JD.com (JD - Get Report) posted stronger-than-expected second quarter revenues Tuesday as the China-focused retailer backed by Walmart (WMT - Get Report) and Alphabet (GOOGL - Get Report) said online sales neared $20 billion.
JD.com said non-GAAP earnings for the three months ending in June came in at 0.36 Chinese yuan, or 5 cents per U.S.-listed share, swinging from a net loss of 1.54 yuan over the same period last year but 3 cents shy of the consensus forecast . Group net revenues, however, rose 23% to 150.28 billion Chinese yuan, or $21.28 billion, and topped the Street consensus forecast of $20.93 billion. Product segment sales rose 21% to $18.9 billion, JD.com said, while its active customer account base topped 321 million.
Looking into 2019, JD.com said its sees revenues of between 126 billion and 130 billion yuan for the current quarter, beating the mid-point of Refinitiv's 126.2 billion forecast,
"Highlighted by our successful June 18th anniversary sales event, JD's strong performance in the second quarter further demonstrated the resilience of our superior business model in a highly competitive industry," said CEO Richard Liu. "JD's commitment to bringing users the best overall shopping experience continues to win over consumer mindshare. We will remain focused on leveraging technology and innovation to enhance our offerings, increase efficiency and drive shareholder value for the long term."
"JD.com delivered robust growth in the second quarter across our key metrics of revenue, profitability, cash flow and customer base," said Sidney Huang, Chief Financial Officer of JD.com. "Our economies of scale and innovative technologies are driving operating efficiency and further strengthening our business model. Looking ahead, we will continue to invest in user experience and our talented workforce to further grow the business and create value for all of our stakeholders."
JD.com's U.S.-listed shares were marked 6.8% higher in pre-market trading immediately following the earnings release to indicate an opening bell price of $29.05 each, a move that would extend the stock's year-to-date gain to around 36%. .