京东物流(02618) - 2025 - 中期业绩

Financial Summary Summarizes the company's financial performance for Q2 and H1 2025, detailing revenue, gross profit, and non-IFRS profit trends Financial Performance for the Three Months Ended June 30 JD Logistics' Q2 2025 revenue grew by 16.6% year-over-year to RMB 51.6 billion, with gross profit up 4.3% and profit for the period up 4.6%, while non-IFRS profit and EBITDA margins slightly decreased Financial Performance for the Three Months Ended June 30 | Metric | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-over-year change | | :--- | :--- | :--- | :--- | | Revenue | 51,564,661 | 44,207,421 | 16.6% | | Gross Profit | 5,479,117 | 5,252,911 | 4.3% | | Profit Before Tax | 2,555,615 | 2,486,100 | 2.8% | | Profit for the Period | 2,348,544 | 2,245,043 | 4.6% | | Non-IFRS Profit for the Period | 2,587,585 | 2,455,535 | 5.4% | | Non-IFRS Profit Margin | 5.0% | 5.6% | (0.5) percentage points | | Non-IFRS EBITDA | 5,719,323 | 5,633,097 | 1.5% | | Non-IFRS EBITDA Margin | 11.1% | 12.7% | (1.7) percentage points | Financial Performance for the Six Months Ended June 30 In H1 2025, JD Logistics' total revenue reached RMB 98.5 billion, growing 14.1% year-over-year, with profit for the period up 15.3% and non-IFRS profit up 7.1%, despite slight decreases in non-IFRS profit and EBITDA margins Financial Performance for the Six Months Ended June 30 | Metric | 2025 (RMB thousands) | 2024 (RMB thousands) | Year-over-year change | | :--- | :--- | :--- | :--- | | Revenue | 98,531,786 | 86,344,759 | 14.1% | | Gross Profit | 8,866,295 | 8,484,133 | 4.5% | | Profit Before Tax | 3,298,755 | 2,889,199 | 14.2% | | Profit for the Period | 2,959,157 | 2,567,348 | 15.3% | | Non-IFRS Profit for the Period | 3,339,048 | 3,118,186 | 7.1% | | Non-IFRS Profit Margin | 3.4% | 3.6% | (0.2) percentage points | | Non-IFRS EBITDA | 9,475,513 | 9,283,156 | 2.1% | | Non-IFRS EBITDA Margin | 9.6% | 10.8% | (1.1) percentage points | - The Board of Directors does not recommend an interim dividend for the six months ended June 30, 2025[7] CEO's Report Provides an overview of the company's business performance, strategic initiatives, and operational highlights for the first half of 2025 Business Review JD Logistics' total revenue for H1 2025 reached RMB 98.5 billion, a 14.1% year-over-year increase, with external client revenue accounting for 67.1% and non-IFRS profit growing 7.1% through technology, network optimization, and refined management - Total revenue for H1 2025 reached RMB 98.5 billion, a year-over-year increase of 14.1%[9] - Revenue from external clients was RMB 66.1 billion, a year-over-year increase of 10.2%, accounting for 67.1% of total revenue[9] - Non-IFRS profit for H1 2025 reached RMB 3.3 billion, a year-over-year increase of 7.1%[9] Integrated Supply Chain Logistics Solutions and Services JD Logistics continues to enhance its integrated supply chain solutions, with this business segment generating RMB 50.1 billion in H1 2025, a 19.9% year-over-year increase, driven by a 14.5% growth in external integrated supply chain clients and an average revenue of RMB 239,000 per client, alongside domestic and international market expansion - Revenue from integrated supply chain clients reached RMB 50.1 billion in H1 2025, a year-over-year increase of 19.9%[10][14] - Revenue from external integrated supply chain clients reached RMB 17.6 billion, a year-over-year increase of 14.7%[10][14] - The number of external integrated supply chain clients served reached 73,713, a year-over-year increase of 14.5%[10][14] - The average revenue per external integrated supply chain client reached RMB 239,000[10][14] Deepening Domestic Market Cooperation - In the home appliance industry, cooperation with renowned brands expanded from "one inventory for all channels" solutions to "delivery and installation in one" mode, significantly improving damage rates, customer complaint rates, logistics timeliness, and inventory turnover rates[15] - In the apparel industry, warehousing and distribution services were upgraded to three tiered timeliness services: "211 warehousing and distribution, express warehousing and distribution, and preferential warehousing and distribution," combined with industry-specific customization capabilities to help merchants reduce costs, increase efficiency, and enhance customer experience[16] Overseas Business Layout and Expansion - In June 2025, the self-operated express delivery brand "JoyExpress" was launched in Saudi Arabia, offering high-timeliness express services such as door-to-door delivery, cash on delivery, and same-day/next-day delivery, establishing a comprehensive logistics network from warehousing to last-mile delivery[11][17] - Accelerating the "Global Weaving Network" plan, multiple new overseas warehouses were opened in H1 2025 in countries including the US, UK, France, Poland, South Korea, Vietnam, and Saudi Arabia, with overseas warehouses now covering 23 countries and regions globally[11][18][33] - Revenue from overseas integrated supply chain logistics services maintained a rapid growth trend[18] Other Clients In H1 2025, JD Logistics' revenue from other clients, including express and freight services, reached RMB 48.4 billion, an 8.7% year-over-year increase, driven by enhanced express service timeliness, rapid growth in high-value fresh produce delivery, recruitment of full-time riders for JD Waimai, and strong growth in Hong Kong and Macau express business - In H1 2025, revenue from other clients reached RMB 48.4 billion, a year-over-year increase of 8.7%[19] - JD Logistics' express service customer satisfaction consistently ranks among the top tier in the industry, leading in comprehensive express