What happened
Shares of JD.com (JD 0.70%) opened 5% lower this morning after the company reported first-quarter earnings. The results were mixed compared to Wall Street's forecasts. As of 12:50 p.m. EDT, the stock had reversed course and was up 1%.
So what
Revenue in the first quarter increased 39% to 203.2 billion yuan ($31 billion), topping the consensus estimate of 190.1 billion yuan. That translated into adjusted earnings per share of 2.47 yuan ($0.38), which was shy of the 2.71 yuan per share that analysts were expecting. The Chinese e-commerce technology company said annual active customer accounts grew 29% to 499.8 million. JD.com recently kicked off an IPO to spin off its logistics division, JD Logistics.
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"Since our establishment, JD's focus on customers has set us apart and today we are proud that 500 million active users rely on JD's broad selection of quality products and best-in-class customer services to support every aspect of their lives," CEO Richard Liu said in a statement. "JD is also increasingly the partner of choice for millions of businesses who benefit from our advanced supply chain infrastructure to reduce costs and boost operating efficiency."
Now what
At the end of the first quarter, JD Logistics was operating over 1,000 fulfillment warehouses that included an aggregate total of over 21 million square meters of space. The company partnered with fellow Chinese tech giant Tencent to launch JD-Tencent Cloud Warehouse, a cloud-based logistics platform that provides warehouse technologies and supply chain management.
