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How Does JD.com’s Annual Revenue Trend Look?

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JD.com’s revenue sources

JD.com’s (JD) revenue grew at an average of 41% in 2016 and 2017. The growth rate slowed down from 43% in 2016 to 40% in 2017. Revenue amounted to 362.3 billion renminbi (or $55.7 billion) in 2017. JD.com’s revenue consists of net product revenue and net service revenue.

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Net product revenue and net service revenue

The company’s net product revenue stream generates revenue from electronics, home appliance products, and general merchandise products from online direct sales. Electronics and home appliance products revenue accounted for 65.2% of revenue in 2017 against 69.6% in 2016. General merchandise products contributed 26.4% of the revenue for 2017 compared to 22.5% in 2016.

Net service revenue comes from third-party sales commissions and value-added fulfillment service fees made through the company’s online marketplace. Net product revenues accounted for 92% of revenues in 2016 and 2017. The remaining 8% came from net service revenue. The net product revenue growth rate decreased from 42% in 2016 to 39% in 2017. Net service revenue growth declined from 55% in 2016 to 50% in 2017.

Revenue from other e-commerce stocks for 2016 and 2017

Alibaba Group Holding’s (BABA) revenue for 2016 and 2017 stood at 144 billion renminbi and 227.3 billion renminbi, respectively. Amazon.com’s (AMZN) revenues for 2016 and 2017 were $136 billion and $177.9 billion, respectively. eBay’s (EBAY) revenues were $9 billion and $9.6 billion for 2016 and 2017, respectively. Walmart’s (WMT) revenues for 2016 and 2017 were $485.6 billion and $499.1 billion, respectively.

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