Dada Nexus Limited

Dada Group’s total net revenues in Q3 were RMB2.4 billion. JD NOW net revenues were RMB930 million, while Dada NOW net revenues increased 39% year over year to RMB1.5 billion; for the first nine months of 2024, Dada NOW net revenues increased 46% year over year to RMB4.1 billion. Non-GAAP net loss was RMB59 million, and the non-GAAP net loss margin was 2.4%, narrowing by 3.7 percentage points sequentially. On the cost side, operations and support costs were RMB1.7 billion, selling and marketing expenses were RMB717 million, G&A was RMB108 million, and R&D was RMB90 million. Management did not provide explicit next-quarter or full-year numerical guidance; instead, it said it will continue to focus on high-quality growth, better user experience, and leveraging synergies between the two platforms.

No CEO spoke on the call; CFO Henry Jun Mao delivered the prepared remarks and framed the quarter around accelerated ‘high-quality growth.’ He emphasized deeper integration with the JD App, stronger user mindshare, and continued expansion of JD NOW’s assortment and store coverage. His tone was constructive and confident, repeatedly pointing to large upside from the JD ecosystem, brand flagship stores, and the combined strength of JD NOW and Dada NOW.

Henry Jun Mao highlighted that total revenue was RMB2.4 billion, with JD NOW at RMB930 million and Dada NOW at RMB1.5 billion, up 39% year over year. He said the company’s non-GAAP net loss was RMB59 million and the non-GAAP net loss margin narrowed to 2.4%, helped by improved cost efficiency and optimized consumer subsidies. He also noted operations and support costs of RMB1.7 billion, selling and marketing expenses of RMB717 million, G&A of RMB108 million, and R&D of RMB90 million; he attributed the higher ops/support cost mainly to rider costs from higher intra-city delivery volume. On cash allocation, he did not discuss cash balances or buybacks, but he did say the company is investing in growth, supply enrichment, and efficiency improvements.

Analysts focused on the macro backdrop, consumer sentiment, competitive intensity, and the user profile coming from the JD channel. Management said it remains optimistic about on-demand retail as a fast-growing consumption sub-sector, sees more room to penetrate JD users, and believes JD users are higher-quality customers with stronger purchasing power and demand for quality and timeliness. In response to questions about JD channel traction, management said click-through rates rose significantly, new transacting users continued to grow, and JD NOW’s repeat purchase rate within the core JD channel increased by over 10 percentage points sequentially. Management also pointed to the launch of JD NOW brand flagship stores with more than 100 brands and said JD’s further investment in Dada reflects Dada’s role in the broader ecosystem.