service satisfaction across multiple mainstream e-commerce platforms[12][21] - In Q2 2025, JD Logistics began recruiting and managing full-time riders to participate in JD Waimai delivery services, expecting synergistic effects and efficiency improvements[12][20] Express Delivery Business - For high-value fresh produce, the full-chain logistics solution was upgraded (e.g., "pre-cooling at origin + full-process temperature control + multimodal transport" for lychee season), driving rapid growth in delivery business and market share expansion[12][19] - The Hong Kong Island Operations Center became operational in Q1 2025, significantly improving sorting efficiency and delivery timeliness for Hong Kong express business, leading to rapid growth in express business in Hong Kong and Macau[21] Freight Business - The scale of the freight business (including Deppon Logistics and Kuayue Express) is among the leading positions nationwide[22] - Transport solutions are refined based on industry characteristics, providing stable, reliable, and flexible freight products to achieve business growth and market share expansion[22] Logistics Technology JD Logistics maintains its commitment to technological innovation and investment, with over 4,700 R&D personnel leveraging AI and digital twin technologies to optimize logistics processes, achieving significant advancements in smart warehousing and autonomous driving, and accumulating over 5,000 patents and software copyrights - As of June 30, 2025, the company has over 4,700 professional R&D personnel, continuously investing in automation equipment and artificial intelligence (AI) technologies[13] - As of June 30, 2025, over 5,000 authorized patents and software copyrights have been obtained, with over 3,000 patents in automation and unmanned technologies[25] Smart Warehousing - The independently developed "Zhilang" goods-to-person solution has entered a new phase of nationwide large-scale replication and application, deployed in core cities such as Beijing, Guangzhou, Chengdu, and Fuzhou[24] - The Xintang Phase III warehouse for the Guangzhou apparel industry has implemented the "Zhilang" system, integrating automated handling, multi-tier shelving, flying ladder systems, and intelligent picking workstations, significantly improving order processing efficiency and addressing pain points in the apparel industry[24] Autonomous Driving - Hundreds of autonomous vehicles have been deployed in over ten provinces nationwide, achieving normalized operations for shuttle transportation between stations and road areas[25] - Effectively reduces the number of shuttle trips for delivery personnel, increases pick-up and delivery time, improves pick-up and delivery efficiency, pick-up timeliness, and successful delivery rates, and reduces last-mile operating costs[25] Logistics Infrastructure Network JD Logistics operates a highly collaborative network of six major components, including warehousing, integrated transportation, last-mile delivery, bulky item, cold chain, and cross-border networks, forming the cornerstone for its premium supply chain solutions and logistics services - Possesses a highly collaborative network of six major components: warehousing, integrated transportation, last-mile delivery, bulky item, cold chain, and cross-border networks[26] Warehousing Network - As of June 30, 2025, operates over 1,600 warehouses and over 2,000 cloud warehouses, with a total managed area exceeding 34 million square meters, covering almost all counties and districts nationwide[13][27] - Operates 45 Asia No.1 intelligent industrial parks in 30 cities nationwide, demonstrating industry-leading technological innovation capabilities[27] Integrated Transportation Network - The integrated transportation network includes road, air, sea, and multimodal transport, utilizing algorithmic models and other technologies for intelligent full-chain management and route optimization[28] - As of June 30, 2025, operates nearly 60,000 self-owned transport vehicles, with nearly 4,000 new energy vehicles added in H1[28] - JD Airlines operates 10 self-owned all-cargo aircraft on a regular basis, having opened multiple new international cargo routes in H1, including Shenzhen, China to Bangkok, Thailand, and Chengdu, China to Yangon, Myanmar[28] - Covers over 2,000 air cargo routes and over 700 railway routes through cooperative arrangements[28][29] Last-Mile Delivery Network - As of June 30, 2025, has over 550,000 self-owned delivery and operational personnel, including full-time food delivery riders, operating over 19,000 delivery stations and outlets[13][30] - The network covers over 300 prefecture-level administrative regions across 33 provinces, autonomous regions, municipalities, and special administrative regions in China[30] - Continuously improves the rural penetration network and last-mile service system, enhancing delivery timeliness in rural areas[30] Bulky Item Network - As of June 30, 2025, operates over 200 warehouses and corresponding 200 sorting centers for bulky and heavy goods, with a total managed area exceeding 5 million square meters[31] - Expands network coverage in lower-tier cities using approximately 1,800 bulky item delivery and installation stations under the "JD Bang" brand[31] Cold Chain Network - As of June 30, 2025, operates approximately 60 temperature-controlled cold chain warehouses for fresh, frozen, and refrigerated foods, with an operating area of approximately 400,000 square meters[32] - Operates over 50 specialized warehouses for pharmaceuticals and medical devices, with an operating area exceeding 500,000 square meters[32] - Strengthens timeliness capabilities through a comprehensive cold