Core Viewpoint - The stock has experienced a significant decline, losing three quarters of its value over the last five years, with no indication of recovery in sight [1] Summary by Relevant Sections - Stock Performance - The stock has lost 75% of its value over the past five years, indicating a severe downturn [1] - Market Outlook - There appears to be no end to the stock's decline, suggesting ongoing challenges for the company [1]

Economic Outlook - China's 2026 GDP growth target is set at 4.5% to 5%, the lowest since the early 1990s, reflecting a "grave and complex" economic climate as described by Premier Li Qiang [2] - This target follows three consecutive years of around 5% goals, which were met despite challenges from COVID-19 and tariffs [3] Market Reaction - U.S.-listed Chinese tech stocks experienced declines, with Alibaba falling 2.55% to $129.87, NIO down 1.24% to $4.78, and JD.com decreasing 1.73% to $24.96 in premarket trading [4] - The Hang Seng TECH Index also retreated by 0.69% to 4,796.33 [4] Industry Challenges - China's factory activity contracted for the second consecutive month in February, influenced by an extended holiday that disrupted production [5] - Energy access is tightening, with the loss of discounted Venezuelan oil and disruptions to Iranian supplies adding pressure [5] Company-Specific Issues - JD.com reported a 1.5% year-over-year revenue increase to $50.38 billion, but marketing expenses surged by 50.6% to $3.6 billion, leading to a decline in adjusted operating margin to negative 0.9% from 3.0% a year earlier due to competitive pressures [7]

Core Viewpoint - JD Group reported a revenue of 352.3 billion yuan for Q4 2025 and a total annual revenue of 1,309.1 billion yuan, reflecting a growth of approximately 13.0% compared to 2024. However, due to investments in new businesses, profits declined significantly [1]. Group 1: Financial Performance - In 2025, JD Group's non-GAAP net profit was 27 billion yuan, down from 47.8 billion yuan in 2024. The non-GAAP operating profit for 2025 was 9.6 billion yuan, compared to 44 billion yuan in 2024, with an operating profit margin of 0.7% in 2025 versus 3.8% in 2024 [1]. - JD Retail achieved a revenue of 1,126.4 billion yuan in 2025, up from 1,015.9 billion yuan in 2024, with an operating profit of 51.4 billion yuan in 2025, compared to 41.1 billion yuan in 2024. The operating profit margin for JD Retail was 4.6% in 2025, compared to 4.0% in 2024 [1]. Group 2: Business Expansion and User Growth - JD Group's CEO highlighted strong user growth and increased shopping frequency, with the core retail business showing resilience despite intense competition. The new business segments, including JD Delivery and JD X, are expanding steadily, with losses narrowing each quarter [2]. - JD Delivery has gained over 240 million users in its first year, achieving a market share of over 15%. The company aims to increase this share to 30% by the end of 2026 [3]. Group 3: Technological Investment - JD's R&D expenditure reached 6.7 billion yuan in Q4 2025, a 52.0% increase from 4.4 billion yuan in Q4 2024. The total R&D spending for 2025 was 22.2 billion yuan, up 30.5% from 17 billion yuan in 2024 [6]. - The company has implemented AI across over 2,000 business scenarios, enhancing operational efficiency and user experience [6][7]. Group 4: International Expansion - JD's European online retail business, Joybuy, began trial operations in several countries and is set to officially launch in March 2026. The logistics network includes nearly 200 overseas warehouses covering 25 countries [9]. - JD Express has launched services in multiple European countries, offering same-day and next-day delivery options, along with diverse services for consumers [9]. Group 5: Human Resources and Employee Welfare - JD's total human resources expenditure reached 157.2 billion yuan in 2025, an increase of 33.7 billion yuan from 2024. The company has provided housing for frontline employees and plans to invest 22 billion yuan over the next five years to improve living conditions [11].

