What happened 

Shares of Baozun (NASDAQ:BZUN) climbed 27.1% last month, according to data from S&P Global Market Intelligence. A solid first-quarter report and positive developments in trade talks between China and the U.S. probably contributed to the gains. 

So what 

Baozun's first-quarter total revenue jumped 40% year over year to 1.29 billion yuan ($191.7 million), driven by a 34% rise in product sales and a 45% increase in services revenue. Baozun added 15 net new brands during the quarter, bringing its total number of brand partners to 200 -- a figure that represents a 28% increase from the prior-year quarter. 

"Our cutting-edge omnichannel solutions, integrated retail operating support system, big data-driven analytics, and highly targeted digital marketing services are all able to seamlessly empower our brand partners to make better business decisions, improve operating efficiency, and benefit from the enormous growth potential they have," Chairman and CEO Vincent Qiu said during a conference call with analysts.

All told, Baozun's operating income leapt 61% to 45.8 million yuan ($6.8 million), and its net income soared 128% to 34 million yuan ($5.1 million), or $0.08 per American depositary share. 

A digital shopping cart on top of a digital map of the world

Global brands are increasingly turning to Baozun for their e-commerce needs in China. Image source: Getty Images.

Now what 

In addition to its solid first-quarter results, Baozun's stock is probably benefiting from the recent progress in trade talks between the U.S. and China. As a platform that helps U.S.-based and other international brands grow their e-commerce sales in China, Baozun stands to benefit from any agreement that helps to mend trade relations between the world's two most powerful nations.

Baozun's stock is up an additional 5% so far in July, and if a trade deal is reached, its shares could enjoy even more gains in the coming months.