JD Logistics 'Jingbangda Kua' Cross-System Synergy Cost Savings Analysis Report

Through a series of strategic acquisitions and integrations, JD Logistics has built a full-scenario logistics ecosystem covering “small parcel delivery + large freight shipping + instant delivery + air time-sensitive parcels”, referred to as the “Jingbangda Kua” system[1]. The core components of this system include:

Business Segment	Core Position	Main Functions	Coverage
JD Logistics	Small Parcel Delivery	Warehouse-delivery Integration, Last-Mile Delivery	Nationwide Coverage
Deppon	Large Freight Shipping	Large-item Logistics, Transportation Network	Over 12,000 Directly-operated Outlets Nationwide
Dada	Instant Delivery	Local Instant Delivery	Over 50 Cities
KuaYue Express	Air Time-sensitive Parcels	Air Capacity, High Time-sensitivity	Over 500 Cities

In January 2025, Deppon Co., Ltd. officially launched its delisting process, and JD Logistics completed the acquisition at a price of RMB 19 per share (a 35.3% premium over the pre-suspension price), marking the full formation of the “Jingbangda Kua” full-scenario logistics ecosystem[2]. This integration enables JD Logistics to fully bring Deppon under unified management, connect the large freight shipping and e-commerce express networks, and achieve an integrated closed-loop of “warehousing + trunk transportation + distribution + installation”.

The network integration between JD Logistics and Deppon has achieved remarkable results. According to the latest data, after sharing transfer centers and transportation routes,

, while [1]. This result reflects the dual benefits of synergy—cost reduction and efficiency improvement go hand in hand.

In terms of network resource sharing, Deppon signed an Asset Transfer Agreement with JD Logistics in June 2023, purchasing partial assets of 83 transfer centers from JD Logistics and its holding subsidiaries with no more than RMB 106 million of its own funds[3]. Currently, Deppon has fully taken over the aforementioned assets and operates and manages the corresponding transfer centers, steadily promoting network integration in the transit and transportation links of the two parties’ freight business.

After JD Logistics introduced its independently developed intelligent dispatching system to Deppon, significant efficiency improvements have been achieved:

Efficiency Indicator	Improvement Range	Description
Empty Driving Rate	Reduced by 10%	Significant improvement in vehicle operation efficiency
Per Capita Efficiency	Increased by 28%	Optimized utilization of labor resources
Annual Expected Cost Reduction	RMB 1.4 Billion	Unmanned Delivery Vehicle Pilot Project

JD Logistics’ “Super Brain Large Model 3.0” analyzes data such as historical orders and real-time consumption trends to predict order volumes in each region 10 days in advance, helping the company complete capacity reserve in advance[4]. The intelligent dispatching system dynamically balances national capacity based on predicted data, and KuaYue Express’s “Dynamic Routing” system updates national traffic data every 5 minutes, considering 18 variables such as cargo characteristics and vehicle status to plan the optimal route for each vehicle.

Through in-depth integration with JD’s e-commerce ecosystem, Deppon’s 3-60kg small-ticket less-than-truckload business grew by 41%, and its market share in the freight shipping market reached 18.3%, ranking first in the industry[1]. The scale effect brought by this business synergy further dilutes unit costs, forming a positive cycle of “business growth - cost reduction - efficiency improvement”.

JD Logistics delivered strong financial performance in the first half of 2025, with total revenue reaching

, a year-on-year increase of 14.1%[5]. Among this, revenue from external customers (integrated supply chain customers and social customers) was , accounting for 67.1% of total revenue, which has remained stable at over 70% for multiple consecutive quarters.

The integrated supply chain business performed particularly well, with revenue reaching

in the first half of 2025, a year-on-year increase of 19.9%, with growth in the second quarter reaching 26.3%, leading the industry[5]. This growth rate is significantly higher than the industry average, reflecting customer expansion and business deepening brought by synergy effects.

While achieving accelerated revenue growth, JD Logistics has effectively improved resource utilization efficiency through measures such as technology empowerment, network layout optimization, and refined management, leading to steady development of profitability. In the first half of 2025, adjusted net profit reached

, a year-on-year increase of 7.1%[5].

In terms of profitability indicators, the non-IFRS EBITDA in the first half of 2025 was RMB 9.475 billion, with an EBITDA margin of 9.6%; gross profit was RMB 8.866 billion, maintaining a healthy gross margin of around 9.0%.

JD Logistics’ operating cost ratio (operating cost / operating revenue) is 68.9%, which is 3.2 percentage points lower than the logistics industry average of 72.1% in the first half of 2025[6]. Among this, the transportation cost ratio (27.8%) is 3.7 percentage points lower than the industry average (31.5%), fully reflecting the cost advantages brought by cross-system synergy.

JD Logistics’ integration of Deppon follows the principle of “Independent Operation, Complementary Advantages”, achieving in-depth resource sharing while maintaining Deppon’s brand independence:

• Transfer Center Sharing
  : Deppon acquired assets of 83 transfer centers from JD Logistics to achieve intensive operation in the transit link
• Transportation Route Integration
  : The two parties share trunk and branch line transportation resources to optimize route planning
• Outlet Synergy
  : JD Logistics’ last-mile network complements Deppon’s large-item outlets

JD Logistics has exported core technologies such as independently developed intelligent dispatching systems, warehouse automation equipment, and AI prediction models to Deppon:

• Intelligent Dispatching System
  : Optimizes delivery routes and reduces empty driving rate
• Automated Sorting Equipment
  : Improves sorting efficiency and reduces labor costs
• AI Prediction System
  : Accurately predicts order demand and optimizes capacity allocation

