Shares of ATRenew (RERE) tumbled 5.28% in intraday trading on Tuesday after the Chinese pre-owned consumer electronics company reported first-quarter earnings that fell short of analyst expectations and provided weaker-than-anticipated guidance for the second quarter.
ATRenew announced adjusted earnings per share of 0.48 RMB for Q1 2025, missing the lone analyst estimate of 0.60 RMB. While the company reported strong year-over-year revenue growth of 27.5% to 4.65 billion RMB, it slightly underperformed the market expectation of 4.62 billion RMB.
Adding to investor concerns, ATRenew's second-quarter revenue guidance of 4.71-4.81 billion RMB, representing year-over-year growth of 24.7% to 27.4%, appeared to disappoint market participants who may have been hoping for more robust projections. The softer outlook, combined with the earnings miss, likely contributed to the sharp sell-off in ATRenew's stock price during Tuesday's trading session.
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