<div id="readability-page-1"><div>JD-SW (09618.HK) -1.300 (-1.113%) Short selling $257.35M; Ratio 31.751% will announce its 1Q26 results after market close next Tue (12th). Losses from new businesses including food delivery remained above RMB10 billion during the quarter (though improving QoQ), offsetting faster growth in general merchandise. Based on a survey of 17 brokers, JD-SWs 1Q26 Non-GAAP net profit attributable to ordinary shareholders is forecast at between RMB5.2 billion and RMB6.1 billion, down 52.2% to 59.2% YoY from RMB12.758 billion in the same period last year. The median estimate is RMB5.66 billion, representing a 56% YoY decline.M Stanley and CCBI forecast 1Q26 net profit attributable to ordinary shareholders of RMB4.333 billion and RMB4.335 billion respectively, down 60.2% YoY from RMB10.89 billion a year earlier. The 17-broker survey projects 1Q26 revenue of between RMB309.704 billion and RMB315.127 billion, up 2.9% to 4.7% YoY from RMB301.082 billion in 1Q25. The median estimate is RMB311.241 billion, up 3.4% YoY.The market will focus on managements comments on mainland Chinas latest consumption trends, updates on the trade-in program, the competitive landscape in food delivery and JD-SWs strategy, progress in international business integration, growth outlook, JD Retails margin performance, AI initiatives and monetization on the JD platform, and shareholder returns including dividends and buybacks. Faster-than-expected narrowing of food delivery losses in 1Q26 could lead to potential upward revisions to full-year adjusted net profit forecasts.Expected Improvement in New Business LossesCiti said it expects 1Q26 revenue of RMB310.9 billion, up 3.3% YoY, broadly in line with the market consensus of RMB310.7 billion (up 3.2% YoY). It forecasts adjusted net profit to fall 58% YoY to RMB5.3 billion, implying a net margin of 1.7%, compared with consensus of RMB5.12 billion (net margin 1.65%). Citi estimates GAAP gross margin, fulfillment gross margin and Non-GAAP operating margin at 15.93%, 9.48% and 0.52% respectively. It expects electronics revenue to decline 10% YoY to RMB129.9 billion, while general merchandise revenue is seen rising 11% YoY to RMB108.8 billion. Citi forecasts a 1Q26 operating loss of RMB10.8 billion for new businesses and believes results will meet or slightly exceed market expectations.CICC forecasts 1Q26 Non-GAAP net profit attributable to ordinary shareholders at RMB5.97 billion, down 53% YoY, with revenue rising 4.5% YoY to RMB314.6 billion, implying a Non-GAAP net margin of 1.9%. It expects JD Retail performance to be broadly in line with prior forecasts, with sales of electronics still under pressure but general merchandise maintaining double-digit growth. JD Retail revenue is projected to rise 1.3% YoY. By segment, electronics revenue is expected to decline 9.5% YoY, with the pace of decline narrowing QoQ due to a lower base effect from national subsidies last year. General merchandise revenue is forecast to grow 14% YoY, slightly accelerating QoQ, supported by seasonal demand shifts and improved operational capabilities in supermarket categories. Commission and advertising revenue are expected to maintain double-digit growth. At the profit level, CICC estimates group gross profit margin will improve YoY to 16.3% on enhanced supply chain management, while JD Retail operating margin remains broadly stable YoY.CICC expects a notable reduction in food delivery losses in 1Q26 to drive QoQ narrowing of new business losses. On the revenue side, new business revenue may decline markedly QoQ due to accounting changes: fulfillment and delivery revenue from food delivery and instant retail will be directly contracted by JD Logistics with merchants starting this year, and will therefore be fully reclassified to JD Logistics. On the profit side, new business losses are forecast to narrow QoQ from RMB14.8 billion in 4Q25 to RMB10.3 billion in 1Q26, driven by easing competition in food delivery, seasonal factors, optimized subsidies and rising commission income. Investment in other new businesses such as Jingxi and international operations is expected to remain broadly stable QoQ.This article was automatically translated by AI, the Chinese version should be considered the authoritative version. AASTOCKS.com Limited does not guarantee its accuracy or completeness and accepts no liability for any damages or losses arising from the use of this translation.</div></div>

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Brokers anticipate JD-SW's 1Q26 adjusted net profit to decline by 56% YoY, with estimates ranging from RMB5.2 billion to RMB6.1 billion. The company is expected to report revenue growth of 2.9% to 4.7% YoY, with a focus on food delivery competition and strategic updates. Analysts predict a significant reduction in losses from new businesses, particularly in food delivery, which may positively impact full-year profit forecasts. Key areas of interest include management's insights on consumption trends, international business integration, and shareholder returns.

- JD-SW (09618.HK) will announce its 1Q26 results on May 12, with projections showing a significant YoY decline in net profit due to losses from new businesses.  
- The revenue forecast for 1Q26 ranges between RMB 309.7 billion and RMB 315.1 billion, reflecting modest growth, while anticipated losses in food delivery may narrow.  
- Analysts anticipate management will discuss consumption trends, competitive dynamics, and strategies, with potential upward revisions to profit forecasts if food delivery losses improve.

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Brokers Expect JD-SW  1Q26 Adjusted Net Profit to Drop 56% YoY, Focus on Food Delivery Competition and Strategy