Hua Er Jie Jian Wen·2025-05-13 09:58Core Insights - JD.com reported strong Q1 2025 earnings, with both revenue and profit exceeding expectations, driven by enhanced profitability in its core retail business and significant growth in new business revenues, including food delivery, despite increased losses [2][4]. Financial Performance - Total revenue reached RMB 301.1 billion, a year-on-year increase of 15.8%, surpassing the forecast of RMB 289.4 billion [2][3]. - Operating profit was RMB 10.5 billion (approximately USD 1.5 billion), up from RMB 7.7 billion in the same period last year; adjusted EBITDA rose 27% to RMB 13.7 billion, exceeding the expected RMB 12.6 billion [2][3]. - Adjusted earnings per ADS were RMB 8.41, above the forecast of RMB 7.09; adjusted operating margin improved to 3.9% from 3.4% year-on-year [2][3]. Business Segments - JD Retail's revenue grew by 16.3%, with operating margin increasing from 4.1% to 4.9% year-on-year, indicating enhanced profitability [4][7]. - JD Logistics reported an 11.5% revenue increase, with international expansion highlighted by new routes and warehouse operations [4][7]. - New business revenue, including food delivery, reached RMB 5.8 billion, up 18.1% year-on-year, but losses expanded to RMB 1.3 billion from RMB 670 million in the previous year [5][6]. Strategic Initiatives - JD.com is focusing on deepening partnerships with brands like Xiaomi to leverage market opportunities arising from consumer support policies and AI advancements [4][5]. - The company launched an export-to-domestic sales initiative, aiming to procure at least RMB 200 billion worth of goods, enhancing its domestic market presence [4][5]. - JD's entry into the food delivery market is seen as a strategic move to capitalize on the growing demand for quality delivery services [5][6]. Technological Advancements - JD Health is making strides in the application of AI technology in healthcare services, indicating a commitment to innovation in the medical field [8].