Dingdong (Cayman) Limited Announces First Quarter 2026 Financial Results

Rhea-AI Summary

Dingdong (NYSE: DDL) reported unaudited first quarter 2026 results with continued growth and profitability. GMV rose 6.3% year over year to RMB6,333.3 million and total revenues increased 7.5% to RMB5,892.7 million.

Net income was RMB165.4 million versus RMB8.0 million a year earlier, the ninth consecutive profitable quarter. Non-GAAP net income reached RMB172.0 million with a 2.9% margin. Overseas revenue grew 195.2% to RMB139.4 million, while the overseas business posted a RMB71.4 million net loss.

Dingdong agreed to sell its China business to Meituan; the deal awaits SAMR clearance. Due to held-for-sale accounting, no depreciation/amortization on China long-lived assets increased quarterly net income by about RMB138 million.

Positive

• Total revenue up 7.5% year over year to RMB5,892.7 million
• GMV up 6.3% year over year to RMB6,333.3 million
• Net income rose to RMB165.4 million from RMB8.0 million
• Non-GAAP net income increased 466.7% to RMB172.0 million
• Overseas revenue grew 195.2% year over year to RMB139.4 million
• Fulfillment expense ratio fell to 20.6% from 22.9%

Negative

• Overseas net loss increased 199.6% to RMB71.4 million
• Service revenues declined 0.6% year over year to RMB92.0 million
• Sales and marketing expenses up 12.6% to RMB123.9 million
• General and administrative expenses up 15.3% to RMB130.2 million
• Net income boosted by RMB138 million from halted depreciation
• Meituan China business sale still pending SAMR anti-monopoly clearance

News Market Reaction – DDL

-0.39%

3 alerts

-0.39% Session close to close

$609.47M Market Cap

0.1x Rel. Volume

In the May 21 session, DDL declined 0.39%, reflecting a mild negative market reaction. Our momentum scanner triggered 3 alerts that day, indicating moderate trading interest and price volatility.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement highlights Dingdong’s ninth consecutive GAAP-profitable quarter, with Q1 2026 reve...

Analysis

This announcement highlights Dingdong’s ninth consecutive GAAP-profitable quarter, with Q1 2026 revenue of RMB5,892.7M, GMV up 6.3%, and non-GAAP net income of RMB172.0M. Results are influenced by the pending sale of the China business to Meituan, including a RMB138M net-income boost from held-for-sale accounting. Historically, earnings have been positive but not always rewarded, so investors may watch future overseas performance and closing progress on the transaction.

Key Figures

GMV: RMB6,333.3M Total revenues: RMB5,892.7M Net income: RMB165.4M +5 more

8 metrics

GMV RMB6,333.3M Q1 2026, +6.3% year over year

Total revenues RMB5,892.7M Q1 2026, +7.5% year over year

Net income RMB165.4M Q1 2026, vs RMB8.0M in Q1 2025

Non-GAAP net income RMB172.0M Q1 2026, vs RMB30.3M in Q1 2025

China business revenue RMB5,753.3M Q1 2026, +5.9% year over year

Overseas revenue RMB139.4M Q1 2026, +195.2% year over year

Held-for-sale boost RMB138M Increase to Q1 2026 net income from ceased depreciation

Cash & equivalents RMB3,820.0M Cash, restricted cash and short-term investments as of Mar 31, 2026

Previous Earnings Reports

5 past events · Latest: Mar 04 (Positive)

Same Type Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
Mar 04	Q4 2025 earnings	Positive	-0.7%	Q4 2025 profit and Meituan China business sale agreement disclosed.
Nov 12	Q3 2025 earnings	Positive	-2.3%	Q3 2025 revenue and GMV growth with continued GAAP and non-GAAP profits.
Aug 21	Q2 2025 earnings	Positive	-4.7%	Q2 2025 strong revenue, GMV growth and sixth straight profitable quarter.
May 16	Q1 2025 earnings	Positive	-2.5%	Q1 2025 revenue and GMV growth with ongoing non-GAAP profitability.
Mar 06	Q4 2024 earnings	Positive	+13.4%	Q4 2024 strong growth in GMV, revenue and non-GAAP net income.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Earnings releases have generally been fundamentally positive but often met with muted or negative next-day price moves, with one notable upside outlier.

