JD.com (JD, Financial) has announced its financial performance for the third quarter ending September 30, 2024. The company reported a net revenue of RMB 260.4 billion, marking a 5.1% increase from the same period in 2023. Net profit attributable to ordinary shareholders rose significantly by 47.8% to RMB 11.7 billion. On a non-GAAP basis, the net profit stood at RMB 13.2 billion, up by 23.9% year over year.
JD Retail, the company’s core business, generated revenue of RMB 224.986 billion, compared to RMB 212.059 billion in the previous year. JD Logistics also saw an increase, with revenue reaching RMB 44.396 billion, up from RMB 41.663 billion. However, new business revenue decreased to RMB 4.97 billion from RMB 6.685 billion in 2023, partially offset by inter-segment eliminations of RMB 13.965 billion.
The net product revenue for JD.com was RMB 204.613 billion, a 4.8% increase year over year. This includes RMB 122.56 billion from electronics and home appliances, which grew by 2.7% from last year. Revenue from general merchandise was RMB 82.053 billion, an 8.0% increase.
Net service revenue rose by 6.5% to RMB 55.774 billion compared to the previous year. Operating costs increased by 3.1% to RMB 215.3 billion, while fulfillment expenses were up by 6.9% to RMB 16.3 billion. Marketing expenses surged by 25.7% to RMB 10 billion.
Research and development expenses increased by 15.9% to RMB 4.4 billion, while general and administrative expenses decreased by 6.0% to RMB 2.3 billion. Operating profit was RMB 12 billion, reflecting a 29.5% growth, with an improved operating margin of 4.6%.
On a non-GAAP basis, operating profit was RMB 13.1 billion, growing by 17.9% with a margin of 5.0%. The non-GAAP EBITDA was RMB 15.1 billion, a 17.0% increase. JD.com’s cash reserves, as of September 30, 2024, totaled RMB 196.8 billion. The company generated RMB 6.2 billion net cash from operating activities, while investing and financing activities accounted for RMB 21.7 billion and RMB 1.8 billion, respectively.
JD.com conducted significant stock repurchases, buying approximately 31 million Class A ordinary shares (equivalent to 15.5 million ADS), totaling roughly $390 million in the three months ending September 30, 2024. Over nine months, the company repurchased around 255.3 million shares, valued at approximately $3.6 billion, representing 8.1% of the total issued shares as of the end of 2023.
