京東 (JD) 2015 Q2 法說會逐字稿

Hello and thank you for standing by for JD.com's second quarter 2015 earnings conference call.

您好，感謝您出席京東 2015 年第二季度財報電話會議。

(Operator Instructions).

（操作員說明）。

Today's conference is being recorded.

今天的會議正在錄製中。

If you have any objections you may disconnect at this meeting.

如果您有任何異議，您可以在本次會議上斷開連接。

I'd now like to turn the meeting over to your host for today's conference, Ruiyu Li.

現在我想將會議交給今天會議的主持人李瑞宇。

Please go ahead.

請繼續。

Thank you, operator, and welcome to our second quarter 2015 earnings conference call.

謝謝您，運營商，歡迎參加我們的 2015 年第二季度收益電話會議。

Joining me on the call today are Richard Liu, Founder, Chairman and CEO and Sidney Huang, our CFO.

今天與我一起參加電話會議的有創始人、董事長兼首席執行官劉強東 (Richard Liu) 和首席財務官西德尼·黃 (Sidney Huang)。

For today's agenda, management will discuss highlights for the second quarter 2015.

在今天的議程中，管理層將討論 2015 年第二季度的亮點。

Following their prepared remarks, Haoyu Shen, CEO of JD Mall will join Mr. Liu and Mr. Huang for the Q&A session of the call.

在他們準備好的發言之後，京東商城首席執行官沈浩宇將與劉先生和黃先生一起參加電話會議的問答環節。

Before we continue, I refer you to our Safe Harbor statement in our earnings press release which applies to this call as we will make forward-looking statements.

在我們繼續之前，我請您參閱我們的收益新聞稿中的安全港聲明，該聲明適用於本次電話會議，因為我們將做出前瞻性聲明。

Also this call includes discussion of certain non-GAAP measures.

此次電話會議還包括對某些非公認會計準則措施的討論。

Please refer to our earnings release which contains a reconciliation of non-GAAP measures to the most directly comparable GAAP measures.

請參閱我們的收益報告，其中包含非公認會計準則衡量標準與最直接可比的公認會計準則衡量標準的調節表。

Finally, please note that unless otherwise stated, all the numbers mentioned during this conference call are in RMB.

最後請注意，除非另有說明，本次電話會議中提到的所有數字均以人民幣為單位。

Now I would like to turn the call over to our Founder, Chairman and CEO, Richard Liu.

現在我想把電話轉給我們的創始人、董事長兼首席執行官劉強東。

Thank you, Ruiyu and welcome, everyone.

謝謝瑞宇，歡迎大家。

We are pleased to report another strong quality performance with many exciting developments in our business.

我們很高興地報告我們的業務又取得了強勁的質量表現和許多令人興奮的發展。

During the quarter, our June 18 anniversary sales event saw record booking results with consumers continuing to migrate to Jingdong as a result of our [growing brand] reputation and the recognition of our superior customer service.

在本季度，我們 6 月 18 日的周年紀念銷售活動取得了創紀錄的預訂結果，由於我們[不斷增長的品牌]聲譽和對我們卓越客戶服務的認可，消費者繼續遷移到京東。

I'm also pleased to update you that we rolled out our new O2O e-commerce initiative and expanded the range of authentic imported products on our Jingdong worldwide cross-border platform.

我還很高興地向您通報，我們推出了新的 O2O 電子商務計劃，並在京東全球跨境平台上擴大了正品進口產品的範圍。

More and more, China's consumers are demanding the best service with high quality products and of course 100% authenticity.

中國消費者越來越要求最好的服務、高品質的產品，當然還有100%的正品。

And we are focused on making sure that JD.com's reputation for excellence in this area continues to grow.

我們致力於確保京東在這一領域的卓越聲譽不斷提高。

At the same time, we are looking ahead and making investments in innovative new O2O business initiatives to build JD.com's e-commerce leadership over the long term.

與此同時，我們放眼未來，對創新的 O2O 業務計劃進行投資，以建立京東的長期電子商務領導地位。

Now I will turn the call over to Sidney and I look forward to joining the Q&A session.

