STOCK TITAN

Vipshop Reports Unaudited Second Quarter 2026 Financial Results

(Moderate)
(Positive)
Tags

Vipshop (NYSE: VIPS) reported second quarter 2026 net revenues of RMB24.7 billion, down from RMB25.8 billion a year earlier, with GMV at RMB50.6 billion versus RMB51.4 billion. Gross profit was RMB5.8 billion and gross margin was 23.3%, slightly below 23.5%.

Income from operations was RMB1.5 billion, with a 6.2% operating margin. Net income attributable to shareholders surged 189.1% year over year to RMB4.3 billion, mainly from a one-off RMB5.79 billion investment gain linked to listing a commercial REIT, lifting net margin to 17.4%. However, non-GAAP net income fell to RMB392.2 million from RMB2.1 billion, largely due to a one-time withholding tax adjustment.

Active customers declined to 42.3 million and total orders to 182.4 million. Vipshop ended June 30, 2026 with RMB29.9 billion in cash and cash equivalents plus RMB3.6 billion in short-term investments, repurchased US$99.1 million of ADSs in the quarter, and added a new US$1.0 billion repurchase authorization.

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Positive

  • Net income +189.1% YoY to RMB4.3 billion, net margin 17.4%
  • One-off investment gain of RMB5.79 billion from Vipshop Commercial REIT listing
  • Strong liquidity with RMB29.9 billion cash and RMB3.6 billion short-term investments at June 30, 2026
  • Operating profit maintained with RMB1.5 billion income from operations, 6.2% margin
  • G&A expenses -17.5% YoY, down to RMB1.1 billion and 4.3% of revenue
  • Shareholder returns of about US$400 million in 1H 2026 and new US$1.0 billion buyback authorization

Negative

  • Total net revenues down to RMB24.7 billion from RMB25.8 billion year over year
  • Non-GAAP net income declined to RMB392.2 million from RMB2.1 billion, margin 1.6%
  • Operating margin compression to 6.2% from 6.6%; non-GAAP margin to 8.1% from 9.3%
  • Income tax expenses rose to RMB3.3 billion from RMB407.2 million year over year
  • Customer metrics weaker: active customers 42.3 million vs. 43.5 million; orders 182.4 million vs. 193.0 million
  • Net cash used in operations of RMB374.7 million in Q2 2026
  • Q3 2026 revenue guidance implies -5% to 0% YoY decline

News Explained

The completed REIT raised RMB7.70 billion while retaining 49% of units; the new US$1.0 billion buyback remains conditional.

Vipshop reports that its June commercial REIT transaction completed, raising gross proceeds of RMB7.70 billion and placing the two outlets in a structure where Vipshop holds 49% of the units and no longer consolidates the underlying entities under U.S. GAAP.

The release describes the REIT as a closed-end commercial real estate securities investment fund; the transaction included a one-off RMB5.79 billion investment gain and an associated RMB1.63 billion tax expense.

Vipshop repurchased US$99.1 million of ADSs during the quarter, with US$216.9 million remaining under the existing US$1.0 billion program; the separately authorized US$1.0 billion program can begin only after that existing program is fully used and then runs for 24 months.

The next specified operating milestone is the third-quarter 2026 revenue outlook of RMB20.3 billion to RMB21.4 billion, which the company says is preliminary and subject to change.

Market Reaction – VIPS

-2.86% $13.91
15m delay
-2.86% Vs previous close
$13.91 Last Price
$13.50 $14.36 Day Range
$6.68B Market Cap
0.0x Rel. Volume

Following this news, VIPS has declined 2.86%, reflecting a moderate negative market reaction. Our momentum scanner has triggered 2 alerts so far, indicating moderate trading interest and price volatility. The stock is currently trading at $13.91.

Data tracked by StockTitan Argus (15 min delayed). Upgrade to Gold for real-time data.

Market Context

The tag-matched earnings record averaged -0.81%, adding a cautious historical lens to this release’s...
Analysis

The tag-matched earnings record averaged -0.81%, adding a cautious historical lens to this release’s mixed results. The new repurchase authorization provides shareholder-return context, while net selling by insiders remains a risk factor to monitor.

Key Figures

Total net revenues: RMB24.7 billion (US$3.6 billion) GMV: RMB50.6 billion Gross profit: RMB5.8 billion (US$848.1 million) +5 more
8 metrics
Total net revenues RMB24.7 billion (US$3.6 billion) Q2 2026; compared with RMB25.8 billion prior year
GMV RMB50.6 billion Q2 2026; compared with RMB51.4 billion prior year
Gross profit RMB5.8 billion (US$848.1 million) Q2 2026; compared with RMB6.1 billion prior year
Net income attributable to shareholders RMB4.3 billion (US$634.7 million) Q2 2026; increased 189.1% year over year, primarily due to a one-off investment gain
Non-GAAP net income RMB392.2 million (US$57.8 million) Q2 2026; compared with RMB2.1 billion prior year
Q3 revenue outlook RMB20.3 billion to RMB21.4 billion Q3 2026 guidance; year-over-year decrease of approximately 5% to 0%
New share repurchase authorization Up to US$1.0 billion Authorized August 20, 2026 for a 24-month period
Unutilized repurchase authorization US$216.9 million Remaining under the existing program as of June 30, 2026

