Business
FangDD Reports Third Quarter 2021 Unaudited Financial Results
SHENZHEN, China, Nov. 19, 2021 (GLOBE NEWSWIRE) -- Fangdd Network Group Ltd. (NASDAQ: DUO) (“FangDD” or “the Company”), a leading property technology company
About this update from Fangdd Network Group Ltd.
[{"type":"text","content":"SHENZHEN, China, Nov. 19, 2021 (GLOBE NEWSWIRE) -- Fangdd Network Group Ltd. (NASDAQ: DUO) (“FangDD” or “the Company”), a leading property technology company in China, today announced its unaudited financial results for the third quarter ended September 30, 2021. Third Quarter 2021 Financial Highlights Revenue in the third quarter of 2021 decreased by 57.8% to RMB 169.2 million (US$26.3 million) from RMB401.4 million in the second quarter of 2021. Because of the continuous downturn status of real estate market and the corresponding measures that the Company has taken to reduce its business scale, the revenue in the third quarter of 2021 did not meet our expectation made in the second quarter.Net loss was RMB355.0 million (US$55.1 million) in the third quarter of 2021, which included a provision of RMB253.0 million (US$39.3 million) for impairment of certain assets in the third quarter of 2021, such as impairment of accounts receivable due from developers because of their tighter financial conditions, as well as impairment of goodwill, intangible assets and accounts receivable due from individuals as a result of the Company’s substantial reduction of its Yuancui business under the situation of continuous downturn of resale property transactions market. This is compared to a net loss of RMB139.0 million in the second quarter of 2021.Non-GAAP net loss1 was RMB343.4 million (US$53.3 million) in the third quarter of 2021, compared to a non-GAAP net loss of RMB127.9 million in the second quarter of 2021. Third Quarter 2021 Operating Highlights The number of closed-loop agents2 was 10.6 thousand in the third quarter, representing a decrease of 44.2% from 19.0 thousand in the second quarter of 2021.Total closed-loop GMV3 facilitated on the Company’s platform decreased by 48.5% to RMB15.2 billion (US$2.4 billion) in the third quarter of 2021 from RMB29.6 billion in the second quarter of 2021. New property and resale property contributed RMB9.3 billion (US$1.4 billion) and RMB5.9 billion (US$0.9 billion), respectively, to the total closed-loop GMV in the third quarter of 2021. The decline in closed-loop GMV was mainly due to the continued downturn status of real estate market and the corresponding measures that the Company has taken to reduce its business scale. Mr. Yi Duan, Chairman and Co-Chief Executive Officer of FangDD, commented, “I...