現在我將把電話轉給西德尼，我期待著參加問答環節。

Thank you, Richard, and hello, everyone.

謝謝理查德，大家好。

I'll spend the next 10 minutes to discuss our second-quarter financial highlights and the third quarter outlook.

我將在接下來的 10 分鐘內討論我們第二季度的財務亮點和第三季度的前景。

We are very pleased by our robust growth in the second quarter.

我們對第二季度的強勁增長感到非常高興。

Our year-on-year GMV growth was 82%.

我們的 GMV 同比增長為 82%。

As you know, our strategic deal with Tencent last year closed on March 10, so this quarter marks the full -- first full quarter of our one year anniversary of the Tencent alliance.

如您所知，我們去年與騰訊的戰略交易於 3 月 10 日完成，因此本季度標誌著我們與騰訊聯盟一周年紀念日的第一個完整季度。

This explains the seemingly slower GMV growth on an overall basis as part of the incremental GMV in Q2 last year was generated by Wanggou, the B2C marketplace acquired from Tencent and the Wanggou business has been discontinued in late 2014.

這解釋了整體GMV增長看似放緩的原因，因為去年第二季度增量GMV的一部分是由騰訊收購的B2C市場網購產生的，而網購業務已於2014年底終止。

On the other hand, our JD Mall's GMV growth remained robust with a year-over-year growth of 92% compared to 94% in the previous quarter.

另一方面，京東商城的 GMV 增長依然強勁，同比增長 92%，而上一季度為 94%。

Our net revenue growth was 60.5% in Q2, well above our guidance due to strong performance during our 12 year anniversary sales event in June.

由於 6 月份 12 週年紀念銷售活動期間的強勁表現，我們第二季度的淨收入增長了 60.5%，遠高於我們的預期。

The GMV composition was largely consistent with the prior quarter.

GMV 構成與上一季度基本一致。

GMV from general merchandise categories grew 97% and accounted for 48.5% of total GMV during the quarter.

百貨品類 GMV 增長 97%，佔本季度總 GMV 的 48.5%。

Apparel and shoes continued to be the fastest growing category with a year-on-year growth rate of nearly 150%.

服裝鞋帽繼續成為增長最快的品類，同比增速接近150%。

Other fast growing key categories included home furnishing, watches and handbags, food and beverage, cosmetics and baby products.

其他快速增長的主要品類包括家居用品、手錶手袋、食品飲料、化妝品和嬰兒用品。

Note that the acquired Tencent marketplaces, Paipai and Wanggou, were selling mostly general merchandise products, so the year-on-year growth rates for these categories were also affected by the full-year anniversary effect as discussed earlier.

值得注意的是，騰訊收購的拍拍和網購主要銷售日用百貨產品，因此這些品類的同比增長率也受到了前面討論的全年周年效應的影響。

GMV from our marketplace business grew 110% in Q2 and accounted for 44% of our GMV during the period.

我們的市場業務 GMV 在第二季度增長了 110%，占同期 GMV 的 44%。

If we just look at the JD Mall marketplace, GMV grew 156% year over year and 35% sequentially.

如果我們只看京東商城市場，GMV 同比增長 156%，環比增長 35%。

Our direct sales revenues grew 58% year over year led by food and beverage, home furnishing and cosmetics as well as mobile and home appliance categories.

我們的直銷收入同比增長 58%，其中食品飲料、家居和化妝品以及手機和家電品類帶動了直銷收入的增長。

Services and other revenue grew 108% year on year, mainly driven by triple-digit growth in commissions and the logistics service revenues.

服務及其他收入同比增長108%，主要得益於佣金和物流服務收入的三位數增長。

Our non-GAAP gross margin improved to 12.5%, up from 11% a year ago as s result of higher first party gross margin and higher GMV contribution from the marketplace.

由於第一方毛利率提高以及市場 GMV 貢獻提高，我們的非 GAAP 毛利率從一年前的 11% 提高至 12.5%。

Starting this quarter we began to recognize deferred revenue as a result of our resource-based investments in two companies which totaled RMB146m in the second quarter.

