JD.com (JD), 9618 HK; 02 (Mar 23 - Dec 26)

[winston]

3Q25 Results Preview: Top-line Growth Moderates; Profitability To Improve On Easing FD Price War

JD’s 3Q25 top-line growth remains solid and was guided to grow at low teens, down from 2Q25 revenue growth of 22.4% yoy due to the high base effect last year.

Management guided easing FD investment intensity in 3Q25 alongside order volume expansion.

Meanwhile, 4Q25 promotions are expected to further boost cross-channel synergies between retail and food delivery.

Management targets breakeven in food delivery in the medium term.
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Maintain BUY with a target price of HK$167.00 (US$43.00), up from HK$166.00.

Source: UOBKH

https://research.uobkayhian.com/content ... e=hs_email

[winston]

Food delivery loss likely narrowed qoq in 3Q25F

We estimate JD’s total 3Q25F revenue grew 13.6% yoy to Rmb295.7bn, while non-GAAP net profit decreased by 67.2% yoy to Rmb4.3bn.

Food delivery loss likely narrowed qoq to Rmb10bn in 3Q25F (from Rmb13bn in 2Q25), helped by improving unit economics and order volume.

We estimate JD retail’s rose 10.6% yoy in 3Q25F, with a 5.5% operating margin, mainly helped by strong growth in the general merchandise category.

We believe new business loss further expanded in 3Q25F, dragged by JD Jingxi and international businesses.

Reiterate Add, with a higher DCF-based TP of HK$157.

Source: CGS

https://rfs.cgsi.com/api/download?file= ... 4A4466CFD6