spacepaipai

1JD.
comAnnouncesSecondQuarter2014ResultsGMVinQ22014Increasedby107%Year-Over-YearBeijing,China---August15,2014---JD.
com,Inc.
("JD.
com"orthe"Company")(NASDAQ:JD),China'slargestonlinedirectsalescompany,todayannounceditsunauditedfinancialresultsforthequarterendedJune30,2014.
SecondQuarter2014Highlights1GMVforthesecondquarterof2014wasRMB63.
0billion(US$10.
2billion),anincreaseof107%comparedwiththesecondquarterof2013.
Netrevenuesforthesecondquarterof2014wereRMB28.
6billion(US$4.
6billion),anincreaseof64%fromthesecondquarterof2013.
Activecustomeraccounts2increasedfrom19.
6millioninthesecondquarterof2013to38.
1millioninthesecondquarterof2014,anincreaseof94%.
Fulfilledordersinthesecondquarterof2014were163.
7million,anincreaseof126%from72.
6millionforthesameperiodin2013.
Fulfilledordersplacedthroughmobileaccountedforapproximately24%oftotalordersfulfilledinthesecondquarterof2014.
"JD.
comhadastrongquarterofgrowth,surpassingourtargetandcapturingadditionalmarketshare,"saidRichardLiu,founder,ChairmanandChiefExecutiveOfficerofJD.
com.
"AsChina'sleaderinonlinedirectsales,we'repleasedtoseethatJD.
comisbecomingChina'smostpopularandtrusteddestinationtopurchaseauthenticproductswhileenjoyingworldclasscustomerserviceandconvenientandspeedydeliverythroughourownlast-miledeliverynetwork.
""Lookingahead,"Mr.
Liucontinued,"wewillfocusonincreasingJD.
com'smarketleadershipbyexpandingtherangeofproductsandservicesavailableonourplatform,optimizingourmobileofferingsandpenetratingintofastgrowinglower-tiercities.
Weareconfidentthatthesestrategicinitiatives,combinedwiththeoveralltrendinChinatowardB2Ce-commerce,willlayasolidfoundationforourlong-termgrowth.
""Oursolidperformanceforthesecondquarterreflectsourongoingeffortstoprovidethebestcustomerexperiencewhileenhancingoperationalefficiency,"commentedSidneyHuang,JD.
com'sChiefFinancialOfficer.
"Backedbyourstrongbalancesheetandfreecashflow,wewillcontinuetoinveststrategicallyinfulfillmentinfrastructure,technologyandnewbusinessinitiativestofurtherstrengthenourleadershipinChina'sdirectB2Ce-commercemarket.
"RecentBusinessHighlightsJDmobilelauncheditsmobilevirtualnetworkoperator(MVNO)businessonMay15,2014.
SubscriberstoJDmobilewillenjoybenefitsfromJD.
com,includingdiscountshopping,financialservicesandotherprivileges.
1TheU.
S.
dollar(USD)amountsdisclosedinthispressrelease,exceptforthosetransactionamountsthatwereactuallysettledinU.
S.
dollars,arepresentedsolelyfortheconvenienceofthereader.
TheconversionofRenminbi(RMB)intoUSDinthisreleaseisbasedonthenoonbuyingrateinTheCityofNewYorkforcabletransfersinRMBperUSDascertifiedforcustomspurposesbytheFederalReserveBankofNewYorkasofJune30,2014,whichwasRMB6.
2036toUSD1.
00.
ThepercentagesstatedinthispressreleasearecalculatedbasedontheRMBamounts.
2Activecustomeraccountsforaspecifiedperiodarecustomeraccountsthatmadeatleastonepurchaseduringthespecifiedperiod,whetherthroughonlinedirectsalesoronlinemarketplacebutexcludingPaipaiandQQWanggou.
2JD.
comlaunchedlevel-oneaccessonTencent'sWeixinplatformforselectedWeixinusersinBeijingandShanghaionMay27,2014,andsubsequentlyrolleditouttoallWeixinusersinJune2014.
JD.
comalsolaunchedalevel-oneaccesspointonTencent'sMobileQQonAugust8,2014.