從本季度開始，我們開始確認遞延收入，這是由於我們對兩家公司的資源型投資在第二季度總計人民幣 1.46 億元。

As you noted, the non-GAAP gross margin figure I mentioned earlier excluded this revenue and we will exclude this revenue for all of our non-GAAP measures, as disclosed at the end of our earnings release.

正如您所指出的，我之前提到的非 GAAP 毛利率數據排除了該收入，我們將在所有非 GAAP 指標中排除該收入，正如我們在收益發布末尾所披露的那樣。

Non-GAAP fulfillment expense ratio improved to 7% in Q2 compared to 7.2% in Q1.

第二季度非 GAAP 履行費用率從第一季度的 7.2% 提高至 7%。

The improvement was mainly driven by better utilization of our fulfillment staff during the June 18 anniversary sales event.

這一改善主要是由於 6 月 18 日週年銷售活動期間我們的履行人員得到了更好的利用。

It was relatively consistent with the last year level, excluding the impact from the third party logistics service cost.

剔除第三方物流服務成本的影響，與上年水平較為一致。

However, our fulfillment expense ratio may increase in the next few quarters as we continue to invest in our O2O initiative and our logistic infrastructure in lower tier cities.

然而，隨著我們繼續投資 O2O 計劃和低線城市的物流基礎設施，我們的履行費用率可能會在未來幾個季度增加。

The non-GAAP marketing expense ratio was 3.6% in Q2 compared to 3% in Q1 and 2.6% in the same quarter last year.

第二季度非 GAAP 營銷費用率為 3.6%，而第一季度為 3%，去年同期為 2.6%。

The increase was mainly driven by higher discretionary spending such as JV advertising and offline marketing activities to raise our brand awareness during the second quarter.

這一增長主要是由於第二季度可自由支配支出的增加，例如合資廣告和線下營銷活動，以提高我們的品牌知名度。

Our non-GAAP R&D expense ratio increased to 1.6% compared to 1.4% a year ago, reflecting higher investment in R&D talent for our existing and new business lines.

我們的非 GAAP 研發費用率從一年前的 1.4% 上升至 1.6%，反映出我們對現有和新業務線研發人才的投資增加。

Altogether, despite heavy investment in our new business initiatives, our non-GAAP net margin was roughly breakeven in the second quarter which is similar to the same quarter last year.

總而言之，儘管我們對新業務計劃進行了大量投資，但我們的非公認會計準則淨利潤率在第二季度大致實現盈虧平衡，與去年同期相似。

If you look at our core JD Mall business however, both the non-GAAP operating margin and the non-GAAP net margin improved significantly from the prior year and were profitable during the second quarter.

然而，如果你看看我們的核心京東商城業務，就會發現非公認會計準則營業利潤率和非公認會計準則淨利潤率均比上年大幅改善，並且在第二季度實現了盈利。

Another highlight of our second quarter performance is the cash flow and working capital.

我們第二季度業績的另一個亮點是現金流和營運資金。

We had another record quarter with over RMB4.7b in free cash flow.

我們的季度自由現金流再次創紀錄，超過 4.7 億元人民幣。

Inventory turnover remained low at 34.5 days, while accounts payable turnover was 42.5 days.

存貨周轉天數仍然較低，為 34.5 天，而應付賬款周轉天數為 42.5 天。

As we mentioned before, these working capital metrics reflect our industry leading operating efficiency and significant potential for further improved cash flow.

正如我們之前提到的，這些營運資本指標反映了我們行業領先的運營效率以及進一步改善現金流的巨大潛力。

On a related note as disclosed in our free cash flow calculation, our Internet finance business grew significantly during the second quarter.

根據我們的自由現金流計算中披露的相關說明，我們的互聯網金融業務在第二季度大幅增長。

Cash outflow totaled approximately RMB5b, including over 50% to suppliers and merchants due to higher transaction volume during our June promotion and the remaining to our consumers.

