Vipshop Reports Unaudited Second Quarter 2024 Financial Results

Conference Call to Be Held at 7:30 A.M. U.S. Eastern Time on August 20,2024

GUANGZHOU,China,Aug. 20,2024 -- Vipshop Holdings Limited (NYSE: VIPS),a leading online discount retailer for brands in China ("Vipshop" or the "Company"),today announced its unaudited financial results for the quarter ended June 30,2024.

Second Quarter 2024 Highlights

Total net revenuesfor the second quarter of 2024 were RMB26.9 billion (US$3.7 billion),compared with RMB27.9 billion in the prior year period.

GMV[1] for the second quarter of 2024 was RMB50.6 billion,which largely stayed flat compared with that in the prior year period.

Gross profitfor the secondquarter of 2024 increased by 2.2% year over year to RMB6.3 billion (US$872.6 million) from RMB6.2 billion in the prior year period.

Net income attributable to Vipshop's shareholdersfor the secondquarter of 2024 was RMB1.9 billion (US$265.7 million),compared with RMB2.1 billion in the prior year period.

Non-GAAP net income attributable to Vipshop's shareholders[2]for the second quarter of 2024 wasRMB2.2 billion (US$298.0 million),compared with RMB2.4 billion in the prior year period.

The number of active customers[3]for the secondquarter of 2024 was 44.3 million,compared with 45.6 million in the prior year period.

Total orders[4]for the second quarter of 2024 were 197.8 million,compared with 213.8 million in the prior year period.

Mr. Eric Shen,Chairman and Chief Executive Officer of Vipshop,stated,"Our second quarter results reflected the agility of our team and the resilience of our business model,as we achieved operational excellence in the face of slower sales momentum. The fundamental strength of our business was evidenced by the resilient performance of our core brands and active Super VIP members. In the second quarter,we continued to sharpen our focus on enriching merchandise offerings,delivering value,and providing worry-free services,which are our core competitive edges. Looking ahead,we will stay close to customer needs,continue investing in our merchandising capabilities,and consistently execute on the discount retail fundamentals to achieve quality growth for the long term."

Mr. Mark Wang,Chief Financial Officer of Vipshop,further commented,"In the second quarter,we achieved solid profitability despite ongoing pressure on the topline growth. Our continued efforts in operating efficiency improvement helped us maintain consistent and healthy margins. Moreover,we accelerated our pace of preserving shareholder value with over US$200 million having been utilized for share buybacks during the quarter,and a new share repurchase program of up to US$1 billion will be in place after we fully utilize the remaining amount under the existing program. While uncertainties remain in the near term,we believe that our disciplined approach to managing the business,along with the long-term investments we are making in line with our strategy,positions us well to deliver sustainable and profitable growth in the long run."

Second Quarter 2024 Financial Results

REVENUES

Total net revenues for the second quarter of 2024 were RMB26.9 billion (US$3.7 billion),compared with RMB27.9 billion in the prior year period.

GROSS PROFIT

Gross profit for the second quarter of 2024 increased by 2.2% year over year to RMB6.3 billion (US$872.6 million) from RMB6.2 billion in the prior year period. Gross margin for the second quarter of 2024 increased to 23.6% from 22.2% in the prior year period.

OPERATING EXPENSES

Total operating expenses for the second quarter of 2024 decreased by 4.2% year over year to RMB4.3 billion (US$590.8 million) from RMB4.5 billion in the prior year period. As a percentage of total net revenues,total operating expenses for the second quarter of 2024 decreased to 16.0% from 16.1% in the prior year period.

Fulfillment expensesfor the secondquarter of 2024 decreased by 0.8% year over year to RMB2.16 billion (US$297.9 million) from RMB2.18 billion in the prior year period. As a percentage of total net revenues,fulfillment expenses for the second quarter of 2024 was 8.1%,compared with 7.8% in the prior year period.