Recent Company History

Across the last five earnings releases from Mar 2025 to Mar 2026, Dingdong consistently reported revenue growth, sustained non-GAAP profitability, and improving cash positions. GMV and revenue trended upward while net income remained positive, and the company announced the sale of its China operations with intended returns of capital. Despite these constructive metrics, four of the five sessions showed negative next-day moves, underscoring a history of cautious market reactions to earnings updates.

Key Terms

gmv, non-gaap, us gaap, discontinued operations, +3 more

7 terms

gmv financial

"GMV: total amount of GMV for the first quarter of 2026 increased..."

Gross merchandise value (GMV) is the total dollar value of all goods and services sold through a platform or marketplace over a given period, measured before deducting fees, returns, or discounts. Investors watch GMV to gauge the raw size and growth of customer activity—like counting every ticket sold at a concert before subtracting organizer costs—while remembering it is not the same as revenue or profit.

non-gaap financial

"Non-GAAP net income: total amount of Non-GAAP net income for the first..."

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

View in glossary

us gaap regulatory

"under the requirements of standards under US GAAP, the Company..."

U.S. GAAP is the set of official accounting rules and standards companies in the United States use to record and report their financial results. Like a common recipe book for financial statements, it makes company reports consistent and easier to compare, so investors can better judge profitability, risk and trends when deciding to buy, hold or sell shares.

discontinued operations regulatory

"classify the China business sold to Meituan as discontinued operations..."

Discontinued operations are parts of a company that it has decided to sell or shut down, and no longer plans to run in the future. This matters to investors because it helps them understand which parts of the business are ongoing and which are being phased out, providing a clearer picture of the company’s current performance and future prospects. Think of it like a store closing a department—it no longer contributes to sales or profits.

held-for-sale regulatory

"classified as the held-for-sale assets in the financial statements..."

An asset classified as "held-for-sale" is one a company has decided to sell rather than keep using, and expects to complete the sale within a short time frame. Investors care because the asset is removed from normal operations and is reported at the lower of its book value or estimated sale value, which can change the balance sheet, signal a shift in strategy, and affect expected cash proceeds—think of it as marking an item in a garage for immediate sale rather than keeping it in the attic.

anti-monopoly clearance regulatory

"subject to the satisfaction or waiver of various customary conditions... including the receipt of anti-monopoly clearance"

Antimonopoly clearance is regulatory approval from competition authorities that a proposed merger, acquisition or business practice does not unfairly reduce competition. Investors care because this clearance determines whether a deal can proceed, may impose conditions or delays, and affects the combined business’s ability to raise prices or capture market share — like a referee deciding if a play is fair before the game continues.

samr regulatory

"clearance from the SAMR (State Administration for Market Regulation)."

The State Administration for Market Regulation (SAMR) is the national regulator in China that oversees business registrations, competition rules, product safety, and certain transaction approvals. For investors it matters because SAMR decisions—like antitrust rulings, mergers approvals, or safety recalls—can change a company’s ability to operate, sell products, or combine with others; think of it as the referee and rulebook enforcer that can influence a company’s growth and risk profile.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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SHANGHAI, May 21, 2026 /PRNewswire/ -- Dingdong (Cayman) Limited ("Dingdong" or the "Company") (NYSE: DDL), a leading fresh grocery e-commerce company in China, with advanced supply chain capabilities, today announced its unaudited financial results for the quarter ended March 31, 2026.

First Quarter 2026 Highlights:^[1]

• GMV: total amount of GMV for the first quarter of 2026 increased by 6.3% year over year to RMB6,333.3 million (US$918.1 million) from RMB5,960.7 million in the same quarter of 2025, positive year-on-year growth for ninth straight quarters. 
• Net income: total amount of net income for the first quarter of 2026 was RMB165.4 million (US24.0 million), the ninth consecutive quarter of profitability.
• Non-GAAP net income: total amount of Non-GAAP net income for the first quarter of 2026 was RMB172.0 million (US$24.9 million), the fourteenth consecutive quarter of non-GAAP profitability.