Withover520millionactivemonthlyusersasofJune30,2014,MobileQQbringsJD.
comtoanevengreaterrangeofconsumersthroughoutChina,includingyoungeraudiencesandresidentsoflower-tiercities.
JD.
com's"AsiaNo.
1"warehouseinShanghaicommencedtrialoperationinJune,2014.
Thestate-of-the-artfulfillmentcenter,whichincorporatesahighdegreeofautomation,willimprovefulfillmentefficiencyandincreaseourstoragecapacity.
JD.
comlauncheditsSmartHardwareCloudPlatforminJune2014.
AsofJune30,2014,theplatformprovidesservicestomorethan100smarthardwarestart-upsandtraditionalhomeappliancemanufacturers,helpingconnectJD.
comcustomersevenmorequicklywiththelatestsmartproducts.
JD.
compioneeredanddebutedChina'sfirstreimbursableelectronicinvoiceonJune27,2014.
Inpartnershipwiththetaxauthority,thesuccessfulroll-outofthereimbursableelectronicinvoiceisasignificantmilestoneinthepromotionofanation-widedrivetouseelectronicinvoices,whichwillfacilitatetaxcomplianceandtherealizationoffairplayforalle-commercemerchantsandoperators.
Paipai,asubsidiaryofJD.
com,re-launcheditssiteonJuly17,2014,withthegoalofbringingJD.
com'ssuperiorshoppingexperiencetoChina'sC2Cspace.
Theenhancedplatformisdedicatedtoprovidingconsumerswithanincreasedselectionoflong-tailproducts.
Italsoreducesmarketingcostsforsellersandprioritizessearchrelevanceoveradvertisingtoattractmoresellers,whichprovidescustomersawiderrangeofshoppingoptions.
JD.
comlauncheditsproprietaryonlinemarketingtechnologyplatformonMay22,2014toofferservicestooursuppliersandsellersonJD.
comandthird-partywebsites.
JD.
comextendeditsleadershipinself-operatedlogisticscapabilitiesamonge-commercecompaniesinChina.
AsofJune30,2014,JD.
comoperated97warehouseswithanaggregategrossfloorareaofapproximately1.
8millionsquaremeters,1,808deliverystationsand715pickupstations.
Ourself-operateddeliverynetworkcovered1,780countiesanddistrictsasofJune30,2014,growingfrom1,404countiesanddistrictsasofMarch31,2014.
TheCompany's211programandnext-daydeliveryprogramcovered111and622countiesanddistricts,respectivelyasofJune30,2014,risingfrom103and503countiesanddistricts,respectivelyasofMarch31,2014.
Themajorityofournewdeliverycapabilitieswereaddedinlower-tiercitiesinChinainthesecondquarterof2014.
JD.
comhadapproximately38,000merchantsonitsonlinemarketplaceasofJune30,2014andatotalof62,061full-timeemployeesasofJuly31,2014.
AccordingtoiResearch,JD.
com'sshareofChina'sonlinedirectsalesmarketreached54.
3%inthesecondquarterof2014.
SecondQuarter2014FinancialResultsGMVandNetRevenues.
GMVforthesecondquarterof2014wasRMB63.
0billion(US$10.
2billion),up107%fromthesecondquarterof2013.
GMVfromouronlinedirectsalesandouronlinemarketplacebusinessincreasedfromRMB23.
6billionandRMB6.
9billioninthesecondquarterof2013toRMB39.
2billionandRMB23.
8billionrespectivelyinthesecondquarterof2014.
GMVfromelectronicsandhomeapplianceproducts,increasedfromRMB20.
0billioninthesecondquarterof2013toRMB34.
8billioninthesecondquarterof2014,whileGMVfromgeneralmerchandiseandothersincreasedfromRMB10.
5billionin3thesecondquarterof2013toRMB28.
2billioninthesecondquarterof2014.
PercentageofGMVfromgeneralmerchandiseandothersofourtotalGMVincreasedfrom34.
6%inthesecondquarterof2013to44.
8%inthesecondquarterof2014.
Forthesecondquarterof2014,JD.
comreportednetrevenuesofRMB28.
6billion(US$4.