chain network, specialized packaging design, and optimized consumable solutions, ensuring timely fulfillment and delivery of fresh produce, pharmaceuticals, and other categories[32] Cross-Border Network - As of June 30, 2025, operates over 130 bonded warehouses, direct mail warehouses, and overseas warehouses, with a total managed area exceeding 1.3 million square meters[33] - Overseas warehouses now cover 23 countries and regions globally, with operations established in countries such as the US, UK, France, and Germany[33] - Through the "Global Weaving Network" plan, a global supply chain network is being built with overseas warehouses at its core, including an overseas warehouse network, international transit hubs, local overseas distribution networks, and cross-border trunk transportation networks[33] Corporate Social Responsibility JD Logistics actively fulfills its social responsibilities by leveraging its integrated supply chain logistics advantages to participate in disaster relief and emergency support, while continuously creating employment opportunities, with total human resources expenditure reaching RMB 95.7 billion for the twelve months ended June 30, 2025 - Actively participates in disaster relief and emergency support, such as promptly initiating emergency relief and donating supplies during the Guizhou flood disaster[34] - For the twelve months ended June 30, 2025, total human resources expenditure (including self-owned employees and external personnel) reached RMB 95.7 billion[34] - The company is committed to continuously strengthening its integrated supply chain logistics capabilities, solidifying logistics infrastructure, and deepening the application and innovation of supply chain technology to help reduce overall logistics costs and promote high-quality development of the industrial economy[34] Management Discussion and Analysis Offers a detailed financial analysis of the company's performance for the three and six months ended June 30, 2025, including revenue, costs, and liquidity Financial Analysis for the Three Months Ended June 30 This section provides a detailed analysis of JD Logistics' financial performance for Q2 2025, including revenue composition, operating costs, gross profit, various expenses, and profit for the period, along with their year-over-year changes and key drivers Financial Performance for the Three Months Ended June 30 | Metric | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Revenue | 51,564,661 | 44,207,421 | | Operating Costs | (46,085,544) | (38,954,510) | | Gross Profit | 5,479,117 | 5,252,911 | | Selling and Marketing Expenses | (1,577,063) | (1,367,748) | | Research and Development Expenses | (1,005,668) | (880,807) | | General and Administrative Expenses | (929,561) | (793,799) | | Profit Before Tax | 2,555,615 | 2,486,100 | | Profit for the Period | 2,348,544 | 2,245,043 | Revenue Analysis Revenue by Client Type | Revenue Source | 2025 (RMB thousands) | 2025 (%) | 2024 (RMB thousands) | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | Integrated Supply Chain Clients | 26,906,482 | 52.2 | 21,298,667 | 48.2 | | Other Clients | 24,658,179 | 47.8 | 22,908,754 | 51.8 | | Total | 51,564,661 | 100.0 | 44,207,421 | 100.0 | - Revenue from integrated supply chain clients increased by 26.3% year-over-year to RMB 26.9 billion, primarily driven by increased revenue from JD Group and growth in the number and average revenue per external integrated supply chain client[40] - Revenue from other clients increased by 7.6% year-over-year to RMB 24.7 billion, primarily driven by increased express and freight business volumes[40] Revenue by Customer Type | Client Type | 2025 (RMB thousands) | 2025 (%) | 2024 (RMB thousands) | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | From JD Group | 17,761,054 | 34.4 | 13,533,049 | 30.6 | | From External Clients | 33,803,607 | 65.6 | 30,674,372 | 69.4 | | Total | 51,564,661 | 100.0 | 44,207,421 | 100.0 | Operating Costs Analysis - Operating costs increased by 18.3% year-over-year to RMB 46.1 billion[43] - Staff costs and welfare expenses increased by 20.1% year-over-year to RMB 18.2 billion, primarily driven by an increase in the number of operational employees[43] - Outsourcing costs increased by 20.5% year-over-year to RMB 16.9 billion, primarily driven by increased demand for outsourcing services due to business growth[43] - Other operating costs increased by 20.8% year-over-year to RMB 6.6 billion, primarily driven by increased installation and maintenance service costs, fuel costs, road and bridge tolls, packaging and other consumable material costs, and utility expenses[44] Gross Profit and Gross Profit Margin - Gross profit was RMB 5.5 billion, a year-over-year increase of 4.3%[45] - Gross profit margin was 10.6%, a decrease of 1.3 percentage points from 11.9% in the same period of 2024[45] Selling and Marketing Expenses - Selling and marketing expenses increased by 15.3% year-over-year to RMB 1.6 billion[46] - Primarily driven by the expansion of sales and marketing teams promoting service products[46] Research and Development Expenses - Research and development expenses increased by 14.2% year-over-year to RMB 1.0 billion[47] - Primarily driven by continuous investment in technology and innovation[47] General and Administrative Expenses - General and administrative expenses increased by 17.1% year-over-year to RMB 0.9 billion[48] - Primarily driven by increased staff costs and welfare expenses, including share-based payment expenses[48] Profit for the Period - Net profit was RMB 2.3 billion, a year-over-year increase of 4.6%[49] Financial Analysis for the Six Months Ended June 30 This section provides a detailed analysis of JD