Taiwan’s largest online retailer momo.com Inc. delivered weaker second-quarter results, with consolidated revenue dropping 2.4% to NT$26.03 billion ($840 million) as intensified competition pressures the e-commerce sector.
The company behind the Momo shopping platform reported operating profit declined 16.4% to NT$770 million ($25 million), while net income fell 15.1% to NT$650 million ($21 million). Earnings per share dropped to NT$2.58 from NT$3.05 in the prior year period, reflecting margin compression across the business.
First-half revenue reached NT$52.44 billion ($1.69 billion), though the company faces mounting challenges from aggressive foreign competitors including South Korea’s Coupang, which has disrupted Taiwan’s market with deep discounting strategies.
momo.com’s stock has declined 20% year-to-date, extending a sharp retreat from its July 2021 peak of NT$2,190 as investors grow concerned about slowing growth and market share erosion.
The retailer is betting on diversification strategies including its mo店+ marketplace platform, which now hosts over 2.6 million products, and its momo.com Ads advertising business that has penetrated more than 20% of merchants. The company also expanded its moPlus subscription service, attracting over 50,000 members with average monthly spending of NT$25,000.
However, persistent consumer spending caution and heightened competition continue to weigh on Taiwan’s e-commerce sector, challenging momo.com’s ability to sustain its market leadership position.
