Uxin Q2 Transaction Volume Surges 89% YoY, Founder Dai Kun Launches $5M Share Buyback

Hong Kong, September 24 — Uxin Limited (UXIN.US), a leading used car retailer in China, today released its unaudited financial results for the quarter ended June 30, 2026. Despite price volatility in the used car industry during the period, the company maintained strong transaction volume growth.

The company also confirmed that a $4 million investment from NIO Capital has been received, with other financing initiatives and a $5 million share purchase plan by Chairman Dai Kun progressing as scheduled.

Key Financial and Operational Highlights

Transaction Volume:

• Total transactions: 21,899 units, up 88.7% year-over-year and 20.3% quarter-over-quarter
• Retail transactions: 19,610 units, up 88.8% year-over-year and 18.6% quarter-over-quarter
• Wholesale transactions: 2,289 units, up 87.5% year-over-year and 36.2% quarter-over-quarter

Revenue:

• Total revenue: RMB 1.151 billion, up 74.9% year-over-year and 7.2% quarter-over-quarter
• Retail vehicle sales revenue: RMB 1.081 billion, up 77.9% year-over-year and 6.5% quarter-over-quarter

Growth Drivers

Despite a notable decline in used car prices and sales volumes across China in Q2, Uxin achieved nearly 90% year-over-year growth in retail transactions. This was driven by the dual engine of its offline warehouse-style superstores and its online nationwide purchasing platform.

The Tianjin warehouse superstore, which began trial operations in late March 2026, rapidly scaled up its inventory and sales volume. This added to the incremental contributions from existing superstores in Wuhan, Zhengzhou, and Jinan.

Margin Pressure and Outlook

Uxin CFO Lin Feng noted that gross margin came under short-term pressure in Q2 due to significant price cuts in the new car market. However, as the market environment stabilizes, the company expects overall gross margin to recover to above 6% in Q3.

Financing and Share Purchase Plan

• NIO Capital: A $4 million investment has been received, with an additional $4 million proceeding as planned. NIO Capital agreed to complete the transaction at $2.86 per ADS.
• Joy Capital: Actively advancing its ODI filing for investment in the company.
• Chairman's Share Purchase: On June 18, Uxin founder, Chairman, and CEO Dai Kun announced a secondary market share purchase plan of up to $5 million. The plan is expected to commence shortly.

Operational Efficiency and Customer Satisfaction

• Inventory turnover time has improved from approximately 30 days to around 20 days.
• Uxin's Net Promoter Score (NPS) remained at or above 65 points for the ninth consecutive quarter, maintaining industry-leading customer satisfaction levels.

CEO Commentary

Dai Kun stated that with the integration of AI technology, the company has achieved more precise pricing, significantly faster inventory turnover, and gradual improvement in per-vehicle profitability.

He also revealed that six new superstore projects are progressing simultaneously in Yinchuan, Guangzhou, Wuxi, Chongqing, Shijiazhuang, and Shaoxing.

For Q3 2026, Uxin expects significant year-over-year growth in transaction volume, revenue, and gross margin. The company will continue to focus on its superstore model and overall operational efficiency, aiming to convert scale growth into improved profitability.