6billion),representinga64%increasefromthesameperiodin2013.
TheincreaseinourGMVandnetrevenueswereprimarilyduetothegrowthinouractivecustomeraccountsfrom19.
6millioninthesecondquarterof2013to38.
1millioninthesecondquarterof2014,andthegrowthinthenumberoffulfilledordersfrom72.
6millioninthesecondquarterof2013to163.
7millioninthesecondquarterof2014.
Netrevenuesfromonlinedirectsalesincreasedby60%,andnetrevenuesfromservicesandothersincreasedby186%inthesecondquarterof2014ascomparedtothesecondquarterof2013,primarilyduetotheincreasedrevenuefromourrapidlyexpandingonlinemarketplaceandadvertisingservice.
CostofRevenues.
Ourcostofrevenuesincreasedby60%fromRMB15.
9billioninthesecondquarterof2013toRMB25.
5billion(US$4.
1billion)inthesecondquarterof2014.
Theincreasewasprimarilyduetothegrowthofourdirectsalesbusiness.
FulfillmentExpenses.
Ourfulfillmentexpenses,whichprimarilyincludeprocurement,warehousing,deliveryandcustomerserviceexpenses,increasedby105%fromRMB1.
0billioninthesecondquarterof2013toRMB2.
0billion(US$0.
3billion)inthesecondquarterof2014.
Thisincreasewasprimarilyduetoourexpandingdeliveryserviceprovidedtothemerchantsonourmarketplace,theseasonalincreaseinthenumberofourfulfillmentemployeestoensuretheservicelevelduringouranniversarysaleseventinJuneof2014,andtheshort-termintegrationcostinrelationtothehiringofformerTencente-commercelogisticsstaff.
MarketingExpenses.
Ourmarketingexpensesincreasedby149%fromRMB0.
4billioninthesecondquarterof2013toRMB1.
1billion(US$0.
2billion)inthesecondquarterof2014.
ThisincreasewasprimarilyduetotheamortizationofintangibleassetsrelatedtoourstrategiccooperationwithTencent.
Theincreasewasalsodrivenbyincreasedbrandadvertisingandothermarketingactivities,includingtelevisioncommercialsandonlineadvertisingduringourspecialpromotionalcampaigninJune2014tocelebrateouranniversary.
TechnologyandContentExpenses.
Ourtechnologyandcontentexpensesincreasedby92%fromRMB218.
2millioninthesecondquarterof2013toRMB420.
0million(US$67.
7million)inthesecondquarterof2014.
Thisincreasewasprimarilyduetotheincreaseintheheadcountofourtechnologyemployees,whichincludedtheadditionofresearchanddevelopmenttalentaftertheTencenttransactioninMarch2014andthehiringofadditionalseniorandexperiencedtechnologyemployeestoexecuteourstrategiestocontinuouslyimproveourmobileandbigdatatechnologies.
GeneralandAdministrativeExpenses.
Ourgeneralandadministrativeexpensesincreasedby184%fromRMB160.
6millioninthesecondquarterof2013toRMB455.
4million(US$73.
4million)inthesecondquarterof2014.
ThisincreasewasprimarilyduetotheamortizationofintangibleassetsrelatedtoourstrategiccooperationwithTencentaswellastheincreaseinshare-basedcompensationexpenses.
NetLoss.
Netlossforthesecondquarterof2014wasRMB582.
5million(US$93.
9million),comparedtoRMB28.
3millionforthesameperiodlastyear.
TheincreasewasprimarilyduetoamortizationofintangibleassetsresultingfromassetsandbusinessacquisitionsrelatedtotheTencentstrategicpartnership.
Non-GAAPnetloss3forthesecondquarterof2014wasRMB11.
8million(US$1.
9million)ascomparedtonon-GAAPnetincomeofRMB37.
5millioninthesecondquarterof2013.
3Asusedinthispressrelease,non-GAAPadjustednetincome/(loss)isdefinedtoexcludeshare-basedcompensationandamortizationofintangibleassetsresultingfromassetsandbusinessacquisitionsfromnetloss.
See"ReconciliationofGAAPandNon-GAAPResults"attheendofthispressrelease.
