Baozun Announces Unaudited Financial Results for the First Quarter of 2026

SHANGHAIMay 20, 2026 /PRNewswire/ — Baozun Inc. (NASDAQ: BZUN and HKEX: 9991) (“Baozun,” the “Company,” or the “Group”), the leading brand e-commerce service provider, pioneer, and digital commerce enabler in China, today announced its unaudited financial results for the first quarter ended March 31, 2026.

Mr. Wenbin Qiu, Founder, Chairman, and Chief Executive Officer of Baozun, commented: “In the first quarter of 2026, Baozun achieved a high-quality start, with improvements across revenue scale, profitability, and working capital turnover efficiency. This underscores the steady implementation of our value proposition, effectively solidifying the foundation for growth and continuously unlocking profit potential. Our e-commerce business has returned to a sustainable growth trajectory. By deepening brand partnerships, strengthening strategic synergies with our brand management business, and persistently pursuing refined operations, our business structure is accelerating its upgrade towards a high-quality, value-oriented model. The brand management business continued its strong momentum, with further acceleration in revenue growth. Notably, GAP achieved non-GAAP operating profitability for the second consecutive quarter, validating the effectiveness of our ‘MMC’ (Merchandise-Marketing-Channel) integrated operating system. As the synergy between our two business segments deepens, operational efficiency and collaborative effects are continuously being unleashed.”

Ms. Yanjie Zhu, Chief Financial Officer of Baozun, stated: “Despite the first quarter traditionally being a low season for revenue, Baozun still achieved a 15% year-over-year increase in total revenue and returned to operating profitability on a non-GAAP basis. Both our core e-commerce and brand management businesses maintained double-digit revenue growth while achieving significant profit improvements. Additionally, through a comprehensive review of working capital and technology-driven process streamlining, we further optimized resource allocation and operational efficiency. In the first quarter of 2026, the Group’s working capital turnover days significantly improved to 109 days from 193 days in the same period last year, fully demonstrating our progress in operational management efficiency. With our focused strategic execution, continuously improving profitability, and the strong performance of both business segments, we are confident in consolidating and steadily advancing our long-term profitable growth.”

First Quarter 2026 Financial Highlights

• Total net revenues were RMB 2,381.1 million (US$ 345.2 million^[1]), representing a 15.3% increase year-over-year from RMB 2,064.4 million in the same period of 2025.
• Income from operations was RMB 0.3 million (US$ 0.04 million), compared with loss from operations of RMB 84.0 million in the same period of 2025. Operating margin was 0.01%, compared with operating loss margin of 4.1% in the same period of 2025.
• Non-GAAP income from operations^[2] was RMB 8.1 million (US$ 1.2 million), compared with Non-GAAP loss from operations of RMB 66.9 million in the same period of 2025. Non-GAAP operating margin was 0.3%, compared with Non-GAAP operating loss margin of 3.2% in the same period of 2025.
  • Adjusted income from operations for the E-commerce business^[3] was RMB 13.0 million (US$ 1.9 million), compared with adjusted loss from operations of RMB 45.8 million in the same period of 2025.
  • Adjusted loss from operations for the Brand Management business^[3] was RMB 4.9 million (US$ 0.7 million), a significant improvement compared with adjusted loss from operations of RMB 21.1 million in the same period of 2025.
• Net loss attributable to ordinary shareholders of Baozun Inc. was RMB 7.5 million (US$ 1.1 million), narrowing significantly from RMB 63.1 million in the same period of 2025.
• Non-GAAP net income attributable to ordinary shareholders of Baozun Inc.^[4] was RMB 1.4 million (US$ 0.2 million), compared with net loss of RMB 57.2 million in the same period of 2025.
• Basic and diluted net loss per American Depositary Share (“ADS^[5]“) attributable to ordinary shareholders of Baozun Inc. were both RMB 0.13 (US$ 0.02), compared with RMB 1.09 in the same period of 2025.
• Non-GAAP diluted net income per ADS attributable to ordinary shareholders of Baozun Inc.^[6] was RMB 0.02 (US$ 0.00^[7]), compared with net loss of RMB 0.99 in the same period of 2025.

The reconciliation of GAAP and Non-GAAP financial measures mentioned above is provided later in this earnings release.

For adjusted income/loss from operations, please refer to the segment data in the “Segment Information” section later in this release.

Business Highlights

Baozun E-commerce (BEC)

Baozun E-commerce includes our China e-commerce business, covering value-added services such as brand store operations, customer service, warehousing and logistics, technology services, and digital marketing. In the first quarter of 2026, e-commerce business revenue increased by 10.4% year-over-year, primarily driven by growth in both the distribution and service models. E-commerce product sales revenue increased by 20.6% year-over-year, benefiting from deepened brand partnerships and efficient platform operations, leading to steady growth across multiple categories. E-commerce service revenue increased by 7.1% year-over-year to RMB 1.38 billion, mainly driven by growth in digital marketing and IT solutions revenue, as well as online store operations revenue.

