Core Viewpoint - JD Logistics has shown significant growth in its revenue for 2025, driven by the rapid expansion of its instant delivery services, which is reflected in the stock price increase and positive market sentiment [5]. Group 1: Financial Performance - JD Logistics reported a revenue growth of 18.8% year-on-year for 2025, which is notably higher than the 9.7% growth recorded in 2024 [5]. - The company's stock price increased by 3.84%, reaching HKD 14.06, with a trading volume of HKD 163 million [5]. Group 2: Business Strategy - Starting from Q2 2025, JD Logistics began recruiting and managing full-time delivery riders to enhance its delivery capabilities [5]. - In Q4 2025, the company acquired 100% ownership of a wholly-owned subsidiary of JD Group that was engaged in local instant delivery services, thereby increasing its delivery capacity [5]. Group 3: Market Expansion - JD Group announced the launch of a new online retail brand, Joybuy, in Europe, targeting markets in the UK, Germany, the Netherlands, France, Belgium, and Luxembourg [5]. - JD Logistics is currently operating over 60 warehouses and delivery stations in Europe to support the Joybuy brand [5].

Core Viewpoint - JD Logistics (02618) has shown a significant stock increase of over 4%, attributed to strong revenue growth projections for 2025, driven by the rapid expansion of its instant delivery services [1] Group 1: Financial Performance - JD Logistics is projected to achieve an 18.8% year-on-year revenue growth in 2025, which is notably higher than the 9.7% growth rate in 2024 [1] - The company plans to recruit and manage full-time delivery riders starting from Q2 2025, enhancing its delivery capabilities [1] Group 2: Strategic Developments - In Q4 2025, JD Logistics will acquire 100% ownership of a subsidiary engaged in local instant delivery services, further boosting its delivery capacity [1] - JD Group has launched a new online retail brand, Joybuy, in Europe, targeting markets in the UK, Germany, the Netherlands, France, Belgium, and Luxembourg [1] Group 3: Operational Expansion - JD Logistics has established over 60 warehouses and delivery stations in Europe to support the operations of Joybuy [1] - The company has successfully doubled its self-operated overseas warehouse area in 2025, with a total management area nearing 2 million square meters, covering 25 countries and regions globally [1] - Positive progress has been reported in the Americas, Europe, the Middle East, and Asia-Pacific, driving high growth in overseas business [1]

Core Viewpoint - JD Logistics (02618) has seen a stock price increase of over 4%, currently at HKD 14.14, with a trading volume of HKD 123 million. The company has disclosed its 2025 performance data, indicating a significant revenue growth driven by its instant delivery business [1]. Group 1: Financial Performance - JD Logistics is projected to achieve a revenue growth of 18.8% year-on-year in 2025, which is notably higher than the 9.7% growth rate in 2024 [1]. - The company has begun recruiting and managing full-time delivery riders starting from Q2 of 2025, which is expected to enhance its delivery capabilities [1]. Group 2: Strategic Developments - In Q4 of 2025, JD Logistics acquired 100% ownership of a wholly-owned subsidiary of JD Group that is engaged in local instant delivery services, thereby increasing its delivery capacity [1]. - JD Group has launched a new online retail brand, Joybuy, in Europe, targeting markets in the UK, Germany, the Netherlands, France, Belgium, and Luxembourg [1]. Group 3: Operational Expansion - JD Logistics has established over 60 warehouses and delivery stations in Europe to support the operations of Joybuy [1]. - The company has successfully doubled its self-operated overseas warehouse area in 2025, with a total management area of nearly 2 million square meters, covering 25 countries and regions globally [1]. - Positive progress has been made in the Americas, Europe, the Middle East, and Asia-Pacific regions, driving high growth in overseas business [1].

