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JD.com Surpasses Q2 Expectations, But Stock Falls With Broader China Index

Published 16/08/2023, 13:30
© Reuters.  JD.com Surpasses Q2 Expectations, But Stock Falls With Broader China Index
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Benzinga - by Anusuya Lahiri, Benzinga Editor. JD.com, Inc (NASDAQ: JD) reported second-quarter FY23 revenue growth of 7.6% year-on-year to $39.7 billion, beating the consensus of $38.7 billion.

Non-GAAP net income per ADS of $0.74 beat the consensus of $0.66.

JD Segment Performance: JD.com's net product revenue grew by 3.5% Y/Y to $32.25 billion. Net service revenues rose 30.1% Y/Y to $7.46 billion. JD Retail revenue grew by 4.9% Y/Y to $34.93 billion.

Margin: Non-GAAP operating margin expanded by 90 bps to 3.0%. Non-GAAP operating margin of JD Retail was 3.2%, compared to 3.4% for Q2 of 2022.

JD.com generated $6.14 billion in free cash flow and held $33.5 billion in cash and equivalents.

CEO Sandy Xu said, "We are also encouraged to see the number of our marketplace merchants more than doubled and reached a new record during the quarter, reflecting our efforts to build a superior marketplace ecosystem, one of our priorities to provide customers with enriched supplies at better prices."

CFO Ian Su Shan said, "In JD Retail, we continued to gain market share in core categories of home appliances and 3C, propelled by our supply chain advantages and service quality, while supermarket category made steady progress as expected to build a healthier business model."

Price Action: JD shares traded higher by 5.59% at $33.96 in the premarket session on the last check Wednesday.

© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Read the original article on Benzinga

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