Investment Rating - The report maintains a "Recommended" rating for JD Group with a target price of 168 HKD per share [1]. Core Insights - JD Group achieved revenue of 260.05 billion CNY in Q1 2024, representing a year-on-year increase of 7.0%. Operating profit reached 7.7 billion CNY, up 19.8% year-on-year, with an operating profit margin of 3.0% [1]. - Non-GAAP net profit attributable to shareholders was 8.9 billion CNY, reflecting a year-on-year growth of 17.2% [1]. - The report highlights significant improvements in user experience and operational efficiency, with a notable increase in active users and shopping frequency [1]. Financial Performance - Revenue Breakdown: - Product revenue was 208.51 billion CNY, up 6.6% year-on-year, with 3C and home appliance categories generating 123.21 billion CNY (5.3% growth) and daily necessities reaching 85.3 billion CNY (8.6% growth) [1]. - Service revenue totaled 51.54 billion CNY, marking an 8.8% increase, driven by logistics and advertising services [1]. - Profitability Metrics: - Operating profit margin for JD Retail was 4.1%, with a slight year-on-year decrease of 0.5 percentage points [1]. - The report projects steady revenue growth, with total revenue expected to reach 1,172.49 billion CNY in 2024, reflecting an 8.1% year-on-year increase [5]. User and Merchant Engagement - The report notes a significant upgrade in user shopping experience, with a double-digit growth in active users and a 15% reduction in customer complaints per store for third-party merchants [1]. - JD Group's strategic initiatives, such as the "Spring Dawn Plan," have successfully reduced merchant operational costs by 50% [1]. Shareholder Returns - JD Group has initiated a share repurchase plan, having repurchased 700 million USD worth of shares as of May 15, 2024, with a remaining repurchase amount of 2.3 billion USD [1].
京东集团-SW：2024年一季报点评：稳健增长开局，用户表现亮眼