PDD Holdings, the parent company of ecommerce app Pinduoduo, saw its stock drop by nearly 30 percent in New York. The revenue fell short of analyst expectations and management stated that there are challenges ahead.
The ecommerce group, known for its discount Pinduoduo app in China and its similar Temu app worldwide, cautioned investors about the difficulties ahead. Co-CEO Zhao Jiazhen informed investors that the company will focus on expanding its merchant base and providing more support. This decision follows protests by hundreds of sellers at the company’s office in Guangzhou.
Moreover, the company mentioned that future revenue growth may slow down due to increased competition and external challenges.
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