Dangdang posts 122m yuan net loss for Q2

E-Commerce China Dangdang Inc, a leading business-to-consumer e-commerce company, on Aug 16 reported a net loss of 122.2 million yuan for the second quarter, compared to a net loss of 28.4 million yuan for the same period last year.

Dangdang's net revenue for the second quarter increased 53 percent from the corresponding period last year to 1,207.8 million yuan, a satisfactory result for the company.

"We are pleased to report the solid results of the second quarter," said Peggy Yu Yu, Dangdang's executive chairwoman.

The loss was primarily due to the company's rising cost of revenues, fulfillment and marketing expenses to fend off strong rivals.

Other major e-commerce players in China, such as Jingdong Mall, Suning and Gome declared a price war earlier this week.

"We have a disciplined way of dealing with this competitive environment," Dangdang's executive chairwoman said. "We planned and timed our recent product promotions to take place in different periods of the quarter and benefit our customers."

Dangdang expects its total net revenues in the third quarter of the year to be around 1,272 million yuan, representing a year-on-year growth of around 40 percent.

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