Jinwu Financial News | JD Health (06618) announced that in 2023, the company's shareholders should account for profit of RMB 2,142 billion, an increase of 463.49% over the previous year; basic profit per share was 0.69 yuan.
During the period, the company's revenue increased 14.5% from RMB 46.7 billion in 2022 to RMB 53.5 billion in 2023.
In detail, the increase in the company's total revenue is mainly due to a 13.1% increase in product revenue from sales of pharmaceuticals and health products from RMB 40.4 billion in 2022 to RMB 45.7 billion in 2023. The growth in product revenue is mainly driven by the increase in the number of active users, additional purchases by users, the continuous increase in the online penetration rate of pharmaceutical and health product sales, and the enrichment of product categories. Service revenue from online platforms, digital marketing and other services increased 23.7% from RMB 6.4 billion in 2022 to RMB 7.9 billion in 2023. The increase in the company's service revenue is mainly due to (i) the increase in digital marketing service fees, mainly due to the increase in the number of advertisers on the platform, which is in line with the continued growth of transactions on the company's platform; and (ii) the increase in commissions, mainly due to the increase in sales volume of third-party merchants on our online platform.
According to the announcement, due to the above reasons, the company recorded gross profit of RMB 9.9 billion and gross margin of 21.2% in 2022, while gross profit of RMB 11.9 billion in 2023 was RMB 11.9 billion, gross margin of 22.2%. The increase in gross margin was mainly due to changes in the product portfolio.