JD.com's profit jumps 71pc to 41.4b yuan

Staff reporter and agencies

Chinese e-commerce giant JD.com's (9618) net profit surged 71.1 percent to 41.4 billion yuan (HK$44.37 billion) last year, after Beijing policies helped shore up consumer spending across the world's second-largest economy.

"We head into 2025 with more optimism, as consumption sentiment steadily picks up," chief executive Sandy Xu Ran said, adding JD.com saw double-digit growth in key metrics including quarterly active users and shopping frequency, as well as strong growth across most product categories.

Its US-listed shares rose around 10 percent in pre-market trading after reporting a much better-than-projected 13 percent rise in sales to 347 billion yuan for the December quarter. Analysts were expecting revenue of 332.35 billion yuan. Net income for the fourth quarter also more than doubled to 9.9 billion yuan.

Its Hong Kong-listed shares jumped over 8 percent.

China's e-commerce leaders such as JD.com and Alibaba (9988) have slashed prices on everything from toys to tech appliances to lure shoppers at a time when consumption in the world's second-largest economy has slowed sharply.

The country's government has also ramped up fiscal stimulus to bolster domestic consumption, which includes incentives for consumer goods trade-ins, had encouraged consumers to purchase updated appliances.

JD Logistics' (2618) full-year net profit soared nine times from 2023 to 6.2 billion yuan, while JD Health International's (6618) net profit jumped 94 percent year-on-year to 4.16 billion yuan.