現金流出總計約為人民幣 50 億元，其中超過 50% 由於 6 月份促銷期間交易量增加而流向供應商和商家，其餘流向消費者。

The supplier financing grew over RMB2b during the quarter and was the largest cash outflow item in Q2.

本季度供應商融資增長超過 20 億元人民幣，是第二季度最大的現金流出項目。

As discussed previously, supplier financing is essentially a factoring business, with minimal credit risk.

如前所述，供應商融資本質上是一種保理業務，信用風險最小。

Our consumer financing product, Jingdong Baitiao also grew over RMB2b during the quarter in conjunction with our June anniversary sales event.

結合我們 6 月份的周年慶促銷活動，我們的消費金融產品京東白條在本季度也實現了超過 20 億元人民幣的增長。

This product was initially introduced in early 2014.

該產品於 2014 年初首次推出。

Over the past 18 months, we have carefully designed and improved our credit assessment model, based on internal and external credit data.

在過去的18個月裡，我們根據內部和外部信用數據精心設計和完善了我們的信用評估模型。

The first-year metrics including delinquency trend and charge-off rates have been closely monitored and are continuously improving.

第一年的指標，包括拖欠趨勢和核銷率，都受到密切監控，並在不斷改進。

Our merchant financing program is relatively new and is the smallest portion of our loan portfolio.

我們的商業融資計劃相對較新，是我們貸款組合中最小的部分。

Overall our Internet finance business is still in the investing phase with operating losses, but we are encouraged by the progress and its improving financial results.

總體而言，我們的互聯網金融業務仍處於投資階段，存在經營虧損，但我們對進展及其不斷改善的財務業績感到鼓舞。

Given the increasing cash outflow we plan to seek asset securitization and other external sources to finance this business in the second half of this year.

鑑於現金流出不斷增加，我們計劃在今年下半年尋求資產證券化和其他外部來源來為這項業務融資。

Now let's discuss our financial outlook.

現在讓我們討論一下我們的財務前景。

We expect our Q3 net revenue growth between 49% and 54% on a year-on-year basis.

我們預計第三季度淨收入同比增長在 49% 至 54% 之間。

This guidance reflects our confidence in our core business, while incorporating our conservative outlook in light of the recent Chinese stock market correction and the slowing macroeconomic conditions.

這一指引反映了我們對核心業務的信心，同時考慮到近期中國股市調整和宏觀經濟狀況放緩，我們採取了保守的展望。

As for the non-GAAP bottom line, we maintain our previous guidance of between breakeven to negative 0.5% for the full year 2015.

至於非 GAAP 利潤，我們維持之前 2015 年全年盈虧平衡至負 0.5% 的指引。

Lastly, we are really excited about the newly announced strategic partnership with Yonghui Superstores.

最後，我們對新宣布的與永輝超市的戰略合作夥伴關係感到非常興奮。

Yonghui is the one of the largest supermarket chains in China with a clear leadership position in fresh product category.

永輝是中國最大的連鎖超市之一，在生鮮品類領域具有明顯的領導地位。

As part of this strategic alliance, the two companies will leverage each other's strengths to jointly develop the online solution for consumers' day-to-day need for fresh and food products.

作為這一戰略聯盟的一部分，兩家公司將利用彼此的優勢，共同開發滿足消費者日常生鮮和食品需求的在線解決方案。

In connection with the partnership, we will also invest approximately $700m for 10% stake in Yonghui, which is subject to regulatory approval.

結合此次合作，我們還將投資約 7 億美元購買永輝 10% 的股份，該交易尚待監管部門批准。

The agreed transaction price is RMB9, which represents a 9% discount to the weighted average stock price in the past 20 days.

協議交易價格為9元人民幣，較近20日加權平均股價折讓9%。

This price is also in line with the company's first quarter average price of RMB9.38, the unaffected price before the abnormal market volatility during the second quarter.

這一價格也符合公司一季度均價9.38元，即二季度市場異常波動前未受影響的價格。

As the deal was just signed this afternoon, you will see more information from Yonghui's public announcement very soon and we will give you more update on our next earnings call.