Core Viewpoint - In 2025, JD Logistics is projected to achieve a revenue of 217.147 billion yuan, representing an 18.8% year-on-year growth, while adjusted net profit is expected to decline by 2.6% to 7.711 billion yuan [1] Revenue Growth - The revenue growth in 2025 is significantly higher than the 9.7% growth in 2024, primarily driven by the rapid increase in instant delivery services [1] - Revenue from JD Group is expected to reach 80.31 billion yuan, a 45.9% increase year-on-year, while revenue from external customers is projected to be 136.83 billion yuan, growing by 7.1% [1] - The proportion of revenue from external customers has decreased to approximately 63% [1] Cost and Profitability - Operating costs for 2025 are estimated at 164.1 billion yuan, reflecting a 20.3% increase, slightly outpacing revenue growth [2] - The gross margin is expected to decline from 10.2% in the previous year to 9.1% due to high employee compensation and outsourcing costs, which increased by 29.8% and 16.4% respectively [2] - The company anticipates that profit margins will improve as the scale effects of the instant delivery business materialize [2] International Expansion - The company successfully doubled its self-operated overseas warehouse area in 2025, enhancing its fulfillment capabilities with a total management area of nearly 2 million square meters across 25 countries and regions [2] - Positive progress has been made in the Americas, Europe, the Middle East, and Asia-Pacific, driving high growth in overseas business [2] Profit Forecast and Investment Rating - The company expects continued improvement in performance as the scale effects of the instant delivery business are gradually realized [2] - Projected net profits for 2026-2028 are 8.0 billion, 9.28 billion, and 10.32 billion yuan, with corresponding price-to-earnings ratios of 10.4X, 9.0X, and 8.1X, maintaining a "recommend" rating [2]

Investment Rating - The report maintains a "Recommended" investment rating for JD Logistics (02618.HK) [1] Core Views - JD Logistics achieved a net profit of 7.71 billion in 2025, focusing on integrated supply chain development and expanding overseas operations [1] - The company reported total revenue of 217.15 billion in 2025, representing an 18.8% year-on-year growth [7] - The report highlights the growth in revenue from external customers, which reached 136.8 billion, a 7.1% increase, while revenue from JD Group surged by 46% to 80.3 billion [7] - The company aims to enhance its global presence, having doubled its self-operated overseas warehouse area and launched the JoyExpress brand in key international markets [7] Financial Summary - **Revenue and Profit Forecasts**: - Total revenue for 2025 was 217.15 billion, with projections of 262.80 billion for 2026 and 286.30 billion for 2027 [3] - Net profit attributable to shareholders for 2025 was 6.65 billion, expected to rise to 8.48 billion in 2026 and 9.87 billion in 2027 [3] - Non-GAAP net profit for 2025 was 7.71 billion, with forecasts of 9.61 billion for 2026 and 11.06 billion for 2027 [3] - **Profitability Metrics**: - The gross profit margin for 2025 was 9.1%, a decrease of 1.1 percentage points year-on-year [7] - The adjusted net profit margin was 3.55%, down by 0.8 percentage points from the previous year [7] - **Valuation Metrics**: - The report suggests a target price of 19.6 HKD per share, indicating a potential upside of 44% from the current price of 13.64 HKD [4] - The price-to-earnings (P/E) ratio is projected to be 12 for 2026, decreasing to 8 by 2028 [3] Operational Highlights - The company operates over 1,600 warehouses with a total management area exceeding 34 million square meters, enhancing its integrated supply chain capabilities [7] - JD Logistics has expanded its customer base, reaching 91,161 external integrated supply chain clients, a 13% increase year-on-year [7] - The report emphasizes the importance of the last-mile delivery service, which has been significantly improved through the integration of instant delivery services [7]

Investment Rating - The report maintains a "Recommended" rating for JD Logistics, anticipating continued performance improvement due to the scale effects of its instant delivery business [2][5]. Core Insights - JD Logistics achieved a revenue of 217.15 billion yuan in 2025, representing a year-on-year growth of 18.8%, significantly higher than the 9.7% growth in 2024. This growth is primarily driven by the rapid increase in its instant delivery business [1][2]. - The company’s adjusted net profit for 2025 was 7.71 billion yuan, a slight decline of 2.6% year-on-year, with a notable profit of 2.35 billion yuan in Q4 2025, reflecting a 5.7% increase compared to the previous year [1][2]. - Revenue from JD Group reached 80.31 billion yuan, up 45.9% year-on-year, while revenue from external customers was 136.83 billion yuan, growing by 7.1%. The proportion of revenue from external customers decreased to approximately 63% [1][2]. Financial Performance Summary - The operating costs for 2025 were 164.1 billion yuan, an increase of 20.3%, slightly outpacing revenue growth. Key cost drivers included employee salaries and outsourcing costs, which rose by 29.8% and 16.4%, respectively [2]. - The gross profit margin for 2025 decreased to 9.1% from 10.2% in the previous year, attributed to the rapid growth in operating costs. However, it is expected that profit margins will improve as the scale effects of the business materialize [2]. - The company successfully doubled its self-operated overseas warehouse area in 2025, enhancing its fulfillment capabilities across 25 countries and regions, contributing to significant growth in its overseas business [2]. Profit Forecast - The forecast for net profit attributable to the parent company for 2026-2028 is 8.0 billion, 9.28 billion, and 10.32 billion yuan, respectively, with corresponding price-to-earnings (PE) ratios of 10.4X, 9.0X, and 8.1X [2][4].