Marketing expensesfor the secondquarter of 2024 decreased by 17.0% year over year to RMB740.7 million (US$101.9 million) from RMB892.5 million in the prior year period. As a percentage of total net revenues,marketing expenses for the second quarter of 2024 decreased to 2.8% from 3.2% in the prior year period.

Technology and content expenses for the secondquarter of 2024 increased by 10.0% year over year to RMB487.2 million (US$67.0 million) from RMB443.0 million in the prior year period. As a percentage of total net revenues,technology and content expenses for the second quarter of 2024 was 1.8%,compared with 1.6% in the prior year period.

General and administrative expenses for the secondquarter of 2024 decreased by 6.5% year over year to RMB900.7 million (US$123.9 million) from RMB963.1 million in the prior year period. As a percentage of total net revenues,general and administrative expenses for the secondquarter of 2024 decreased to 3.4% from 3.5% in the prior year period.

INCOME FROM OPERATIONS

Income from operations for the second quarter of 2024 increased by 16.5% year over year to RMB2.2 billion (US$307.2 million) from RMB1.9 billion in the prior year period. Operating margin for the second quarter of 2024 increased to 8.3% from 6.9% in the prior year period.

Non-GAAP income from operations[5] for the second quarter of 2024,which excluded share-based compensation expenses,increased by 11.6% year over year to RMB2.6 billion (US$352.9 million) from RMB2.3 billion in the prior year period. Non-GAAP operating margin[6] for the second quarter of 2024 increased to 9.5% from 8.2% in the prior year period.

NET INCOME

Net income attributable toVipshop's shareholders for the second quarter of 2024 was RMB1.9 billion (US$265.7 million),compared with RMB2.1 billion in the prior year period. Net margin attributable to Vipshop's shareholders for the secondquarter of 2024 was 7.2%,compared with 7.5% in the prior year period. Net income attributable to Vipshop's shareholders per diluted ADS[7] for the second quarter of 2024 was RMB3.49 (US$0.48),compared with RMB3.75 in the prior year period.

Non-GAAP net income attributable to Vipshop's shareholders for the secondquarter of 2024,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 RMB2.2 billion (US$298.0 million),compared with RMB2.4 billion in the prior year period. Non-GAAP net margin attributable to Vipshop's shareholders[8]for the second quarter of 2024 was 8.1%,compared with 8.6% in the prior year period. Non-GAAP net income attributable to Vipshop's shareholders per diluted ADS[9] for the second quarter of 2024 was RMB3.91 (US$0.54),compared with RMB4.30 in the prior year period.

For the quarter ended June 30,2024,the Company's weighted average number of ADSs used in computing diluted income per ADS was 553,677,165.

BALANCE SHEET AND CASH FLOW

As of June 30,the Company had cash and cash equivalents and restricted cash of RMB21.6 billion (US$3.0 billion) and short term investments of RMB1.9 billion (US$264.3 million).

For the quarter ended June 30,net cash generated from operating activities was RMB287.1 million (US$39.5 million),and free cash flow[10],a non-GAAP measurement of liquidity,was as follows:

For the three months ended


June 30,2023

RMB'000

June 30,2024

RMB'000

June 30,2024

US$'000

Net cash generated from operating activities

4,053,402

287,090

39,505

Reconciling items:


Net impact from internet financing activities[11]

199,429

27,193

3,742

Capital expenditures

(1,658,548)

(1,178,086)

(162,110)

Free cash inflow (outflow)

2,594,283

(863,803)

(118,863)

For the trailing twelve months ended


June 30,2024

US$'000

Net cash generated from operating activities

11,764,313

9,626,765

1,324,687

Reconciling items:


Net impact from internet financing activities

315,313

(84,782)

(11,666)

Capital expenditures

(3,906,017)

(4,360,210)

(599,985)

Free cash inflow

8,173,609

5,181,773

713,036

Share Repurchase Program

During the quarter ended June 30,the Company repurchased US$205.9 million of its ADSs under its current US$1 billion share repurchase program,which is effective through March 2025. As of June 30,the Company has an unutilized amount of US$330.3 million under this program.