Previous Earnings Reports

5 past events · Latest: May 21 (Positive)
Same Type Pattern 5 events
Date Event Sentiment 24h Move Catalyst
May 21 Q1 earnings Positive +2.1% Revenue growth, improved margins, higher earnings, and positive free cash flow
Feb 26 Q4 earnings Positive +2.1% Higher quarterly earnings, strong cash generation, and continued shareholder returns
Nov 20 Q3 earnings Positive -7.0% Revenue, GMV, and earnings growth despite narrower gross margin
Aug 14 Q2 earnings Negative +5.9% Lower revenue, net income, and active customers despite higher GMV
May 20 Q1 earnings Negative -7.2% Lower revenue, earnings, active customers, and orders with reduced guidance

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

Pattern Detected

Tag-matched earnings reactions were mixed: three positive earnings releases aligned with gains, while two diverged from the reported news direction.

Key Terms

gmv, non-gaap net income, american depositary share, free cash flow
4 terms
gmv financial
"GMV for the second quarter of 2026 was RMB50.6 billion"
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 net income financial
"Non-GAAP net income attributable to Vipshop's shareholders"
Non-GAAP net income is a company's profit figure that excludes certain costs or income that are included in standard accounting methods. Companies often use it to show what their earnings might look like without one-time expenses or other unusual items, helping investors see the company's core performance more clearly.
american depositary share financial
""ADS" means American depositary share"
An American Depositary Share (ADS) is a U.S.-listed certificate that represents a specified number of shares in a foreign company, held by a custodian bank; it works like a receipt that allows U.S. investors to buy and trade foreign equity on American exchanges without dealing with another country’s markets. Investors care because ADSs make foreign stocks easier to access, improve liquidity and settlement in dollars, and can affect dividend payments, voting rights and regulatory oversight compared with buying the underlying foreign shares directly.
free cash flow financial
"free cash flow, a non-GAAP measurement of liquidity"
Free cash flow is the amount of money a company has left over after paying all its expenses and investing in its business, like buying equipment or updating facilities. It shows how much cash is available to reward shareholders, pay down debt, or save for future growth. This helps investors understand if a company is financially healthy and able to grow.
View in glossary

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Conference Call to Be Held at 7:30 A.M. U.S. Eastern Time on August 25, 2026

GUANGZHOU, China, Aug. 25, 2026 /PRNewswire/ -- Vipshop Holdings Limited (NYSE: VIPS), a leading off-price retailer in China ("Vipshop" or the "Company"), today announced its unaudited financial results for the quarter ended June 30, 2026.

Second Quarter 2026 Highlights

  • Total net revenues for the second quarter of 2026 were RMB24.7 billion (US$3.6 billion), compared with RMB25.8 billion in the prior year period.
  • GMV[1] for the second quarter of 2026 was RMB50.6 billion, compared with RMB51.4 billion in the prior year period.
  • Gross profit for the second quarter of 2026 was RMB5.8 billion (US$848.1 million), compared with RMB6.1 billion in the prior year period.
  • Net income attributable to Vipshop's shareholders for the second quarter of 2026 increased by 189.1% year over year to RMB4.3 billion (US$634.7 million) from RMB1.5 billion in the prior year period, primarily due to a one-off investment gain of RMB5.79 billion from the listing of a commercial REIT.
  • Non-GAAP net income attributable to Vipshop's shareholders[2] for the second quarter of 2026 was RMB392.2 million (US$57.8 million), compared with RMB2.1 billion in the prior year period, primarily due to a one-time withholding tax adjustment relating to certain historical dividend distributions.
  • The number of active customers[3] for the second quarter of 2026 was 42.3 million, compared with 43.5 million in the prior year period.
  • Total orders[4] for the second quarter of 2026 were 182.4 million, compared with 193.0 million in the prior year period.

Mr. Eric Shen, Chairman and Chief Executive Officer of Vipshop, stated, "We navigated a challenging consumer environment in the second quarter by staying disciplined to our core value proposition — offering a curated selection of high-value branded products to our most loyal customers. The solid performance of our active SVIPs validated the enduring strength of our business model. Leveraging our proven foundation, we are actively strengthening our competitive moat by sharpening merchandising, elevating customer experience, and scaling AI across our operations. These focused initiatives position us firmly for sustainable, long-term growth."

Mr. Mark Wang, Chief Financial Officer of Vipshop, further commented, "In the second quarter, our top-line performance stayed within our guided range, reflecting disciplined execution amid subdued consumer demand. We maintained a steadfast focus on margin health, which helped preserve operating profitability. During the first half, we returned approximately US$400 million to shareholders through dividends and share repurchases, and we remain on track to meet our full-year shareholder return target. Supported by solid operating fundamentals and strong cash generation to reinvest strategically, we are confident in our path toward profitable, long-term growth."

Second Quarter 2026 Financial Results

REVENUES

Total net revenues for the second quarter of 2026 were RMB24.7 billion (US$3.6 billion), compared with RMB25.8 billion in the prior year period.

GROSS PROFIT

Gross profit for the second quarter of 2026 was RMB5.8 billion (US$848.1 million), compared with RMB6.1 billion in the prior year period. Gross margin for the second quarter of 2026 was 23.3%, compared with 23.5% in the prior year period.