Financial Data and Key Metrics Changes - In Q4 2025, total revenues grew by 2% year-on-year to RMB 352 billion, while full-year revenues increased by 13% to RMB 1.3 trillion [19][20] - Non-GAAP net profit for Q4 was RMB 1.1 billion, with a full-year net income of RMB 27 billion, representing a non-GAAP net margin of 0.3% and 2.1% respectively [27][19] - JD Retail's operating margin improved by 52 basis points to 4.6% for the full year, despite a temporary decline in Q4 [24][19] Business Line Data and Key Metrics Changes - JD Retail revenues decreased by 2% year-on-year in Q4 but increased by 11% for the full year, with a notable margin expansion [22][24] - General merchandise revenue grew by 12.1% in Q4 and 15.3% for the full year, driven by strong performance in supermarkets, fashion, and healthcare [10][21] - Advertising revenues increased by 15% in Q4 and 18.9% for the full year, supported by enhanced traffic allocation and AI-driven efficiencies [11][21] Market Data and Key Metrics Changes - The electronics and home appliances category saw a revenue decline of 12% in Q4 but a growth of 7% for the full year, impacted by a high trading base [20][21] - Service revenues grew by 20% year-on-year in Q4 and 24% for the full year, primarily driven by JD Food Delivery [21][22] - JD Logistics revenues increased by 22% year-on-year in Q4 and 19% for the full year, with contributions from food delivery [25][22] Company Strategy and Development Direction - The company is focusing on diversifying growth drivers and profit streams while investing in R&D and new business initiatives [19][24] - Strategic investments are being made in high-potential segments such as JD Food Delivery and international expansion, with a commitment to sustainable growth [14][13] - The integration of AI across operations is seen as a key driver for enhancing user experience and operational efficiency [15][17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining user growth and engagement, with expectations for continued momentum in 2026 [18][19] - The company anticipates a recovery in the electronics and home appliances category in the second half of 2026, despite short-term challenges [36][37] - Regulatory oversight is viewed as a catalyst for healthy industry growth, with a commitment to compliance and sustainable business practices [63][64] Other Important Information - The company declared a total annual cash dividend of approximately $1.4 billion for 2025, representing $0.005 per ordinary share [19] - Share buybacks amounted to $3 billion in 2025, representing 6.3% of total outstanding shares [20] - JD Food Delivery has shown consistent improvement in loss reduction and is expected to continue scaling while enhancing unit economics [12][44] Q&A Session Summary Question: JD Retail growth outlook for 2026 - Management expects general merchandise to maintain healthy growth, while electronics may face challenges in the first half but improve in the second half of 2026 [33][36] Question: Path to unit economics improvement in food delivery - JD Food Delivery is focused on scaling while improving operational efficiency, with expectations for reduced investment in 2026 compared to 2025 [38][44] Question: Updates on Ceconomy acquisition and Joybuy positioning - The Ceconomy deal is under regulatory review, and Joybuy is set to launch in March, aiming to build a strong logistics network in Europe [46][47] Question: General merchandise growth amid competition - Management is confident in the general merchandise category's growth, driven by supply chain capabilities and user engagement [51][52] Question: Regulatory environment for internet platforms - Management welcomes regulatory guidance as a means to foster healthy industry growth and emphasizes compliance as a core business principle [63][64]

Financial Data and Key Metrics Changes - Total net revenues for Q4 increased by 2% year-on-year to RMB 352 billion, while full-year revenues grew by 13% to RMB 1.3 trillion [20] - Non-GAAP net profit for Q4 was RMB 1.1 billion, reflecting resilience despite short-term headwinds in electronics and home appliances [19] - JD Retail's operating margin improved by 52 basis points to 4.6% for the full year, with a consistent growth trajectory from 2.7% in 2019 [24] Business Line Data and Key Metrics Changes - JD Retail revenues decreased by 2% year-on-year in Q4 but increased by 11% for the full year, driven by growth in general merchandise and advertising revenues [22] - General merchandise revenue grew by 12.1% year-on-year in Q4 and 15.3% for the full year, with strong performance in supermarkets and fashion categories [10][21] - Advertising revenues increased by 15% in Q4 and 19% for the full year, supported by enhanced traffic allocation and AI-driven algorithms [11][21] Market Data and Key Metrics Changes - Monthly active customers grew by 30% year-on-year in Q4, surpassing 700 million annual active customers [6] - User shopping frequency surged by over 40% year-on-year for the full year, indicating strong engagement across all user groups [8] - JD Food Delivery maintained steady order momentum while reducing total investment by nearly 20% quarter-on-quarter [12] Company Strategy and Development Direction - The company is focused on leveraging supply chain capabilities to enhance user experience and operational efficiency, positioning itself for sustainable growth [6][14] - Strategic investments in R&D and technology are aimed at maintaining competitive advantages and driving future growth [14][41] - The company is committed to expanding its presence in new markets and business initiatives, including JD Food Delivery and Joybuy in Europe [13][43] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving healthy growth in 2026, driven by robust user engagement and improved operational efficiency [34][40] - The company anticipates a recovery in the electronics and home appliances category in the second half of 2026, despite facing a high base effect in the first half [32] - Regulatory oversight is viewed as a catalyst for healthy industry growth, with the company committed to compliant operations [58] Other Important Information - The board approved a total annual cash dividend of approximately US $1.4 billion for 2025, representing $0.005 per ordinary share [19] - The company repurchased about 6.3% of its outstanding shares for a total of $3 billion in 2025, reflecting confidence in long-term development [20] Q&A Session Questions and Answers Question: What is the growth outlook for JD Retail in 2026? - Management expects healthy growth in JD Retail, particularly in general merchandise, with a robust recovery anticipated in the second half of 2026 [32] Question: How will JD Food Delivery improve unit economics compared to competitors? - JD Food Delivery aims to enhance operational efficiency and revenue generation while leveraging supply chain advantages and maintaining a focus on high-quality service [35]

