In some Vipshop executives’ view, the fastly rising stock price came from the investors who gradually recognized Vipshop’s value. In the past three quarters, the Non-Gaap net income was USD 640,000.
According to the Q2 finance report released on Aug 15 2013, VIPShop’s total revenue reached USD 351.3 million, with a 159.7% YoY increase. Its net income grew to USD 9 million, while last year the net loss was USD 5.8 million. Vipshop became China’s first profitable B2C e-commerce enterprise.
Jingdong former assistant president Liu Shuang said, Vipshop was really different from the other e-commerce companies. It focused on the leftover products. For some apparel brands, Tmall.com may contact the company’s e-commerce department or the marketing department, but Vipshop would contact the brand’s clearance department.
After seeing Vipshop’s success, many e-commerce companies plan to enter the flash market. Tmall, Dangdang, Jingdong, Yihaodian…Today, they all have flash sales business, trying to compete with the market leader Vipshop.