由於該交易於今天下午剛剛簽署，您很快就會從永輝的公告中看到更多信息，我們將在下一次財報電話會議上為您提供更多最新信息。

With that we can move to the Q&A session.

這樣我們就可以進入問答環節了。

Operator.

操作員。

(Operator Instructions).

（操作員說明）。

Eric Sheridan, UBS.

埃里克·謝里丹，瑞銀集團。

Thanks for taking the questions.

感謝您提出問題。

Sidney, I wanted to know if we could get a little bit more color on the pace or conversion of the traffic that's being delivered by Tencent, now that we're up to the one year anniversary of the relationship and how you see that traffic continuing to develop through the year.

西德尼，我想知道我們是否可以對騰訊提供的流量的速度或轉化有更多的了解，現在我們即將迎來合作一周年，以及您如何看待這種流量的持續增長通過一年來發展。

Thank you.

謝謝。

Sure, I'll start and Haoyu may add.

當然，我會開始，浩宇可能會補充。

Yes, so the traffic has been -- especially on the mobile side, we have seen a lot of new users from both WeChat and QQ Mobile apps.

是的，流量一直在增加——尤其是在移動端，我們看到微信和QQ手機應用程序都增加了很多新用戶。

These two vastly popular communicating -- social network chats -- apps have been adding a lot of new customers in Q2.

這兩個非常受歡迎的通信（社交網絡聊天）應用程序在第二季度增加了許多新客戶。

Again based on our internal data, well over 20% of the new users, newly acquired customers actually came from those two channels.

同樣根據我們的內部數據，超過 20% 的新用戶、新獲取的客戶實際上來自這兩個渠道。

So in terms of daily active users, if we use that definition, we're seeing steady growth from Weixin and QQ as well.

因此，就每日活躍用戶而言，如果我們使用這個定義，我們也會看到微信和 QQ 的穩定增長。

During our June annual campaign we did a lot of campaigns and promotions on these two entry points as well from which we added a lot of new users.

在六月份的年度活動期間，我們也在這兩個切入點上開展了很多活動和促銷活動，並從中添加了很多新用戶。

So in terms of order contribution, it's a very meaningful percentage right now.

因此，就訂單貢獻而言，目前這是一個非常有意義的百分比。

We can't disclose the numbers but as Sidney just mentioned that it's giving us -- it's becoming a big source of new user acquisition as well.

我們無法透露這些數字，但正如西德尼剛剛提到的那樣，它正在成為新用戶獲取的重要來源。

Alicia Yap, Barclays.

艾麗西亞·葉 (Alicia Yap)，巴克萊銀行。

Hi, good evening and good morning, Richard, Sidney and Haoyu.

嗨，晚上好，早上好，理查德、西德尼和浩宇。

Thanks for taking my questions.

感謝您回答我的問題。

My question is related to your overall O2O initiative and strategy.

我的問題與你們整體的 O2O 計劃和戰略有關。

So particularly on Yonghui and also can you elaborate a little bit in terms of how this -- relationship and business partnership will carry on.

特別是關於永輝，您能否詳細說明一下這種關係和業務夥伴關係將如何繼續下去。

And on top of that I actually wanted to ask on the overall competitive landscape.

最重要的是，我實際上想問一下整體競爭格局。

Given the O2O space is very crowded and there's no lack of funding, so in your opinion given your years of experience in retail, how will this local service and your local e-commerce landscape to shape out longer term?

鑑於O2O空間非常擁擠，而且不乏資金，因此根據您多年的零售經驗，您認為這種本地服務和您當地的電子商務格局將如何塑造長期？

Who will JD view the potential biggest competitor and any area that you feel you need to step up to strengthen your expertise in this local O2O initiative?

京東會認為誰是潛在的最大競爭對手以及您認為需要加強以增強您在本地 O2O 計劃中的專業知識的任何領域？

Thank you.

謝謝。

Okay, I will start.