Financial Performance - Net revenues for Q4 2025 were RMB352.3 billion (US$50.4 billion), a 1.5% increase year-on-year, while full-year revenues reached RMB1,309.1 billion (US$187.2 billion), up 13.0% from 2024[4] - The net loss attributable to ordinary shareholders for Q4 2025 was RMB2.7 billion (US$0.4 billion), compared to a net income of RMB9.9 billion in Q4 2024; full-year net income was RMB19.6 billion (US$2.8 billion), down from RMB41.4 billion in 2024[4] - For the full year 2025, net revenues increased by 13.0% to RMB1,309.1 billion (US$187.2 billion), with net product revenues up 10.3% and net service revenues up 23.6%[35] - JD Retail net revenues for Q4 2025 were RMB 301,902 million, a decrease of 1.7% year-over-year, while total consolidated net revenues increased by 1.5% to RMB 352,284 million[48] - Total net revenues for the year ended December 31, 2025, reached RMB 1,309,085 million, reflecting a 13.0% year-over-year increase[50] Operating Income and Expenses - JD Retail reported an operating income of RMB9.8 billion (US$1.4 billion) for Q4 2025, with an operating margin of 3.2%, and full-year operating income of RMB51.4 billion (US$7.4 billion) with a margin of 4.6%[4] - Fulfillment expenses increased by 20.7% to RMB24.3 billion (US$3.5 billion) for Q4 2025, representing 6.9% of net revenues, up from 5.8% in Q4 2024[23] - Marketing expenses rose by 50.6% to RMB25.3 billion (US$3.6 billion) for Q4 2025, accounting for 7.2% of net revenues, compared to 4.9% in Q4 2024[24] - Research and development expenses grew by 52.0% to RMB6.7 billion (US$1.0 billion) for Q4 2025, making up 1.9% of net revenues, up from 1.3% in Q4 2024[25] - The company reported a loss from operations of RMB5.8 billion (US$0.8 billion) for Q4 2025, with an operating margin of negative 1.7%, down from a positive 2.4% in Q4 2024[27] Cash Flow and Financial Position - Free cash flow for the full year 2025 was RMB6.5 billion (US$926 million), significantly lower than RMB43.7 billion in 2024[45] - Free cash flow for Q4 2025 was RMB 17,310 million (US$ 2,475 million), down from RMB 23,470 million in Q4 2024[70] - Operating cash flow for the trailing twelve months (TTM) as of Q4 2025 was RMB 51.1 billion, a decrease from RMB 58.1 billion in Q4 2024[73] - Cash and cash equivalents increased to RMB 137.5 billion (approximately US$ 19.7 billion) as of December 31, 2025, compared to RMB 108.4 billion as of December 31, 2024[63] - The company reported a net cash increase of RMB 24,290 million (US$ 3,473 million) in Q4 2025, compared to RMB 10,760 million in Q4 2024[70] Shareholder Returns and Equity - The company announced an annual cash dividend of US$0.5 per ordinary share, totaling approximately US$1.4 billion, payable around April 23, 2026[6] - The company's total shareholders' equity decreased to RMB 293.8 billion (approximately US$ 42.0 billion) as of December 31, 2025, from RMB 312.8 billion as of December 31, 2024[64] - The weighted average number of diluted shares for Q4 2025 was 2,939 million, down from 3,041 million in Q4 2024[69] Business Developments - JD Food Delivery showed healthy development with a narrowing of total investment and improved user experience, while 7Fresh Kitchen operated 30 stores in Beijing by the end of Q4 2025[17] - JD's AI-powered digital human JoyStreamer surpassed 50,000 merchants by the end of Q4 2025, and the AI customer service system handled over 4.2 billion inquiries during the 2025 11.11 Grand Promotion[11] - JD Industrials was listed on the Hong Kong Stock Exchange, raising approximately RMB2.6 billion to enhance industrial supply chain capabilities[15] - JD.com plans to continue expanding its technology and infrastructure offerings as part of its Retail as a Service strategy to enhance productivity across various industries[54] - The company plans to continue investing in technology and market expansion to enhance its competitive position in the e-commerce sector[66] Non-GAAP Measures - Non-GAAP measures, including non-GAAP income from operations and EBITDA, are used by management to evaluate performance and are expected to provide investors with a clearer view of the company's operational health[55] - Non-GAAP net income attributable to the Company's ordinary shareholders for Q4 2025 was RMB 1,084 million (US$ 155 million), a significant decrease from RMB 11,294 million in Q4 2024[69] - Non-GAAP operating margin for Q4 2025 was 0.3%, down from 3.0% in Q4 2024, reflecting operational challenges[75] - Non-GAAP EBITDA for Q4 2025 was negative RMB 823 million, a decline from RMB 12,529 million in Q4 2024[75] Impairments and Liabilities - The company experienced an impairment of goodwill and long-lived assets amounting to RMB 1,303 million in Q4 2025, compared to RMB 2,361 million in Q4 2024[75] - Total liabilities rose to RMB 401.4 billion (approximately US$ 57.4 billion) as of December 31, 2025, up from RMB 384.9 billion as of December 31, 2024[64]

