Dingdong (Cayman) Limited Announces Second Quarter 2026 Financial Results

SHANGHAI , Aug. 20, 2026 /PRNewswire/ -- Dingdong (Cayman) Limited ("Dingdong" or the "Company") (NYSE: DDL ), a leading fresh grocery e-commerce company in China, with advanced supply chain capabilities, today announced its unaudited financial results for the quarter ended June 30, 2026. Second Quarter 2026 Highlights: [1] GMV: total amount of GMV for the second quarter of 2026 increased by 11.8% year over year to RMB7,265.3 million (US$1,070.8 million) from RMB6,499.4 million in the same quarter of 2025, positive year-on-year growth for tenth straight quarters. Net income: total amount of net income for the second quarter of 2026 was RMB271.7 million (US$40.0 million), the tenth consecutive quarter of profitability. Non-GAAP net income: total amount of Non-GAAP net income for the second quarter of 2026 was RMB281.3 million (US$41.5 million), the fifteenth consecutive quarter of non-GAAP profitability. Mr. Song Wang, the Chief Executive Officer of Dingdong, stated, "As of the second quarter of 2026, Dingdong has maintained profitability under non-GAAP standards for fifteenth consecutive quarters and under GAAP standards for tenth consecutive quarters. The Company has also delivered year-over-year revenue growth for the tenth consecutive quarter, and has seen further acceleration in growth since entering the third quarter. Since July, the Company's business has entered peak season, with monthly GMV hitting a record high, during which single‑day GMV exceeded RMB 100 million multiple times and set a new record. Our steady revenue growth and consistent profitability are mainly attributed to the growth in average monthly ordering users among our loyal members and the increase in average monthly order frequency. In addition, on the product supply chain side, we continuously improve product quality and cater to users' diverse scenario‑based needs, better serving our platform users. This excellent performance fully demonstrates Dingdong's strategic resilience and solid execution amid fierce competition, laying robust fundamentals and lasting momentum for sustainable long‑term growth." On February 5, 2026, the Company entered into a definitive agreement to divest its China business to Meituan (HKEX: 3690). The transaction remains pending as of this release, contingent on standard closing conditions under the Share Purchase Agreement, notably anti-monopoly approval from SAMR. Consistent with prior quarter accounting treatment, no depreciation or amortization was recognized for the held-for-sale China business upon classification as held-for-sale, which resulted in an increase to our net income by RMB199.1 million (US$29.3 million) in the current quarter. Second Quarter 2026 Financial Results [1] Total revenues were RMB6,487.3 million (US$956.1 million), compared with total revenues of RMB5,975.9 million in the same quarter of 2025, representing an increase of 8.6% year over year. Revenues generated from our China business [2] as included in profit from discontinued operations increased by 8.3% year over year to RMB6,414.1 million (US$945.3 million), primarily due to the rise of number of orders resulting from rise in the average monthly number of transacting users and higher monthly order frequency, and newly opened frontline fulfillment stations with density and market penetration improving in Eastern China. The increase was partially offset by the continued downward pressure on CPI prices for certain key categories, including pork, and by the closure of some inefficient frontline fulfillment stations in Beijing and the Guangzhou‑Shenzhen area during the second quarter of 2026. Revenues generated from our overseas business increased by 36.2% year over year to RMB73.2 million (US$10.8 million), primarily due to the rise in the number of orders resulting from market expansion in overseas markets and customer base growth. Total operating costs and expenses were RMB6,244.4 million (US$920.3 million), compared with RMB5,980.1 million in the same quarter of 2025, with a detailed breakdown as below. No depreciation or amortization is recorded in the cost and the four categories of expenses for long-lived assets in the China business after being classified as held-for-sale, as assets held for sale are measured at the lower of their carrying amount or fair value less costs to sell according to the relevant standards under US GAAP. This has also impacted the line items below: Cost of goods sold was RMB4,568.7 million (US$673.3 million), an increase of 7.4% from RMB4,255.2 million in the same quarter of 2025. Cost of goods sold as a percentage of revenues was 70.4%, compared with 71.2% in the same quarter of 2025. Gross margin was 29.6%, compared with 28.8% in the same quarter of 2025. Since the launch and continued implementation of our 4G Strategy in early 2025, the gross margin for the second quarter of 2026 was generally consistent with that of previous quarters. Fulfillment expenses were RMB1,207.0 million (US$177.9 mill