What happened: Chinese online used car seller Uxin reported strong revenue growth and reduced losses in 2018 as consumers shifted increasingly to purchasing used rather than new cars.
Revenue for the year grew 69.9% year-on-year to RMB 3.31 billion ($483.1 million) and full-year adjusted net losses of RMB 1.67 billion shrank compared with RMB 1.70 billion the prior year.
Uxin founder and CEO Dai Kun attributed the results to “robust growth” in its consumer-facing business, with more than 160,000 units sold on its platform in the fourth quarter, with more “strategic initiatives” for its retail business to come in 2019.
This optimism was reflected in first quarter 2019 revenue guidance of up to RMB 950 million compared with RMB 649 million in the same period a year ago.
Why it’s important: Uxin partnered with Alibaba’s marketplace Taobao to build an online used car shopping mall in December.
The company seeks to increase its focus on its 2C, or retail, business to improve lower-tier city penetration.