Financial Data and Key Metrics Changes - In Q3 2025, JD Logistics achieved total revenue of RMB 55.1 billion, representing a year-over-year increase of 24.1% [5] - Non-adverse net profit was RMB 2.02 billion, with a profit margin of 3.3% [5] - Average profit was RMB 1.96 billion, with a non-average profit margin of 3.6% [23] - Gross profit margin was 9.1% [26] - Non-GAAP profit was RMB 2.02 billion, down 21.5% year-over-year, with a non-GAAP profit margin of 3.7% [31] Business Line Data and Key Metrics Changes - Revenue from ISC customers totaled RMB 13.13 billion, up 45.8% year-over-year [24] - ISC revenue from JD Group amounted to RMB 21.20 billion, up 165.8% year-over-year [24] - Revenue from external ISC customers was RMB 8.93 billion, up 13.5% year-over-year [24] - Revenue from other customers, including express and freight delivery services, was RMB 24.95 billion, up 5.1% year-over-year [25] Market Data and Key Metrics Changes - The number of external ISC customers reached approximately 67,000, up 12.7% year-over-year [24] - Average revenue per customer for external ISC reached RMB 134,000, up 0.7% year-over-year [25] Company Strategy and Development Direction - The company is committed to building long-term capacities and compatibility, focusing on international business expansion and operational strengths [5] - JD Logistics aims to deepen its presence in the ISV space, leveraging digital technology and operational management [8] - The company plans to double the gross floor area of its overseas warehouse by the end of 2025 [13] Management's Comments on Operating Environment and Future Outlook - Management noted that China's economy maintained a steady and progressive trend, supported by proactive macro policies [4] - The company expects economies of scale and improved resource utilization to support profitability improvement as business volume increases [23] - Management emphasized the importance of enhancing delivery timeliness and customer experience to drive long-term growth [26] Other Important Information - JD Logistics was rated as the strongest logistics brand worldwide in 2025 by Brand Finance [16] - The company has established multiple overseas warehouses in the Middle East, enhancing its international logistics capabilities [11] Q&A Session Summary Question: Comments on automation and capital investment efficiency - Management highlighted the accumulation of automation technologies and the user-friendly nature of the equipment, with plans for large-scale application to improve long-term revenue [38][39] Question: Orders accepted per day and network utilization - Management discussed the stability and advantages of the full-time rider team, emphasizing improvements in delivery timeliness and user experience [40][42] Question: Plans for the overseas market - Management outlined goals for building a global network by the end of 2025, focusing on capacity building and reducing compliance costs for customers [46][47] Question: Core sector and customer numbers - Management acknowledged room for improvement in ISC customer numbers and average revenue per customer, with plans to enhance service offerings [51][52]

Financial Data and Key Metrics Changes - Sam's Club is a $90 billion business, indicating significant scale and growth potential [4] - The company reported a 26% growth in the most recent quarter, with e-commerce contributing to 23% of total growth [33][50] - E-commerce sales currently account for 18% of total sales, with expectations to grow to 40% and beyond in the coming years [22][31] Business Line Data and Key Metrics Changes - The e-commerce segment is the fastest-growing part of the business, with express delivery growing by 185% last quarter [33] - The in-club experience has been enhanced with features like Scan and Go, which 40% of members use, improving customer engagement [14][32] - The company is remodeling its fleet to modernize and enhance the omnichannel experience, which is expected to drive membership growth [17][20] Market Data and Key Metrics Changes - The club channel holds about 7% market share, indicating substantial growth opportunities in the physical club space [17][25] - The fastest-growing member cohort is Gen Z and millennials, who are increasingly engaging with the brand [28] Company Strategy and Development Direction - The company aims to grow by remodeling existing clubs, opening new locations, and expanding e-commerce capabilities [17][21] - There is a strong focus on leveraging Walmart's infrastructure to enhance supply chain efficiency and e-commerce capabilities [44][45] - The strategy emphasizes member engagement through digital experiences and personalized offerings [32][49] Management's Comments on Operating Environment and Future Outlook - Management believes the current environment is favorable for growth, with a strong focus on delivering value to members [7][83] - The company is proactively managing inventory health and adapting to changes in consumer behavior due to tariffs and inflation [76][78] - There is confidence in maintaining a competitive price gap against competitors, supported by e-commerce growth [80][81] Other Important Information - The Member Access Platform (MAP) is being developed to leverage membership data for targeted advertising, enhancing supplier partnerships [46][48] - The company is committed to innovation in merchandising, with a focus on both national brands and its own Members' Mark brand [51][55] Q&A Session Summary Question: What are the growth opportunities for Sam's Club? - Management sees significant growth potential in the club channel, which currently has a low market share, and plans to open 15 new clubs annually [17][20] Question: How does Sam's Club manage competitive overlap and cannibalization? - The company is focused on expanding into underserved markets while managing existing club performance to avoid cannibalization [25][24] Question: What role does AI play in the business? - AI is being used to enhance operational efficiency and improve member engagement, with significant reductions in mundane tasks for associates [64][67] Question: How has Sam's Club responded to tariffs and inflation? - Management is actively working with suppliers to manage costs and has seen muted impacts from tariffs so far [76][78] Question: What is the outlook for e-commerce growth? - E-commerce is expected to grow significantly, with a goal of reaching 40% of total sales, driven by member demand for convenience [31][22]