JD(09618)2025-05-13 09:02Financial Performance - For Q1 2025, JD.com reported revenue of RMB 301.1 billion (USD 41.5 billion), an increase of 15.8% compared to Q1 2024[8] - Operating profit for Q1 2025 was RMB 10.5 billion (USD 1.5 billion), with an operating profit margin of 3.5%, up from 3.0% in Q1 2024[8] - Net profit attributable to ordinary shareholders for Q1 2025 was RMB 10.9 billion (USD 1.5 billion), resulting in a net profit margin of 3.6%, compared to 2.7% in Q1 2024[8] - The diluted earnings per American depositary share for Q1 2025 was RMB 7.19 (USD 0.99), an increase from RMB 4.53 in Q1 2024[8] - Total revenue for the three months ending March 31, 2025, was RMB 301,082 million (USD 41,490 million), an increase of 15.8% year-over-year from RMB 260,049 million[27] - Net profit attributable to ordinary shareholders for the three months ended March 31, 2025, was RMB 10,890 million, up 53.5% from RMB 7,130 million in the same period of 2024[42] - Basic earnings per share for the three months ended March 31, 2025, was RMB 3.76, compared to RMB 2.28 for the same period in 2024, reflecting a 65.8% increase[42] - Operating profit increased by 36.8% to RMB 10.5 billion (USD 1.5 billion) in Q1 2025, with an operating profit margin of 3.5%[20] - Revenue from JD Retail for the three months ending March 31, 2025, was RMB 263,845 million (USD 36,359 million), reflecting a year-over-year growth of 16.3%[28] - JD Logistics reported revenue of RMB 46,967 million (USD 6,472 million) for the three months ending March 31, 2025, representing an 11.5% increase year-over-year[28] Cost and Expenses - Operating costs rose by 15.0% to RMB 253.2 billion (USD 34.9 billion) in Q1 2025, compared to RMB 220.3 billion in Q1 2024[16] - R&D expenses increased by 14.6% to RMB 4.6 billion (USD 0.6 billion) in Q1 2025, accounting for 1.5% of revenue[17] - Research and development expenses for the three months ended March 31, 2025, were RMB 4,621 million, an increase from RMB 4,034 million in the same period of 2024[42] Cash Flow and Liquidity - Free cash flow in Q1 2025 was RMB -21.6 billion (USD -2.98 billion), compared to RMB -15.5 billion in Q1 2024[23] - Cash and cash equivalents totaled RMB 203.4 billion (USD 28.0 billion) as of March 31, 2025, down from RMB 241.4 billion at the end of 2024[23] - Cash and cash equivalents as of March 31, 2025, were RMB 96,778 million, down from RMB 108,350 million as of December 31, 2024[39] - Total current assets as of March 31, 2025, were RMB 357,230 million, down from RMB 386,698 million as of December 31, 2024[39] - The company reported a net cash flow from operating activities of RMB (11,315) million, compared to RMB (18,262) million for the same period in 2025[45] - JD.com experienced a free cash flow of RMB (15,476) million for the three months ended March 31, 2024, which worsened to RMB (21,603) million in 2025[45] Business Strategy and Expansion - JD.com launched a plan to procure no less than RMB 200 billion worth of goods for export-to-domestic sales, aiming to enhance domestic market offerings[10] - The company expanded into the food delivery business in February 2025, leveraging its existing retail ecosystem to meet diverse consumer needs[12] - The company emphasized ongoing collaboration with brands like Xiaomi to enhance product innovation and marketing strategies[10] - JD Logistics expanded its international operations, launching a new route between Shenzhen and Bangkok and opening a warehouse in Warsaw, Poland[14] - The company plans to continue expanding its technology and infrastructure offerings to enhance retail efficiency and innovation across various industries[32] - The company is actively considering acquisitions, investments, and partnerships as part of its growth strategy[38] Market and Competitive Environment - The company is focused on enhancing customer retention and increasing repeat purchases to drive revenue growth[38] - Future business development and financial performance are influenced by competition in the Chinese e-commerce market[38] - Forward-looking statements regarding business outlook and strategic plans are subject to risks and uncertainties, including market trends and regulatory changes[38] Non-GAAP Financial Metrics - The company utilizes non-GAAP financial metrics such as operating profit/loss, net profit/loss attributable to common shareholders, and EBITDA to assess operational performance[34] - Non-GAAP operating profit/loss excludes stock-based compensation, intangible asset amortization from acquisitions, and other non-recurring items, providing a clearer view of ongoing operations[35] - Free cash flow is defined as operating cash flow adjusted for the impact of consumer credit receivables and capital expenditures, which include property and equipment purchases[35] - Non-GAAP EBITDA reflects the company's ongoing operational performance and allows for meaningful period comparisons[35] - The management believes that non-GAAP financial metrics provide useful information for investors to understand the company's current performance and future prospects[35] - The company emphasizes that non-GAAP financial metrics may differ from those used by peers, limiting comparability[36]