The U.S.-listed shares of PDD Holdings Inc. PDD tumbled 13.6% toward a four-month low in premarket trading Monday, after the China-based mobile marketplace reported fourth-quarter profit and revenue that rose less than expected. Net income rose to RMB9.45 billion ($1.37 billion), or RMB6.52 per American depositary shares (ADS), from RMB6.62 billion, or RMB4.66 per ADS, in the year-ago period. Excluding nonrecurring items, adjusted earnings per ADS of RMB8.34 was below the FactSet consensus of RMB8.57. Revenue jumped 46.2% to RMB39.82 billion ($5.77 billion), but was below the FactSet consensus RMB41.57 billion, as misses by its online marketing services and merchandise sales businesses offset a beat by its transaction services businesses. Merchandise sales fell 29%, while revenue from online marketing services sales increased 38% and transactions services revenue grew 86%. PDD’s stock has gained 7.3% over the past three months through Friday, while the iShares MSCI China exchange-traded fund MCHI has edged up 1.4% and the S&P 500 SPX has tacked on 2.5%.
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