Online discount retailer Vipshop released its first-quarter 2026 financial results on May 21, alongside a second-quarter revenue forecast that fell below market expectations. However, the successful listing of the company's commercial REIT is expected to bring a one-time investment gain of 5.3 billion yuan.

Vipshop anticipates total net revenue for the second quarter to be between 24.5 billion yuan and 25.8 billion yuan, representing a year-over-year change ranging from a 5% decline to flat, which is below the market's general expectation of 26.3 billion yuan. The management's conservative guidance reflects persistently weak consumer demand since March and a neutral outlook for the contribution from the upcoming 618 shopping festival.

Regarding first-quarter performance, Vipshop achieved revenue of 26.57 billion yuan, a 1.2% increase year-over-year, largely in line with expectations. Adjusted earnings per American Depositary Share were 4.68 yuan, higher than the 4.43 yuan from the same period last year and exceeding the market forecast of 4.58 yuan. Gross merchandise value grew by 8.6% to 56.9 billion yuan, surpassing market expectations, primarily driven by strong sales of higher-priced winter apparel during the Spring Festival holiday.

A notable development is that Vipshop's CICC Vipshop Commercial REIT received regulatory approval in late April and completed its pricing on May 19. The underlying assets are two Sasseur Outlet projects located in Zhengzhou and Harbin. The company has subscribed to a 49% stake in this REIT. Starting from the second quarter, these two outlet properties will shift from consolidated accounting to the equity method. This change is expected to result in a one-time recognition of an investment gain of approximately 5.3 billion yuan, alongside a corresponding increase in income tax of about 1.7 billion yuan.