On November 13th, RLX. US announced its performance for the third quarter of 2023. Data shows that the company's Q3 net revenue was 428.1 million yuan (RMB, the same below), a decrease of 59% compared to the same period last year of 1.0444 billion yuan; The net profit was 172.7 million yuan, compared to 505.2 million yuan in the same period last year, a year-on-year decrease of 65.82%; Under non US GAAP accounting standards, the net profit of Non GAAP was 197.5 million yuan, compared to 328.6 million yuan in the same period last year, a year-on-year decrease of 39.92%. The basic and diluted earnings per ADS are 0.149 and 0.146 yuan.
The gross profit margin of the company in the third quarter was 24.7%, compared to 50.0% in the same period of 2022. The main reason for the decrease is that a 36% consumption tax will be imposed on electronic cigarette products starting from November 1, 2022.
The CFO of Fuxin Technology stated that in the third quarter, the company still faced significant competitive resistance from non national standard electronic cigarette products.