Relying on JD Group’s e-commerce traffic advantages, Deppon has gained significant business growth:

• E-commerce Traffic Diversion
  : Large-item orders such as home appliances and furniture from JD’s platform are directed to Deppon
• Integrated Delivery and Installation
  : In-depth integration with JD Logistics to provide integrated “warehousing + distribution + installation” services
• Reverse Logistics
  : Undertakes e-commerce return and exchange businesses to improve service closed-loop

Cost Item	Savings Range	Estimated Savings Amount
Single-Ticket Transportation Cost	Decreased by 12.3%	Hundreds of Millions of RMB Annual Savings
Vehicle Empty Driving Cost	Reduced by 10%	Hundreds of Millions of RMB Annual Savings
Labor Cost	Efficiency Increased by 28%	Hundreds of Millions of RMB Annual Savings
Unmanned Delivery Pilot	Annual Expected Cost Reduction	RMB 1.4 Billion

In addition to direct cost savings, cross-system synergy also brings the following indirect benefits:

• 18% Delivery Speed Improvement
  : Enhances customer satisfaction and market competitiveness
• Damage Rate Control
  : Deppon’s full-link self-operated mode keeps the damage rate below 0.03%, far lower than the industry average of 0.5%[1]
• Inventory Turnover Optimization
  : JD Logistics’ inventory turnover days have dropped to 30.9 days, outperforming Walmart and Amazon’s level of around 40 days[7]

As the proportion of revenue from external customers increases to 67.1%, JD Logistics continues to release scale effects:

• Fleet expansion has led to an approximately 10% decrease in single-ticket transportation cost
• Increased order density (from 15 orders per vehicle to 18 orders per vehicle) has led to an approximately 16.7% decrease in per-order cost
• The proportion of revenue from corporate customers has increased to 38.2%, enhancing order stability

The improvement of the “Jingbangda Kua” system has enabled JD Logistics to take a leading position in the following segmented markets:

• Large-item Logistics Market
  : Deppon holds an 18.3% market share, ranking first in the industry
• Integrated Supply Chain Market
  : Over 70,000 external integrated supply chain customers
• Instant Delivery Market
  : Synergy with Dada covers over 50 cities
• Air Time-sensitive Market
  : KuaYue Express operates over 620 air cargo routes

Looking forward, JD Logistics’ cross-system synergy still has room for further optimization:

• Deepened Network Integration
  : Full integration of Deppon and JD Logistics’ freight networks is expected to further reduce single-ticket costs
• Continuous Technology Empowerment
  : Iterative upgrades of the intelligent dispatching system will bring more efficiency improvements
• Promotion of Unmanned Delivery
  : The promotion of unmanned delivery vehicle pilot projects is expected to achieve larger-scale cost savings
• International Synergy Effects
  : Expansion of overseas warehouse networks will bring cost advantages in cross-border logistics

After Deppon’s delisting, it will completely get rid of the information disclosure and short-term profit pressure of listed companies, and can shift resources to long-term capacity building such as intelligent sorting and cross-border supply chains[2]. This strategic adjustment lays a foundation for JD Logistics’ long-term value creation, and it is expected to achieve a positive cycle of “network integration - cost optimization - efficiency improvement - enhanced profitability”.

JD Logistics’ “Jingbangda Kua” cross-system synergy has achieved significant cost savings, specifically reflected in:

1. Cost Reduction
   : Deppon’s freight single-ticket cost decreased by 12.3%, and empty driving rate reduced by 10%
2. Efficiency Improvement
   : Delivery speed increased by 18%, and per capita efficiency increased by 28%
3. Scale Expansion
   : Revenue from external customers accounts for 67.1%, and integrated supply chain revenue grew by 19.9%
4. Profitability Improvement
   : Net profit increased by 30% year-on-year, and cost control capabilities are superior to the industry

The core value of cross-system synergy lies in achieving the scale effect and synergy effect of “1+1>2” through three paths: resource integration, technology empowerment, and business synergy. With the deepening of integration, the cost-saving effect of the “Jingbangda Kua” system is expected to be further released, building sustainable cost advantages and competitive barriers for JD Logistics in the fierce market competition.

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[1] Sina Finance - “Deppon Joins JD, J&T Express Teams Up with SF Express” (https://finance.sina.com.cn/stock/relnews/cn/2026-01-18/doc-inhhssaz3857130.shtml)

[2] Jiemian News - “Deppon Delists, JD Logistics Integration Fully Launches” (https://m.jiemian.com/article/13882172.html)

[3] Guosen Securities Research Report - “Deppon Co., Ltd. (603056.SH): Freight Leader’s Operations Improve, Collaborating with JD Logistics” (https://pdf.dfcfw.com/pdf/H3_AP202311301612756947_1.pdf)

[4] Caifuhao - “NetEase Economics Institute’s ‘2025 Double 11 Promotion Data Analysis and Insight Report: Logistics Technology Chapter’” (https://caifuhao.eastmoney.com/news/20251120104531440965170)

[5] Yibao Net - “JD Logistics’ First Half Total Revenue Reaches RMB 98.53 Billion, Up 14.1% Year-on-Year” (http://www.expressboo.com/detail_21421_1.html)

[6] Gilin AI - “Analysis of JD Logistics’ Automotive Delivery Cost Advantages in Mid-October 2025” (https://www.gilin.com.cn/essence1017639.html)

[7] Huxiu - “Dignity for Over 600,000 People” (https://www.huxiu.com/article/4826718.html)

[8] JD Logistics 2025 Interim Report (https://www1.hkexnews.hk/listedco/listconews/sehk/2025/0905/2025090500346_c.pdf)