The board of directors has authorized a new share repurchase program under which the Company may repurchase up to US$1 billion of its American depositary shares or Class A ordinary shares for a 24-month period commencing from the full utilization of the existing share repurchase program adopted in March 2023,as amended.

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.

Amended and Restated 2014 Share Incentive Plan

The Company adopted an Amended and Restated 2014 Share Incentive Plan,as approved and authorized by the board of directors of the Company and its compensation committee. This plan amends and restates the original plan in its entirety,primarily for the purpose of extending the term of the original plan,and assumes all awards granted under the original plan. The Amended and Restated 2014 Share Incentive Plan will expire upon the tenth anniversary of the effective date.

Business Outlook

For the third quarter of 2024,the Company expects its total net revenues to be between RMB20.5 billion and RMB21.6 billion,representing a year-over-year decrease of approximately 10% to 5%. 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 RMB7.2672 to US$1.00,the effective noon buying rate on June 28,2024 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 28,or at any other rate.

Conference Call Information

The Company will hold a conference call on Tuesday,August 20,2024 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.vevent.com/register/BIfbccf9124acb48109bcc343f7ada8c5b

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/7y28oi6a. An archived webcast will be available at the Company's investor relations website athttp://ir.vip.com.

About Vipshop Holdings Limited

Vipshop Holdings Limited is a leading online discount retailer for brands in China. Vipshop offers high quality and popular branded products to consumers throughout China at a significant discount to retail prices. Since it was founded in August 2008,the Company has rapidly built a sizeable and growing base of customers and brand partners. 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 online discount retail 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,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,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,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 fulfillment infrastructure,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 Renminbi value of all products and services sold through the Company's online sales business,online marketplace platform,Shan Shan Outlets,and other offline stores during the given period,including the Company's websites and mobile apps,third-party websites and mobile apps,and other 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. For prudent considerations,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 toVipshop'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,and (v) tax effects on non-GAAP adjustments.

[3]"Active customers" is defined as registered members who have purchased from the Company's self-operated online sales business or the Company's online marketplace platforms,excluding those who made their purchases from the Company's online stores operated at third-party platforms,at least once during the relevant period. Beginning in the fourth quarter of 2023,the Company updated its definition of "active customers" to exclude registered members who make their purchases from the Company's online stores operated at third-party platforms.The active customer figures for the historical periods presented in this press release have been retrospectively adjusted accordingly.

[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 sales business and on the Company's online marketplace 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 netincome 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 customersand 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 30,2023

June 30,2024

June 30,2024


June 30,2024


RMB'000

RMB'000

USD'000


RMB'000

RMB'000

USD'000


Product revenues

26,163,113

25,077,607

3,450,794


52,100,943

50,924,737

7,007,477

Other revenues (1)

1,716,187

1,797,561

247,353


3,314,740

3,596,311

494,869

Total net revenues

27,879,300

26,875,168

3,698,147


55,415,683

54,521,048

7,502,346

Cost of revenues

(21,355)

(20,533,956)

(2,825,566)


(43,309,175)

(41,634,335)

(5,729,075)

Gross profit

6,201,945

6,341,212

872,581


12,106,508

12,886,713

1,773,271

Operating expenses:


Fulfillment expenses (2)

(2,066)

(2,164,681)

(297,870)


(3,964,897)

(4,150,206)

(571,087)

Marketing expenses

(892,505)

(740,662)

(101,918)


(1,399)

(1,431,546)

(196,987)

Technology and content expenses

(443,046)

(487,156)

(67,035)


(835,809)

(969,057)

(133,347)

General and administrative expenses

(963,117)

(900,671)

(123,936)


(2,010,788)

(1,829,758)

(251,783)

Total operating expenses

(4,479,734)

(4,293,170)

