Mar 11, 2021| Financial
JD.com Announces Fourth Quarter and Full Year 2020 Results
On Mar. 11th, JD.com released its fourth quarter and full year 2020 earnings results. Below is an infographic with the key highlights. The full release can be found here.
Disclaimer: In the case of any discrepancies, the original earnings press release shall prevail.
Jun 9, 2021| Financial
Dada Q1 2021 Earnings: Further Deepen Cooperation with JD.com under Omni-channel Strategy
by Dada and JD
Dada Group announced its first quarter financial results on June 8th, kicking off 2021 with another strong quarter.
Dada’s total net revenues increased by 52% YOY, exceeding the high end of its guidance. Revenue generated from JDDJ reached 778 million, with a 2-year CAGR of 97%. GMV of JDDJ for the twelve months ended March 31, was RMB 28.1 billion, an increase of 78.9% YOY. And the number of active consumers was 46.1 million.
“We are pleased to kick off 2021 with another strong quarter,” commented Mr. Philip Kuai, Chairman and CEO of Dada. “We are excited to further deepen our cooperation with JD.com under the omni-channel approach. Leveraging JD’s devoted support, we will better fulfill demands for local on-demand retail and its delivery on JD.com, covering various scenarios and categories, and expand our omni-channel cooperation with JD.com. Together with JD.com, we will continue to provide consumers with superior experience, empower retail and brand partners and achieve a win-win cooperation for all.”
JDDJ, the on-demand retail platform, has constantly expanded its geographic coverage, especially in lower-tier cities, and further diversified category coverage to provide consumers with more product offerings in more categories on demand. By the end of the first quarter, JDDJ platform has covered over 1,500 cities and counties, which has more than doubled compared to the same period last year. While flagship supermarket category remains on the fast growth trajectory, JDDJ has made significant progress across many other categories.
On-demand delivery platform Dada Now’s intra-city delivery services to chain merchants continued to grow significantly, with revenue in the first quarter increasing by more than 130% YOY. As more chain merchants choose Dada services, the store penetration for each merchant continues to rise. As of the end of Q1, Dada Now provided support to logistics companies in over 2,700 cities and counties and the platform continued to deepen its cooperation with JD Logistics.
Please find the full version of the financial report here.
May 20, 2021| Financial
JD Earnings: The Long-Term Jingxi Opportunity
by Ella Kidron
JD.com announced its first quarter 2021 earnings on May 19. On the call to discuss the results, JD.com CFO Sandy Xu spoke to the potential of JD’s social e-commerce business targeted at China’s lower-tier markets, Jingxi, and provided some indication on future growth strategies.
Xu explained that the social group purchase model is a long term initiative, emphasizing the structural opportunity for JD to further penetrate lower-tier markets and provide consumers with products and services, particularly in the lower price range. She mentioned there is a strong desire to explore the market opportunity, adding that while most other players focus on traffic, “we believe the way to win the game is supply chain infrastructure driven by tech… we see this as a business heavily relying on supply chain”. This involves taking advantage of core capabilities to provide users with a high quality experience and better pricing.
JD has an inherent supply chain advantage through its long-established first party model and logistics business. Xu said the company could leverage its existing supply chain network, B2C experience and relationship with brands to provide a wider selection of SKUs. In addition, the local supply chain, especially in fresh produce is important. Xu reiterated that in developing Jingxi, JD will not compete with other players on speed but will instead take a long-term approach through investment in infrastructure, focus on building out teams and more, enhancing collaboration within JD’s various business lines to satisfy various shopping demands, and taking advantage of existing technology and infrastructure as much as possible.
In the future, the Jingxi business will depend on building capabilities and on whether it can provide users with an adequate level of customer experience .Where the existing infrastructure does not allow to meet the minimum customer experience, the focus will be on improving product quality.
Xu shared that Jingxi’s footprint already extends to 17 provinces and that the company is satisfied with the ROI thus far. JD previously announced plans for Jingxi to cooperate with more industrial belts; it already works with over 200 industrial belts across China.
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