By SHE Xiaochen
Grocery app Dingdong Maicai recorded 6.2 billion yuan (US$910 million) revenue in Q4 last year, up 13.1 percent year on year.
With less spending on marketing, Dingdong Maicai’s GAAP profit in Q4 was 50 million yuan, up from a 1.1 billion loss. It was the first time the company has ever turned a quarterly profit.
Spending was down 5.6 percent to 6.2 billion yuan, with marketing expenses down to 91.1 million yuan. The sales volume of pre-made meals doubled, and gross profit grew to 32.9 percent.
Since 2021, Dingdong Maicai has been striving to cut costs. It managed to turn a profit in the Yangtze River Delta Region in Q4 2021. But in 2022, it closed business in several major cities including Xiamen, Xuancheng and Chuzhou.