(590,759)


(8,540,893)

(8,380,567)

(1,153,204)

Other operating income

194,288

184,380

25,372


336,577

485,978

66,873

Income from operations

1,916,499

2,232,422

307,194


3,902,192

4,992,124

686,940

Investment gain (loss) and revaluation of investments

39,354

(17,855)

(2,457)


81,334

(21,413)

(2,947)

Impairment loss of investments

(19,105)

(14,691)

(2,022)


(19,022)

Interest expense

(1,989)

(13,666)

(1,881)


(7,696)

(24,221)

(3,333)

Interest income

183,168

191,656

26,373


405,133

407,713

56,103

Exchange gain (loss)

282,636

(74,896)

(10,306)


274,449

(77,263)

(10,632)

Income before income tax expense and share of income of equity


method investees

2,400,563

2,302,970

316,901


4,636,307

5,262,249

724,109

Income tax expenses

(339,056)

(405,646)

(55,819)


(729,201)

(1,024,932)

(141,035)

Share of income of equity method investees

49,202

47,203

6,495


81,009

55,138

7,587

Net income

2,110,709

1,944,527

267,577


3,988,115

4,292,455

590,661

Net income attributable to non-controlling interests

(13,255)

(13,320)

(1,833)


(31,931)

(44,538)

(6,129)

Net income attributable to Vipshop's shareholders

2,097,454

1,931,207

265,744


3,956,184

4,247,917

584,532


Shares used in calculating earnings per share (3):


Weighted average number of Class A and Class B ordinary


shares:


—Basic

110,473

108,709,998

108,998


112,975,907

108,584,522

108,522

—Diluted

111,819,666

110,735,433

110,433


114,669,108

110,708,271

110,271


Net earnings per Class A and Class B ordinary share


Net income attributable to Vipshop's shareholders——Basic

19.06

17.76

2.44


35.02

39.12

5.38

Net income attributable to Vipshop's shareholders——Diluted

18.76

17.44

2.40


34.50

38.37

5.28


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


Net income attributable to Vipshop's shareholders——Basic

3.81

3.55

0.49


7.00

7.82

1.08

Net income attributable to Vipshop's shareholders——Diluted

3.75

3.49

0.48


6.90

7.67

1.06

(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,loan facilitation service


income and membership fee income.

(2) Fulfillment expenses include shipping and handling expenses,which amounted RMB 1.6 billion and RMB1.5 billion in the three


month periods ended June 30,2023 and June 30,respectively.


(2) Fulfillment expenses include shipping and handling expenses,


which amounted RMB2.9 billion and RMB2.9 billion in the six month


periods ended June 30,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 30,2024


