Uxin Limited opened its fifth large‑scale superstore in Jinan, Shandong Province, on December 16, 2025. The 40,000‑square‑meter facility can display and sell more than 1,000 vehicles at full capacity, adding a significant inventory and sales floor to the company’s network and marking the completion of the three new superstores planned for 2025.
The Jinan location extends Uxin’s reach into Northern China, a region with over 4 million registered vehicles and growing automotive demand. By establishing a presence in the provincial capital, Uxin positions itself to serve both local consumers and the broader Shandong market, leveraging the city’s logistics hub to radiate sales across Eastern and Northern China. The expansion follows openings in Xi’an, Hefei, Wuhan, and Zhengzhou, and is part of a broader strategy to replicate a standardized, technology‑enabled retail model across key Chinese markets.
Uxin’s Q2 2025 results provide context for the expansion. Total revenue rose 64 % year‑over‑year to RMB 830–860 million, driven by a 154 % jump in retail transaction volume. However, gross margin fell to 5.2 %, and the company reported an adjusted EBITDA loss of RMB 16.5 million. The margin compression reflects pricing pressure in the used‑car market and the cost of scaling new superstores, while the volume growth signals strong demand in core segments. Management has emphasized that the first superstores, such as the Xi’an location, achieved positive EBITDA, and the Hefei store is expected to reach profitability by early 2024, underscoring a focus on turning expansion into sustainable profitability.
Kun Dai, Uxin’s founder, chairman, and CEO, said the company’s “roadmap to overall profitability” is being pursued through a mix of scale and operational efficiency. He highlighted the Xi’an superstore’s positive EBITDA as evidence that the standardized model can deliver profitability once the initial investment is amortized. Chief Strategy Officer Wenbing Jing added that the Yinchuan partnership “marks a significant step forward in deepening Uxin’s presence across northwestern China,” reinforcing the company’s geographic diversification strategy.
The market reacted modestly to the announcement. On December 17, the company’s shares traded at a level that reflected a 1.5 % increase, driven by investor confidence in the company’s execution of its expansion plan and the strong year‑over‑year growth in retail transactions reported in Q2 2025. Analysts noted that while gross margins remain a concern, the projected recovery to approximately 7.5 % in Q3 2025 signals a potential turnaround in profitability.
Looking ahead, Uxin plans to launch four to six additional superstores in 2026, targeting Guangzhou, Tianjin, and Yinchuan among other sites. The company’s guidance for Q3 2025 includes a revenue range of RMB 830–860 million and a gross margin recovery to 7.5 %. Management’s focus on cost discipline, strategic site selection, and a technology‑enabled retail model suggests confidence in sustaining growth while addressing margin pressures. Headwinds include ongoing pricing volatility in the used‑car market and the need to balance rapid expansion with profitability, but the company’s recent performance and strategic partnerships position it to navigate these challenges.
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