4NetLossPerADS.
NetlossperADS4forthesecondquarterof2014wasRMB5.
86(US$0.
94),comparedtoRMB0.
57forthesecondquarterof2013.
TheincreaseofnetlossperADSwasprimarilyattributabletothenon-cashpreferredsharesredemptionvalueaccretionofRMB6.
5billionrecognizedimmediatelybeforeourinitialpublicofferingwhenthepreferredshareswereconvertedintoordinaryshares.
Non-GAAPnetlossperADS5forthesecondquarterof2014wasRMB0.
01(US$0.
00)ascomparedtonon-GAAPnetincomeperADSofRMB0.
04inthesecondquarterof2013.
CashFlowandWorkingCapitalAsofJune30,2014,theCompany'scashandcashequivalents,restrictedcashandshort-terminvestmentstotaledRMB35.
2billion(US$5.
7billion),comparedtoRMB14.
6billionasofDecember31,2013.
Forthesecondquarterof2014,freecashflow6wasasfollows:ForthethreemonthsendedJune30,2013June30,2014June30,2014RMBRMBUSD(Inthousands)Netcashprovidedby/(usedin)operatingactivities643,702(78,507)(12,655)Add:Impactfrominternetfinancingactivities7-911,757146,972Less:Capitalexpenditures(277,356)(618,375)(99,680)Freecashflow366,346214,87534,637Ouraccountspayableincludeaccountspayabletosuppliersassociatedwithouronlinedirectsalesbusinessandthosetothird-partysellersonouronlinemarketplace.
Fromlate2013,westartedtoprovidesupplychainfinancingtooursuppliersofonlinedirectsalesbusiness.
AsofDecember31,2013andJune30,2014,thebalancesoffinancingweprovidedtooursuppliersamountedtoRMB0.
1billionandRMB1.
4billion(US$0.
2billion),respectively.
Ouraccountspayableturnoverdays8foronlinedirectsalesbusinessexcludingtheimpactfromsupplychainfinancingwere42.
6daysinthesecondquarterof2013and40.
7daysinthesecondquarterof2014.
OurnetinventorieshaveincreasedfromRMB6.
4billionasofDecember31,2013toRMB10.
8billion(US$1.
7billion)asofJune30,2014.
Ourinventoryturnoverdays9were34.
0daysinthesecondquarterof2013and34.
3daysinthesecondquarterof2014.
ThirdQuarter2014Guidance4EachADSrepresentstwoordinaryshares.
5Asusedinthispressrelease,non-GAAPnetincome/(loss)perweightedaveragesharesiscalculatedbydividingnon-GAAPnetincome/(loss)bytheweightedaveragenumberofsharesofpermanentequitysecuritiesoutstandingduringtheperiod.
Non-GAAPnetincome/(loss)perADSisequaltonon-GAAPnetincome/(loss)perweightedaveragesharesmultipliedbytwo.
6Asusedinthispressrelease,non-GAAPfreecashflowisdefinedasoperatingcashflowaddingbacktheimpactfrominternetfinancingactivitiesandlesscapitalexpenditures,whichincludepurchasesofproperty,equipmentandsoftware,cashpaidforconstructioninprogress,purchaseofofficebuilding,intangibleassetsandlanduserights.
7Internetfinancingactivitiesincludefinancialproducts,"Jingbaobei"and"JDBaitiao",weprovidetooursuppliersandcustomers.
8Asusedinthispressrelease,accountspayableturnoverdaysforagivenperiodareequaltoaverageaccountspayablebalancesatthebeginningandtheendoftheperioddividedbytotalcostofrevenuesduringtheperiodandmultipliedbythenumberofdaysduringtheperiod.
9Asusedinthispressrelease,inventoryturnoverdaysforagivenperiodareequaltoaverageinventorybalancesatthebeginningandtheendoftheperioddividedbytotalcostofrevenuesduringtheperiodandthenmultipliedbythenumberofdaysduringtheperiod.
5Netrevenuesforthethirdquarterof2014areexpectedtobebetweenRMB28.
0billionandRMB29.
0billion,representinggrowthofbetween55%and61%comparedwiththethirdquarterof2013.