Baozun Brand Management (BBM)

Baozun Brand Management encompasses comprehensive brand management including strategic and tactical positioning, brand and marketing, retail and e-commerce operations, supply chain and logistics, and technology enablement, leveraging our technology portfolio to build longer-term, deeper relationships with brands. In this quarter, Brand Management segment revenue was RMB 537.8 million, representing a 38.8% increase year-over-year. As of the first quarter of 2026, we managed a total of 176 offline brand stores.

First Quarter 2026 Financial Results

Total Net Revenues were RMB 2,381.1 million (US$ 345.2 million), representing a 15.3% increase from RMB 2,064.4 million in the same period of 2025. The increase in total net revenues was driven by revenue growth in both the e-commerce and brand management businesses.

Product Sales Revenue was RMB 1,045.0 million (US$ 151.5 million), representing a 29.1% increase from RMB 809.3 million in the same period of 2025, which included:

• Product sales revenue from the E-commerce business was RMB 510.3 million (US$ 74.0 million), representing a 20.6% increase year-over-year from RMB 423.2 million. This growth was driven by deepened brand partnerships and efficient platform operations, leading to steady growth across multiple categories.
• Product sales revenue from Brand Management was RMB 537.6 million (US$ 77.9 million), representing a 39.0% increase year-over-year from RMB 386.7 million. The revenue growth was primarily attributable to sales improvement for the Gap brand through continuous optimization of merchandise strategy, channels, and marketing activities.

Services Revenue was RMB 1,336.0 million (US$ 193.7 million), representing a 6.5% increase from RMB 1,255.1 million in the same period of 2025. The increase was mainly attributable to double-digit growth in digital marketing and technology services revenue, as well as online store operations revenue.

Total Operating Expenses were RMB 2,380.8 million (US$ 345.1 million), compared with RMB 2,148.4 million in the same period of 2025.

• Cost of Products was RMB 694.8 million (US$ 100.7 million), compared with RMB 547.2 million in the same period of 2025. The increase was primarily due to higher product sales volume, partially offset by cost reductions from efficiency improvements.
• Fulfillment Expenses were RMB 519.2 million (US$ 75.3 million), compared with RMB 524.5 million in the same period of 2025. The year-over-year decrease was mainly due to lower warehousing and logistics revenue in the e-commerce business, as well as the Company’s cost control and efficiency improvement measures.
• Sales and Marketing Expenses were RMB 893.3 million (US$ 129.5 million), compared with RMB 800.4 million in the same period of 2025. The increase was primarily due to growth in digital marketing service revenue in the e-commerce business, as well as offline store expansion and marketing activities in the brand management business during the quarter.
• Technology and Content Expenses were RMB 124.8 million (US$ 18.1 million), compared with RMB 116.5 million in the same period of 2025. The increase was mainly related to the growth in revenue contribution from the Company’s technology commercialization, partially offset by the Company’s cost control and efficiency improvement measures.
• General and Administrative Expenses were RMB 164.2 million (US$ 23.8 million), compared with RMB 170.5 million in the same period of 2025. The decrease was mainly attributable to the Company’s cost control initiatives and efficiency improvements.

Income from Operations was RMB 0.3 million (US$ 0.04 million), compared with loss from operations of RMB 84.0 million in the same period of 2025. Operating margin was 0.01%, compared with operating loss margin of 4.1% in the same period of 2025.

Non-GAAP Income from Operations was RMB 8.1 million (US$ 1.2 million), compared with loss from operations of RMB 66.9 million in the same period of 2025. Non-GAAP operating margin was 0.3%, compared with operating loss margin of 3.2% in the same period of 2025.

• Adjusted income from operations for the E-commerce business was RMB 13.0 million (US$ 1.9 million), a significant improvement compared with adjusted loss from operations of RMB 45.8 million in the same period of 2025.
• Adjusted loss from operations for the Brand Management business was RMB 4.9 million (US$ 0.7 million), a significant improvement compared with RMB 21.1 million in the same period of 2025.

Unrealized Investment Loss was RMB 4.4 million (US$ 0.6 million), compared with unrealized investment gain of RMB 12.4 million in the same period of 2025. The unrealized investment loss in the current quarter was primarily due to a decrease in the trading price of our investee companies that are publicly traded.

Change in Fair Value of Financial Instruments was a gain of RMB 0.9 million (US$ 0.1 million), compared with a loss of RMB 13.6 million in the same period of 2025. The change in fair value of financial instruments was primarily attributable to changes in the value of financial instruments invested by the Company.

