generating substantial service revenue and enhancing store-level operating profit [19][20] Question: What are the expectations for pre-owned smartphone transactions? - Management noted that while direct subsidies for smartphones are lacking, the company's cross-category trading capabilities are effectively capturing consumer demand [21][22]

3Q24 INVESTOR PRESENTATION November 2024 Safe Harbor 1 Forward-looking Statements This presentation has been prepared by ATRenew Inc. (the "Company") solely for informational purposes. This presentation contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect the Company's current expectations and projections with respect to, among other things, our financial condition, results of operations, plans, objectiv ...

Core Viewpoint - ATRenew Inc. reported strong financial results for the third quarter of 2024, with total net revenues increasing by 24.4% year-over-year, driven by the growth in pre-owned consumer electronics transactions and services [2][3][4]. Financial Performance - Total net revenues reached RMB4,051.2 million (US$577.3 million), up from RMB3,256.8 million in Q3 2023, marking a 24.4% increase [2][4]. - Net product revenues increased by 25.6% to RMB3,672.2 million (US$523.3 million) from RMB2,924.0 million in the same period of 2023 [5]. - Net service revenues rose by 13.9% to RMB379.0 million (US$54.0 million) compared to RMB332.8 million in Q3 2023 [5]. Operating Results - Income from operations was RMB24.9 million (US$3.5 million), a turnaround from a loss of RMB28.1 million in Q3 2023 [10]. - Adjusted income from operations (non-GAAP) was RMB104.0 million (US$14.8 million), compared to RMB73.8 million in the same period of 2023 [10][29]. - Net income was RMB17.9 million (US$2.6 million), compared to a net loss of RMB44.2 million in Q3 2023 [11]. Shareholder Returns - The company repurchased approximately 4.9 million ADSs for about US$12.1 million during the quarter, with a total of approximately 8.2 million ADSs repurchased for about US$20.1 million under its current share repurchase program [15]. Business Outlook - For Q4 2024, ATRenew expects total revenues to be between RMB4,740.0 million and RMB4,840.0 million, representing a year-over-year increase of 22.4% to 24.9% [13]. Recent Developments - ATRenew improved its Environmental, Social and Governance (ESG) score, ranking in the 93rd percentile among its global retail industry peers, attributed to enhanced transparency in climate strategy and business ethics [14].

Core Viewpoint - ATRenew Inc. plans to release its unaudited financial results for Q3 2024 on November 20, 2024, before the U.S. market opens [1]. Company Overview - ATRenew Inc. is a leading technology-driven platform for pre-owned consumer electronics transactions and services in China, headquartered in Shanghai [4]. - The company has been operational since 2011, focusing on recycling and trade-in services to address the environmental impact of pre-owned electronics [4]. - ATRenew integrates C2B, B2B, and B2C capabilities, providing end-to-end coverage of the value chain with proprietary inspection, grading, and pricing technologies [4]. - The company is a participant in the United Nations Global Compact, adhering to responsible business principles [4]. Earnings Conference Call - The management will hold an earnings conference call on November 20, 2024, at 07:00 A.M. Eastern Time to discuss the financial results [2]. - Listeners can access the call through various toll-free numbers, including 1-888-317-6003 for the United States [2]. - A live and archived webcast will be available on the company's investor relations website [3].

Investment Rating - The report suggests a positive investment outlook for the company, recommending active attention due to its leading position in the second-hand 3C trading market and favorable growth prospects [2][3]. Core Insights - The company, Wanwu Xinxing (RERE), has established itself as a leader in the second-hand 3C product trading sector in China, benefiting from supportive government policies and increasing consumer acceptance of second-hand transactions [2][6]. - The company's revenue has shown robust growth, with a CAGR of approximately 48.8% from 2019 to 2023, and a 27.3% year-on-year increase in the first half of 2024 [2][13]. - Wanwu Xinxing has a strong cash position, with a total of 2.769 billion CNY in cash and equivalents as of the first half of 2024, enabling share buyback programs to enhance shareholder returns [2][16]. Company Overview - Wanwu Xinxing, founded in 2011, has evolved into a comprehensive platform for second-hand 3C products, offering services across various categories including electronics, luxury goods, and more [2][6]. - The company operates a multi-brand strategy with platforms like "Aihuishou," "Paimitang," and "Paipai," facilitating a full-chain transaction model from collection to sales [2][8]. - As of the first half of 2024, the company has expanded to 1,516 offline stores across over 260 cities in China, enhancing consumer trust and transaction volume [2][6]. Financial Analysis - From 2019 to 2023, the company's revenue increased from 3.932 billion CNY to 12.966 billion CNY, with a significant reduction in net losses, achieving a Non-GAAP net profit of 101 million CNY in the first half of 2024 [13][16]. - The adjusted operating profit margin has been on the rise, reaching 2.3% in the first half of 2024, indicating improved profitability [2][16]. Industry Overview - The second-hand consumer market in China is experiencing significant growth, driven by longer replacement cycles for consumer electronics and increasing acceptance of second-hand products [20][21]. - The market for second-hand consumer electronics is projected to grow from 143.8 billion CNY in 2018 to 425.4 billion CNY in 2022, with a CAGR of 31.1% [24][26]. - Government policies promoting recycling and second-hand transactions are expected to further support market expansion [26][27].