ThisforecastreflectsJD.
com'scurrentandpreliminaryexpectation,whichissubjecttochange.
Non-GAAPMeasuresInevaluatingourbusiness,weconsiderandusenon-GAAPmeasures,adjustednetincome/(loss)andfreecashflow,assupplementalmeasurestoreviewandassessouroperatingperformance.
Thepresentationofthesenon-GAAPfinancialmeasuresisnotintendedtobeconsideredinisolationorasasubstituteforthefinancialinformationpreparedandpresentedinaccordancewithaccountingprinciplesgenerallyacceptedintheUnitedStatesofAmerica("U.
S.
GAAP").
Wedefineadjustednetincome/(loss)asnetlossexcludingshare-basedcompensationandamortizationofintangibleassetsresultingfromassetsandbusinessacquisitions.
Wedefinefreecashflowasoperatingcashflowaddingbacktheimpactfrominternetfinancingactivitiesandlesscapitalexpenditures,whichincludepurchasesofproperty,equipmentandsoftware,cashpaidforconstructioninprogress,purchaseofofficebuilding,intangibleassetsandlanduserights.
Wepresentthesenon-GAAPfinancialmeasuresbecausetheyareusedbyourmanagementtoevaluateouroperatingperformanceandformulatebusinessplans.
Adjustednetincome/(loss)enablesourmanagementtoassessouroperatingresultswithoutconsideringtheimpactofshare-basedcompensationandamortizationofintangibleassetsresultingfromassetsandbusinessacquisitions,whicharenon-cashcharges.
Freecashflowenablesourmanagementtoassessourliquidityandcashflowwhiletakingintoaccountthedemandsthattheexpansionofourfulfillmentinfrastructureandtechnologyplatformhasplacedonourfinancialresources.
Wealsobelievethattheuseofthenon-GAAPmeasurefacilitatesinvestors'assessmentofouroperatingperformance.
Thesenon-GAAPfinancialmeasuresarenotdefinedunderU.
S.
GAAPandarenotpresentedinaccordancewithU.
S.
GAAP.
Thenon-GAAPfinancialmeasureshavelimitationsasanalyticaltools.
Oneofthekeylimitationsofusingadjustednetincome/(loss)isthatitdoesnotreflectallitemsofincomeandexpensethataffectouroperations.
Share-basedcompensationandamortizationofintangibleassetsresultingfromassetsandbusinessacquisitionshavebeenandmaycontinuetobeincurredinourbusinessandarenotreflectedinthepresentationofadjustednetincome/(loss).
Oneofthekeylimitationsoffreecashflowisthatitdoesnotrepresenttheresidualcashflowavailablefordiscretionaryexpenditures.
Further,thesenon-GAAPmeasuresmaydifferfromthenon-GAAPinformationusedbyothercompanies,includingpeercompanies,andthereforetheircomparabilitymaybelimited.
Wecompensatefortheselimitationsbyreconcilingthenon-GAAPfinancialmeasurestothenearestU.
S.
GAAPperformancemeasure,allofwhichshouldbeconsideredwhenevaluatingourperformance.
Weencourageyoutoreviewourfinancialinformationinitsentiretyandnotrelyonasinglefinancialmeasure.
ConferenceCallJD.
com'smanagementwillholdaconferencecallat8:00amEasternTimeonAugust15,2014(8:00pmBeijing/HongKongTimeonAugust15,2014)todiscussthesecondquarter2014financialresults.
Listenersmayaccessthecallbydialingthefollowingnumbers:US:+1-855-298-3404or+1-631-5142-526HongKong+852-5808-3202or800-905-927China400-1200-539International+65-6823-2299Passcode:83733856AreplayoftheconferencecallmaybeaccessedbyphoneatthefollowingnumbersuntilAugust22,2014:US:+1-8668460868International+61-2-9641-7900Passcode:8373385Additionally,aliveandarchivedwebcastoftheconferencecallwillalsobeavailableontheCompany'sinvestorrelationswebsiteathttp://ir.
jd.
com.
AboutJD.
com,IncJD.
com,Inc.
istheleadingonlinedirectsalescompanyinChina.
