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JD.com Announces Fourth Quarter and Full Year 2024 Results, and Annual Dividend
JDJD(JD) Newsfilter·2025-03-06 09:30

Core Insights - JD.com reported strong financial results for Q4 and full year 2024, with a year-on-year revenue growth of 13.4% in Q4 and 6.8% for the full year, indicating a recovery in consumer spending [3][4][27] - The company achieved significant improvements in profitability, with Q4 operating income rising to RMB8.5 billion (US1.2billion),a319.31.2 billion), a 319.3% increase from the previous year, and a full-year operating income of RMB38.7 billion (US5.3 billion), up 48.8% [4][32] - JD.com announced an increased annual cash dividend of US0.5perordinaryshare,totalingapproximatelyUS0.5 per ordinary share, totaling approximately US1.5 billion, reflecting its commitment to shareholder returns [5][6] Financial Performance - Q4 2024 net revenues reached RMB347.0 billion (US47.5billion),up13.447.5 billion), up 13.4% from RMB306.1 billion in Q4 2023, with net product revenues increasing by 14.0% and net service revenues by 10.8% [4][13] - For the full year 2024, net revenues were RMB1,158.8 billion (US158.8 billion), a 6.8% increase from RMB1,084.7 billion in 2023, with net product revenues rising by 6.5% and net service revenues by 8.1% [4][27] - The company's net income attributable to ordinary shareholders for Q4 2024 was RMB9.9 billion (US1.4billion),a190.81.4 billion), a 190.8% increase from RMB3.4 billion in Q4 2023, with a net margin of 2.8% [4][23] Shareholder Returns - JD.com repurchased approximately 255.3 million Class A ordinary shares for about US3.6 billion in 2024, representing around 8.1% of its outstanding shares [6][7] - The company has initiated a new share repurchase program allowing for up to US5.0billioninsharebuybacksoverthenext36months[8]BusinessDevelopments−JDRetailintroducedacomprehensiveupgradetoitsPLUSmembership,enhancingserviceofferingsandcustomerexperience[9]−JDHealthexpandedits"ExpressTestatYourDoorstep"program,launching149expresstestingproductsacross12majorcitiesinChina[10]−JDLogisticscelebratedthefirstanniversaryofitsupgradedexpressdeliveryservicesinHongKongandMacau,enhancingcustomerexperienceanddrivingordervolumegrowth[11]CostandExpenses−Q42024fulfillmentexpensesincreasedby16.45.0 billion in share buybacks over the next 36 months [8] Business Developments - JD Retail introduced a comprehensive upgrade to its PLUS membership, enhancing service offerings and customer experience [9] - JD Health expanded its "Express Test at Your Doorstep" program, launching 149 express testing products across 12 major cities in China [10] - JD Logistics celebrated the first anniversary of its upgraded express delivery services in Hong Kong and Macau, enhancing customer experience and driving order volume growth [11] Cost and Expenses - Q4 2024 fulfillment expenses increased by 16.4% to RMB20.1 billion (US2.8 billion), while marketing expenses rose by 28.4% to RMB16.8 billion (US2.3billion)[15][16]−Forthefullyear2024,fulfillmentexpensestotaledRMB70.4billion(US2.3 billion) [15][16] - For the full year 2024, fulfillment expenses totaled RMB70.4 billion (US9.6 billion), a 9.1% increase from the previous year [28] Cash Flow and Working Capital - As of December 31, 2024, JD.com had cash and cash equivalents totaling RMB241.4 billion (US33.1billion),anincreasefromRMB197.7billionayearearlier[25]−FreecashflowforQ42024wasRMB23.5billion(US33.1 billion), an increase from RMB197.7 billion a year earlier [25] - Free cash flow for Q4 2024 was RMB23.5 billion (US3.2 billion), significantly up from RMB13.3 billion in Q4 2023 [25][38]