Logistics' financial performance for H1 2025, including revenue composition, operating costs, gross profit, various expenses, and profit for the period, along with their year-over-year changes and key drivers Financial Performance for the Six Months Ended June 30 | Metric | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Revenue | 98,531,786 | 86,344,759 | | Operating Costs | (89,665,491) | (77,860,626) | | Gross Profit | 8,866,295 | 8,484,133 | | Selling and Marketing Expenses | (2,993,025) | (2,779,309) | | Research and Development Expenses | (1,898,294) | (1,743,264) | | General and Administrative Expenses | (1,805,170) | (1,663,325) | | Profit Before Tax | 3,298,755 | 2,889,199 | | Profit for the Period | 2,959,157 | 2,567,348 | Revenue Analysis Revenue by Client Type | Revenue Source | 2025 (RMB thousands) | 2025 (%) | 2024 (RMB thousands) | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | Integrated Supply Chain Clients | 50,107,239 | 50.9 | 41,800,092 | 48.4 | | Other Clients | 48,424,547 | 49.1 | 44,544,667 | 51.6 | | Total | 98,531,786 | 100.0 | 86,344,759 | 100.0 | - Revenue from integrated supply chain clients increased by 19.9% year-over-year to RMB 50.1 billion, primarily driven by increased revenue from JD Group and growth in the number and average revenue per external integrated supply chain client[53] - Revenue from other clients increased by 8.7% year-over-year to RMB 48.4 billion, primarily driven by increased express and freight business volumes[53] Revenue by Customer Type | Client Type | 2025 (RMB thousands) | 2025 (%) | 2024 (RMB thousands) | 2024 (%) | | :--- | :--- | :--- | :--- | :--- | | From JD Group | 32,460,440 | 32.9 | 26,415,629 | 30.6 | | From External Clients | 66,071,346 | 67.1 | 59,929,130 | 69.4 | | Total | 98,531,786 | 100.0 | 86,344,759 | 100.0 | Operating Costs Analysis - Operating costs increased by 15.2% year-over-year to RMB 89.7 billion[56] - Staff costs and welfare expenses increased by 17.1% year-over-year to RMB 35.0 billion, primarily driven by an increase in the number of operational employees[56] - Outsourcing costs increased by 19.2% year-over-year to RMB 34.0 billion, primarily driven by increased demand for outsourcing services due to business growth[56] - Other operating costs increased by 13.3% year-over-year to RMB 12.2 billion, primarily driven by increased installation and maintenance service costs, fuel costs, road and bridge tolls, packaging and other consumable material costs, and utility expenses[57] Gross Profit and Gross Profit Margin - Gross profit was RMB 8.9 billion, a year-over-year increase of 4.5%[58] - Gross profit margin was 9.0%, a decrease of 0.8 percentage points from 9.8% in the same period of 2024[58] Selling and Marketing Expenses - Selling and marketing expenses remained relatively stable at RMB 3.0 billion[59] Research and Development Expenses - Research and development expenses remained relatively stable at RMB 1.9 billion[60] General and Administrative Expenses - General and administrative expenses remained relatively stable at RMB 1.8 billion[61] Profit for the Period - Net profit was RMB 3.0 billion, a year-over-year increase of 15.3%[62] Non-IFRS Metrics The company provides non-IFRS profit and EBITDA as supplementary financial metrics to better reflect core operating performance, excluding the impact of non-recurring items such as share-based payments, amortization of acquired intangible assets, fair value changes of financial assets, and gains from disposal of industrial parks - Non-IFRS metrics provide a convenient comparison of core operating performance across different periods and companies by excluding items that management believes do not reflect core operating performance[63] Non-IFRS Profit Reconciliation Non-IFRS Profit Reconciliation for the Three Months Ended June 30 | Metric | 2025 3 Months (RMB thousands) | 2024 3 Months (RMB thousands) | | :--- | :--- | :--- | | Profit for the Period | 2,348,544 | 2,245,043 | | Share-based Payment | 116,802 | 41,830 | | Amortization of Intangible Assets from Acquisition | 141,829 | 141,829 | | Fair Value Change of Financial Assets at FVTPL | 5,725 | 73,240 | | Gain from Disposal of Industrial Parks | — | (46,407) | | Tax Impact of Non-IFRS Adjustments | (25,315) | — | | Non-IFRS Profit for the Period | 2,587,585 | 2,455,535 | | Non-IFRS Profit Margin | 5.0% | 5.6% | Non-IFRS Profit Reconciliation for the Six Months Ended June 30 | Metric | 2025 6 Months (RMB thousands) | 2024 6 Months (RMB thousands) | | :--- | :--- | :--- | | Profit for the Period | 2,959,157 | 2,567,348 | | Share-based Payment | 170,720 | 237,334 | | Amortization of Intangible Assets from Acquisition | 283,658 | 283,658 | | Fair Value Change of Financial Assets at FVTPL | 9,321 | 118,642 | | Gain from Disposal of Industrial Parks | (31,499) | (88,796) | | Tax Impact of Non-IFRS Adjustments | (52,309) | — | | Non-IFRS Profit for the Period | 3,339,048 | 3,118,186 | | Non-IFRS Profit Margin | 3.4% | 3.6% | Non-IFRS EBITDA Reconciliation Non-IFRS EBITDA Reconciliation for the Three Months Ended June 30 | Metric | 2025 3 Months (RMB thousands) | 2024 3 Months (RMB thousands) | | :--- | :--- | :--- | | Profit for the Period | 2,348,544 | 2,245,043 | | Share-based Payment | 116,802 | 41,830 | | Fair Value Change of Financial Assets at FVTPL | 5,725 | 73,240 | | Gain from Disposal of Industrial Parks | — | (46,407) | | Depreciation and Amortization | 3,158,834 | 3,155,850 | | Finance Income | (331,980) | (333,406) | | Finance Costs | 214,327 | 255,890 | | Income Tax Expense | 207,071 | 241,057 | | Non-IFRS EBITDA for the Period | 5,719,323 | 5,633,097 | | Non-IFRS EBITDA Margin | 11.1% | 12.7% | Non-IFRS EBITDA Reconciliation