RLX Technology Report Impressive Q1 Financial Results, Net Revenue Up 34%: Executive Insights on Strategic Push and Regulatory Challenges

In the first quarter of 2024, RLX Technology reported impressive financial results, with net revenues of RMB551.6 million ($76.4 million), up from RMB188.9 million in the same period of 2023. The company’s gross margin also improved to 25.9 percent from 24.2 percent in 2023. Furthermore, U.S. GAAP net income for the quarter was a significant improvement from the net loss of RMB56.3 million in the first quarter of 2023, reaching RMB132.6 million.

Ying (Kate) Wang, co-founder, chairperson, and CEO of RLX Technology expressed her satisfaction with the steady performance in the first quarter of 2024. She highlighted the positive growth in the international business and emphasized the company’s efforts to adapt to regulatory changes in different regions.

Wang also stressed her commitment to working with regulators to promote a well-regulated and healthy e-vapor industry while focusing on product innovation to meet customer needs.

Chief Financial Officer Chao Lu noted that the first quarter marked RLX Technology’s fifth consecutive quarter of revenue growth due to its resilient business model, effective regional strategies, and strong execution.

Lu expressed his confidence in sustaining this growth trajectory and delivering value to stakeholders in the future.

For the first quarter of 2024, RLX Technology reported non-GAAP basic and diluted net income per American Depository Share (ADS) at an increase from the same period of 2023 when it was $0.159 and $0.136 respectively.