RLX Technology Extends US$500 Million Share Repurchase Program

Rhea-AI Summary

RLX Technology (NYSE: RLX) said its board extended the existing share repurchase program for an additional 24 months through December 31, 2027. The program, launched December 2021 and previously extended in December 2023, authorized up to US$500 million of ADS repurchases through December 31, 2025.

As of December 31, 2025, RLX had repurchased ~170 million ordinary shares represented by ADS for an aggregate of ~US$330 million, leaving ~US$170 million available. Under the extension, the company may repurchase up to ~US$170 million of ADS through December 31, 2027, funded from the existing cash balance and executed via market, negotiated, block, structured or derivative transactions in accordance with regulations.

Positive

• Cumulative repurchases of ~170 million ADS purchased for ~US$330 million
• Remaining repurchase capacity of ~US$170 million available through 12/31/2027
• Board-authorized extension adds 24 months of buyback optionality

Negative

• Repurchases funded from existing cash balance, reducing cash liquidity
• No increase to total authorization; extension only replaces the prior expiry

Key Figures

Total buyback authorization US$500 million Maximum under current share repurchase program through Dec 31, 2025

Program extension period 24 months Extension of repurchase authorization through Dec 31, 2027

Shares repurchased 170 million shares Cumulative ordinary shares (ADSs) repurchased as of Dec 31, 2025

Cash spent on buybacks US$330 million Aggregate amount spent on repurchases as of Dec 31, 2025

Remaining authorization US$170 million Unused portion of current program as of Dec 31, 2025

Extended buyback capacity US$170 million Maximum repurchases under extended program through Dec 31, 2027

Current share price US$2.29 Price before buyback extension announcement

52-week range US$1.66–US$2.84 RLX 52-week low and high before this news

Market Reality Check

$2.33 Last Close

Volume Volume 1,894,161 vs 20-day average 1,555,844 (relative volume 1.22x ahead of the news). normal

Technical Price 2.29 is trading slightly above the 200-day MA at 2.23, with shares about 19.37% below the 52-week high.

Peers on Argus

Peers in Tobacco show mixed, mostly modest moves: TPB +1.12%, UVV +0.04%, BTI +0.32%, MO +0.28%, while ISPR is down 3.48%, suggesting today’s buyback news is stock-specific rather than a sector-wide driver.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Nov 14	Earnings results	Positive	+10.3%	Strong Q3 2025 revenue, margin gains, and higher non-GAAP profitability.
Nov 03	Earnings scheduling	Neutral	-1.6%	Announcement of date and time for Q3 2025 earnings release and call.
Aug 22	Earnings results	Positive	+7.1%	Q2 2025 showed strong revenue growth and improved margins with dividend.
Aug 05	Earnings scheduling	Neutral	-0.5%	Scheduling of Q2 2025 earnings release and related conference call.

Pattern Detected

Recent earnings releases with strong results have coincided with positive price reactions, while scheduling announcements have had minimal impact.

Recent Company History

Over the past few months, RLX has highlighted improving fundamentals and shareholder returns. Q2 2025 and Q3 2025 earnings on Aug 22 and Nov 14 showed strong revenue growth, margin expansion, and rising non-GAAP profitability, with notable positive price reactions. The company also introduced cash dividends and reported substantial cash-like assets. Two separate announcements on Aug 5 and Nov 3 simply scheduled upcoming earnings calls and had limited price impact. Today’s extended repurchase authorization continues that theme of capital returns.

Market Pulse Summary

This announcement extends RLX’s existing buyback program, allowing up to US$170 million of additional ADS repurchases through Dec 31, 2027, funded from existing cash. It follows prior quarters of strong revenue growth, margin expansion, and cash dividends. Investors may focus on how actively management uses the authorization, the pace of repurchases relative to liquidity, and future earnings updates to gauge the impact on per-share metrics at a price still below the 52-week high.