Foreign Exchange Gain was RMB 2.5 million (US$ 0.4 million), primarily due to exchange rate fluctuations in the first quarter ended March 31, 2026, compared with a foreign exchange gain of RMB 8.2 million in the same period of 2025.

Net Loss Attributable to Ordinary Shareholders of Baozun Inc. was RMB 7.5 million (US$ 1.1 million), compared with RMB 63.1 million in the same period of 2025.

Basic and Diluted Net Loss Per ADS Attributable to Ordinary Shareholders of Baozun Inc. were both RMB 0.13 (US$ 0.02), compared with RMB 1.09 in the same period of 2025.

Non-GAAP Net Income Attributable to Ordinary Shareholders of Baozun Inc. was RMB 1.4 million (US$ 0.2 million), compared with net loss of RMB 57.2 million in the same period of 2025.

Non-GAAP Diluted Net Income Per ADS Attributable to Ordinary Shareholders of Baozun Inc. was RMB 0.02 (US$ 0.00^[8]), compared with net loss of RMB 0.99 in the same period of 2025.

Segment Information

1. Segment Information

The Group has two operating segments: (1) E-commerce business and (2) Brand Management.

The following summary describes the operations of each of the Group’s operating segments:

(1) E-commerce Business primarily comprises Baozun’s traditional e-commerce service business, consisting of two business lines: Baozun E-commerce (BEC) and Baozun International (BZI).

• Baozun E-commerce covers the core e-commerce business in mainland China, including store operations, customer service, warehousing and logistics, supply chain management, technology solutions, and digital marketing.
• Baozun International covers Baozun’s e-commerce business outside mainland China, operating in markets such as Hong Kong SAR, Macau SAR, Taiwan region, and Southeast Asia.

(2) Brand Management focuses on brand empowerment, building longer-term and deeper connections with brands through strategic positioning, brand marketing, e-commerce operations, supply chain, and technology enablement. Currently, the Company’s main brand under Brand Management is the Gap business in Greater China.

2. Segment Data

The following table provides a summary of the results of the Group’s reportable segments for the three months ended March 31, 2025 and 2026:

Conference Call

The Company will hold a conference call to discuss the earnings results on Wednesday, May 20, 2026, at 7:30 AM U.S. Eastern Time (7:30 PM Beijing Time on the same day).

Dial-in details for the earnings conference call are as follows:

A replay of the earnings conference call will be available until May 26, 2026, by dialing the following numbers:

A live webcast of the conference call will be available on the Investor Relations section of Baozun’s website at http://ir.baozun.com. An archived webcast will also be available at the same link after the call.

Use of Non-GAAP Financial Measures

The Company also uses certain non-GAAP financial measures to evaluate its business. For example, the Company uses non-GAAP income (loss) from operations, non-GAAP operating margin, non-GAAP net income (loss), non-GAAP net margin, non-GAAP net income (loss) attributable to ordinary shareholders of Baozun Inc., and non-GAAP net income (loss) per ADS attributable to ordinary shareholders of Baozun Inc. 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 financial information prepared and presented in accordance with U.S. GAAP.

The Company defines non-GAAP income (loss) from operations as income (loss) from operations excluding share-based compensation expenses, amortization of intangible assets from business acquisitions, goodwill impairment, and write-off fees for repurchased ADSs. The Company defines non-GAAP operating margin as non-GAAP income (loss) from operations as a percentage of total net revenues. The Company defines non-GAAP net income (loss) as net loss excluding share-based compensation expenses, amortization of intangible assets from business acquisitions, goodwill and investment impairment losses, other-than-temporary impairment of equity investments, write-off fees for repurchased ADSs, fair value loss on derivative liabilities, gain or loss on disposal of subsidiaries and equity investees, and unrealized investment (gain) loss. The Company defines non-GAAP net margin as non-GAAP net income (loss) as a percentage of total net revenues. The Company defines non-GAAP net income (loss) attributable to ordinary shareholders of Baozun Inc. as net income (loss) attributable to ordinary shareholders of Baozun Inc. excluding share-based compensation expenses, amortization of intangible assets from business acquisitions, goodwill and investment impairment losses, other-than-temporary impairment of equity investments, write-off fees for repurchased ADSs, fair value loss on derivative liabilities, gain or loss on disposal of subsidiaries and equity investees, and unrealized investment (gain) loss. The Company defines non-GAAP net income (loss) per ADS attributable to ordinary shareholders of Baozun Inc. as non-GAAP net income (loss) attributable to ordinary shareholders of Baozun Inc. divided by the weighted average number of ordinary shares used in calculating basic and diluted net income (loss) per ordinary share, multiplied by