for the Six Months Ended June 30 | Metric | 2025 6 Months (RMB thousands) | 2024 6 Months (RMB thousands) | | :--- | :--- | :--- | | Profit for the Period | 2,959,157 | 2,567,348 | | Share-based Payment | 170,720 | 237,334 | | Fair Value Change of Financial Assets at FVTPL | 9,321 | 118,642 | | Gain from Disposal of Industrial Parks | (31,499) | (88,796) | | Depreciation and Amortization | 6,278,190 | 6,331,885 | | Finance Income | (685,625) | (719,931) | | Finance Costs | 435,651 | 514,823 | | Income Tax Expense | 339,598 | 321,851 | | Non-IFRS EBITDA for the Period | 9,475,513 | 9,283,156 | | Non-IFRS EBITDA Margin | 9.6% | 10.8% | Liquidity and Free Cash Flow As of June 30, 2025, JD Logistics' total cash resources amounted to RMB 44.3 billion, with free cash inflow of RMB 0.3 billion in H1, a decrease from RMB 1.4 billion in the prior year, driven by RMB 6.6 billion net cash from operating activities, RMB 7.3 billion net cash used in investing activities, and RMB 7.8 billion net cash used in financing activities - As of June 30, 2025, total cash resources amounted to RMB 44.3 billion[71] - For the six months ended June 30, 2025, free cash inflow was RMB 0.3 billion, compared to RMB 1.4 billion in the same period of 2024[72] Cash Flow Statement Summary | Cash Flow Item | 2025 6 Months (RMB thousands) | 2024 6 Months (RMB thousands) | | :--- | :--- | :--- | | Net Cash Generated from Operating Activities | 6,568,722 | 7,382,334 | | Net Cash Used in Investing Activities | (7,324,796) | (709,497) | | Net Cash Used in Financing Activities | (7,759,491) | (5,995,724) | | Net (Decrease) / Increase in Cash and Cash Equivalents | (8,515,565) | 677,113 | | Cash and Cash Equivalents at End of Period | 17,317,766 | 17,919,821 | Net Cash Generated from Operating Activities - For the six months ended June 30, 2025, net cash generated from operating activities was RMB 6.6 billion[74] - Primarily attributable to a net profit of RMB 3.0 billion, adjusted for depreciation of right-of-use assets of RMB 3.7 billion and depreciation of property and equipment of RMB 2.3 billion, partially offset by an increase in trade receivables of RMB 1.9 billion[74] Net Cash Used in Investing Activities - For the six months ended June 30, 2025, net cash used in investing activities was RMB 7.3 billion[75] - Primarily attributable to the purchase of financial assets at fair value through profit or loss of RMB 11.0 billion and capital expenditures of RMB 2.4 billion, partially offset by maturities of time deposits and financial assets of RMB 3.6 billion and RMB 3.0 billion, respectively[75] Net Cash Used in Financing Activities - For the six months ended June 30, 2025, net cash used in financing activities was RMB 7.8 billion[76] - Primarily attributable to repayment of borrowings of RMB 4.5 billion, principal portion of lease payments of RMB 3.4 billion, and acquisition of partial equity interests in subsidiaries of RMB 2.6 billion, partially offset by proceeds from borrowings of RMB 3.2 billion[76] Capital Gearing Ratio As of June 30, 2025, JD Logistics' capital gearing ratio was approximately 11.1% - As of June 30, 2025, the capital gearing ratio was approximately 11.1%[77] Significant Related Acquisition JD Logistics is in the process of acquiring approximately 36.43% equity interest in Kuayue Express for a total consideration not exceeding RMB 6.484 billion, with the first stage completed on June 11, 2025, after which the Group will hold 100% equity interest in Kuayue Express - The company is acquiring a total of approximately 36.43% equity interest in Kuayue Express, with a total consideration not exceeding approximately RMB 6.484 billion[78] - The first stage was completed on June 11, 2025, and after the third tranche of transactions, the Group will hold 100% equity interest in Kuayue Express[78] Employees and Remuneration Policy As of June 30, 2025, JD Logistics had 686,909 employees, with operational personnel accounting for 96.4%, and total staff costs and welfare expenses for H1 reaching RMB 39.2 billion, a 17.0% year-over-year increase, as the company participates in government welfare plans and implements various equity incentive schemes Employee Headcount by Function | Function | Number of Employees | Percentage of Total | | :--- | :--- | :--- | | Operations | 662,240 | 96.4 | | Sales and Marketing | 12,845 | 1.9 | | Research and Development | 4,785 | 0.7 | | General and Administrative | 7,039 | 1.0 | | Total | 686,909 | 100.0 | - For the six months ended June 30, 2025, total staff costs and welfare expenses, including share-based payment expenses, amounted to RMB 39.2 billion, a year-over-year increase of 17.0%[84] - The company implements pre-IPO employee equity incentive schemes, post-IPO share option schemes, and post-IPO share award schemes[84] Foreign Exchange Risk JD Logistics primarily conducts business in RMB, with some transactions denominated in USD and other currencies, exposing it to foreign exchange risk, which the company monitors and considers hedging with derivative financial instruments when necessary - Primarily conducts business in RMB, with some transactions denominated in USD and other currencies, exposing it to foreign exchange risk[85] - The company monitors foreign exchange risk and considers hedging with derivative financial instruments when necessary[85] Pledge of Assets As of June 30, 2025, pledged restricted cash amounted to RMB 394.1 million - As of June 30, 2025, pledged restricted cash amounted to RMB 394.1 million[86] Contingent Liabilities As of June 30, 2025, JD Logistics had no significant contingent liabilities or guarantees - As of June 30, 2025, there were no significant contingent liabilities or