好的，我要開始了。

So this is a very long question but it's very good.

所以這是一個很長的問題，但是非常好。

I think that overall O2O sector is still in a very early stage.

我認為整體O2O行業仍處於非常早期的階段。

There are many players but not all of them are in the same particular niche.

參與者有很多，但並非所有參與者都處於同一特定領域。

So we are -- for example for JD.com we leverage our strengths in physical goods e-commerce so we -- and our existing logistics networks.

因此，我們——例如，對於京東，我們利用我們在實體商品電子商務方面的優勢——以及我們現有的物流網絡。

So we specialize and we focus on fresh products through our mobile app, Jingdong [Daoja].

所以我們通過我們的移動應用程序京東[Daoja]專注於生鮮產品。

So as we mentioned earlier, our effort here is to connect the offline supermarkets to the consumers in the neighborhood and we will connect these consumers and provide through our delivery of the fresh products to their home.

所以正如我們前面提到的，我們在這裡的努力是將線下超市與附近的消費者連接起來，我們將連接這些消費者並通過我們將生鮮產品運送到他們的家中來提供服務。

So we have -- it is still fairly early, but we have seen very encouraging initial results.

所以我們——現在還相當早，但我們已經看到了非常令人鼓舞的初步結果。

We also started our crowd sourcing delivery network.

我們還啟動了眾包交付網絡。

We recruited tens of thousands of freelance delivery staff so they are -- but still in very early stage with a fairly low utilization rate at this point.

我們招募了數以萬計的自由投遞人員，但他們仍處於非常早期的階段，目前利用率相當低。

So the Yonghui superstore alliance as I just mentioned earlier is just a part of this overall initiative but that alliance in particular will be actually more strategic and beyond the current O2O initiatives.

因此，我剛才提到的永輝超市聯盟只是整個計劃的一部分，但該聯盟實際上更具戰略性，並且超越了當前的O2O計劃。

So in -- we are -- on the other hand we are not really venture into the other service-oriented O2O initiatives at this point.

因此，另一方面，我們目前還沒有真正涉足其他面向服務的 O2O 計劃。

So I think that the market is big enough and we hope we can leverage our own strengths and develop a very strong position in this exciting field.

所以我認為市場足夠大，我們希望能夠利用自己的優勢，在這個令人興奮的領域佔據非常強大的地位。

Cynthia Meng, Jefferies.

辛西婭·孟，杰弗里斯。

Good evening.

晚上好。

Thank you, Sidney, Richard and Shen-zong.

謝謝西德尼、理查德和神宗。

I have a question on the penetration into lower tier cities.

我有一個關於低線城市滲透率的問題。

Can management give us some more color on the revenue breakdown by tier of cities and how does this compare to the prior year -- to last year same time.

管理層能否為我們提供更多有關按級別城市劃分的收入細分的信息，以及與去年同期相比如何。

And also can you share with us your progress in deepening the penetration into lower tier cities, particularly the 500 county service center plan you mentioned previously.

另外您能否跟我們分享一下您在深化低線城市滲透方面的進展，特別是您之前提到的500個縣級服務中心計劃。

What is the growth in number of orders from lower tier cities last quarter?

上季度來自低線城市的訂單量增長了多少？

(Interpreted).

（解釋）。

We started our lower tier cities penetration strategy at the end of 2013.

我們於 2013 年底啟動了低線城市滲透戰略。

We've made a lot of progress in the past year and a half.

在過去的一年半里，我們取得了很大的進步。

So up to yesterday, we are -- with our own staff we're covering 2,100 districts and county and I want to remind you in China in total, there are 2,800 of those.

到昨天為止，我們用自己的員工覆蓋了 2,100 個區縣，我想提醒大家，中國總共有 2,800 個區縣。

And we are covering 20,000 out of 40,000 (spoken in Chinese) I don't know how to say that in English, but it's (multiple speakers) towns.

我們覆蓋了 40,000 個城鎮中的 20,000 個（用中文）我不知道用英語怎麼說，但這是（多個講者）城鎮。

And we are covering 40,000 villages and our target by the end of this year is to cover 100,000 villages in China.

