40% of sales online through WeChat, page-13

Don't listen to any of the AU8 Fanboys that knock you for asking fair questions.

You have raised a good point and one that I have not seen answered properly since the start of this AU8 mania.

Simple answer is - there is NOTHING special about AU8 compared to any other retailer. All this hype about "targeting Daigous" and "having Chinese speaking staff" is all just a smokescreen for the fact they are selling someone elses product at a very low margin, and often at prices higher than what others are selling them for.

In addition, they have much higher overheads than the smaller companies and family owned stores.

My prediction is that they will continue to burn cash and post smaller and smaller profit margins. Revenue counts for nothing if your costs are not under control.