Key Terms

share repurchase program financial

"authorized the extension of its existing share repurchase program for an additional"

A share repurchase program is when a company buys back its own shares from the marketplace. This reduces the total number of shares available, which can increase the value of each remaining share and signal confidence in the company's prospects. For investors, it often suggests that the company believes its stock is undervalued or that it has extra cash to return to shareholders.

ordinary shares financial

"may repurchase up to US$500 million of its ordinary shares represented by ADSs"

Ordinary shares are a type of ownership stake in a company, giving shareholders a right to participate in the company’s profits and decision-making through voting. They are similar to owning a piece of a business, and their value can rise or fall based on the company's performance. Investors buy ordinary shares to potentially earn dividends and benefit from the company's growth over time.

ads financial

"ordinary shares represented by ADSs until December 31, 2025"

Ads are paid promotional messages a company places across media — online, on TV, in print, or on social platforms — to attract customers, explain products, or shape public perception. For investors, ads matter because they drive sales growth, affect how much a company must spend to win customers, and influence brand strength and long-term value. Ads can also create regulatory or reputational risk if claims are misleading, which can affect profits and stock price.

block trades financial

"in privately negotiated transactions, in block trades, through structured or"

A block trade is a single, large buy or sell of shares or bonds arranged privately between big traders rather than piecemeal on the public market. Think of it like buying a whole shipment at once instead of many small shopping trips; it lets large holders move big positions with less immediate disruption but can signal strong buying or selling pressure and cause price swings once the trade is known, so investors watch block trades for clues about market sentiment and liquidity.

derivative transactions financial

"block trades, through structured or derivative transactions and/or through"

Derivative transactions are contracts whose value depends on the price or performance of something else—like stocks, bonds, currencies, interest rates or commodities. Think of them as insurance or bets about a future price: investors use them to protect against losses, lock in prices, or try to amplify returns, but they can also magnify losses, create cash demands and expose a firm to the risk that the other party won’t meet its obligation, so they can materially affect a company’s financial stability and volatility.

AI-generated analysis. Not financial advice.

SHENZHEN, China, Dec. 31, 2025 /PRNewswire/ -- RLX Technology Inc. ("RLX Technology" or the "Company") (NYSE: RLX), a leading global branded e-vapor company, today announced that its board of directors has authorized the extension of its existing share repurchase program for an additional 24-month period through December 31, 2027. The existing share repurchase program was established in December 2021 and extended in December 2023. Under the current share repurchase program, the Company may repurchase up to US$500 million of its ordinary shares represented by ADSs until December 31, 2025. As of December 31, 2025, the Company had cumulatively repurchased approximately 170 million ordinary shares represented by ADS for an aggregate amount of approximately US$330 million, with approximately US$170 million remaining unused. Under the extended share repurchase program, the Company may repurchase up to approximately US$170 million of the ADSs through December 31, 2027.

The Company's proposed repurchases may be made from time to time on the open market at prevailing market prices, in privately negotiated transactions, in block trades, through structured or derivative transactions and/or through other legally permissible means, depending on market conditions and in accordance with applicable rules and regulations. The Company's board of directors will review the share repurchase program periodically, and may authorize adjustment of its terms and size. The Company expects to fund the repurchases out of its existing cash balance.

About RLX Technology Inc.

RLX Technology Inc. (NYSE: RLX) is a leading global branded e-vapor company. The Company leverages its strong in-house technology, product development capabilities, and in-depth insights into adult smokers' needs to develop superior e-vapor products.

For more information, please visit: http://ir.relxtech.com.

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 "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "potential," "continue" and similar statements. Among other things, quotations from management in this announcement, as well as the Company's strategic and operational plans, contain forward- looking statements. The Company may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission, in its annual report 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 the Company'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: the Company's growth strategies; its future business development, results of operations and financial condition; trends and competition in China's e-vapor market; changes in its revenues and certain cost or expense items; PRC governmental policies, laws and regulations relating to the Company'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 risks, uncertainties or factors is included in the Company's filings with the U.S. Securities and Exchange Commission. All information provided in this press release and in the attachments is current as of the date of this press release, and the Company does not undertake any obligation to update such information, except as required under applicable law.

View original content:https://www.prnewswire.com/news-releases/rlx-technology-extends-us500-million-share-repurchase-program-302650994.html

SOURCE RLX Technology Inc.

FAQ

What did RLX (NYSE: RLX) announce on December 31, 2025 about its share repurchase program?

RLX said the board extended its share repurchase program for 24 months to December 31, 2027, preserving up to ~US$170 million of remaining authority.

How much has RLX already repurchased under the US$500 million program?

As of December 31, 2025, RLX had repurchased approximately 170 million ordinary shares represented by ADS for about US$330 million.

How much remaining repurchase capacity does RLX have and until when can it use it?

RLX has approximately US$170 million remaining and may repurchase ADS through December 31, 2027 under the extension.

How will RLX execute the repurchases under the extended program?

Repurchases may be made on the open market, in privately negotiated or block trades, or via structured/derivative transactions, subject to rules and market conditions.

Will RLX fund the repurchases with new financing?

The company expects to fund repurchases out of its existing cash balance, not new financing.