FILE PHOTO: Illustration picture of Chinese online group discounter Pinduoduo
INTERNATIONAL - Pinduoduo, a leading Chinese e-commerce player, notched solid gains on Wednesday, boosted by rapidly growing revenues and enlarging user and buyer bases for the second quarter (Q2).

Shares of Pinduoduo surged almost 16 percent to settle at $30.11. As of market close, the online shopping platform was valued nearly $35 billion in market capitalization.

For Q2, the e-commerce firm posted remarkable growth in its total revenues, which rose 169 percent year over year to $1.06 billion, according to the company's latest quarterly reports released on Wednesday.

The high reading was primarily driven by the robust growth in the company's online marketing services revenues, which hit $942 million, an upswing of 173 percent from that of the same quarter of 2018.

The firm also witnessed a strong growth in GMV in the 12-month period ending June 30, which rallied 171 percent to $103.3 billion.

GMV refers to the total value of all orders for products and services placed on the company's mobile platform. The growth was mainly driven by rapidly expanding user base and spending active buyer, according to the company.

For Q2, the number of Pinduoduo's average monthly active users skyrocketed 88 percent year over year to 366 million. Its active buyers sharply rose 41 percent year over year to 483.2 million for the 12-month period ending June 30.

"Our investments in growing user engagement are showing signs of success," said David Liu, vice president of strategy at Pinduoduo, in a company statement. "We plan to continue investing strategically in our users and merchants in 2019 to drive further engagement," Liu added. 

XINHUA