我們正在覆蓋4萬個村莊，今年年底我們的目標是覆蓋中國10萬個村莊。

So out of the 40 -- actually the exact number is 46,000 villages that we're covering right now.

因此，在我們目前覆蓋的 40 個村莊中，實際上確切的數字是 46,000 個。

In each village we have a representative so to speak.

可以說，每個村莊都有一個代表。

They do marketing, they do sales, they do after-sales services for us.

他們為我們做營銷、銷售、售後服務。

Now we've achieved the leading position in first tier and second tier cities in the past years and we're making a lot of progress in lower tier cities.

現在我們過去幾年在一線和二線城市已經取得了領先地位，並且我們在低線城市也取得了很大的進步。

We don't disclose these numbers.

我們不會透露這些數字。

We do track the percent of orders from lower cities.

我們確實跟踪來自較低城市的訂單百分比。

Meaning excluding the first tier and second tier cities, we do track that number every quarter and we've seen steady growth -- meaningful growth.

這意味著排除一線和二線城市，我們每個季度都會跟踪這個數字，並且我們看到了穩定的增長——有意義的增長。

(Interpreted).

（解釋）。

We believe in the near future, more than half of the orders will be from the third tier and lower tier cities.

我們相信在不久的將來，超過一半的訂單將來自三線及以下城市。

So let me just add one data point.

讓我添加一個數據點。

In the second quarter for the first time, the active customers from tier three to tier six cities has surpassed 50%.

第二季度，三六線城市活躍客戶首次超過50%。

So the next milestone will be the number of orders.

因此，下一個里程碑將是訂單數量。

Robert Lin, Morgan Stanley.

羅伯特·林，摩根士丹利。

Hi, management.

嗨，管理層。

So I just wanted to get a little color on outlook in terms of the third party marketplace.

所以我只是想了解一下第三方市場的前景。

This is a twofold question.

這是一個雙重問題。

I think obviously there's a lot of competition for brands and I think your competitor talked about strategic partnership.

我認為顯然品牌競爭很激烈，我認為你的競爭對手談到了戰略合作夥伴關係。

Can you give us a little more color on how we intend to gain more of these brands strategically and who are you thinking in the next few quarters?

您能否詳細介紹一下我們打算如何戰略性地獲得更多這些品牌，以及您在未來幾個季度的想法是什麼？

And in terms of seasonality we noticed that your first party re-accelerated in terms of direct sales.

就季節性而言，我們注意到您的第一方在直接銷售方面重新加速。

Is this more of a seasonal thing because of the June promotion?

由於六月促銷，這更像是季節性的事情嗎？

And how should we think about this in the second half?

下半年我們應該如何看待這個問題？

Thank you.

謝謝。

(Interpreted).

（解釋）。

We've been through competition before.

我們之前也經歷過競爭。

As we started as an IT and (inaudible) products seller, we've seen competitors and brands not accepting us.

當我們最初作為 IT​​ 和（聽不清）產品銷售商時，我們發現競爭對手和品牌不接受我們。

And then when we got into home appliances we also saw some blocking strategy from some of our competitors.

然後，當我們進入家電領域時，我們也看到了一些競爭對手的一些封鎖策略。

But we've been through all these.

但這些我們都經歷過。

We entered apparel sector about two, three years ago.

我們大約兩三年前進入服裝行業。

Right now the fastest growth category, major category within JD Mall.

目前增長最快的品類，是京東商城內的主要品類。

It's the most important growth engine for JD Mall.

它是京東商城最重要的增長引擎。

Now we understand and respect decisions made by brands according to their own strategy, but we believe as long as we provide the best customer service, customer experience, eventually all brands will come back to work with us.

現在我們理解並尊重品牌根據自己的策略做出的決定，但我們相信只要我們提供最好的客戶服務、客戶體驗，最終所有品牌都會回來與我們合作。

Lastly, I do want to say that we are working at least with over 100,000 brands now.

