JD.com swung to a net loss of US$800 million in the fourth quarter of 2021 from a net profit of US$3.8 billion a year ago. For the financial year ended 2021, the Chinese ecommerce giant posted a net loss of US$600 million, compared with a net profit of US$7.8 billion in the previous year.
The firm also posted a loss from operations of US$61.5 million in Q4, compared with an operating profit of US$94 million a year earlier.
One reason for the operating loss was that losses in its new businesses segment widened 3x to US$505.9 million in Q4. The segment mainly includes JD Property, social commerce platform Jingxi, overseas businesses, and tech initiatives. The new businesses segment’s loss came despite it posting a 45.5% growth in revenue for the quarter.
Income from operations for the full year dropped over 3x to US$600 million from US$1.9 billion in FYE 2020.
Meanwhile, the gain on sale of development properties for Q4 was over 60x lower at US$2.8 million, down from a gain of about US$175 million last year.
However, JD.com posted a 23% rise in revenue for Q4 2021.
The tech firm’s quarterly revenue climbed to around US$43.3 billion. Its revenue for FYE 2021 was US$149.3 billion – an increase of 27.6%.
The company’s retail business, its biggest revenue driver, posted topline growth of 21.3% to US$39.2 billion in Q4. JD Logistics also saw its quarterly revenue climb 27.7% to US$4.8 billion.
The company stated that its annual active customer base jumped 20.7% to 569.7 million in 2021 from 471.9 million in 2020.
See also: Can India recreate China’s live commerce magic?
Currency converted from Chinese yuan to US dollar: US$1 = 6.32 yuan
Editing by Collin Furtado and Arpit Nayak
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