OPERATING EXPENSES

Total operating expenses for the second quarter of 2026 decreased by 2.4% year over year to RMB4.5 billion (US$656.5 million) from RMB4.6 billion in the prior year period. As a percentage of total net revenues, total operating expenses for the second quarter of 2026 were 18.0%, compared with 17.7% in the prior year period.

  • Fulfillment expenses for the second quarter of 2026 were RMB2.14 billion (US$315.1 million), compared with RMB2.11 billion in the prior year period. As a percentage of total net revenues, fulfillment expenses for the second quarter of 2026 were 8.7%, compared with 8.2% in the prior year period.

  • Marketing expenses for the second quarter of 2026 were RMB760.3 million (US$112.1 million), compared with RMB715.9 million in the prior year period. As a percentage of total net revenues, marketing expenses for the second quarter of 2026 were 3.1%, compared with 2.8% in the prior year period.

  • Technology and content expenses for the second quarter of 2026 were RMB486.2 million (US$71.7 million), compared with RMB442.0 million in the prior year period. As a percentage of total net revenues, technology and content expenses for the second quarter of 2026 were 2.0%, compared with 1.7% in the prior year period.

  • General and administrative expenses for the second quarter of 2026 decreased by 17.5% year over year to RMB1.1 billion (US$157.7 million), compared with RMB1.3 billion in the prior year period, primarily due to higher share-based compensation expenses for Shan Shan Outlets recorded in the prior year period. As a percentage of total net revenues, general and administrative expenses for the second quarter of 2026 decreased to 4.3% from 5.0% in the prior year period.

INCOME FROM OPERATIONS

Income from operations for the second quarter of 2026 was RMB1.5 billion (US$224.0 million), compared with RMB1.7 billion in the prior year period. Operating margin for the second quarter of 2026 was 6.2%, compared with 6.6% in the prior year period.

Non-GAAP income from operations[5] for the second quarter of 2026, which excluded share-based compensation expenses, was RMB2.0 billion (US$295.7 million), compared with RMB2.4 billion in the prior year period. Non-GAAP operating margin[6] for the second quarter of 2026 was 8.1%, compared with 9.3% in the prior year period.

INCOME TAX EXPENSES

Income Tax Expenses for the second quarter of 2026 were RMB3.3 billion (US$491.8 million), compared with RMB407.2 million in the prior year period. The increase was primarily driven by (i) an income tax expense of RMB1.63 billion relating to the one-off investment gain recognized by Shan Shan Commercial Group Co., Ltd., the original holder of the underlying assets, upon the issuance of a commercial REIT, and (ii) an accrued withholding tax expense of RMB1.56 billion reflecting the withholding tax treatments of historical dividend distributions from mainland China to Hong Kong regarding applicable policies on tax treaty benefits.

NET INCOME

Net income attributable to Vipshop's shareholders for the second quarter of 2026 increased by 189.1% year over year to RMB4.3 billion (US$634.7 million) from RMB1.5 billion in the prior year period, primarily due to a one-off investment gain of RMB5.79 billion from the listing of a commercial REIT. Net margin attributable to Vipshop's shareholders for the second quarter of 2026 increased to 17.4% from 5.8% in the prior year period. Net income attributable to Vipshop's shareholders per diluted ADS[7] for the second quarter of 2026 increased to RMB8.82 (US$1.30) from RMB2.91 in the prior year period.

Non-GAAP net income attributable to Vipshop's shareholders for the second quarter of 2026, which excluded (i) share-based compensation expenses, (ii) impairment loss of investments, (iii) investment (gain) loss and revaluation of investments excluding dividends, (iv) reconciling items on the share of equity method investments, and (v) tax effects on non-GAAP adjustments, was RMB392.2 million (US$57.8 million), compared with RMB2.1 billion in the prior year period, primarily due to a one-time withholding tax adjustment relating to certain historical dividend distributions. Non-GAAP net margin attributable to Vipshop's shareholders[8] for the second quarter of 2026 was 1.6%, compared with 8.0% in the prior year period. Non-GAAP net income attributable to Vipshop's shareholders per diluted ADS[9] for the second quarter of 2026 was RMB0.80 (US$0.12),  compared with RMB4.06 in the prior year period.

For the quarter ended June 30, 2026, the Company's weighted average number of ADSs used in computing diluted income per ADS was 488,098,800.

BALANCE SHEET AND CASH FLOW

As of June 30, 2026, the Company had cash and cash equivalents and restricted cash of RMB29.9 billion (US$4.4 billion) and short term investments of RMB3.6 billion (US$533.3 million).