TheCompanystrivestoofferconsumersthebestonlineshoppingexperience.
Throughitscontent-richanduser-friendlywebsitejd.
comandmobileapplications,JD.
comoffersawideselectionofauthenticproductsatcompetitivepricesanddeliversproductsinaspeedyandreliablemanner.
TheCompanybelievesithasthelargestfulfillmentinfrastructureofanye-commercecompanyinChina.
JD.
comoperated7fulfillmentcentersandatotalof97warehouseswithanaggregategrossfloorareaofapproximately1.
8millionsquaremetersin39cities,and1,808deliverystationsand715pickupstationsin1,780countiesanddistrictsacrossChina,staffedbyitsownemployees.
TheCompanyprovidedsame-daydeliveryin111countiesanddistrictsunderits211programandnext-daydeliveryinanother622countiesanddistrictsacrossChinaasofJune30,2014.
SafeHarborStatementThisannouncementcontainsforward-lookingstatements.
Thesestatementsaremadeunderthe"safeharbor"provisionsoftheU.
S.
PrivateSecuritiesLitigationReformActof1995.
Theseforward-lookingstatementscanbeidentifiedbyterminologysuchas"will,""expects,""anticipates,""future,""intends,""plans,""believes,""estimates,""confident"andsimilarstatements.
Amongotherthings,thebusinessoutlookandquotationsfrommanagementinthisannouncement,aswellasJD.
com'sstrategicandoperationalplans,containforward-lookingstatements.
JD.
commayalsomakewrittenororalforward-lookingstatementsinitsperiodicreportstotheU.
S.
SecuritiesandExchangeCommission(the"SEC"),initsannualreporttoshareholders,inpressreleasesandotherwrittenmaterialsandinoralstatementsmadebyitsofficers,directorsoremployeestothirdparties.
Statementsthatarenothistoricalfacts,includingstatementsaboutJD.
com'sbeliefsandexpectations,areforward-lookingstatements.
Forward-lookingstatementsinvolveinherentrisksanduncertainties.
Anumberoffactorscouldcauseactualresultstodiffermateriallyfromthosecontainedinanyforward-lookingstatement,includingbutnotlimitedtothefollowing:JD.
com'sgrowthstrategies;itsfuturebusinessdevelopment,resultsofoperationsandfinancialcondition;itsabilitytoattractandretainnewcustomersandtoincreaserevenuesgeneratedfromrepeatcustomers;itsexpectationsregardingdemandforandmarketacceptanceofitsproductsandservices;trendsandcompetitioninChina'se-commercemarket;changesinitsrevenuesandcertaincostorexpenseitems;theexpectedgrowthoftheChinesee-commercemarket;ChinesegovernmentalpoliciesrelatingtoJD.
com'sindustryandgeneraleconomicconditionsinChina.
FurtherinformationregardingtheseandotherrisksisincludedinJD.
com'sfilingswiththeSEC.
Allinformationprovidedinthispressreleaseandintheattachmentsisasofthedateofthispressrelease,andJD.
comundertakesnoobligationtoupdateanyforward-lookingstatement,exceptasrequiredunderapplicablelaw.
Forinvestorandmediainquiries,pleasecontact:ChinaRuiyuLiInvestorRelationsJD.
com,Inc.
7+86(10)5895-5597IR@JD.
comJoshGartnerMediaJD.
com,Inc.
+86(10)5895-9315Josh.
Gartner@JD.
comU.
S.
CindyZhengBrunswickGroup+1(212)333-3810JDIR@brunswickgroup.
com8JD.
com,Inc.
