JD.Com Inc(ADR)(NASDAQ: JD) stock lost over 8% on March 2nd, 2018 pre market session (Source: Google finance) as the stock reported a weak bottom line. For the fourth quarter of 2017, the group reported a Net loss from continuing operations fall of 27.9% yoy to RMB909.2 million (US$139.7 million), against RMB1, 261.4 million. The Non-GAAP net income from continuing operations fell to RMB449.3 million (US$69.1 million) during the quarter against RMB779.7 million in pcp. Net income from continuing operations attributable to ordinary shareholders fell to RMB116.8 million (US$18.0 million) during the year against a net loss from continuing operations of RMB2.0 billion for the full year of 2016.
The Non-GAAP net income from continuing operations attributable to ordinary shareholders for the full year of 2017 reached RMB5.0 billion (US$0.8 billion), rising 140% against the full year of 2016.
On the other hand, the Net revenues surged 38.7% yoy to RMB110.2 billion (US$216.9 billion), during the quarter. Revenues from services and others rose 54.7% yoy to RMB10.0 billion (US$1.5 billion), during the fourth quarter of 2017 while Net revenues rose 40.3% yoy to RMB362.3 billion (US$55.7 billion). Revenues from services and others enhanced 49.9% in 2017.
The group’s Gross profit also rose to RMB14.4 billion (US$2.2 billion) during the quarter against the RMB10.8 billion in pcp. Gross profit for the full year of 2017 reached RMB50.8 billion (US$7.8 billion), which is a rise of 43.7% against full year of 2016. Non-GAAP gross profit surged 44.7% yoy to RMB50.0 billion (US$7.7 billion), for the year.
The group along with Tencent made a definitive agreements with Vipshop Holdings Limited, under which JD.com and Tencent agreed to invest a total amount of over US$863 million in cash in Vipshop. Along with Tencent they made a joint minority investment in Better Life, a leading multi-format regional retailer in southwest China. JD.com and Meili Inc. agreed to form a joint venture to explore social-commerce opportunities to build and operate a social e-commerce platform leveraging resources on JD’s level-1 Weixin entry point, bringing innovative and interactive social-commerce features to shoppers, and helping small businesses reach a broader consumer base at lower cost.