For the quarter ended June 30, 2026, net cash used in operating activities was RMB374.7 million (US$55.2 million), and free cash flow[10], a non-GAAP measurement of liquidity, was as follows:

For the three months ended


June 30, 2025

RMB'000

June 30, 2026

RMB'000

June 30, 2026

US$'000

Net cash generated from (used in) operating
activities

1,301,049

(374,692)

(55,223)

Reconciling items:




   Net impact from internet financing activities[11]

56,614

(130,015)

(19,162)

   Capital expenditures

(555,862)

(244,000)

(35,961)

Free cash inflow (outflow)

801,801

(748,707)

(110,346)






For the trailing twelve months ended


June 30, 2025

RMB'000

June 30, 2026

RMB'000

June 30, 2026

US$'000

Net cash generated from operating activities

9,673,390

8,766,247

1,291,985

Reconciling items:




   Net impact from internet financing activities     

73,437

(51,648)

(7,612)

   Capital expenditures

(2,908,504)

(1,512,848)

(222,966)

Free cash inflow

6,838,323

7,201,751

1,061,407






Share Repurchase Program

During the quarter ended June 30, 2026, the Company repurchased US$99.1 million of its ADSs under its current US$1.0 billion share repurchase program adopted in February 2025, as amended (the "Existing Program"), which is effective through February 2027. As of June 30, 2026, the Company had an unutilized amount of US$216.9 million under the Existing Program.

In addition, on August 20, 2026, the board of directors authorized a new share repurchase program under which the Company may repurchase up to US$1.0 billion of its American depositary shares or Class A ordinary shares for a 24-month period commencing from the full utilization of the Existing Program.

The Company will implement its share repurchases in accordance with applicable rules and requirements under the Securities Exchange Act of 1934, as amended, and the Company's insider trading policy. The Company's board of directors will review the share repurchase programs periodically, and may authorize adjustment of their terms and size. The Company expects to fund the repurchases out of its existing cash balance.

Recent Development

In June 2026, the Company listed a closed-end commercial real estate securities investment fund in relation to two outlets operated by Shan Shan Outlets (the "Vipshop Commercial REIT") on the Shanghai Stock Exchange (fund code: 508603.SH). The Company subscribed for 49% of the units issued by the Vipshop Commercial REIT and deconsolidated the underlying entities holding the two outlets under U.S. GAAP. Upon the completion of the Vipshop Commercial REIT, the Company raised gross proceeds of approximately RMB7.70 billion. During the second quarter of 2026, the Company recognized an investment gain of RMB5.79 billion, with an associated income tax expense of RMB1.63 billion.

Business Outlook

For the third quarter of 2026, the Company expects its total net revenues to be between RMB20.3 billion and RMB21.4 billion, representing a year-over-year decrease of approximately 5% to 0%. These forecasts reflect the Company's current and preliminary view on the market and operational conditions, which is subject to change.

Exchange Rate

The Company's business is primarily conducted in China and the significant majority of revenues generated are denominated in Renminbi. This announcement contains currency translations of Renminbi amounts into U.S. dollars solely for the convenience of the reader. Unless otherwise noted, all translations from Renminbi to U.S. dollars are made at a rate of RMB6.7851 to US$1.00, the effective noon buying rate on June 30, 2026 as set forth in the H.10 statistical release of the Federal Reserve Board. No representation is made that the Renminbi amounts could have been, or could be, converted, realized or settled into U.S. dollars at that rate on June 30, 2026 or at any other rate.

Conference Call Information

The Company will hold a conference call on Tuesday, August 25, 2026 at 7:30 am U.S. Eastern Time, 7:30 pm Beijing Time to discuss the financial results.

All participants wishing to join the conference call must pre-register online using the link provided below.

Registration Link:
https://register-conf.media-server.com/register/BI9c75c14882da41dfae0c983d6e126453

Once pre-registration has been completed, each participant will receive dial-in numbers and a unique access PIN via email. To join the conference, participants should use the dial-in details followed by the PIN code.

A live webcast of the earnings conference call can be accessed at https://edge.media-server.com/mmc/p/qifrf6to. An archived webcast will be available at the Company's investor relations website at http://ir.vip.com.

About Vipshop Holdings Limited

Vipshop Holdings Limited is a leading off-price retailer in China. Vipshop offers high-quality and popular branded products to consumers throughout China at deep discounts through diverse online and offline channels. Since its founding in 2008, the Company has built a large and loyal customer base and extensive brand partnerships. For more information, please visit https://ir.vip.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 "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," and similar statements. Among other things, the business outlook and quotations from management in this announcement, as well as Vipshop's strategic and operational plans, contain forward-looking statements. Vipshop 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 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 statements about Vipshop'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: Vipshop's goals and strategies; Vipshop's future business development, results of operations and financial condition; the expected growth of the off-price retailer market in China; Vipshop's ability to attract customers and brand partners and further enhance its brand recognition; Vipshop's expectations regarding needs for and market acceptance of flash sales products and services; competition in the discount retail industry; fluctuations in general economic and business conditions in China and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in Vipshop's filings with the SEC. All information provided in this press release is as of the date of this press release, and Vipshop does not undertake any obligation to update any forward-looking statement, except as required under applicable law.