guarantees[87] Borrowings As of June 30, 2025, JD Logistics' outstanding borrowings amounted to RMB 6.0 billion - As of June 30, 2025, outstanding borrowings amounted to RMB 6.0 billion[88] Material Events After June 30, 2025 Except for matters disclosed in this announcement, there have been no other material events affecting the Group since June 30, 2025 - Except for those disclosed in this announcement, as of the date of this announcement, there have been no other material events affecting the Group since June 30, 2025[89] Condensed Consolidated Financial Statements Presents the company's condensed consolidated financial statements, including income, comprehensive income, balance sheet, and cash flow statements for the period Condensed Consolidated Statement of Profit or Loss For the six months ended June 30, 2025, JD Logistics reported revenue of RMB 98.53 billion, gross profit of RMB 8.866 billion, and profit for the period of RMB 2.959 billion, with basic earnings per share of RMB 0.41 and diluted earnings per share of RMB 0.40 Condensed Consolidated Statement of Profit or Loss | Metric | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Revenue | 98,531,786 | 86,344,759 | | Operating Costs | (89,665,491) | (77,860,626) | | Gross Profit | 8,866,295 | 8,484,133 | | Selling and Marketing Expenses | (2,993,025) | (2,779,309) | | Research and Development Expenses | (1,898,294) | (1,743,264) | | General and Administrative Expenses | (1,805,170) | (1,663,325) | | Profit Before Tax | 3,298,755 | 2,889,199 | | Profit for the Period | 2,959,157 | 2,567,348 | | Basic Earnings Per Share (RMB) | 0.41 | 0.36 | | Diluted Earnings Per Share (RMB) | 0.40 | 0.36 | Condensed Consolidated Statement of Comprehensive Income For the six months ended June 30, 2025, total comprehensive income for the period was RMB 2.795 billion, with total comprehensive income attributable to owners of the company at RMB 2.408 billion, primarily influenced by exchange differences from functional currency translation to presentation currency and foreign operations translation Condensed Consolidated Statement of Comprehensive Income | Metric | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Profit for the Period | 2,959,157 | 2,567,348 | | Exchange Differences on Translation of Functional Currency to Presentation Currency | (129,467) | 101,976 | | Exchange Differences Arising from Translation of Foreign Operations | (37,089) | 70,733 | | Total Comprehensive Income for the Period | 2,795,088 | 2,680,281 | | Total Comprehensive Income for the Period Attributable to Owners of the Company | 2,407,647 | 2,395,358 | Condensed Consolidated Statement of Financial Position As of June 30, 2025, JD Logistics' total assets were RMB 118.909 billion, total equity was RMB 59.086 billion, and total liabilities were RMB 59.823 billion, with changes in non-current and current asset structures, and increases in financial assets and trade receivables Condensed Consolidated Statement of Financial Position | Metric | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Total Assets | 118,908,791 | 117,867,788 | | Total Non-Current Assets | 57,085,021 | 50,127,600 | | Total Current Assets | 61,823,770 | 67,740,188 | | Total Equity | 59,085,741 | 62,966,920 | | Total Liabilities | 59,823,050 | 54,900,868 | | Total Non-Current Liabilities | 20,047,334 | 15,188,819 | | Total Current Liabilities | 39,775,716 | 39,712,049 | - Financial assets at fair value through profit or loss (non-current) increased from RMB 1.296 billion as of December 31, 2024, to RMB 8.550 billion as of June 30, 2025[92] - Trade receivables increased from RMB 15.745 billion as of December 31, 2024, to RMB 17.591 billion as of June 30, 2025[92] Condensed Consolidated Statement of Cash Flows For the six months ended June 30, 2025, net cash generated from operating activities was RMB 6.569 billion, net cash used in investing activities was RMB 7.325 billion, and net cash used in financing activities was RMB 7.759 billion, with cash and cash equivalents at the end of the period totaling RMB 17.318 billion Condensed Consolidated Statement of Cash Flows | Cash Flow Item | 2025 (RMB thousands) | 2024 (RMB thousands) | | :--- | :--- | :--- | | Net Cash Generated from Operating Activities | 6,568,722 | 7,382,334 | | Net Cash Used in Investing Activities | (7,324,796) | (709,497) | | Net Cash Used in Financing Activities | (7,759,491) | (5,995,724) | | Net (Decrease) / Increase in Cash and Cash Equivalents | (8,515,565) | 677,113 | | Cash and Cash Equivalents at Beginning of Period | 25,811,757 | 17,207,027 | | Cash and Cash Equivalents at End of Period | 17,317,766 | 17,919,821 | Notes to the Financial Statements Provides detailed notes on the accounting policies, income, tax, earnings per share, and trade receivables/payables for the financial statements General Information, Basis of Preparation and Presentation JD Logistics is an investment holding company primarily operating in China, with its condensed consolidated financial statements prepared in RMB in accordance with IAS 34 and HKEX Listing Rules, and should be read in conjunction with the 2024 annual consolidated financial statements - The Group's principal activities and geographical markets are located in China[95] - The condensed consolidated financial statements are prepared in accordance with International Accounting Standard 34 and the applicable disclosure requirements of Appendix 16 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[95] - The condensed consolidated financial statements are presented in RMB and should be read in conjunction with the Group's annual consolidated financial statements for the year ended December 31, 2024[96] Application of