PDD Holdings Inc., the operator of e-commerce platforms Pinduoduo and Temu, reported a 24% year-over-year increase in revenue for the fourth quarter of 2024, reaching 110.61 billion yuan ($15.3 billion). This growth, however, fell short of market expectations of 116.03 billion yuan. The company's adjusted earnings per American Depositary Share (ADS) stood at 20.15 yuan, surpassing the estimated 19.68 yuan. Despite the revenue miss, PDD's net income rose by 18% year-over-year to 27.45 billion yuan ($3.8 billion). The company's operating profit increased by 14% to 25.59 billion yuan, driven by a 33% rise in revenue from transaction services and a 17% increase in online marketing services revenue. PDD Chairman and Co-CEO Chen Lei noted the company's plans to address these challenges with a new 10 Billion program aimed at enhancing its supply chain ecosystem. PDD's performance reflects the challenges it faces in a competitive Chinese e-commerce market, intensified by sluggish domestic demand despite deep discounts and government stimulus efforts. Additionally, the company is grappling with geopolitical tensions and potential tariff changes in the U.S., which could impact its international operations. PDD is also preparing to enter the South Korean market and build a logistics network there, while its stock has risen 29.74% so far this year.