Mr. Song Wang, the Chief Executive Officer of Dingdong, stated, "As of the first quarter of 2026, Dingdong has maintained profitability under non-GAAP standards for fourteen consecutive quarters and under GAAP standards for nine consecutive quarters. The Company has also delivered year-over-year revenue growth for the ninth consecutive quarter, and sees faster growth momentum entering the second quarter. This sustained top-line expansion, together with the consistent achievement of profitability targets, is largely driven by the Company's continued pursuit of product supply chain excellence and efficiency, user mindshare, and system capabilities. Together, these efforts underscore Dingdong's strategic resilience and strong execution in a competitive market, while building a solid foundation and momentum for long-term growth."

On February 5, 2026, the Company announced the entry into a definitive agreement to sell its China business to Meituan. On February 10, 2026, the Company further announced its intention to utilize a substantial majority of the proceeds from the sale of its China operations for share repurchase plans and/or dividends upon the closing of the transaction, as well as other material terms of the transaction. As of the date of this release, the transaction has not been completed, and is subject to the satisfaction or waiver of various customary conditions set forth in the Share Purchase Agreement, including the receipt of anti-monopoly clearance from the SAMR (State Administration for Market Regulation). However, under the requirements of standards under US GAAP, the Company needs to separately classify the China business sold to Meituan as discontinued operations and the related assets and liabilities as held-for-sale in the financial statements. Therefore, in the accompanying financial statements, we will distinguish between the overseas business as continuing operations, and the China business as discontinued operations and held-for-sale assets and liabilities. No depreciation or amortization is recorded in the cost and the four categories of expenses for long-lived assets in the China business after being classified as the held-for-sale assets, as assets held for sale are measured at the lower of their carrying amount or fair value less costs to sell according to the relevant standards under US GAAP. This factor has resulted in an increase of our net income by approximately RMB138 million (US$20.0 million) in the current quarter, and this impact will continue to affect the quarterly net income every period prior to the completion of the Meituan transaction.

First Quarter 2026 Financial Results

Total revenues were RMB5,892.7 million (US$854.3 million), compared with total revenues of RMB5,479.0 million in the same quarter of 2025, representing an increase of 7.5% year over year. Revenue for China business^[2] as included in profit from discontinued operations increased by 5.9% year over year to RMB5,753.3 million (US$834.1 million), primarily due to the rise of number of orders resulting from rise in the average monthly number of transacting users and higher monthly order frequency, and newly opened frontline fulfillment stations with density and market penetration improving in Eastern China. The increase was offset by the impact of the price decline in CPI for certain major categories in our business, such as pork, in the first quarter of 2026. Revenue for overseas business increased by 195.2% year over year to RMB139.4 million (US$20.2 million), primarily due to the rise of number of orders resulting from market expansion across various regions and customer base development.

• Product Revenues were RMB5,800.7 million (US$840.9 million), compared with product revenues of RMB5,386.5 million in the same quarter of 2025, representing an increase of 7.7% year over year. Product revenues for China business increased by 6.0% year over year to RMB5,661.7 million (US$820.8 million). Product revenues for overseas business increased by 194.5% year over year to RMB139.0 million (US$20.2 million).
• Service Revenues were RMB92.0 million (US$13.3 million), compared with service revenues of RMB92.5 million in the same quarter of 2025, representing a decrease of 0.6% year over year. Service revenues for China business decreased by 1.0% year over year to RMB91.7 million (US$13.3 million). Service revenues for overseas business increased to RMB343.4 thousand (US$50.0 thousand).

Total operating costs and expenses were RMB5,799.2 million (US$840.7 million), compared with RMB5,519.0 million in the same quarter of 2025, with a detailed breakdown as below. No depreciation or amortization is recorded in the cost and the four categories of expenses for long-lived assets in the China business after being  classified as the held-for-sale assets, as assets held for sale are measured at the lower of its carrying amount or fair value less costs to sell according to the relevant standards under US GAAP. This has also impacted the line items below.

