RLX Technology (NYSE:RLX) Announces Quarterly Earnings Results, Hits Expectations

RLX Technology (NYSE:RLX) posted its quarterly earnings data on Wednesday. The company reported $0.03 earnings per share for the quarter, hitting the consensus estimate of $0.03, Zacks reports. RLX Technology had a net margin of 23.27% and a return on equity of 5.74%. The business had revenue of $230.01 million during the quarter, compared to analysts’ expectations of $166.99 million.

Here are the key takeaways from RLX Technology’s conference call:

• RLX reported a very strong Q1 2026, with net revenue of RMB 1.59 billion, up 96.2% year over year and 38.9% quarter over quarter, driven mainly by international growth and contribution from its acquired European business.
• Profitability improved meaningfully, with gross margin rising to 31.8% and non-GAAP operating margin expanding to 19.6%, reflecting better product mix, supply chain optimization, and operating leverage.
• Management said its Nexus smart manufacturing hub is now fully operational, and it should boost self-manufacturing capacity, quality control, speed of decision-making, and protection of proprietary technology.
• The company highlighted a favorable regulatory backdrop in markets like the U.K., arguing that tighter rules on combustible cigarettes and higher compliance barriers could help established players like RLX gain share in regulated vape markets.
• RLX said it remains focused on Europe and Asia, entered two new markets in Southeast Asia and Europe during the quarter, and is still selective on M&A while not pursuing an immediate U.S. launch or large-scale HNB investment.

RLX Technology Trading Up 0.2%

RLX stock opened at $2.11 on Thursday. The stock has a market capitalization of $3.26 billion, a P/E ratio of 23.39 and a beta of 1.16. RLX Technology has a 12 month low of $1.95 and a 12 month high of $2.84. The firm has a 50-day moving average price of $2.18 and a 200-day moving average price of $2.30.

Wall Street Analyst Weigh In

Several equities research analysts recently weighed in on the stock. Wall Street Zen raised shares of RLX Technology from a “sell” rating to a “hold” rating in a research report on Saturday, March 28th. Weiss Ratings reissued a “hold (c)” rating on shares of RLX Technology in a report on Tuesday, April 21st. Finally, Citigroup dropped their target price on shares of RLX Technology from $2.60 to $2.50 and set a “neutral” rating for the company in a report on Monday, March 16th. Two investment analysts have rated the stock with a Hold rating, According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $2.50.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in RLX. Schonfeld Strategic Advisors LLC bought a new position in shares of RLX Technology in the fourth quarter worth about $26,000. Insigneo Advisory Services LLC bought a new position in RLX Technology in the 4th quarter valued at approximately $29,000. SmartHarvest Portfolios LLC bought a new position in RLX Technology in the 4th quarter valued at approximately $40,000. BNP Paribas Financial Markets bought a new position in RLX Technology in the 3rd quarter valued at approximately $60,000. Finally, Cresset Asset Management LLC bought a new position in RLX Technology in the 3rd quarter valued at approximately $66,000. Institutional investors own 22.68% of the company’s stock.

About RLX Technology

RLX Technology Inc (NYSE:RLX) is a China-based company specializing in electronic nicotine delivery systems. The company develops, manufactures and markets closed-pod vaping devices and prefilled cartridges, positioning its products as an alternative to traditional combustible tobacco. RLX emphasizes consistent nicotine delivery, flavor variety and convenience through its proprietary e-liquid formulations and device design.

RLX operates a vertically integrated business model that encompasses research and development, production, quality control and sales.