JD.com (JD) - Get Report shares traded sharply higher Friday after the China-based e-commerce giant and key rival to Alibaba Group Holding Co. (BABA) - Get Report posted stronger-than-expected third quarter earnings as product sales from its online platform neared $17 billion.
JD.com said earnings for the three months ending in September came in at 29 cents per share, well ahead of the consensus forecast of 17 cents per share and a near twofold increase from the same period last year. Group revenues rose 28.7% from last year to 134.8 billion yuan ($19.2 billion) and beat the Refinitiv forecast by around $880 million.
Looking into the final months of the year, JD.com, which is backed by Walmart (WMT) - Get Report and Alphabet (GOOGL) - Get Report , said it sees revenues of between 163 billion yuan and 168 billion yuan, edging just ahead of estimates and representing a 25% growth rate at the higher end of the forecast.
"JD's commitment to providing consumers with the best possible online shopping experience drove another strong quarter of growth," said chairman Richard Liu. "In particular, more and more consumers in China's fast-growing lower-tier cities are turning to JD for our superior value and service."
"We will continue to invest in technology and innovation to meet the growing needs of Chinese consumers and businesses for fast and reliable e-commerce and supply chain solutions," Liu added.
JD.com's U.S.-listed shares were marked 3.5% higher Friday to change hands at $34.84 each, a move that would boost the stock's year-to-date gain to around 70% and value the China-based group at around $51.5 billion.