The e-commerce giant, known as China’s top retailer of home appliances, has leveraged heavy discounts and trade-in incentives to attract cautious shoppers amid concerns over job security and household income. The government-backed appliance trade-in policies, which allow consumers to exchange older products for newer models, contributed significantly to JD.com’s strong performance.
The company reported total revenue of 299.1 billion yuan ($41.99 billion) for the quarter ended September 30, representing a 14.9% increase year-on-year and surpassing the 294.05 billion yuan analyst consensus compiled by LSEG. JD.com also highlighted strong growth in both its user base and customer shopping frequency, reaching a milestone of 700 million annual active customers in October, according to CEO Sandy Xu.
JD.com’s expansion into new business segments is beginning to yield results. Its food delivery unit, which competes with market leaders Meituan and Alibaba’s Taobao Shangou (formerly Ele.me), showed steady growth in order volume. The improved performance helped the company reduce its sequential investment in the division, indicating a potential path to profitability.
Despite the revenue gains, quarterly net income attributable to JD.com’s ordinary shareholders fell to 5.3 billion yuan from 11.7 billion yuan a year earlier. The decline reflects continued investments in global expansion and promotional offers aimed at retaining and growing its domestic customer base.
Analysts note that JD.com’s strategy of combining subsidies, discounts, and targeted promotions is helping it maintain competitiveness in China’s cautious consumer market, while also positioning the company for growth in emerging business segments beyond traditional e-commerce.