JD retail business highlights for Q1 2022; revenues up 18%

JD.com’s annual active customer accounts increased by 16.2% to 580.5 million in the twelve months ended March 31, 2022, from 499.8 million in the twelve months ended March 31, 2021.In the first quarter, JD.com established partnerships with a series of high-end brands, including Kering group’s high-end jewelry brand Qeelin, French luxury brand Lanvin, German luxury fashion e-commerce platform Mytheresa, as well as high-end accessories and lifestyle brand MCM, American premium lifestyle brand Tory Burch, and French premium cookware brand Le Creuset. Meanwhile, JD.com welcomed multiple beauty brands onto the platform, such as Shu Uemura and YSL under L’Oreal group, as well as men’s skincare brand LAB SERIES and the Re-Nutriv collection under Estee Lauder group. In addition, a set of apparel brands including Abercrombie & Fitch, Champion and Ochirly also opened stores on JD.com during the quarter. In March, JD.com and Midea, a leading Chinese manufacturer of home appliances, signed a strategic cooperation agreement to provide corporate customers with more diversified commercial products and high-quality commercial engineering services. JD.com and Midea will collaborate in areas including corporate customer development, scenario-based marketing, and support for customers’ digital procurement transformation. As of March 31, 2022, JD Logistics operated approximately 1,400 warehouses. Including space managed through the Open Warehouse Platform, JD Logistics’s warehouse network had an aggregate gross floor area of over 25 million square meters. See a comparison of annual buyers growth of Alibaba, JD, Pinduoduo here. Financial Highlights JD.com’s net revenues for the first quarter of 2022 were RMB239.7 billion (US$137.8 billion), an increase of 18.0% from the first quarter of 2021. Net service revenues for the first quarter of 2022 were RMB35.2 billion (US$5.6 billion), an increase of 26.3% from the first quarter of 2021. Income from operations for the first quarter of 2022 was RMB2.4 billion (US$0.4 billion), compared to RMB1.7 billion for the same period last year. Non-GAAP income from operations increased by 32.8% to RMB4.7 billion (US$0.7 billion) for the first quarter of 2022 from RMB3.5 billion for the first quarter of 2021. The operating margin of JD Retail before unallocated items for the first quarter of 2022 was 3.6%, compared to 4.0% for the first quarter of 2021. Net loss attributable to ordinary shareholders for the first quarter of 2022 was RMB3.0 billion (US$0.5 billion), compared to a net income of RMB3.6 billion for the same period last year. Non-GAAP net income attributable to ordinary shareholders for the first quarter of 2022 was RMB4.0 billion (US$0.6 billion), as compared to RMB4.0 billion for the same period last year. The diluted net loss per ADS for the first quarter of 2022 was RMB1.92 (US$0.30), compared to a diluted net income per ADS of RMB2.25 for the first quarter of 2021. Non-GAAP diluted net income per ADS for the first quarter of 2022 was RMB2.53 (US$0.40), compared to RMB2.47 for the same period last year. Operating cash flow for the twelve months ended March 31, 2022, was RMB46.3 billion (US$7.3 billion), compared to RMB36.6 billion for the twelve months ended March 31, 2021. Free cash flow, which excludes the impact from JD Baitiao receivables included in the operating cash flow, for the twelve months ended March 31, 2022 was RMB27.2 billion (US$4.3 billion), compared to RMB28.2 billion for the twelve months ended March 31, 2021. JD targets China middle-class with membership online platform Yihaodian

JD retail business highlights for Q1 2022; revenues up 18%

JD.com’s annual active customer accounts increased by 16.2% to 580.5 million in the twelve months ended March 31, 2022, from 499.8 million in the twelve months ended March 31, 2021.

In the first quarter, JD.com established partnerships with a series of high-end brands, including Kering group’s high-end jewelry brand Qeelin, French luxury brand Lanvin, German luxury fashion e-commerce platform Mytheresa, as well as high-end accessories and lifestyle brand MCM, American premium lifestyle brand Tory Burch, and French premium cookware brand Le Creuset.

Meanwhile, JD.com welcomed multiple beauty brands onto the platform, such as Shu Uemura and YSL under L’Oreal group, as well as men’s skincare brand LAB SERIES and the Re-Nutriv collection under Estee Lauder group.

In addition, a set of apparel brands including Abercrombie & Fitch, Champion and Ochirly also opened stores on JD.com during the quarter.

In March, JD.com and Midea, a leading Chinese manufacturer of home appliances, signed a strategic cooperation agreement to provide corporate customers with more diversified commercial products and high-quality commercial engineering services.

JD.com and Midea will collaborate in areas including corporate customer development, scenario-based marketing, and support for customers’ digital procurement transformation.

As of March 31, 2022, JD Logistics operated approximately 1,400 warehouses. Including space managed through the Open Warehouse Platform, JD Logistics’s warehouse network had an aggregate gross floor area of over 25 million square meters.

See a comparison of annual buyers growth of Alibaba, JD, Pinduoduo here.

Financial Highlights

JD.com’s net revenues for the first quarter of 2022 were RMB239.7 billion (US$137.8 billion), an increase of 18.0% from the first quarter of 2021. Net service revenues for the first quarter of 2022 were RMB35.2 billion (US$5.6 billion), an increase of 26.3% from the first quarter of 2021.

Income from operations for the first quarter of 2022 was RMB2.4 billion (US$0.4 billion), compared to RMB1.7 billion for the same period last year. Non-GAAP income from operations increased by 32.8% to RMB4.7 billion (US$0.7 billion) for the first quarter of 2022 from RMB3.5 billion for the first quarter of 2021.

The operating margin of JD Retail before unallocated items for the first quarter of 2022 was 3.6%, compared to 4.0% for the first quarter of 2021.

Net loss attributable to ordinary shareholders for the first quarter of 2022 was RMB3.0 billion (US$0.5 billion), compared to a net income of RMB3.6 billion for the same period last year. Non-GAAP net income attributable to ordinary shareholders for the first quarter of 2022 was RMB4.0 billion (US$0.6 billion), as compared to RMB4.0 billion for the same period last year.

The diluted net loss per ADS for the first quarter of 2022 was RMB1.92 (US$0.30), compared to a diluted net income per ADS of RMB2.25 for the first quarter of 2021. Non-GAAP diluted net income per ADS for the first quarter of 2022 was RMB2.53 (US$0.40), compared to RMB2.47 for the same period last year.

Operating cash flow for the twelve months ended March 31, 2022, was RMB46.3 billion (US$7.3 billion), compared to RMB36.6 billion for the twelve months ended March 31, 2021.

Free cash flow, which excludes the impact from JD Baitiao receivables included in the operating cash flow, for the twelve months ended March 31, 2022 was RMB27.2 billion (US$4.3 billion), compared to RMB28.2 billion for the twelve months ended March 31, 2021.

JD targets China middle-class with membership online platform Yihaodian