Shares of PDD Holdings (NASDAQ: PDD), which owns the popular online marketplace Temu, fell as much as 32.9% in trading this week, according to data provided by S&P Global Market Intelligence. The company reported earnings that showed an astounding 86% increase in revenue, but the biggest news was management saying the focus would be on growth, not profits, in the future.

Second-quarter 2024 revenue jumped 86% to $13.6 billion, and operating profit jumped 156% to $4.48 billion.

While the results were impressive, co-CEO Jiazhen Zhao said in the earnings statement, "We are committed to transitioning toward high-quality development and fostering a sustainable ecosystem." He went on to say there will be short-term sacrifices and profitability may decline as a result of these investments.

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Source Fool.com