PDD Holdings reported a 12% year-over-year revenue increase to 123.91 billion yuan ($17.72 billion) for the fourth quarter of 2025.
Net profit attributable to ordinary shareholders fell 11% to 24.54 billion yuan ($3.56 billion).
These financial results missed analyst expectations for the quarter.
PDD increased spending to maintain its position in China's competitive e-commerce market.
Heavy investment in the global expansion of Temu further pressured the company's bottom line.
Management committed significant resources to the ongoing development of its supply chain.
The company anticipates these strategic investments will continue to affect future financial performance.