JD.com Reports First Quarterly Loss in Over Three Years

• The Q4 loss of 2.71 billion yuan significantly exceeded analyst expectations of a 203.6 million yuan loss, while non-GAAP adjusted net profit fell 90% to 1.08 billion yuan
• Despite the quarterly loss, full-year 2025 revenue grew 13% to 1,309.1 billion yuan ($187.2 billion), with core JD Retail achieving double-digit growth in both revenue and operating profit
• JD Retail's Q4 operating margin held steady at 3.2%, while full-year operating income rose to 51.4 billion yuan with an improved margin of 4.6%, showing resilience in the core business

Summary

JD.com Reports First Quarterly Loss Since Early 2022

JD.com, the Beijing-based e-commerce giant, posted a Q4 2025 net loss of 2.71 billion yuan ($392.9 million), marking its first quarterly loss in over three years. This compares to net income of 9.85 billion yuan in Q4 2024. The loss exceeded analyst expectations of 203.6 million yuan. Non-GAAP adjusted net profit plummeted to 1.08 billion yuan from 11.29 billion yuan year-over-year.

Key Driver: Food Delivery Subsidy War

The loss stems primarily from aggressive competition in China's food-delivery sector, where JD.com has been battling rivals Meituan and Alibaba Group since entering the market in early 2025. The subsidy-driven price war has pressured margins and near-term profitability.

Revenue Growth Continues

Despite the quarterly loss, JD.com maintained revenue growth. Q4 revenues reached 352.3 billion yuan ($150.4 billion), up 1.5% year-over-year. Full-year 2025 revenues rose 13% to 1,309.1 billion yuan ($187.2 billion), with full-year net income totaling $187.2 billion.

Core Business Remains Resilient

JD Retail, the company's core segment, reported Q4 operating income of 9.8 billion yuan ($1.4 billion) with a 3.2% margin, essentially flat year-over-year. Full-year operating income for JD Retail increased to 51.4 billion yuan ($7.4 billion) with an improved 4.6% margin.

CEO Sandy Xu noted the results aligned with expectations and highlighted that food delivery is "steadily expanding in scale while narrowing sequential losses every quarter since its launch."

Market Implications: Investors should monitor JD.com's ability to balance growth investments in new markets against profitability pressures in an intensely competitive Chinese e-commerce landscape.