UnauditedCondensedConsolidatedBalanceSheets(Inthousands,exceptpersharedata)AsofDecember31,2013June30,2014June30,2014RMBRMBUSDASSETSCurrentassets:Cashandcashequivalents10,812,33927,535,9764,438,709Restrictedcash1,887,3873,709,251597,919Short-terminvestments1,903,2243,947,134636,265Accountsreceivable,net502,0891,511,809243,699Advancetosuppliers769,765709,118114,307Inventories,net6,386,15510,781,3751,737,922Prepaymentsandothercurrentassets219,102545,68787,962Amountduefromrelatedparties-202,93132,712Totalcurrentassets22,480,06148,943,2817,889,495Non-currentassets:Property,equipmentandsoftware,net1,024,4281,882,252303,413Constructioninprogress1,237,6441,119,530180,465Landuserights,net598,853931,277150,119Intangibleassets,net215,8027,596,2301,224,487Goodwill14,6492,622,470422,734Equityinvestments36,502322,39051,968Othernon-currentassets401,873459,01673,992Totalnon-currentassets3,529,75114,933,1652,407,178Totalassets26,009,81263,876,44610,296,6739JD.
com,Inc.
UnauditedCondensedConsolidatedBalanceSheets(Inthousands,exceptpersharedata)AsofDecember31,2013June30,2014June30,2014RMBRMBUSDLIABILITIESCurrentliabilities:Short-termbankloans932,8262,842,594458,217Accountspayable11,018,86515,521,1552,501,959Advancesfromcustomers2,055,6253,299,307531,837Deferredrevenues208,527306,41549,393Taxespayable278,256419,37867,602Amountduetorelatedparties-461,40774,377Accruedexpensesandothercurrentliabilities2,269,7983,144,678506,913Deferredtaxliabilities6,08745,8537,391Totalcurrentliabilities16,769,98426,040,7874,197,689Totalliabilities16,769,98426,040,7874,197,689MEZZANINEEQUITYSeriesCconvertibleredeemablepreferredshares7,173,263--SHAREHOLDERS'EQUITY:SeriesAandA-1convertiblepreferredshares255,850--SeriesBconvertiblepreferredshares88,241--Ordinaryshares(US$0.
00002parvalue,100,000,000,000sharesauthorized,2,763,756,650sharesissuedand2,724,477,608sharesoutstandingasofJune30,2014.
)19935457Additionalpaid-incapital6,251,86946,769,6967,539,122Statutoryreserves2,6482,648427Accumulateddeficit(4,263,624)(8,641,302)(1,392,950)Accumulatedothercomprehensiveloss(268,618)(295,737)(47,672)Totalshareholder'sequity2,066,56537,835,6596,098,984Totalliabilities,mezzanineequity,andshareholders'equity26,009,81263,876,44610,296,67310JD.
com,Inc.
UnauditedCondensedConsolidatedStatementsofOperationsandNon-GAAPNetIncome/(Loss)PerADS(Inthousands,exceptpersharedata)ForthethreemonthsendedJune30,2013June30,2014June30,2014RMBRMBUSDNetrevenuesOnlinedirectsales16,895,28227,018,3034,355,262Servicesandothers557,8841,594,547257,036Totalnetrevenues17,453,16628,612,8504,612,298Operatingexpenses(1)(2)Costofrevenues(15,899,888)(25,457,621)(4,103,685)Fulfillment(978,632)(2,001,753)(322,676)Marketing(428,216)(1,066,020)(171,839)Technologyandcontent(218,182)(419,990)(67,701)Generalandadministrative(160,557)(455,411)(73,411)Totaloperatingexpenses(17,685,475)(29,400,795)(4,739,312)Lossfromoperations(232,309)(787,945)(127,014)Otherincome/(expenses)Interestincome96,504154,91224,971Interestexpense(3,395)(8,302)(1,338)Others,net112,83059,1699,538Lossbeforetax(26,370)(582,166)(93,843)Incometaxexpenses(1,949)(364)(59)Netloss(28,319)(582,530)(93,902)Preferredsharesredemptionvalueaccretion(455,894)(6,463,766)(1,041,938)Netlossattributabletoholdersofpermanentequitysecurities(484,213)(7,046,296)(1,135,840)Netlosspershare:Basic(0.
28)(2.
93)(0.
47)Diluted(0.
28)(2.
93)(0.
47)NetlossperADS:Basic(0.
57)(5.
86)(0.
94)Diluted(0.
57)(5.
86)(0.
94)Non-GAAPnetincome/(loss)perADS:Basic0.
04(0.
01)(0.
00)Diluted0.
04(0.
01)(0.
00)11JD.
com,Inc.