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

23,173

20,727

2,852


38,542

41,091

5,654

Marketing expenses

8,383

7,516

1,034


17,711

15,335

2,110

Technology and content expenses

92,906

96,856

13,328


154,273

190,288

26,185

General and administrative expenses

256,996

206,985

28,482


475,076

380,832

52,404

Total

381,458

332,084

45,696


685,602

627,546

86,353

Vipshop Holdings Limited

Unaudited Condensed Consolidated Balance Sheets

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


December 31,2024


RMB'000

RMB'000

USD'000

ASSETS


CURRENT ASSETS


Cash and cash equivalents

25,414,729

21,030,780

2,893,932

Restricted cash

882,637

587,796

80,883

Short term investments

1,983,201

1,920,872

264,321

Accounts receivable,net

778,767

932,010

128,249

Amounts due from related parties,net

553,502

574,880

79,106

Other receivables and prepayments,net

2,298,612

2,529,655

348,092

Loan receivables,net

4,437

5,476

754

Inventories

5,644,713

4,172,868

574,206

Total current assets

37,560,598

31,754,337

4,369,543

NON-CURRENT ASSETS


Property and equipment,net

16,882,100

17,585,608

2,419,860

Deposits for property and equipment

200,739

178,269

24,531

Land use rights,net

10,132,626

10,433,786

1,435,737

Intangible assets,net

332,821

329,733

45,373

Investment in equity method investees

2,155,561

2,063,075

283,889

Other investments

2,189

3,209

435,272

Other long-term assets

147,669

237,930

32,740

Goodwill

755,213

755,213

103,921

Deferred tax assets,net

685,017

689,995

94,946

Operating lease right-of-use assets

554,061

459,412

63,217

Total non-current assets

34,761,996

35,896,230

4,939,486

TOTAL ASSETS

72,322,594

67,650,567

9,029


LIABILITIES AND EQUITY


CURRENT LIABILITIES


Short term loans

1,425,576

2,485,533

342,021

Accounts payable

17,259,395

12,225,160

1,682,238

Advance from customers

1,689,881

1,319,266

181,537

Accrued expenses and other current liabilities

9,449

8,029,983

1,104,963

Amounts due to related parties

150,373

184,165

25,342

Deferred income

457,594

432,360

59,495

Operating lease liabilities

80,868

66,052

9,089

Total current liabilities

30,624,136

24,742,519

3,404,685

NON-CURRENT LIABILITIES


Deferred tax liability

692,492

647,273

89,068

Deferred income-non current

1,756,949

1,951,942

268,596

Operating lease liabilities

689,259

607,278

83,564

Total non-current liabilities

3,138,700

3,206,493

441,228

TOTAL LIABILITIES

33,762,836

27,949,012

3,845,913


EQUITY:


Class A ordinary shares (US$0.0001 par value,483,489,642


shares authorized,98,877,929 and 99,958,367 shares issued,of


which 92,900,247 and 91,129,644 shares were outstanding as of


December 31,respectively)

62

63

9

Class B ordinary shares (US$0.0001 par value,16,510,358 shares


authorized,and 15,358 and 15,358 shares issued and


outstanding as of December 31,


respectively)

11

11

2

Treasury shares,at cost(5,977,682 and 8,828,723 Class A shares


as of December 31,respectively )

(3,763)

(5,205,735)

(716,333)

Additional paid-in capital

4,444,755

4,751,653

653,849

Retained earnings

36,836,928

39,170

5,423,570

Accumulated other comprehensive loss

(695,589)

(684,551)

(94,197)

Non-controlling interests

1,598,354

1,944

196,216

Total shareholders' equity

38,559,758

39,701,555

5,463,116

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY

72,029

Vipshop Holdings Limited


Reconciliations of GAAP and Non-GAAP Results


Three Months Ended


Six Months Ended


June 30,2024


RMB'000

RMB'000

USD'000


RMB'000

RMB'000

USD'000

Income from operations

1,940

Share-based compensation expenses

381,353

Non-GAAP income from operations

2,297,957

2,564,506

352,890


4,587,794

5,619,670

773,293


Net income attributable to Vipshop's shareholders

2,532

Share-based compensation expenses

381,353

Impairment loss of investments

19,105

14,691

2,022


19,022

Investment (gain) loss and revaluation of investments excluding dividends

(39,352)

17,855

2,457


(81,333)

21,413

2,947

Reconciling items on the share of equity method investments(4)

(22,897)

(15,124)

(2,081)


(37,612)

(28,647)

(3,942)

Tax effects on non-GAAP adjustments

(34,432)

(115,297)

(15,865)


(71,390)

(134,789)

(18,548)

Non-GAAP net income attributable to Vipshop's shareholders

2,401,336

2,165,416

297,973


4,470,556

4,748,131

653,364

(4) To exclude the GAAP to non-GAAP reconciling items relating to investment (gain) loss 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

110,271


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


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

21.82

19.92

2.74


39.57

43.73

6.02

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

21.48

19.55

2.69


38.99

42.89

5.90


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


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

4.36

3.98

0.55


7.91

8.75

1.20

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

4.30

3.91

0.54


7.80

8.58

1.18