The following document has been prepared by JD.com, Inc. ("JD" or the "Company") solely for informational purposes and should not be construed to be, directly or indirectly, in whole or in part, an offer to buy or sell and/or an invitation and/or a recommendation and/or a solicitation of an offer to buy or sell any security or instrument or to participate in any investment or trading strategy, nor shall any part of it form the basis of, or be relied on in connection with, any contract or investment decision ...

Core Insights - JD.com reported its first quarterly loss in over three years, indicating significant challenges faced by the company in the current market environment [1] Company Performance - The loss is attributed to the ongoing food-delivery subsidy war in China, which has negatively impacted the e-commerce giant's financial performance [1]

Core Insights - JD.com experienced a significant decline in quarterly profit despite a revenue increase of 1.5% [1] Financial Performance - The company reported a steep fall in quarterly profit [1] - Revenue rose by 1.5% compared to the previous period [1]

發行人所發行上市權證/可轉換債券的相關信息 發行人所發行上市權證/可轉換債券 不適用 其他信息 其他信息 不適用 發行人董事 於本公告日期，董事會包括主席劉強東先生、執行董事許冉女士、獨立董事Caroline SCHEUFELE女士、李恩祐女士、丁琨女士、 余雅頴女士、黃明先生、謝東螢先生及許定波先生。 第 2 頁 共 2 頁 v 1.1.1 第 1 頁 共 2 頁 v 1.1.1 EF001 EF001 免責聲明 | 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責，對其準確性或完整性亦不發表任何聲明，並明確表示，概不對因 | | | --- | --- | | 公告全部或任何部份內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 | | | 股票發行人現金股息公告 | | | 發行人名稱 | 京東集團股份有限公司 | | 股份代號 | 09618 | | 多櫃檯股份代號及貨幣 | 89618 RMB | | 相關股份代號及名稱 | 不適用 | | 公告標題 | 截至2025年12月31日止年度股息 | | 公告日期 | 2026年3月5日 | | 公告狀態 | 新公告 | | ...