Investment Rating - The report maintains a "Recommended" rating for JD Logistics, anticipating continued performance improvement due to the scale effects of its instant delivery business [2][5]. Core Insights - JD Logistics achieved a revenue of 217.15 billion yuan in 2025, representing an 18.8% year-on-year growth, significantly higher than the 9.7% growth in 2024, primarily driven by the rapid increase in its instant delivery business [1][2]. - The company’s adjusted net profit for 2025 was 7.71 billion yuan, a slight decline of 2.6% year-on-year, with a notable profit of 2.35 billion yuan in Q4 2025, reflecting a 5.7% increase compared to the previous year [1][2]. - Revenue from JD Group reached 80.31 billion yuan, up 45.9% year-on-year, while revenue from external customers was 136.83 billion yuan, growing by 7.1% [1][2]. Financial Performance Summary - The operating costs for 2025 were 164.1 billion yuan, a 20.3% increase, slightly outpacing revenue growth. Employee compensation and outsourcing costs were the main contributors to this increase, with growth rates of 29.8% and 16.4%, respectively [2]. - The gross margin for 2025 decreased to 9.1% from 10.2% in the previous year, attributed to the rapid growth in operating costs [2]. - The company successfully doubled its self-operated overseas warehouse area, enhancing its fulfillment capabilities across 25 countries and regions, contributing to significant growth in overseas business [2]. Profit Forecast - The forecast for net profit attributable to the parent company for 2026-2028 is 8.0 billion, 9.28 billion, and 10.32 billion yuan, respectively, with corresponding price-to-earnings (PE) ratios of 10.4X, 9.0X, and 8.1X [2][4].

Group 1 - The core viewpoint of the article is that due to the recent volatility in the market caused by the Middle East conflict and changing policy directions, investors are advised to avoid stocks affected by this tension, such as shipping and airline stocks [1] - The report suggests that investors should take this opportunity to buy undervalued stocks [1] - Recommended stocks include BYD Company Limited (01211), Weichai Power Co., Ltd. (02338), Minth Group Limited (00425), JD Logistics, Inc. (02618), and Zoomlion Heavy Industry Science and Technology Co., Ltd. (01157) [1]

Core Viewpoint - The report from Daiwa suggests that due to the ongoing Middle East conflict and frequent policy changes by related leaders, the overall market has experienced significant volatility. Investors are advised to avoid stocks affected by the Middle East tensions, such as shipping and airline stocks, and instead consider buying undervalued stocks [1] Group 1: Investment Recommendations - Recommended stocks include BYD Company Limited (002594), Weichai Power Co., Ltd. (000338), Minth Group Limited (00425), JD Logistics, Inc. (02618), and Zoomlion Heavy Industry Science and Technology Co., Ltd. (000157) [1]

Core Viewpoint - The report from Daiwa highlights significant market volatility due to the Middle East conflict and frequent policy changes by related leaders, suggesting investors avoid stocks affected by this tension and instead focus on undervalued stocks [1] Group 1: Market Conditions - The overall market has experienced severe fluctuations recently due to the ongoing Middle East war [1] - Investors are advised to steer clear of stocks impacted by the Middle East tensions, particularly in the shipping and airline sectors [1] Group 2: Investment Recommendations - Daiwa recommends taking advantage of the current situation to buy undervalued stocks [1] - Specific stock recommendations include BYD, Weichai Power, Minth Group, JD Logistics, and Zoomlion [1]