• Cost of goods sold was RMB4,133.5 million (US$599.2 million), an increase of 7.6% from RMB3,842.1 million in the same quarter of 2025. Cost of goods sold as a percentage of revenues remained the same at 70.1%, compared with that in the same quarter of 2025. Gross margin also remained the same at 29.9%, compared with that in the same quarter of 2025. Since the launch and continued implementation of our 4G Strategy in early 2025, the gross margin for the first quarter of 2026 was generally consistent with that of previous quarters.
• Fulfillment expenses were RMB1,214.8 million (US$176.1 million), a decrease of 3.3% from RMB1,256.1 million in the same quarter of 2025. Fulfillment expenses as a percentage of total revenues decreased to 20.6% from 22.9% in the same quarter of 2025.
• Sales and marketing expenses were RMB123.9 million (US$18.0 million), an increase of 12.6% from RMB110.0 million in the same quarter of 2025. Sales and marketing expenses as a percentage of total revenues slightly increase to 2.1%, compared with 2.0% in the same quarter of 2025. The year-on-year increase in marketing expenses is attributable to the increase of staff costs.
• General and administrative expenses were RMB130.2 million (US$18.9 million), an increase of 15.3% from RMB112.9 million in the same quarter of 2025, mainly driven by staff costs.
• Product development expenses were RMB196.9 million (US$28.5 million), a slight decrease of 0.5% from RMB198.0 million in the same quarter of 2025. While advocating for energy and resource saving, we will continue to invest in our product development capabilities, agricultural technology, data algorithms, and other technology infrastructure such as the AI technical capability, to further enhance our competitiveness.

Income from operations was RMB145.4 million (US$21.1 million), compared with loss from operations of RMB21.2 million in the same quarter of 2025.

Net income was RMB165.4 million (US$24.0 million), compared to RMB8.0 million in the same quarter of 2025. Among which, net income for China business increased by 643.5% year over year to RMB236.9 million (US$34.3 million), which was largely due to cease of depreciation or amortization of long-lived assets classified as held-for-sale under US GAAP. This factor has resulted in an increase of our net income by approximately RMB138 million (US$20.0 million) in the current quarter, and this impact will continue to affect the quarterly net income every period prior to the completion of the Meituan transaction. Net loss for overseas business increased by 199.6% year over year to RMB71.4 million (US$10.4 million).

Non-GAAP net income, which is a non-GAAP measure that only excludes share-based compensation expenses from net income, was RMB172.0 million (US$24.9 million), an increase of 466.7% from RMB30.3 million in the same quarter of 2025. In addition, non-GAAP net income margin, which is the Company's non-GAAP net income as a percentage of total revenues, was 2.9% compared with 0.6% in the same quarter of 2025. Non-GAAP net income for China business increased by 376.3% year over year to RMB242.1 million (US$35.1 million). Non-GAAP net loss for overseas business increased by 242.4% year over year to RMB70.2 million (US$10.2 million). Similarly, non-GAAP net income was subject to the same factors that affected net income.

Basic and diluted net income per share were RMB0.50 (US$0.07) and RMB0.50 (US$0.07), compared with net income per share of RMB0.02 and RMB0.02 in the same quarter of 2025. Non-GAAP net income per share, basic and diluted, were RMB0.52 (US$0.07) and RMB0.52 (US$0.07), compared with RMB0.09 and RMB0.09 in the same quarter of 2025.

Cash and cash equivalents, restricted cash and short-term investments were RMB3,820.0 million (US$553.8 million) as of March 31, 2026, compared with RMB3,976.8 million as of December 31, 2025. We have been working diligently to optimize our capital usage and financing structure. The cash and cash equivalents, restricted cash, short-term investments and long-term deposits as included in the other non-current assets deducting the balance of short-term borrowings, is RMB3,210.6 million, a net increase for the twelfth consecutive quarter, compared with RMB3,140.3 million as of December 31, 2025.

[1] The Company presents the total amounts of certain line items, which represent the aggregate figures encompassing both continuing operations (overseas business) and discontinued operations (domestic China business).

[2] The Company also discloses figures pertaining to its China business, which are classified within profit generated from discontinued operations. In addition, the Company separately presents data relating to its overseas business.

About Dingdong (Cayman) Limited 

We are a leading fresh grocery e-commerce company in mainland China, with sustainable long-term growth. We directly provide users and households with fresh groceries, prepared food, and other food products through delivering a convenient and excellent shopping experience supported by an extensive self-operated frontline fulfillment grid. Leveraging our deep insights into consumers' evolving needs and our strong food innovation capabilities, we have successfully launched a series of private label products spanning a variety of food categories. Many of our private label products are produced at our Dingdong production plants, allowing us to more efficiently produce and offer safe and high-quality food products. We aim to be the first choice for fresh and food shopping.

