DDC Enterprise Ltd. Reports 33% Revenue Increase, Net Loss of RMB157 Million for 2024

Reuters
16 May
DDC Enterprise Ltd. Reports 33% Revenue Increase, Net Loss of RMB157 Million for 2024

DDC Enterprise Ltd. has released its financial results for the fiscal year ending December 31, 2024. The company reported a total revenue of RMB273.3 million (US$37.4 million), marking a significant 33.0% increase compared to RMB205.5 million in 2023. This increase was primarily driven by offline consumer product sales, which rose to RMB258.3 million (US$35.4 million) from RMB173.8 million in the previous year, reflecting a 48.6% growth. Despite the rise in revenue, DDC Enterprise Ltd. incurred a net loss of RMB157.0 million (US$21.5 million) for 2024, a slight improvement from the net loss of RMB162.0 million recorded in 2023. Additionally, the company experienced negative cash flows from operating activities amounting to RMB112.9 million (US$15.5 million), compared to RMB89.4 million in the prior year. The company's management highlighted the use of adjusted EBITDA as a non-GAAP financial measure for evaluating operating results. For 2024, the adjusted EBITDA reflected a loss of RMB25.4 million (US$3.5 million), which is an improvement from the loss of RMB38.6 million in 2023. The report also noted several macro and microeconomic factors influencing the company's operations, including China's rapid economic growth and urbanization.

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