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JD-SW: Retail & Local Life Strategy Unchanged; Food Delivery Biz Maintains Reasonable Profit Margin
Sandy Xu, CEO of JD-SW (09618.HK), said that the Company particularly encourages innovation, such as the rapid development of the home cleaning services business over the past 2 ye...
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JD-SW: Retail & Local Life Strategy Unchanged; Food Delivery Biz Maintains Reasonable Profit Margin
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Sandy Xu, CEO of JD-SW (09618.HK)  -0.300 (-0.241%)    Short selling $742.34M; Ratio 28.281%   , said that the Company particularly encourages innovation, such as the rapid development of the home cleaning services business over the past 2 years, according to Chinese media. However, overall, the strategic directions of instant retail and local life remained unchanged.

When asked about the recent substantial subsidies in JD-SW's food delivery service and whether it is trading scale for profit, Xu said that subsidies do not necessarily lead to larger scale. The key is product and user experience, and the Company has observed very good user repurchase and conversion rates in the current food delivery business.

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In the long term, JD-SW hopes that food delivery will be a sustainable business, and does not aim to achieve profit margins exceeding industry standards. Instead, the Company aims to maintain a relatively reasonable, or even a profit margin that is lower than the industry average, so as to enable its partners and the Company to form a win-win partnership in the long run.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-06-19 16:25.)

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