For more information, please visit: https://ir.100.me.

Use of Non-GAAP Financial Measures

The Company uses non-GAAP measures, such as non-GAAP net income, non-GAAP net income margin, in evaluating its operating results and for financial and operational decision-making purposes. The Company believes that the non-GAAP financial measures help identify underlying trends in its business by excluding the impact of share-based compensation expenses, which are non-cash charges and do not correlate to any operating activity trends. The Company believes that the non-GAAP financial measures provide useful information about the Company's results of operations, enhance the overall understanding of the Company's past performance and future prospects and allow for greater visibility with respect to key metrics used by the Company's management in its financial and operational decision-making.

The non-GAAP financial measures are not defined under U.S. GAAP and are not presented in accordance with U.S. GAAP. The non-GAAP financial measures have limitations as analytical tools, and when assessing the Company's operating performance, cash flows or liquidity, investors should not consider them in isolation, or as a substitute for net loss, cash flows provided by operating activities or other consolidated statements of operations and cash flows data prepared in accordance with U.S. GAAP. The Company's definition of non-GAAP financial measures may differ from those of industry peers and may not be comparable with their non-GAAP financial measures.

The Company mitigates these limitations by reconciling the non-GAAP financial measures to the most comparable U.S. GAAP performance measures, all of which should be considered when evaluating the Company's performance.

For more information on the non-GAAP financial measures, please see the table captioned "Unaudited Reconciliation of GAAP and Non-GAAP Results" set forth at the end of this announcement.

Exchange Rate Information

This announcement contains translations of certain RMB amounts into U.S. dollars ("US$") at specified rates solely for the convenience of the reader. Unless otherwise stated, all translations from RMB to US$ were made at the rate of RMB6.8980 to US$1.00, the exchange rate on March 31, 2026 set forth in the H.10 statistical release of the Federal Reserve Board. The Company makes no representation that the RMB or US$ amounts referred could be converted into US$ or RMB, as the case may be, at any particular rate or at all.

Safe Harbor Statement 

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "aims," "future," "intends," "plans," "believes," "estimates," "confident," "potential," "continue," or other similar expressions. Among other things, business outlook and quotations from management in this announcement, as well as Dingdong's strategic and operational plans, contain forward-looking statements. Dingdong may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the "SEC"), in its interim and annual reports to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including but not limited to statements about Dingdong's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Dingdong's goals and strategies; Dingdong's future business development, financial conditions, and results of operations; the expected outlook of the fresh grocery ecommerce market in China; Dingdong's expectations regarding demand for and market acceptance of its products and services; Dingdong's expectations regarding its relationships with its users, clients, business partners, and other stakeholders; competition in Dingdong's industry; and relevant government policies and regulations relating to Dingdong's industry, and general economic and business conditions globally and in China and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in the Company's filings with the SEC. All information provided in this announcement and in the attachments is as of the date of the announcement, and the Company undertakes no duty to update such information, except as required under applicable law.

For investor inquiries, please contact:

Dingdong Fresh
ir@100.me

 

 

DINGDONG (CAYMAN) LIMITED
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(Amounts in thousands of RMB and US$)
The China business is reported as discontinued operations in the consolidated statements of comprehensive loss for the current period and the comparative period in accordance with ASC 210-05, Discontinued Operations as the disposal plan of the China business represented a strategic shift that had a major effect on the Group's operations and financial results. Further, the related current and non-current assets and liabilities associated with the China business are reflected as held for sale in the consolidated balance sheets at December 31, 2025 and March 31, 2026.
			As of
			December 31, 2025			March 31, 2026			March 31, 2026
			RMB			RMB			US$
ASSETS
Current assets:
Cash and cash equivalents			45,722			212,045			30,740
Short-term investments			-			159,146			23,071
Accounts receivable, net			48,727			41,655			6,039
Inventories, net			39,179			24,369			3,533
Advance to suppliers			63,638			65,414			9,483
Prepayments and other current assets			11,876			14,221			2,062
Assets held for sale			4,830,947			6,368,856			923,290
Total current assets			5,040,089			6,885,706			998,218
Non-current assets:
Property and equipment, net			3,883			17,564			2,546
Operating lease right-of-use assets			280			126			18
Other non-current assets			15,418			9,419			1,366
Assets held for sale			1,956,498			-			-
Total non-current assets			1,976,079			27,109			3,930
TOTAL ASSETS			7,016,168			6,912,815			1,002,148
LIABILITIES, MEZZANINE EQUITY AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable			47,608			76,930			11,153
Customer advances and deferred revenue			1,242			3,942			571
Accrued expenses and other current liabilities			4,664			12,279			1,780
Salary and welfare payable			3,713			30,957			4,488
Operating lease liabilities, current			-			125			18
Liabilities held for sale			4,737,340			5,472,607			793,361
Total current liabilities			4,794,567			5,596,840			811,371
Non-current liabilities:
Operating lease liabilities, non-current			287			-			-
Liabilities held for sale			1,045,097			-			-
Total non-current liabilities			1,045,384			-			-
TOTAL LIABILITIES			5,839,951			5,596,840			811,371

