S&P: JD.com's growth momentum may face challenges in the coming quarters

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Jinse Finance reported on May 18 that S&P Global Ratings said in a report that JD.com (09618.HK) may face challenges in maintaining growth momentum over the next few quarters. The company’s core retail business grew in the first quarter, driven by an expanding user base and increased shopping frequency, and its overall performance exceeded S&P’s expectations. However, S&P analysts believe that JD.com’s plan to reduce promotional activities could lead to a slowdown in retail growth, and user growth may also decelerate. They added that competition in the food delivery industry may intensify again during the coming peak season. S&P said that JD.com may need to conduct more targeted food delivery promotions to control the resulting losses.

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