UnauditedCondensedConsolidatedStatementsofOperationsandNon-GAAPNetIncome/(Loss)PerADS(Inthousands,exceptpersharedata)ForthethreemonthsendedJune30,2013June30,2014June30,2014RMBRMBUSDWeightedaveragesharesofpermanentequitysecuritiesusedincomputationofearningspershare:Basic1,706,4482,405,5642,405,564Diluted1,706,4482,405,5642,405,564(1)Includesshare-basedcompensationexpensesasfollows:Fulfillment(19,938)(33,695)(5,432)Marketing(2,145)(4,671)(753)Technologyandcontent(8,189)(17,122)(2,760)Generalandadministrative(32,348)(153,442)(24,734)(2)Includesamortizationofintangibleassetsresultingfromassetsandbusinessacquisitionsasfollows:Fulfillment(3,150)(5,589)(901)Marketing-(305,796)(49,293)Technologyandcontent-(5,425)(875)Generalandadministrative-(44,951)(7,246)12JD.
com,Inc.
UnauditedCondensedConsolidatedStatementsofComprehensiveLoss(Inthousands,exceptpersharedata)ForthethreemonthsendedJune30,2013June30,2014June30,2014RMBRMBUSDNetloss(28,319)(582,530)(93,902)Othercomprehensiveloss:Foreigncurrencytranslationadjustments(70,968)(51,400)(8,286)Netchangeinunrealizedgainsonavailable-for-salesecurities:Unrealizedgains,niloftax25,5697,2841,174Reclassificationadjustmentforgainsincludedin"interestincome",niloftax(22,912)(12,199)(1,966)Netunrealizedgains/(loss)onavailable-for-salesecurities2,657(4,915)(792)Totalothercomprehensiveloss(68,311)(56,315)(9,078)Comprehensiveloss(96,630)(638,845)(102,980)13JD.
com,Inc.
SelectedOperatingDataForthethreemonthsendedJune30,2013June30,2014Activecustomeraccounts(1)(inmillions)19.
638.
1Ordersfulfilled(2)(inmillions)72.
6163.
7GMV(3)(inRMBbillions)30.
563.
0(1)Activecustomeraccountsforaspecifiedperiodarecustomeraccountsthatmadeatleastonepurchaseduringthespecifiedperiod,whetherthroughonlinedirectsalesoronlinemarketplacesbutexcludingPaipaiandQQWanggou.
(2)Ordersfulfilledaredefinedasthetotalnumberofordersdelivered,includingtheordersforproductsandservicessoldinouronlinedirectsalesbusinessandonouronlinemarketplace,netofordersreturned.
(3)GMVisdefinedasthetotalvalueofallordersplacedonourwebsiteandmobileapplications,includingordersforproductsandservicesplacedinouronlinedirectsalesbusinessandonouronlinemarketplaces,regardlessofwhetherthegoodsaresoldordeliveredorwhetherthegoodsarereturned.
OurcalculationofGMVincludesshippingchargespaidbybuyerstosellersandexcludesanytransactionsinourB2CbusinesswithordervalueexceedingRMB2,000thatarenotultimatelysoldordeliveredandproductsorservicesonourC2Cmarketplace,Paipai.
com,withlistpricesaboveRMB100,000aswellastransactionsconductedbybuyersonPaipaiwhomakepurchasesexceedingRMB1,000,000intheaggregateinasingleday.
14JD.
com,Inc.
ReconciliationofGAAPandNon-GAAPResults(Inthousands)ForthethreemonthsendedJune30,2013June30,2014June30,2014RMBRMBUSDNetloss(28,319)(582,530)(93,902)Add:Share-basedcompensation62,620208,93033,679Add:Amortizationofintangibleassetsresultingfromassetsandbusinessacquisitions3,150361,76158,315Adjustednetincome/(loss)37,451(11,839)(1,908)Adjustednetincome/(loss)perweightedaverageshares:Basic0.
02(0.
00)(0.
00)Diluted0.
02(0.
00)(0.
00)Adjustednetincome/(loss)perADS:Basic0.
04(0.
01)(0.
00)Diluted0.
04(0.
01)(0.
00)