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Diversification was a major theme in the latest financial results from recycling specialist ATRenew Inc. (RERE.US), which is trying to broaden beyond its early focus on iPhones to expand into rival Android-based products and even other areas like luxury goods. At the same time, the company is trying to broaden its reach in its core area by moving beyond simply buying and reselling secondhand smartphones, to refurbishing them to sell for bigger profits.
Signs that such initiatives were beginning to bear fruit were sprinkled throughout the company’s third-quarter earnings report released last Wednesday just before the Thanksgiving holiday. Investors didn’t seem too thankful, at least not initially, with ATRenew’s shares dropping 5% after the report came out, though they gained most of that back the next trading day.