Earning Date, Transcript Summary & Report

Earnings Surprise: JD.com, Inc. beats earnings expectations with reported EPS of $1.02, exceeding expectations of $0.9.

Revenue Increase Overview: Total revenues for Q4 were up 13% year-on-year to RMB347 billion, and full-year revenues increased by 7% to RMB1.2 trillion.

Electronics Revenue Surge: Electronics and home appliances category saw a remarkable revenue growth of 16% year-on-year in Q4, indicating strong demand and market position.

General Merchandise Revenue Growth: General merchandise revenues grew by 11% year-on-year in Q4, showcasing effective operational improvements and market opportunities.

Strong Revenue Growth: Supermarket business revenues were up double digits year-on-year for four consecutive quarters, driven by enhanced supply chain capabilities.

User Engagement Growth: User growth and engagement metrics showed double-digit year-on-year growth for the fifth consecutive quarter, indicating strong customer retention and satisfaction.

Member Shopping Frequency Growth: JD PLUS members experienced even faster shopping frequency growth compared to total users, reflecting the success of enhanced member benefits.

Marketplace Revenue Growth: Marketplace and marketing revenues increased by 13% year-on-year in Q4, indicating a robust ecosystem and merchant engagement.

Shareholder Value Enhancement: The company returned considerable value to shareholders with a 32% year-on-year increase in annual cash dividend and a significant share repurchase program.

Net Profit Growth: Non-GAAP net profit attributable to ordinary shareholders increased by 34% year-on-year in Q4, reflecting strong bottom-line performance and operational efficiency.

New Segment Revenue Decline: Revenue growth in the new business segment saw a significant decline of 31% in Q4 and 28% for the full year of 2024, primarily due to adjustments in the Jingxi business.

Electronics Category Growth Slowdown: Despite overall revenue growth, the electronics and home appliances category only saw a 5% increase for the full year, indicating a slowdown compared to the 16% growth in Q4.

Profitability Challenges in New Segment: The company faced challenges in maintaining profitability in the new business segment, which contributed to a widening non-GAAP operating loss.

Gross Margin vs. Operating Expenses: While JD Retail's gross margin expanded, the increase in operating expenses, particularly in marketing, suggests rising costs that could impact future profitability.

Market Uncertainty and Optimism: The overall market conditions remain uncertain, and while there is optimism for 2025, the company must navigate potential economic fluctuations and consumer confidence issues.