ATRenew Inc. ("ATRenew" or the "Company") (NYSE: RERE), a leading technology-driven pre-owned consumer electronics transactions and services platform in China, today announced its unaudited financial results for the fourth quarter and full year ended December 31, 2023. 
Fourth Quarter 2023 Highlights
Full Year 2023 Highlights 
Mr. Kerry Xuefeng Chen, Founder, Chairman, and Chief Executive Officer of ATRenew, commented, "We are delighted to report another quarter of record total net revenues, which exceeded the high-end of our fourth-quarter guidance. Our total revenue in 2023 increased by over 30% year-over-year to reach RMB13.0 billion. Our operational efficiency continued to enhance and led to a historical high in adjusted income from operations. This success came as we built premium user experience and trust, diligently developed trade-in solutions with e-commerce retailers and consumer electronics manufacturers, and as our innovative multi-category recycling services and refined pricing mechanisms won over more users. Looking into 2024, we have unflinching confidence in our core strategies, operational tactics, and the resilience of the circular economy
Looking into 2024, we have unflinching confidence in our core strategies, operational tactics, and the resilience of the circular economy
Mr. Rex Chen, Chief Financial Officer of ATRenew, added, "In 2023, our adjusted income from operations totaled RMB251.7 million, driven by a balance between solid topline growth and effective cost controls. This year, we will continue to prioritize strengthening our capability and efficiency of the supply chain as we enhance our industry-leading position by disciplined investments in service quality upgrades, customer mindshare acquisition, and attractive recycling pricing. Today, we are pleased to announce a new share repurchase program, re-iterating our steadfast commitment to enhancing shareholder value
Today, we are pleased to announce a new share repurchase program, re-iterating our steadfast commitment to enhancing shareholder value
Fourth Quarter 2023 Financial Results
REVENUE
Total net revenues increased by 29.9% to RMB3,873.6 million (US$545.6 million) from RMB2,981.2 million in the same period of 2022.
OPERATING COSTS AND EXPENSES
Operating costs and expenses were RMB3,894.0 million (US$548.5 million), compared to RMB3,370.6 million in the same period of 2022, representing an increase of 15.5%.
LOSS FROM OPERATIONS
Loss from operations was RMB16.7 million (US$2.4 million), compared to RMB2,210.6 million in the same period of 2022.
Adjusted income from operations (non-GAAP) was RMB81.6 million (US$11.5 million), compared to RMB34.6 million in the same period of 2022.
NET (LOSS) INCOME
Net income was RMB2.8 million (US$0.4 million), compared to net loss of RMB2,151.2 million in the same period of 2022.
Adjusted net income (non-GAAP) was RMB91.0 million (US$12.8 million), compared to RMB22.5 million in the same period of 2022.
BASIC AND DILUTED NET INCOME PER ORDINARY SHARE
Basic and diluted net income per ordinary share were RMB0.02 (US$0.00), compared to negative RMB13.23 in the same period of 2022.
Adjusted basic and diluted net income per ordinary share (non-GAAP) were RMB0.57 (US$0.08), compared to RMB0.14 and RMB0.13 in the same period of 2022.
Full Year 2023 Financial Results
REVENUE
Total net revenues increased by 31.4% to RMB12,965.8 million (US$1,826.2 million) from RMB9,869.4 million in the full year of 2022.
OPERATING COSTS AND EXPENSES
Operating costs and expenses increased by 22.7% to RMB13,175.4 million (US$1,855.7 million) from RMB10,714.4 million in the full year of 2022.
LOSS FROM OPERATIONS
Loss from operations was RMB173.3 million (US$24.4 million), compared to RMB2,623.7 million in the full year of 2022.
Adjusted income from operations (non-GAAP) was RMB251.7 million (US$35.5 million), compared to RMB6.9 million in the full year of 2022.
NET LOSS
Net loss was RMB156.3 million (US$22.0 million), compared to RMB2,467.9 million in the full year of 2022.
Adjusted net income (non-GAAP) was RMB225.2 million (US$31.9 million), compared to RMB50.8 million in the full year of 2022.
BASIC AND DILUTED NET LOSS PER ORDINARY SHARE
Basic and diluted net loss per ordinary share were RMB0.96 (US$0.14), compared to RMB15.16 in the same period of 2022.
