ATRenew Inc. Q2 2026 Earnings Recap

ATRenew’s shares fell 9.4% after the company signaled cautious momentum in its 3P services segment, with a year-over-year decline in service revenue and margin pressure likely weighing on sentiment despite strength in its 1P refurbished product sales.

Key Takeaways

• Total net revenues rose 32.4% year-over-year to RMB 6.61 billion, driven primarily by 1P product revenue growth of 35.9% to RMB 6.19 billion.
• Non-GAAP operating profit increased 70.1% YoY to RMB 206.3 million, with a modest margin expansion of 69 basis points to 3.1%.
• Recycling business saw a 57% increase in value of mobile phone and consumer electronic recycling during the May-June promotional window; orders grew 45% YoY, supported by expansion of fulfillment network and store count.
• 1P refurbished product revenue jumped 87.8% YoY; 1P-to-C retail revenue grew 92.4% YoY, increasing its share of product revenue by 3.6 percentage points sequentially to 48.8%.
• The 3P business faced headwinds with a 4.2% decline in service revenue YoY, pressured by reduced merchant activity in B2C services and volatility in the multi-category recycling segment, reflecting cautious near-term outlook.