Amendments to International Financial Reporting Standards Amendments to International Financial Reporting Standards, including IAS 21 (Lack of Exchangeability), issued by the IASB were first adopted in this interim period but had no material impact on the Group's financial position, performance, or disclosures in the condensed consolidated financial statements - The amendments to International Financial Reporting Standards issued by the IASB, including amendments to IAS 21, were first adopted in this interim period[97] - These amendments had no material impact on the Group's financial position and performance and/or disclosures in the condensed consolidated financial statements for the current and prior periods[97] Summary of Significant Accounting Policies The condensed consolidated financial statements are prepared on a historical cost basis, except for certain financial instruments measured at fair value, with accounting policies and calculation methods consistent with those used in the 2024 annual report - The condensed consolidated financial statements are prepared on a historical cost basis, except for certain financial instruments measured at fair value[98] - The accounting policies and calculation methods are consistent with those followed in the preparation of the 2024 annual report[98] Revenue For the six months ended June 30, 2025, total revenue was RMB 98.532 billion, comprising RMB 50.107 billion from integrated supply chain clients and RMB 48.425 billion from other clients, with the majority of revenue (RMB 93.190 billion) recognized over time - Clients are classified as integrated supply chain clients or other clients based on whether they have used the Group's warehousing or inventory management related services[99] Revenue by Client Type and Recognition Timing | Client Type | 2025 6 Months (RMB thousands) | 2024 6 Months (RMB thousands) | | :--- | :--- | :--- | | Integrated Supply Chain Clients | 50,107,239 | 41,800,092 | | Other Clients | 48,424,547 | 44,544,667 | | Total | 98,531,786 | 86,344,759 | | Revenue Recognition Timing: | | | | Over Time | 93,189,812 | 82,688,932 | | At a Point in Time | 5,341,974 | 3,655,827 | | Total | 98,531,786 | 86,344,759 | Income Tax Expense For the six months ended June 30, 2025, total income tax expense was RMB 339.6 million, consisting of RMB 437.7 million in current tax and RMB -98.1 million in deferred tax Income Tax Expense by Type | Tax Type | 2025 6 Months (RMB thousands) | 2024 6 Months (RMB thousands) | | :--- | :--- | :--- | | Current Tax | 437,689 | 364,008 | | Deferred Tax | (98,091) | (42,157) | | Total | 339,598 | 321,851 | Profit Before Tax For the six months ended June 30, 2025, profit before tax was RMB 3.299 billion, with key expenses deducted including staff costs and welfare expenses of RMB 39.2 billion and outsourcing costs of RMB 34.0 billion Key Expenses Deducted in Profit Before Tax Calculation | Expense Item | 2025 6 Months (RMB thousands) | 2024 6 Months (RMB thousands) | | :--- | :--- | :--- | | Staff Costs and Welfare Expenses | 39,199,921 | 33,509,170 | | Outsourcing Costs | 34,004,333 | 28,536,414 | | Depreciation of Right-of-Use Assets | 3,704,579 | 3,866,396 | | Depreciation of Property and Equipment | 2,272,450 | 2,144,389 | | Amortization of Other Intangible Assets | 294,831 | 311,787 | Earnings Per Share For the six months ended June 30, 2025, basic earnings per share attributable to owners of the company was RMB 0.41, and diluted earnings per share was RMB 0.40 Earnings Per Share Attributable to Owners of the Company | Metric | 2025 6 Months (RMB) | 2024 6 Months (RMB) | | :--- | :--- | :--- | | Basic Earnings Per Share Attributable to Owners of the Company | 0.41 | 0.36 | | Diluted Earnings Per Share Attributable to Owners of the Company | 0.40 | 0.36 | Dividends No dividends were paid or proposed to ordinary shareholders during this interim period - No dividends were paid or proposed to ordinary shareholders during this interim period[104] Trade Receivables As of June 30, 2025, total trade receivables amounted to RMB 17.591 billion, including RMB 10.121 billion from third parties and RMB 5.894 billion from related parties, with most receivables due within 3 months Trade Receivables by Type | Trade Receivables Type | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Trade Receivables from Third Parties | 10,121,445 | 11,107,254 | | Trade Receivables from Related Parties | 5,893,990 | 2,953,825 | | Less: Provision for Credit Losses | (384,831) | (379,488) | | Trade Receivables at Fair Value Through Other Comprehensive Income | 1,960,359 | 2,063,273 | | Total | 17,590,963 | 15,744,864 | Trade Receivables Aging Analysis | Aging | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Within 3 months | 17,588,361 | 15,711,216 | | 3 to 6 months | 146,400 | 144,011 | | 6 to 12 months | 68,933 | 95,645 | | Over 12 months | 172,100 | 173,480 | Trade Payables As of June 30, 2025, total trade payables amounted to RMB 8.796 billion, including RMB 321 million under supplier financing arrangements, with most payables due within 3 months Trade Payables by Type | Trade Payables Type | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Trade Payables | 8,475,502 | 8,466,638 | | Trade Payables under Supplier Financing Arrangements | 320,903 | 101,446 | | Total | 8,796,405 | 8,568,084 | Trade Payables Aging Analysis | Aging | June 30, 2025 (RMB thousands) | December 31, 2024 (RMB thousands) | | :--- | :--- | :--- | | Within 3 months | 8,100,696 | 8,052,360 | | 3 to 6 months | 287,743 | 148,469 | | 6 to 12 months | 160,014 | 126,812 | | Over 12 months | 247,952 | 240,443 | Other Information Covers corporate governance, audit committee details, dividend