Seeco (SECO 9.28, -0.32) has given up 3.3% after reporting mixed results and issuing upbeat guidance.
The luxury e-commerce company, which operates in China, reported below-consensus first quarter earnings of $0.10 (RMB0.65) per share on a 42.8% year-over-year spike in revenue to $127.90 million (RMB802.50 million), which was ahead of expectations.
Looking ahead, Seeco expects that second quarter revenue will be between RMB1.10 billion and RMB1.13 billion, which is ahead of current market expectations. The company intends to continue strengthening its brand relationships while enhancing its online and offline presence with greater efficiency.
The strong revenue growth was driven by a 43.2% year-over-year increase in Gross Merchandise Value, which climbed to RMB1.12 billion ($178.50 million). Total orders increased 45.3% year-over-year to 306,100. Active customer count grew 56.1% year-over-year to 160,900.
Seeco CEO Richard Rixue Li said the company is successfully carrying out its strategy of servicing more of China's robust luxury consumer market demand. The first fiscal quarter represented the seventh consecutive quarter of net profitability for the company.