China's PDD Holdings Inc missed Wall Street's estimates for fourth-quarter revenue on Monday as a rise in COVID-19 cases in the country curtailed consumer spending.A resurgence in COVID-19 cases in China hurt e-commerce giants including JD.com, which warned in March that consumer confidence will take time to rebuild amid economic uncertainties.
China's total retail sales contracted 1.8 per cent in December, while its economy posted one of the worst growth rates in nearly half a century in 2022, expanding just 3 per cent. Moreover, intense discounting campaigns by peers have also intensified competition for PDD. PDD booked revenue of 39.82 billion yuan for the quarter ended Dec. 31, compared with estimates of 41.01 billion yuan, according to Refinitiv data.