Use of Non-GAAP Financial Measures

The condensed consolidated financial information is derived from the Company's unaudited interim condensed consolidated financial statements prepared in conformity with accounting principles generally accepted in the United States of America ("U.S. GAAP"), except that cash flows for the period presented and the detailed footnote disclosures required by Accounting Standards Codification 270, Interim Reporting ("ASC270") have been omitted. Vipshop uses non-GAAP net income attributable to Vipshop's shareholders, non-GAAP net income attributable to Vipshop's shareholders per diluted ADS, non-GAAP income from operations, non-GAAP operating margin, non-GAAP net margin attributable to Vipshop's shareholders, and free cash flow, each of which is a non-GAAP financial measure. For the periods presented in this press release, non-GAAP net income attributable to Vipshop's shareholders is net income attributable to Vipshop's shareholders excluding (i) share-based compensation expenses, (ii) impairment loss of investments, (iii) investment (gain) loss and revaluation of investments excluding dividends, (iv) reconciling items on the share of equity method investments, and (v) tax effects on non-GAAP adjustments. Non-GAAP net income attributable to Vipshop's shareholders per diluted ADS is computed using non-GAAP net income attributable to Vipshop's shareholders divided by weighted average number of diluted ADS outstanding for computing diluted earnings per ADS. Non-GAAP income from operations is income from operations excluding share-based compensation expenses. Non-GAAP operating margin is non-GAAP income from operations as a percentage of total net revenues. Non-GAAP net margin attributable to Vipshop's shareholders is non-GAAP net income attributable to Vipshop's shareholders as a percentage of total net revenues. Free cash flow is net cash from operating activities adding back the impact from internet financing activities and less capital expenditures, which include purchase and deposits of property and equipment and land use rights. Impact from internet financing activities added back or deducted from free cash flow contains changes in the balances of financial products, which are primarily consumer financing and supplier financing that the Company provides to customers and suppliers. The Company believes that separate analysis and exclusion of the non-cash impact of (i) share-based compensation expenses, (ii) impairment loss of investments, (iii) investment (gain) loss and revaluation of investments excluding dividends, (iv) reconciling items on the share of equity method investments, and (v) tax effects on non-GAAP adjustments add clarity to the constituent parts of its performance. The Company reviews these non-GAAP financial measures together with GAAP financial measures to obtain a better understanding of its operating performance. It uses these non-GAAP financial measures for planning, forecasting, and measuring results against the forecast. The Company believes that non-GAAP financial measures are useful supplemental information for investors and analysts to assess its operating performance without the effect of (i) share-based compensation expenses, (ii) impairment loss of investments, (iii) investment (gain) loss and revaluation of investments excluding dividends, (iv) reconciling items on the share of equity method investments, and (v) tax effects on non-GAAP adjustments. Free cash flow enables the Company to assess liquidity and cash flow, taking into account the impact from internet financing activities and the financial resources needed for the expansion of technology platform, and Shan Shan Outlets. Share-based compensation expenses have been and will continue to be significant recurring expenses in its business. However, the use of non-GAAP financial measures has material limitations as an analytical tool. One of the limitations of using non-GAAP financial measures is that they do not include all items that impact the Company's net income for the period. In addition, because non-GAAP financial measures are not measured in the same manner by all companies, they may not be comparable to other similar titled measures used by other companies. One of the key limitations of free cash flow is that it does not represent the residual cash flow available for discretionary expenditures.

The presentation of these non-GAAP financial measures is not intended to be considered in isolation from, or as a substitute for, the financial information prepared and presented in accordance with U.S. GAAP. For more information on these non-GAAP financial measures, please see the table captioned "Vipshop Holdings Limited Reconciliations of GAAP and Non-GAAP Results" at the end of this release.

Investor Relations Contact

Tel: +86 (20) 2233-0732
Email: IR@vipshop.com

 

[1] "Gross merchandise value (GMV)" is defined as the total value of all products and services sold through the Company's online channels, Shan Shan Outlets (including Vipshop Outlet REIT and Vipshop Commercial REIT operated and managed by Shan Shan Outlets), and other Vipshop offline stores during the given period, including the Company's Vipshop App mobile application, vip.com website, Vipshop WeChat Mini-Program, online stores that are operated at third-party platforms, Shan Shan Outlets and its corresponding Vipshop Outlet REIT, as well as Vipshop offline stores, which were fulfilled by either the Company or its third-party merchants, regardless of whether or not the goods were delivered or returned. GMV includes shipping charges paid by buyers to sellers. Out of prudence, the Company does not consider products or services to be sold if the orders were placed and canceled pre-shipment and only included orders that left the Company's or other third-party vendors' warehouses.

[2] Non-GAAP net income attributable to Vipshop's shareholders is a non-GAAP financial measure, which, for the periods presented in this press release, is defined as net income attributable to Vipshop's shareholders excluding (i) share-based compensation expenses, (ii) impairment loss of investments, (iii) investment (gain) loss and revaluation of investments excluding dividends, (iv) reconciling items on the share of equity method investments, and (v) tax effects on non-GAAP adjustments.

[3] "Active customers" is defined as registered members who have purchased from the Company's Vipshop mobile app, vip.com website and Vipshop WeChat Mini-Program at least once during the relevant period.

[4] "Total orders" is defined as the total number of orders placed during the given period, including the orders for products and services sold through the Company's online channels, including the Company's Vipshop App mobile application, vip.com website, Vipshop WeChat Mini-Program, online stores that are operated at third-party platforms (excluding, for the avoidance of doubt, orders from the Company's offline stores and outlets), net of orders returned.

[5] Non-GAAP income from operations is a non-GAAP financial measure, which is defined as income from operations excluding share-based compensation expenses.

[6] Non-GAAP operating margin is a non-GAAP financial measure, which is defined as non-GAAP income from operations as a percentage of total net revenues.