Adjusted basic and diluted net income per ordinary share (non-GAAP) were RMB1.39 (US$0.20), compared to RMB0.31 and RMB0.30 in the same period of 2022.
CASH AND CASH EQUIVALENTS, RESTRICTED CASH, SHORT-TERM INVESTMENTS AND FUNDS RECEIVABLE FROM THIRD PARTY PAYMENT SERVICE PROVIDERS
Cash and cash equivalents, restricted cash, short-term investments and funds receivable from third party payment service providers were RMB2,854.4 million (US$402.0 million) as of December 31, 2023, as compared to RMB2,802.1 million as of December 31, 2022.
Business Outlook
For the first quarter of 2024, the Company currently expects its total revenues to be between RMB3,550.0 million and RMB3,650.0 million, representing an increase of 23.6% to 27.1% year-over-year. This forecast only reflects the Company's current and preliminary views on the market and operational conditions, which are subject to change.
Recent Development
On December 9, 2022, ATRenew announced an extension of its share repurchase program under which the Company may repurchase up to US$100 million of its shares for another twelve-month period starting from December 28, 2022, with all other terms unchanged. During the fourth quarter of 2023, the Company repurchased 4,545,365 American depositary shares ("ADSs") in the open market at an average price of US$1.78 per ADS, with a total cash consideration of US$8.1 million. As of December 31, 2023, the Company had repurchased a total of 18,360,694 ADSs for approximately US$56.5 million under this share repurchase program
5 million under this share repurchase program
On March 12, 2024, ATRenew announced a new share repurchase program under which the Company may repurchase up to US$20 million of its shares over a twelve-month period beginning on March 12, 2024.
Conference Call Information
The Company's management will hold a conference call on Tuesday, March 12, 2024 at 08:00 A.M. Eastern Time (or 08:00 P.M. Beijing Time on the same day) to discuss the financial results. Listeners may access the call by dialing the following numbers:
The replay will be accessible through March 19, 2024 by dialing the following numbers:
A live and archived webcast of the conference call will also be available at the Company's investor relations website at ir.atrenew.com.
About ATRenew Inc.
Headquartered in Shanghai, ATRenew Inc. operates a leading technology-driven pre-owned consumer electronics transactions and services platform in China under the brand ATRenew. Since its inception in 2011, ATRenew has been on a mission to give a second life to all idle goods, addressing the environmental impact of pre-owned consumer electronics by facilitating recycling and trade-in services, and distributing the devices to prolong their lifecycle. ATRenew's open platform integrates C2B, B2B, and B2C capabilities to empower its online and offline services. Through its end-to-end coverage of the entire value chain and its proprietary inspection, grading, and pricing technologies, ATRenew sets the standard for China's pre-owned consumer electronics industry. ATRenew is a participant in the United Nations Global Compact, and adheres to its principles-based approach to responsible business
ATRenew is a participant in the United Nations Global Compact, and adheres to its principles-based approach to responsible business
Exchange Rate Information
This announcement contains translations of certain RMB amounts into U.S. dollars at specified rates solely for the convenience of the reader. Unless otherwise noted, all translations from RMB to U.S. dollars are made at a rate of RMB7.0999 to US$1.00, the exchange rate set forth in the H.10 statistical release of the Board of Governors of the Federal Reserve System as of December 29, 2023.
