Vipshop Holdings ( VIPS ) reported its first-quarter results on Tuesday, with sales reaching $3.62 billion (26.27 billion Chinese yuan), in line with the analyst consensus estimate. This is a 5.46% decrease over sales of $3.83 billion the same period last year.

The Chinese online discount retailer registered adjusted earnings per ADS of 61 cents or 4.43 Chinese yuan, missing the analyst consensus estimate of 66 cents. 

Total orders for the quarter were 167.2 million, compared with 178.5 million in the prior year period. The number of active customers for the quarter was 41.3 million, down from 43.1 million a year ago.

Also Read: Vipshop Stock Jumps After Q4 Earnings Beat, CEO Highlights Apparel Growth And Discounted Offerings, Sees Up To 5% Revenue Decline In Q1

The quarter’s gross margin was 23.2%, down from 23.7% in the prior year period. Gross profit declined 7.1% to $838.2 million (6.1 billion Chinese yuan).

GMV (Gross Merchandise Volume) for the quarter was 52.38 billion Chinese yuan versus 52.44 billion Chinese yuan a year ago.

As of March 31, 2025, the company had cash and cash equivalents, restricted cash of $4.0 billion (28.9 billion Chinese yuan), and short-term investments of $26.5 million (192.3 million Chinese yuan).

During the quarter, the company repurchased $16.9 million of its ADSs under its current $1 billion share repurchase program. It continued share repurchase of $4.3 million under its current $1.0 billion share repurchase program, which is effective for a 24-month period through February 2027.

Chair and CEO Eric Shen said the company continued to make progress on the strategic actions it had set out to return to growth. He further noted the expansion of its off-price brand supply, which drove the double-digit growth in Super VIP customers.

Outlook: For the second quarter, the company expects total net revenues between 25.5 billion Chinese yuan ($3.51 billion) and 26.9 billion Chinese yuan ($3.71 billion). This range falls slightly below the analyst consensus of 26.42 billion Chinese yuan ($3.64 billion) and represents a year-over-year decrease of approximately 0% to 5%.

Price Action: VIPS stock is trading lower by 8.21% to $14.20 premarket at last check Tuesday. 

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