JD.com to focus on high-growth business initiatives
Chinese e-commerce company sees loss widen to 9.4 billion yuan because of higher operating costs
JD.com, China’s second-largest business-to-consumer e-commerce services company, aims to focus on investment in high-growth business areas this year and improve its profitability after posting mixed results for last year.
“We will remain focused on earning the trust of China’s consumers, while building partnerships with top brands,” chief executive Richard Liu Qiangdong said on Tuesday, ahead of the opening of the Nasdaq stock market in the United States.
Beijing-based JD.com reported a 58 per cent increase in total revenue last year to 181.28 billion yuan (HK$215.04 billion), up from 115 billion yuan in 2014, primarily due to increases in active customer accounts and the number of fulfilled orders.
“We now have 155 million annual active customers across our core businesses,” Liu said.
We will continue to invest in high-growth initiatives while improving the profitability of our core business
The company directly sells products from its own inventory, like Amazon, and operates online marketplaces where major brands and retailers sell their merchandise.
Its total fulfilled orders last year jumped 94 per cent to 1.26 billion, compared with 651.9 million in 2014.