[7] "ADS" means American depositary share, each of which represents 0.2 Class A ordinary share.

[8] Non-GAAP net margin attributable to Vipshop's shareholders is a non-GAAP financial measure, which is defined as non-GAAP net income attributable to Vipshop's shareholders, as a percentage of total net revenues.

[9] Non-GAAP net income attributable to Vipshop's shareholders per diluted ADS is a non-GAAP financial measure, which is defined as non-GAAP net income attributable to Vipshop's shareholders, divided by the weighted average number of diluted ADSs outstanding for computing diluted earnings per ADS.

[10] Free cash flow is a non-GAAP financial measure, which is defined as net cash from operating activities adding back the impact from internet financing activities and less capital expenditures, which include purchase and deposits of property and equipment and land use rights.

[11] Net impact from internet financing activities represents net cash flow relating to the Company's financial products, which are primarily consumer financing and supplier financing that the Company provides to its customers and suppliers.

 

 

 Vipshop Holdings Limited 

 Unaudited Condensed Consolidated Statements of Income and Comprehensive Income  

 (In thousands, except for share and per share data) 


Three Months Ended


Six Months Ended


June 30,2025

June 30,2026

June 30,2026


June 30,2025

June 30,2026

June 30,2026


RMB'000

RMB'000

USD'000


RMB'000

RMB'000

USD'000









Product revenues 

23,797,383

22,660,148

3,339,693


48,090,503

46,991,741

6,925,726

Other revenues (1)

2,008,977

2,047,001

301,691


3,984,399

4,289,916

632,255

 Total net revenues 

25,806,360

24,707,149

3,641,384


52,074,902

51,281,657

7,557,981

 Cost of revenues 

(19,751,363)

(18,952,457)

(2,793,247)


(39,937,696)

(39,031,816)

(5,752,578)

 Gross profit 

6,054,997

5,754,692

848,137


12,137,206

12,249,841

1,805,403

 Operating expenses 








 Fulfillment expenses (2) 

(2,109,239)

(2,138,027)

(315,106)


(3,999,193)

(4,184,948)

(616,785)

 Marketing expenses 

(715,900)

(760,337)

(112,060)


(1,448,048)

(1,479,648)

(218,073)

 Technology and content expenses 

(442,039)

(486,175)

(71,653)


(891,109)

(934,386)

(137,711)

 General and administrative expenses 

(1,296,338)

(1,069,893)

(157,683)


(2,247,136)

(2,020,349)

(297,763)

 Total operating expenses 

(4,563,516)

(4,454,432)

(656,502)


(8,585,486)

(8,619,331)

(1,270,332)

 Other operating income 

206,423

219,397

32,335


422,979

386,916

57,024

 Income from operations 

1,697,904

1,519,657

223,970


3,974,699

4,017,426

592,095

 Investment gain (loss) and revaluation of investments 

37,106

5,801,875

855,091


(353)

5,853,058

862,634

 Impairment loss of investments 

-

(23,738)

(3,499)


-

(23,738)

(3,499)

 Interest expense 

(23,482)

(242,774)

(35,780)


(33,721)

(272,685)

(40,189)

 Interest income 

195,951

180,179

26,555


418,901

360,202

53,087

 Exchange loss

(18,849)

(13,172)

(1,941)


(31,784)

(31,984)

(4,714)

 Income before income tax expense and share of income of equity
 method investees 

1,888,630

7,222,027

1,064,396


4,327,742

9,902,279

1,459,414

 Income tax expenses  

(407,189)

(3,337,244)

(491,849)


(914,856)

(3,856,535)

(568,383)

 Share of income of equity method investees 

36,357

455,250

67,096


85,222

557,773

82,206

 Net income 

1,517,798

4,340,033

639,643


3,498,108

6,603,517

973,237

 Net income attributable to non-controlling interests 

(28,049)

(33,840)

(4,987)


(65,514)

(91,017)

(13,414)

 Net income attributable to Vipshop's shareholders 

1,489,749

4,306,193

634,656


3,432,594

6,512,500

959,823









 Shares used in calculating earnings per share (3): 








 Weighted average number of Class A and Class B ordinary shares: 








 —Basic 

101,229,148

96,241,715

96,241,715


101,951,703

96,134,860

96,134,860

 —Diluted 

102,353,164

97,619,760

97,619,760


103,374,279

98,133,799

98,133,799









 Net earnings per Class A and Class B ordinary share 








 Net income attributable to Vipshop's shareholders—Basic 

14.72

44.74

6.59


33.67

67.74

9.98

 Net income attributable to Vipshop's shareholders—Diluted 

14.55

44.11

6.50


33.21

66.36

9.78









 Net earnings per ADS (1 ordinary share equals to 5 ADSs) 








 Net income attributable to Vipshop's shareholders—Basic 

2.94

8.95

1.32


6.73

13.55

2.00

 Net income attributable to Vipshop's shareholders—Diluted 

2.91

8.82

1.30


6.64

13.27

1.96




(1) Other revenues primarily consist of product promotion and online advertising revenues,
lease income mainly earned from the Shan Shan Outlets ,fees charged to third-party merchants which
the Company provides platform access for sales of their products, revenue from third-party logistics
services, loan facilitation service income and membership fee income.


