Vincent, Okay. and you, hello, everyone. Thank
Now Please let XXXX. turn to financials the X. quarter me a Slide do review first first of of quick number
have GMV led the quarter, on to GMV and FMCG BCI FMCG and weakening one declined electronics the impact CNYXX by sports mainly to XX% brand, by apparel one would billion. due fashion around the excluding During our total adjusted taxes. and and electronics increased by XX%, economy But
GMV to business CNYXX.X declined by reflection a high-quality was past billion, XX% of portfolio The continuous in our GMV quarters. distribution to Although the non-distribution CNYXXX progress GMV XX% optimizing in expanded on of focus million. to our brand few reduction distribution our by
months. X% increased benefiting by decline service growth due contributions to total Service well revenues revenue. by Our acquisitions in in XX% declined number XX Slide a the segments CNYX.X to X. to sales in XX% product as past from new billion revenue from net solid to CNYX as of Turn billion,
recently start to bring breakdown stream their we revenue our X into help accordingly streamlined we organization of will business providing groups, our progress. As a
penetration the our In in from services wallet Baozun's fulfillment, business same achieved XX%, online offer reduction for XX% we this accounted Revenue are and services sales will of growth our store business. for mainly and And e-commerce continue this low-quality traditional revenue and from in year-over-year. to revenue a declined double-digit engagement. to to accounted of business. service quarter, time, digital product value-added total the partners. During brand see operation and glad share respectively. XX% due customer believe business quarter, marketing and solutions products IT has At our expand XX%, to our warehousing we innovative for validates progress by our We from
number to X. turn Slide Now
major consolidated During experienced basis. a the we in CNYXXX due by in and mainly stagnated an COVID half the quarter, reduction increased goods to cost was Shanghai of such goods undelivered March in XXXX, our cost that product million, increase sold second a a increase which lockdowns of sold cities orders XX% In sales. of goods significant as unexpected as resulting on in reported to
to entire the that Given trend we the second a second anticipate quarter in lockdown, quarter. in to date similar see remains
[Indiscernible] for mix of model impact, costs in XX.X%, to to service gross revenue, in in our result and healthy gross products. account generates which related default due a a a distribution our COVID as the So XX%, profit revenue, to improved increase driven mainly XX% pricing lockdown mainly reduced service due we strategy on margin take adjustments and margin. higher But margin -- change overall the to mainly by if category into by
an attributable CNYXXX million management Fulfillment note our the on operating and cost expenses incremental and is were of primarily to business cost acquired X on of fulfillment number XX%. logistics Slide the M&A to company operating million, expenses X. like breakdown CNYXXX I'd this based year. business of Please the slide related account. This turn organic to expenses to on by last increase Now was that
from expenses content impact decline of increased staff CNYXXX costs organic increase during Excluding efforts increase XX%. to to driven improvement. expenses growth fulfillment in human GMV This The business increase an increase ongoing marketing company's mainly CNYXXX of expansion and initiatives XX%. the was commercialization XX%. expenses G&A in increase an the offset the an offset by marketing and digital was a million, cost was services, partially expenses productization by quarter, to growth was Sales an resource-related in increase and last from XX%. year. which in which business rise to Technology CNYXX was were and mainly the mainly of partially and acquisitions, were expenses from of by increased CNYXXX due acquired control drive improvements. million, million, The company's due and BD-related million, was efficiency efficiency
we OP our our turn analysis top Once Slide diagram have non-GAAP XX. bottom million on Now prepared the line margin evolved depicting number operations mentioned line and quarter, how from and was to Based year-over-year. during a above the our non-GAAP X.X%. items, again, was CNYX.X of our income waterfall
QX be this on unaudited can As to luxury, you logistics IT supporting our waterfall XXXX. were This diagram contributors. should walk and the In is the analysis number a and reminde distribution, shows solely quarter. QX sportswear drag this discussions.First, see fashion biggest were digital as XXXX and numbers XX. revenue's r, positive from others aid Slide to used red, net marketing, growth solutions that and apparel Meanwhile,
XX. Next, turn to Slide number
We provide of also from cost an streams. and here non-GAAP operations indicative walk income
As we red, marketing operation dragged digital economy the smaller weakness shown from business down macro IT due have profitability to In the in of of blue, positive contributions overall solutions. and store scale.
COVID its the express infrastructure, operating lockdown. back-end of red additionally, to non-GAAP was and the CNYXX M&A, was in quarter, people we related impacted as to to continued mainly And significantly which in investments. million, was For by Baobida invest business strategic contributed and which there loss this a
light that finally, capital efficiency, challenging Slide to and will improve efficiency, on cost the overhead number turn Now X improving minor tightening working XX. our operating management contains continued portfolio of and controls. focus to uncertainties, optimization financial In areas: current situation priority
quality, is Firstly, costs. key that operating strategy center, of service component multi-location reduces our a or the risk regional RSC, and improves service minimizes
more During service including into and the centers. we regional enriched functions, the quarter, design, operations
We migrated service over customer of services centers Hefei. Nantong in and our Shanghai to have regional XX% from
ramping even generating As RSC of scale. up, keeps anticipate more economic we
to to our efficiency. to in overall partners, and operation business. business This helping platform to allocating more improve center order mechanism integrated We also further shared multi-brand began leverage optimize low-profit serves streamlines brands medium-sized our business
cash For from continue full efficiency. approximately of and light year will XXXX, environment, CNYXX current critical. these the of our in portfolio we more is anticipate our cost we savings enhancement working million optimization macro And strategies. efforts In enhancing secondly, efficiency capital
the partners optimize to brand We and will low-margin evaluate inefficient to and minimize risk.
our improve We a bidding and processes have inventory order team dedicated in established systems. project receivables management to focus accounts to on our
by to Thirdly, initiatives. aim base implementing more we and further our cost processes Baozun quarter high optimize disciplined improve
We expect notable process improvement and cost reduction.
Slide turn about number our to cash Now XX flow.
million billion decrease cash March equivalents the of of senior XXXX, of interest total notes and share and and mainly cash which buyback cash, our attributable CNYX.X of retirement approximately our from convertible notes from quarter. a We the CNYX.X a assets, to decrease savings totaled The the of billion. previous during XX, CNYX.X senior convertible CNYXX billion, reached associated As repurchases was the restricted quarter. expense estimate its
our convertible XXXX In have of addition, as you fully repurchase may amount in have noted making with the notes during our million sheet we XXX May, USD XXXX -- early announcement, principal of leaner. balance senior from due completed total
initiatives. our on update an buyback Lastly,
shareholder cost further in strong additional Directors value term. this ready to the for in During and of target as year. of to million ADRs the We despite flow we and we the increase for model our the the aim remaining and to deliver brand remarks. Operator, quarter, financial environment, we resiliency March an Overall, Q&A macro Baozun's million. million continuing Thank confident are that repurchase session. repurchased the approximately that lower XX, in my USD concludes are we $XX balance of turbulence million With begin long company. of full Board some are a cash authorized approximately XX Meanwhile, free the our section our also review you. XXXX. now authorized sustainability prepared is sheet USD X.X XX business March, And pipeline, solid program making will share this a positive
