Baozun Group (09991; BZUN.US) announced that its board of directors has authorized management to establish and implement a new share repurchase program, under which the company may buy back up to US$10 million of American Depositary Shares (ADS) and/or Class A ordinary shares over the next 12 months using company funds.

This marks a further move by the company to express confidence in its growth prospects and long-term value through capital allocation arrangements, following the upward revision of its 2028 profit target in this year's second-quarter earnings report.

Improving operating performance provides support for this confidence.

In the second quarter of 2026, Baozun Group's net revenue rose 7% year on year to RMB 2.7 billion, while non-GAAP operating profit increased from RMB 6 million in the same period last year to RMB 74 million.

Among this, the e-commerce business posted non-GAAP operating profit of RMB 107 million, a second-quarter high since 2022; revenue from the brand management business grew 22% year on year.

In its second-quarter earnings report, Baozun raised its 2028 non-GAAP operating profit target by 27% to RMB 700 million.

From raising its medium-term profit target to launching the share repurchase plan, Baozun has further conveyed management's confidence in continuously improving profitability and its emphasis on long-term returns for shareholders.