EBSCN·2024-11-15 06:17Investment Rating - The report maintains a "Buy" rating for JD Group-SW (9618.HK) [4] Core Insights - JD Group's revenue for Q3 2024 grew by 5.12% year-on-year, with Non-GAAP net profit increasing by 23.85% [1] - The company has announced a new share repurchase plan, benefiting from government subsidies for appliance upgrades [3] - The gross margin continues to improve, with a 1.65 percentage point increase in Q3 2024 [2] Summary by Sections Financial Performance - For the first three quarters of 2024, JD Group achieved revenue of 811.83 billion yuan, a year-on-year increase of 4.27%, and a GAAP net profit of 31.505 billion yuan, up 51.63% [1] - In Q3 2024, the company reported revenue of 260.39 billion yuan, a 5.12% increase year-on-year, and a GAAP net profit of 11.731 billion yuan, up 47.82% [1] Gross Margin and Expenses - The overall gross margin for the first three quarters of 2024 was 16.11%, an increase of 1.18 percentage points year-on-year [2] - The expense ratio for the first three quarters was 12.62%, up 0.34 percentage points year-on-year [2] Share Repurchase and Market Strategy - JD Group repurchased 31 million Class A ordinary shares for a total of 390 million USD in Q3 2024, with a total of 255.3 million shares repurchased for 3.6 billion USD as of September 30, 2024 [3] - The new repurchase plan allows for up to 5 billion USD in share buybacks over the next 36 months [3] Profit Forecast - The profit forecasts for Non-GAAP net profit for 2024, 2025, and 2026 have been raised by 4%, 3%, and 3% respectively, to 45.25 billion yuan, 51.63 billion yuan, and 56.36 billion yuan [4]