policy, share transactions, and the use of proceeds from fundraising activities Compliance with Corporate Governance Code The company is committed to maintaining strict corporate governance and has complied with all applicable code provisions of the HKEX Listing Rules Appendix C1 Corporate Governance Code for the six months ended June 30, 2025, except for the absence of Chairman Mr. Liu Qiangdong at the Annual General Meeting due to other commitments - The company is committed to maintaining and promoting strict corporate governance, with principles focused on implementing effective internal control measures and enhancing the Board's transparency and accountability to all shareholders of the company[109] - For the six months ended June 30, 2025, the company has complied with all applicable code provisions of the Corporate Governance Code, except for the absence of the Chairman of the Board, Mr. Liu Qiangdong, at the Annual General Meeting[109] Audit Committee The Audit Committee, composed of three independent non-executive directors with Ms. Gu Yi as Chair, is responsible for continuously monitoring the implementation of risk management policies and internal control systems, and has reviewed the Group's unaudited condensed consolidated financial statements for the three and six months ended June 30, 2025, which were also reviewed by the auditor - The Audit Committee comprises three members (Ms. Gu Yi, Ms. Wu Yanan, and Dr. Zhao Xiande), with Ms. Gu Yi serving as Chair[110] - The committee is responsible for continuously monitoring the implementation of risk management policies across the company, ensuring the internal control system effectively identifies, manages, and mitigates risks in business operations[110] - The Audit Committee has reviewed the Group's unaudited condensed consolidated financial statements for the three and six months ended June 30, 2025, which have also been reviewed by the auditor in accordance with International Standard on Review Engagements 2410[110] Other Board Committees In addition to the Audit Committee, the company has also established a Nomination Committee and a Remuneration Committee - In addition to the Audit Committee, the company has also established a Nomination Committee and a Remuneration Committee[111] Interim Dividend The Board of Directors does not recommend an interim dividend for the six months ended June 30, 2025 - The Board of Directors does not recommend an interim dividend for the six months ended June 30, 2025[112] Purchase, Sale or Redemption of the Company's Listed Securities For the six months ended June 30, 2025, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities on the HKEX, and the company held no treasury shares as of that date - For the six months ended June 30, 2025, neither the company nor any of its subsidiaries purchased, sold, or redeemed any of the company's listed securities on The Stock Exchange of Hong Kong Limited[113] - As of June 30, 2025, the company held no treasury shares as defined by the Listing Rules[113] Use of Proceeds This section discloses the use of net proceeds from the global offering, placing, and subscription, with the company having extended the expected timeline for utilizing a portion of these proceeds - The net proceeds from the global offering were approximately RMB 22.945 billion, and from the placing and subscription were approximately RMB 6.924 billion[114][116] - The company has extended the initial expected timeline for utilizing the net proceeds from the global offering to 12 to 36 months from May 16, 2024, and for the placing and subscription to 12 to 24 months from May 16, 2024[114][116] Net Proceeds from Global Offering | Purpose | Net Proceeds (RMB millions) | Unused Amount as of January 1, 2025 (RMB millions) | Amount Used for the Six Months Ended June 30, 2025 (RMB millions) | Unused Amount as of June 30, 2025 (RMB millions) | Expected Timeline for Full Utilization | | :--- | :--- | :--- | :--- | :--- | :--- | | Upgrade and Expand Our Logistics Network | 12,620 | 2,141 | 497 | 1,644 | 12 to 36 months from May 16, 2024 | | Develop Advanced Technologies Related to Supply Chain Solutions and Logistics Services | 4,589 | 2,013 | 438 | 1,575 | 12 to 36 months from May 16, 2024 | | Expand the Breadth and Depth of Our Solutions, Deepen Engagement with Existing Clients, and Attract Potential Clients | 3,442 | 198 | 99 | 99 | 12 to 36 months from May 16, 2024 | | General Corporate Purposes and Working Capital Needs | 2,294 | 335 | 122 | 213 | 12 to 36 months from May 16, 2024 | | Total | 22,945 | 4,687 | 1,156 | 3,531 | | Net Proceeds from Placing and Subscription | Purpose | Net Proceeds (RMB millions) | Unused Amount as of January 1, 2025 (RMB millions) | Amount Used for the Six Months Ended June 30, 2025 (RMB millions) | Unused Amount as of June 30, 2025 (RMB millions) | Expected Timeline for Full Utilization | | :--- | :--- | :--- | :--- | :--- | :--- | | Optimize Logistics Network and Solutions, Including Through Self-Development and/or Acquisitions | 5,885 | — | — | — | N/A | | General Corporate Purposes and Working Capital Needs | 1,039 | 662 | 312 | 350 | 12 to 24 months from May 16, 2024 | | Total | 6,924 | 662 | 312 | 350 | | Publication of Interim Results Announcement and Interim Report This interim results announcement has been published on the HKEX website and the company's website, and the interim report will be published at an appropriate time - This interim results announcement is published on the HKEX website www.hkexnews.hk and the company's website ir.jdl.com[118] - The company's interim report for the six months ended June 30, 2025, will be published on the aforementioned websites at an appropriate time[118]