JD.com Incorporated, China’s number 2 eCommerce company, reported last Monday higher than expected third-quarter overall revenue, as it jumps 61% because of the significant increase in customer accounts that doubled up to 46.1M comparing from last year’s customer numbers.
JD.com reported that their overall revenue increased to $4.73B, equivalent to 29B yuan in three months that ended last September. A significant increase from last year’s 18.04B yuan, beating estimates of analysts of $4.67B, basing on a poll by Thomson Reuters involving 13 analysts.
JD.com Incorporated, a firm from Beijing, stated that it expects overall revenues of 32 to 33B yuan, equivalent to $5.2 to $5.4B, for the year’s fourth quarter as the company continues in investing in their logistics-focused strategy and also increasing efforts in penetrating lower-tier China cities.
JD.com Incorporated’s overall revenue is an important measure the company closely watches when it comes to its overall operating performance. This is mainly because JD.com’s profit recently has also been affected because of outstanding expenses that are related to strategic tie-ups with Tencent Holdings.
Gross merchandise volume (GMV) of JD.com, the overall value of products sold, totaled to 67.3B yuan, equivalent to $10.99B, a 111% increase compared to last year.
JD.com’s chief executive and founder, Richard Liu, stated that the company maintained its excellent momentum during the year’s third quarter because of higher than expected growth in active client accounts and also the volume of gross merchandise.
The company’s third-quarter overall income not including exceptional items reached 370.78M yuan, equivalent to $60.56%, more than last year’s statistics.