 

 

DINGDONG (CAYMAN) LIMITED
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED)
(Amounts in thousands of RMB and US$)
			As of
			December 31, 2025			March 31, 2026			March 31, 2026
			RMB			RMB			US$
LIABILITIES, MEZZANINE EQUITY AND SHAREHOLDERS' EQUITY (CONTINUED)
Mezzanine Equity:
Redeemable noncontrolling interests			135,435			138,030			20,010
TOTAL MEZZANINE EQUITY			135,435			138,030			20,010
Shareholders' equity:
Ordinary shares			4			4			1
Additional paid-in capital			14,260,014			14,266,576			2,068,219
Treasury stock			(59,969)			(59,969)			(8,694)
Accumulated deficit			(13,163,215)			(13,000,373)			(1,884,657)
Accumulated other comprehensive      income/(loss)			3,948			(28,293)			(4,102)
TOTAL SHAREHOLDERS' EQUITY			1,040,782			1,177,945			170,767
TOTAL LIABILITIES, MEZZANINE EQUITY      AND SHAREHOLDERS' EQUITY			7,016,168			6,912,815			1,002,148

 

 

DINGDONG (CAYMAN) LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(Amounts in thousands of RMB and US$, except for number of shares and per share data)
			For the three months ended March 31,
			2025				2026			2026
			RMB				RMB			US$
Revenues:
Product revenues			47,220				139,048			20,157
Service revenues			3				343			50
Total revenues			47,223				139,391			20,207
Operating costs and expenses:
Cost of goods sold			(43,552)				(129,263)			(18,739)
Fulfillment expenses			(18,272)				(41,191)			(5,971)
Sales and marketing expenses			(1,119)				(10,310)			(1,495)
Product development expenses			(2,146)				(12,022)			(1,743)
General and administrative expenses			(6,221)				(15,212)			(2,205)
Total operating costs and expenses			(71,310)				(207,998)			(30,153)
Other operating loss, net			(440)				(4,059)			(588)
Income from operations			(24,527)				(72,666)			(10,534)
Interest income			568				581			84
Other income, net			137				659			95
Income before income tax			(23,822)				(71,426)			(10,355)
Income tax expenses			(20)				(2)			-
Net loss from continuing operations			(23,842)				(71,428)			(10,355)
Net income from discontinued operations, net of tax			31,859				236,865			34,338
Net income			8,017				165,437			23,983
Net loss from discontinued operations attributable to      redeemable noncontrolling interests			(2,402)				(2,595)			(376)
Net income attributable to ordinary shareholders			5,615				162,842			23,607

 

 

DINGDONG (CAYMAN) LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (CONTINUED)
(Amounts in thousands of RMB and US$, except for number of shares and per share data)
			For the three months ended March 31,
			2025			2026			2026
			RMB			RMB			US$
Net income per Class A and Class B ordinary share:
Basic
Continuing operations			(0.07)			(0.22)			(0.03)
Discontinued operations			0.09			0.72			0.10
Diluted
Continuing operations			(0.07)			(0.22)			(0.03)
Discontinued operations			0.09			0.72			0.10
Basic net income per share attributable to Class A and      Class B ordinary shareholders			0.02			0.50			0.07
Diluted net income per share attributable to Class A      and Class B ordinary shareholders			0.02			0.50			0.07
Shares used in net income per Class A and Class B      ordinary share computation:
Basic			324,576,757			324,883,084			324,883,084
Diluted			324,576,757			324,883,084			324,883,084
Other comprehensive loss, net of tax of nil:
Foreign currency translation adjustments from      continuing operations			(3,933)			(37,782)			(5,477)
Foreign currency translation adjustments from      discontinued operations			802			5,543			804
Total other comprehensive loss from continuing operations			(27,775)			(109,210)			(15,832)
Total other comprehensive income from discontinued operation			32,661			242,408			35,142
Comprehensive income			4,886			133,198			19,310
Net loss from discontinued operations attributable to redeemable noncontrolling interests			(2,402)			(2,595)			(376)
Comprehensive income attributable to ordinary shareholders			2,484			130,603			18,934

