#China #Shanghai #E-Commerce #Brand Management #Baozun Inc

Overview

On November 25, 2025, Baozun Inc., a prominent e-commerce solutions provider in China, announced its unaudited financial results for the third quarter of 2025. Under the leadership of CEO Vincent Qiu, the company reported an impressive total revenue growth of 5% year-over-year, amounting to RMB2,156.2 million (approximately USD302.9 million). This growth is a testament to Baozun’s effective strategic transformation and enhances its positioning in the competitive e-commerce landscape.

Financial Performance

During this quarter, Baozun reported several noteworthy financial highlights:

• - Total Net Revenues: Reached RMB2,156.2 million, marking a 4.8% increase compared to RMB2,057.0 million recorded in the same quarter the previous year.
• - Loss from Operations: Narrowed significantly to RMB25.6 million (US$3.6 million), a marked improvement from the RMB114.5 million loss reported in Q3 2024. This resulted in an operating margin of negative 1.2%, reflecting substantial operational efficiency improvements.
• - Adjusted Operating Income: The e-commerce segment turned a profit with an adjusted operating income of RMB28.1 million (US$3.9 million).

The company's strategic efforts in enhancing the quality of its revenue streams were evident, as BEC (Baozun E-Commerce) and BBM (Baozun Brand Management) both showed fruitful results in operational and financial metrics. Ms. Catherine Zhu, the CFO, pointed out that the e-commerce segment, traditionally facing seasonality challenges, successfully returned to operating income figures this quarter.

Segment Highlights

1. Baozun E-Commerce (BEC)

BEC, which oversees the e-commerce operations in mainland China, generated revenues of RMB1,798.7 million, showcasing growth driven by service model sustainability. Key elements that fueled this growth included:

• - Online Store Operations: Achieved an impressive revenue boost of 15.5%.
• - Service Revenue Growth: Increased by 6.3%, especially in digital marketing and IT solutions.

However, there was an 8.9% decrease in product sales revenue, attributed largely to the Appliances and Health and Nutrition categories experiencing lower demand.

2. Baozun Brand Management (BBM)

Established in 2023, BBM focuses on holistic brand management. It reported a substantial revenue increase of 19.8% year-over-year, reaching RMB396.0 million. BBM capitalized on high-performing brands, such as Gap, to optimize merchandising plans and enhance marketing outreach.

Operational Enhancements

The narrow operating losses and revenue growth reflect Baozun’s effective management practices and operational refinements.

• - Cost Management: The company has tightened control over its operational spending, successfully reducing logistics and technology-related expenses.
• - Marketing Efforts: Increased investments in marketing bolstered revenue contributions, particularly through digital channels, evidencing the shift towards online consumer engagement.

Future Outlook: The strong performance in Q3 positions Baozun favorably for the upcoming quarters. With ongoing efforts to increase operational efficiencies, BBM's growing influence, and the resilient performance of BEC, the company is poised for sustainable growth.

Conclusion

Baozun's third-quarter performance not only reflects its adaptive strategies amid a challenging market environment but also reinforces its ambition to achieve sustained profitability. As the e-commerce sector continues to evolve, Baozun's transformative approach to brand management and operational execution will be critical to its success in navigating future challenges.

For more details, investors and media are encouraged to explore the complete financial report available on the Investor Relations section of Baozun’s website.