(1) Other revenues primarily consist of product

promotion and online advertising revenues, 
lease income 
mainly earned from the Shan 
Shan Outlets,fees
charged to third-party 
merchants which the Company
provides 
platform access for sales of their products,

revenue from third-party logistics services,
loan 
facilitation service income and membership
fee income.

(2) Fulfillment expenses include shipping and handling expenses,which amounted RMB 1.5 billion
and RMB 1.6 billion  in the three month periods ended June 30,2025 and June 30,2026, respectively.


(2) Fulfillment expenses include shipping and

handling expenses, which amounted RMB 2.8
billion and
RMB 3.0 billion in the six month
periods ended June 30,2025 and June 
30,
2026, respectively.

(3) Authorized share capital is re-classified and re-designated into Class A ordinary shares and Class B
ordinary shares, with each Class A ordinary share being entitled to one vote and each Class B ordinary
share being entitled to ten votes on all matters that are subject to shareholder vote.


(3) Authorized share capital is re-classified and

re-designated into Class A ordinary shares and
Class B ordinary
shares, with each Class A
ordinary share being entitled 
to one vote and
each Class B ordinary share being entitled
to
ten votes on all matters that are subject to
shareholder vote.


















Three Months Ended


Six Months Ended


June 30,2025

June 30,2026

June 30,2026


June 30,2025

June 30,2026

June 30,2026


RMB'000

RMB'000

USD'000


RMB'000

RMB'000

USD'000

 Share-based compensation expenses are included
 in the operating expenses as follows: 








 Fulfillment expenses 

15,844

15,115

2,228


36,021

30,201

4,451

 Marketing expenses 

18,177

13,611

2,006


25,219

25,717

3,790

 Technology and content expenses 

73,992

77,702

11,452


162,837

146,065

21,527

 General and administrative expenses 

589,838

380,086

56,018


824,376

505,177

74,454

 Total 

697,851

486,514

71,704


1,048,453

707,160

104,222









 

 

 

 Vipshop Holdings Limited

 Unaudited Condensed Consolidated Balance Sheets

 (In thousands, except for share and per share data) 


















December 31,2025

June 30,2026

June 30,2026


RMB'000

RMB'000

USD'000

ASSETS




Current assets




Cash and cash equivalents

22,990,435

29,246,429

4,310,390

Restricted cash 

1,132,729

604,940

89,157

Short term investments

5,777,222

3,618,481

533,298

Accounts receivable, net

889,220

564,378

83,179

Amounts due from related parties,net

762,781

2,304,182

339,594

Other receivables and prepayments,net

2,860,301

3,126,697

460,818

Loan receivables,net

9,166

5,094

751

Inventories

5,153,413

4,327,466

637,790

Total current assets

39,575,267

43,797,667

6,454,977

Non-current assets




Property and equipment, net

18,311,533

16,396,786

2,416,587

Deposits for property and equipment

6,420

7,187

1,059

Land use rights, net

10,426,682

9,895,876

1,458,472

Intangible assets, net

324,067

322,176

47,483

Investment in equity method investees

3,136,784

7,616,184

1,122,487

Other investments

4,800,356

4,980,862

734,088

Held-to-maturity securities

-

806,443

118,855

Other long-term assets

351,085

245,460

36,176

Goodwill

755,213

651,522

96,022

Deferred tax assets, net

757,113

745,599

109,888

Operating lease right-of-use assets

398,798

391,481

57,697

Total non-current assets

39,268,051

42,059,576

6,198,814

TOTAL ASSETS

78,843,318

85,857,243

12,653,791





 LIABILITIES AND  EQUITY  




 Current liabilities 




 Short term loans 

5,844,620

10,968,130

1,616,502

 Accounts payable 

12,536,639

10,350,342

1,525,452

 Advance from customers  

1,890,586

1,400,249

206,371

 Accrued expenses and other current liabilities  

9,941,146

10,777,673

1,588,432

 Amounts due to related parties  

101,782

116,306

17,141

 Deferred income  

520,853

534,916

78,837

 Operating lease liabilities 

47,458

46,005

6,780

Total current liabilities

30,883,084

34,193,621

5,039,515

 Non-current liabilities 




Deferred tax liability 

707,322

625,720

92,220

Deferred income-non current 

2,252,797

2,150,778

316,985

 Operating lease liabilities 

556,951

554,729

81,757

Total non-current liabilities

3,517,070

3,331,227

490,962

TOTAL LIABILITIES

34,400,154

37,524,848

5,530,477





EQUITY




Total shareholders' equity (US$0.0001 par value, 500 million
shares authorized, 101.4 million shares issued, and 95.1 million
shares outstanding as of June 30, 2026) (4)

41,004,749

44,987,634

6,630,357

Non-controlling interests

3,438,415

3,344,761

492,957

Total shareholders' equity

44,443,164

48,332,395

7,123,314

Total liabilities and shareholders' equity

78,843,318

85,857,243

12,653,791

(4) The number of treasury stock as of June 30, 2026 was 6.3 million,
all of which  are Class A ordinary shares repurchased under the share repurchase program.

