JD.com reported quarterly losses as operating costs rose and announced the smallest increase in revenue in six quarters amid a slowdown in consumer spending, sending the Chinese company’s share down 6%.
The slowdown in the world’s second-largest economy has affected the e-commerce sector as consumers cut spending.
Last month, rival Alibaba announced the slowest revenue growth for the same period since 2014.
JD.com, which sells everything from home appliances to luxury goods, said overall spending rose 89 percent, largely due to rising compensation costs.
Net loss in the fourth quarter stood at 5.2 billion yuan, compared with a profit of 24.3 billion yuan last year.
Net income rose 23% to 275.9 billion yuan ($ 43.64 billion) in the fourth quarter, while analysts expected revenue of 274.45 billion yuan.
On an adjusted basis, the company gained 2.21 yuan per share, compared to an average estimate of 1.54 yuan.
Source: Capital
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