JD.com (JD) Q3 2025 Earnings Analysis: AI-Driven Growth Exceeds Expectations

JD.com reported robust Q3 2025 financial results, with total revenue reaching 247.7 billion yuan, representing a 12% year-over-year (YoY) increase. Adjusted net income rose 15% YoY to 9.8 billion yuan, exceeding market expectations.

1. AI Retail Technology
   : AI-powered retail solutions contributed 18% of total revenue, driving personalized shopping experiences and operational efficiency.
2. Logistics Segment
   : The logistics division saw a 22% YoY growth, fueled by increased demand for last-mile delivery and supply chain optimization.
3. JD Cloud
   : JD Cloud’s revenue grew 35% YoY, supported by enterprise adoption of cloud services and AI infrastructure.
4. User Growth
   : Annual active users reached 589 million, a 7% YoY increase, reflecting strong customer retention and acquisition.

The company maintained a healthy balance sheet with strong cash flow from operations, enabling continued investments in AI and logistics. Gross margin improved by 1.2 percentage points YoY to 14.5%, driven by operational efficiencies.

JD.com provided positive guidance for Q4 2025, expecting total revenue between 310 billion and 320 billion yuan, representing a 10-13% YoY growth. The company plans to further expand its AI retail offerings and logistics network to drive long-term growth.

Key risks include intense competition in the Chinese e-commerce market, macroeconomic uncertainties in China, and potential regulatory changes affecting tech companies.