 

 

 

 Vipshop Holdings Limited

 Reconciliations of GAAP and Non-GAAP Results










Three Months Ended


Six Months Ended


June 30,2025

June 30,2026

June 30,2026


June 30,2025

June 30,2026

June 30,2026


RMB'000

RMB'000

USD'000


RMB'000

RMB'000

USD'000

 Income from operations 

1,697,904

1,519,657

223,970


3,974,699

4,017,426

592,095

 Share-based compensation expenses 

697,851

486,514

71,704


1,048,453

707,160

104,222

 Non-GAAP income from operations 

2,395,755

2,006,171

295,674


5,023,152

4,724,586

696,317

















 Net income attributable to Vipshop's shareholders 

1,489,749

4,306,193

634,656


3,432,594

6,512,500

959,823

 Share-based compensation expenses 

697,851

486,514

71,704


1,048,453

707,160

104,222

 Impairment loss of investments 

-

23,738

3,499


-

23,738

3,499

 Investment (gain) loss and revaluation of investments excluding
 dividends 

(36,715)

(5,780,744)

(851,976)


744

(5,831,927)

(859,520)

 Reconciling items on the share of equity method investments(5) 

23,641

(75,267)

(11,093)


23,702

(113,629)

(16,747)

 Tax effects on non-GAAP adjustments 

(97,308)

1,431,779

211,018


(119,891)

1,399,993

206,333

 Non-GAAP net income attributable to Vipshop's shareholders 

2,077,218

392,213

57,808


4,385,602

2,697,835

397,610

(5) To exclude the GAAP to non-GAAP reconciling items relating to investment gain and revaluation of
investments on the share of equity method investments.













 Shares used in calculating earnings per share: 








 Weighted average number of Class A and Class B ordinary shares: 








 —Basic 

101,229,148

96,241,715

96,241,715


101,951,703

96,134,860

96,134,860

 —Diluted 

102,353,164

97,619,760

97,619,760


103,374,279

98,133,799

98,133,799









 Non-GAAP net income per Class A and Class B ordinary share 








 Non-GAAP net income attributable to Vipshop's shareholders
—Basic 

20.52

4.08

0.60


43.02

28.06

4.14

 Non-GAAP net income attributable to Vipshop's shareholders
—Diluted 

20.29

4.02

0.59


42.42

27.49

4.05

















 Non-GAAP net income per ADS (1 ordinary share equal to 5 ADSs) 








 Non-GAAP net income attributable to Vipshop's shareholders
—Basic 

4.10

0.82

0.12


8.60

5.61

0.83

 Non-GAAP net income attributable to Vipshop's shareholders
—Diluted 

4.06

0.80

0.12


8.48

5.50

0.81









 

 

 

Cision View original content:https://www.prnewswire.com/news-releases/vipshop-reports-unaudited-second-quarter-2026-financial-results-302859133.html

SOURCE Vipshop Holdings Limited

FAQ

How did Vipshop (NYSE: VIPS) perform financially in Q2 2026?

Vipshop reported Q2 2026 net revenues of RMB24.7 billion and net income attributable to shareholders of RMB4.3 billion. According to Vipshop, operating income was RMB1.5 billion, with gross margin at 23.3% and net margin rising to 17.4% due to a one-off investment gain.

What caused Vipshop (VIPS) net income to jump 189% year over year in Q2 2026?

Vipshop’s net income rose 189.1% year over year to RMB4.3 billion mainly due to a one-off investment gain. According to Vipshop, it recognized RMB5.79 billion from listing a commercial REIT, which significantly boosted reported net margin to 17.4% for the quarter.

Why did Vipshop’s non-GAAP net income decline in Q2 2026 despite higher GAAP profit?

Vipshop’s non-GAAP net income fell to RMB392.2 million from RMB2.1 billion despite higher GAAP profit because of tax adjustments. According to Vipshop, a one-time withholding tax adjustment on historical dividend distributions was a primary factor reducing its non-GAAP net margin to 1.6%.

What is Vipshop’s revenue guidance for Q3 2026 and what does it imply for growth?

Vipshop expects Q3 2026 total net revenues between RMB20.3 billion and RMB21.4 billion. According to Vipshop, this guidance implies a year-over-year change ranging from about a 5% decline to flat, reflecting current views on subdued consumer demand and market conditions.

What are the key details of Vipshop’s share repurchase programs as of August 2026?

In Q2 2026, Vipshop repurchased US$99.1 million of ADSs under its existing US$1.0 billion program. According to Vipshop, US$216.9 million remained available on June 30, 2026, and a new US$1.0 billion repurchase authorization will commence after full use of the existing program.

What is the Vipshop Commercial REIT and how did it impact Vipshop’s Q2 2026 results?

Vipshop listed a closed-end commercial REIT tied to two Shan Shan Outlets on the Shanghai Stock Exchange. According to Vipshop, the transaction raised about RMB7.70 billion in gross proceeds and generated an investment gain of RMB5.79 billion, alongside RMB1.63 billion associated income tax expense.

How did customer and order metrics for Vipshop (VIPS) change in Q2 2026?

Vipshop’s active customers decreased to 42.3 million from 43.5 million, and orders fell to 182.4 million from 193.0 million. According to Vipshop, these declines occurred alongside softer revenues, reflecting a challenging consumer environment and more selective demand across its platforms.