MINISO Q3 Earnings Beat Estimates Boosted By Strong China Sales - MINISO Group Holding (NYSE:MNSO)

MINISO Group Holding Limited MNSO reported third-quarter FY23 sales growth of 26.2% year-on-year to $430.16 million, beating the consensus of $416.68 million.
Average revenue increase per MINISO store in China was 18.9%.
Gross profit increased 64.4% Y/Y to RMB1.2 billion ($169.2 million). The gross margin was 39.3% versus 30.2% last year.
Operating income for the quarter was RMB575.9 million ($83.9 million), representing an increase of 308.5% year over year.
Adjusted EBITDA for Q3 climbed 164.3% to RMB706.4 million ($102.9 million), and the EBITDA margin expanded 1,250 basis points to 23.9%.
The number of MINISO stores increased by 401 Y/Y to 5,514 as of March 31, 2023.
MNSO reported Adjusted earnings per ADS of $0.22, which beat the consensus of $0.17.
The company held $1.03 billion in cash and equivalents as of March 31, 2023.
"MINISO's China business has rebounded strongly in the past few months, as reflected by soaring foot traffic and transaction value in our domestic stores," said Guofu Ye, Founder, Chairman, and CEO of MINISO.
"As our retail partners in China regained confidence and adopted a more bullish business outlook during the quarter, our pace of store openings accelerated."
Price Action: MNSO shares traded higher by 2.71% at $17.80 on the last check Tuesday.