 

 

 

DINGDONG (CAYMAN) LIMITED
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Amounts in thousands of RMB and US$)
			For the three months ended March 31,
			2025			2026			2026
			RMB			RMB			US$
Net cash (used in)/generated from continuing operating      activities			(9,555)			15,758			2,284
Net cash generated from discontinued operating activities			94,789			130,952			18,984
Net cash generated from operating activities			85,234			146,710			21,268
Net cash generated from/(used in) continuing investing      activities			1,897			(168,317)			(24,401)
Net cash generated from discontinued investing activities			439,789			619,329			89,784
Net cash generated from investing activities			441,686			451,012			65,383
Net cash used in continuing financing activities			-			-			-
Net cash used in discontinued financing activities			(199,911)			(196,814)			(28,532)
Net cash used in financing activities			(199,911)			(196,814)			(28,532)
Effect of exchange rate changes on cash and cash      equivalents and restricted cash			(231)			(5,275)			(764)
Net increase in cash and cash equivalents and      restricted cash			326,778			395,633			57,355
Cash and cash equivalents and restricted cash at the      beginning of the period			890,215			1,107,136			160,501
Cash and cash equivalents and restricted cash at the      end of the period			1,216,993			1,502,769			217,856
Less: Cash and cash equivalents and restricted cash held      for sales at end of the period			1,158,834			1,290,724			187,116
Cash and cash equivalents and restricted cash from      continuing operations at the end of the period			58,159			212,045			30,740

 

 

 

DINGDONG (CAYMAN) LIMITED
UNAUDITED RECONCILIATION OF GAAP AND NON-GAAP RESULTS
(Amounts in thousands of RMB and US$, except for number of shares and per share data)
			For the three months ended March 31,
			2025			2026			2026
			RMB			RMB			US$
Net loss from continuing operations			(23,842)			(71,428)			(10,355)
Add: Share-based compensation expenses of continuing operations			3,353			1,274			185
Non-GAAP net loss from continuing operations			(20,489)			(70,154)			(10,170)
Net income from discontinued operations			31,859			236,865			34,338
Add: Share-based compensation expenses of discontinued operations			18,976			5,255			762
Non-GAAP net income from discontinued operations			50,835			242,120			35,100
Total Non-GAAP net income			30,346			171,966			24,930

 

 

The following schedules set forth the breakdown of assets and liabilities held for sale and income from discontinued operations of Dingdong's China business which were included in the Company's unaudited interim condensed consolidated financial statements:
			As of
			December 31, 2025			March 31, 2026			March 31, 2026
			RMB			RMB			US$
				(in thousands)
Cash and cash equivalents			1,061,073			1,290,264			187,049
Restricted cash			340			460			67
Short-term investments			2,869,681			2,157,988			312,843
Accounts receivable, net			143,212			146,511			21,240
Inventories, net			531,306			453,713			65,775
Advance to suppliers			50,466			42,646			6,182
Prepayments and other current assets			174,869			174,475			25,292
Property and equipment, net			-			241,252			34,974
Operating lease right-of-use assets			-			1,678,026			243,263
Other non-current assets			-			183,521			26,605
Total current assets classified as held for sale			4,830,947			6,368,856			923,290
Property and equipment, net			228,874			-			-
Operating lease right-of-use assets			1,579,819			-			-
Other non-current assets			147,805			-			-
Total non-current assets classified as held for sale			1,956,498			-			-
Accounts payable			1,872,734			1,766,724			256,121
Customer advances and deferred revenue			272,019			265,327			38,464
Accrued expenses and other current liabilities			751,954			753,144			109,184
Salary and welfare payable			300,818			314,572			45,603
Operating lease liabilities, current			668,295			665,511			96,479
Short-term borrowings			871,520			674,344			97,759
Operating lease liabilities, non-current			-			884,227			128,186
Other non-current liabilities			-			148,758			21,565
Total current liabilities classified as held for sale			4,737,340			5,472,607			793,361
Operating lease liabilities, non-current			897,524			-			-
Other non-current liabilities			147,573			-			-
Total non-current liabilities classified as held for sale			1,045,097			-			-

