PDD Holdings Inc. (NASDAQ:PDD) stock gained Monday after the Temu parent reported mixed second-quarter 2026 results. Slower consumer demand in China and higher investments pressured profitability.
PDD Revenue Misses Estimates
Revenue rose 8% year over year to 112.4 billion Chinese yuan ($16.56 billion). However, the result missed the analyst estimate of $17.13 billion.
Revenue from online marketing services and other businesses increased 3.5% to $8.49 billion. Transaction services revenue climbed 13.3% to $8.07 billion.
The cost of revenue rose 4.7% to $7.08 billion. Operating expenses increased 13% to $5.4 billion, mainly due to higher sales and marketing costs.