Use of Non-GAAP Financial Measures
The Company also uses certain non-GAAP financial measures in evaluating its business. For example, the Company uses adjusted income from operations, adjusted net income and adjusted net income per ordinary share as supplemental measures to review and assess its financial and operating performance. The presentation of these non-GAAP financial measures is not intended to be considered in isolation, or as a substitute for the financial information prepared and presented in accordance with U. GAAP. Adjusted income from operations is loss from operations excluding the impact of the impairment loss of deferred cost, intangible assets and goodwill, share-based compensation expenses and amortization of intangible assets and deferred cost resulting from assets and business acquisitions. Adjusted net income is net loss excluding the impact of the impairment loss of deferred cost, intangible assets and goodwill, share-based compensation expenses and amortization of intangible assets and deferred cost resulting from assets and business acquisitions and tax effects of impairment loss of deferred cost and intangible assets and amortization of intangible assets and deferred cost resulting from assets and business acquisitions. Adjusted net income per ordinary share is adjusted net income attributable to ordinary shareholders divided by weighted average number of shares used in calculating net loss per ordinary share
Adjusted net income per ordinary share is adjusted net income attributable to ordinary shareholders divided by weighted average number of shares used in calculating net loss per ordinary share
The Company presents non-GAAP financial measures because they are used by the Company's management to evaluate the Company's financial and operating performance and formulate business plans. The Company believes that adjusted income from operations and adjusted net income help identify underlying trends in the Company's business that could otherwise be distorted by the effect of certain expenses that are included in loss from operations and net loss. The Company also believes that the use of non-GAAP financial measures facilitates investors' assessment of the Company's operating performance. The Company believes that adjusted income from operations and adjusted net income provide useful information about the Company's operating results, enhance the overall understanding of the Company's past performance and future prospects and allow for greater visibility with respect to key metrics used by the Company's management in its financial and operational decision making
The Company believes that adjusted income from operations and adjusted net income provide useful information about the Company's operating results, enhance the overall understanding of the Company's past performance and future prospects and allow for greater visibility with respect to key metrics used by the Company's management in its financial and operational decision making
The non-GAAP financial measures are not defined under U. GAAP and are not presented in accordance with U. GAAP. The non-GAAP financial measures have limitations as analytical tools. One of the key limitations of using non-GAAP financial measures is that they do not reflect all items of income and expense that affect the Company's operations. The impairment loss of deferred cost, intangible assets and goodwill, share-based compensation expenses, amortization of intangible assets and deferred cost resulting from assets and business acquisitions and tax effects of impairment loss of deferred cost and intangible assets and amortization of intangible assets and deferred cost resulting from assets and business acquisitions have been and may continue to be incurred in the Company's business and is not reflected in the presentation of non-GAAP financial measures. Further, the non-GAAP measures may differ from the non-GAAP measures used by other companies, including peer companies, potentially limiting the comparability of their financial results to the Company's. In light of the foregoing limitations, the non-GAAP financial measures for the period should not be considered in isolation from or as an alternative to income from operations, net income, and net income attributable to ordinary shareholders per share, or other financial measures prepared in accordance with U. GAAP
GAAP
The Company compensates for these limitations by reconciling the non-GAAP financial measures to the nearest U.S. GAAP performance measures, which should be considered when evaluating the Company's performance. For reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures, please see the section of the accompanying tables titled, "Reconciliations of GAAP and Non-GAAP Results."
Safe Harbor Statement
This press release contains statements that may constitute "forward-looking" statements pursuant to the "safe harbor" provisions of the U. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "aims," "future," "intends," "plans," "believes," "estimates," "likely to" and similar statements. Among other things, quotations in this announcement, contain forward-looking statements. ATRenew may also make written or oral forward-looking statements in its periodic reports to the U. 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 ATRenew's beliefs, plans 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: ATRenew's strategies; ATRenew's future business development, financial condition and results of operations; ATRenew's ability to maintain its relationship with major strategic investors; its ability to facilitate pre-owned consumer electronics transactions and provide relevant services; its ability to maintain and enhance the recognition and reputation of its brand; general economic and business conditions globally and in China and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in ATRenew's filings with the SEC. All information provided in this press release is as of the date of this press release, and ATRenew does not undertake any obligation to update any forward-looking statement, except as required under applicable law
All information provided in this press release is as of the date of this press release, and ATRenew does not undertake any obligation to update any forward-looking statement, except as required under applicable law
Investor Relations Contact
In China:ATRenew Inc.Investor RelationsEmail: [email protected] 
In the United States:ICR LLC.Email: [email protected]Tel: +1-212-537-0461
SOURCE ATRenew Inc.
ATRenew Inc. ("ATRenew" or the "Company") (NYSE: RERE), a leading technology-driven pre-owned consumer electronics transactions and services platform ...
ATRenew Inc. ("ATRenew" or the "Company") (NYSE: RERE), a leading technology-driven pre-owned consumer electronics transactions and services platform ...

Source prnewswire