 

 

			For the three months ended March 31,
			2025				2026			2026
			RMB				RMB			US$
			(in thousands)
Revenues:
Product revenues			5,339,280				5,661,663			820,769
Service revenues			92,536				91,650			13,286
Total revenues			5,431,816				5,753,313			834,055
Operating costs and expenses:
Cost of goods sold			(3,798,554)				(4,004,233)			(580,492)
Fulfillment expenses			(1,237,822)				(1,173,653)			(170,143)
Sales and marketing expenses			(108,834)				(113,542)			(16,460)
Product development expenses			(195,823)				(184,864)			(26,800)
General and administrative expenses			(106,660)				(114,938)			(16,663)
Total operating costs and expenses			(5,447,693)				(5,591,230)			(810,558)
Other operating income, net			19,163				55,948			8,111
Income from discontinued operations			3,286				218,031			31,608
Interest income			34,555				23,685			3,434
Interest expenses			(5,964)				(2,381)			(345)
Other income/(expenses), net			1,520				(225)			(33)
Income before income tax			33,397				239,110			34,664
Income tax expenses			(1,538)				(2,245)			(326)
Net income from discontinued operations			31,859				236,865			34,338

 

View original content:https://www.prnewswire.com/news-releases/dingdong-cayman-limited-announces-first-quarter-2026-financial-results-302778858.html

SOURCE Dingdong (Cayman) Limited

FAQ

How did Dingdong (NYSE: DDL) perform in its Q1 2026 earnings results?

Dingdong reported higher revenue and sharply improved profitability in Q1 2026. According to Dingdong, total revenues rose 7.5% year over year to RMB5,892.7 million and net income increased to RMB165.4 million from RMB8.0 million in the same quarter of 2025.

What was Dingdong (DDL) net income and EPS for the first quarter of 2026?

Dingdong posted net income of RMB165.4 million in Q1 2026. According to Dingdong, basic and diluted net income per share were both RMB0.50, compared with RMB0.02 per share in the first quarter of 2025, reflecting its ninth consecutive profitable quarter.

How did Dingdong’s China and overseas businesses perform in Q1 2026?

Dingdong’s China business remained profitable while overseas operations lost money in Q1 2026. According to Dingdong, China net income was RMB236.9 million, aided by halted depreciation, while the overseas segment recorded a net loss of RMB71.4 million despite 195.2% revenue growth.

What impact did the Meituan transaction have on Dingdong’s Q1 2026 financials?

The pending Meituan sale changed Dingdong’s accounting for its China business. According to Dingdong, classifying China assets as held for sale stopped depreciation and amortization, increasing Q1 2026 net income by about RMB138 million, an effect expected each quarter until the deal closes.

What were Dingdong (DDL) non-GAAP results and margins in the first quarter of 2026?

Dingdong reported significantly higher non-GAAP profitability in Q1 2026. According to Dingdong, non-GAAP net income was RMB172.0 million, up 466.7% year over year, with a non-GAAP net income margin of 2.9% compared with 0.6% in the same quarter of 2025.

How strong was Dingdong’s revenue and GMV growth in Q1 2026?

Dingdong delivered moderate top-line expansion in Q1 2026. According to Dingdong, GMV increased 6.3% year over year to RMB6,333.3 million, while total revenues rose 7.5% to RMB5,892.7 million, marking nine consecutive quarters of year-over-year revenue growth.

What is the status of Dingdong’s sale of its China business to Meituan?

Dingdong’s sale of its China business to Meituan has not yet closed. According to Dingdong, completion depends on customary conditions in the share purchase agreement, including receiving anti-monopoly clearance from China’s State Administration for Market Regulation (SAMR).