最後，我想說的是，我們現在至少與超過10萬個品牌合作。

So the impact from any single brand is immaterial to all of our business.

因此，任何單一品牌的影響對我們所有的業務來說都是無關緊要的。

Tian Hou, TH Capital.

侯天，泰合資本。

Good evening, management.

晚上好，管理層。

My question is related to JD Daoja JD to home.

我的問題是關於京東到家京東到家的。

So in terms -- I would like to know the coverage of your JD to home and also how many part time delivery guys do you have?

那麼，我想知道你們京東到家的覆蓋範圍以及你們有多少兼職送貨員？

And also the financial arrangement between JD.com and those people and also what is your expansion plan going forward in terms of coverage.

還有京東和這些人之間的財務安排，以及你們未來在覆蓋範圍方面的擴張計劃是什麼。

(Interpreted).

（解釋）。

So right now Jingdong Daoja is in seven cities.

所以現在京東到家已經在七個城市了。

This is up to yesterday.

這是到昨天為止的情況。

We have 50,000 registered freelancers this week.

本週我們有 50,000 名註冊自由職業者。

The number of orders is growing very fast and we have a revenue sharing model with the supermarkets.

訂單數量增長非常快，我們與超市有收入分成模式。

We focus on working with supermarkets, especially fresh produce.

我們專注於與超市合作，尤其是生鮮農產品。

And it's growing fast but it's small.

而且增長速度很快，但規模很小。

So compared with the overall scale of JD, it's a very small business right now.

所以與京東的整體規模相比，現在它是一個非常小的企業。

I do want to answer the question that was asked before about the seasonality for Q2, re-acceleration of the first party business.

我確實想回答之前提出的有關第二季度季節性、第一方業務重新加速的問題。

Yes, in June which is our annual campaign, it does tend to focus on first party categories which you will see offset particularly in Q4.

是的，在六月，這是我們的年度活動，它確實傾向於關注第一方類別，特別是在第四季度，您會看到這些類別被抵消。

And the other reason is in Q2, the apparel tends to be small ticket items seasonality wise and apparel is, as Richard mentioned is a big part of our marketplace business.

另一個原因是在第二季度，服裝往往是季節性的小件商品，正如理查德提到的那樣，服裝是我們市場業務的重要組成部分。

Kevin Yin, Credit Suisse.

凱文·尹，瑞士信貸。

Hi.

你好。

Thank you, management.

謝謝你，管理層。

Thank you for taking my question.

感謝您回答我的問題。

My question is actually is a follow-on the -- a follow-up -- a follow-on question on the competition.

我的問題實際上是關於比賽的後續問題。

So Uniqlo, Zara and Timberland they shut down their store on JD.com.

因此，優衣庫、Zara 和 Timberland 關閉了京東商店。

So Shen-zong gave us a very good point that in 3C category you used to -- some of the leading brands used to block your JD.com as well.

所以神總給我們講了一個非常好的觀點，在3C品類中，你們以前也經常這樣——一些領先的品牌也曾經封鎖過你們的京東。

So my question is what made that change for the 3C category.

所以我的問題是，是什麼讓 3C 類別發生了這種變化。

And this is going to -- basically going to help us to understand how long and what you need to do, what market share you need to gain to attract the global leading brands like Zara, Timberland and Uniqlo to come back again.

這基本上將幫助我們了解您需要多長時間、需要做什麼、需要獲得多少市場份額才能吸引 Zara、Timberland 和 Uniqlo 等全球領先品牌再次回歸。

And also can you update us on the -- what are the major brands that are using your logistics service?

另外，您能否向我們介紹一下使用您的物流服務的主要品牌有哪些？

Thank you.

謝謝。

(Interpreted).

（解釋）。

So this is -- it's never about contractually excluding your competitors.

所以這絕不是通過合同排除你的競爭對手。

Long term it's never sustainable.

從長遠來看，它永遠是不可持續的。

And for the customers it's always about customer experience.

對於客戶來說，客戶體驗始終是最重要的。

For the brands to work for the retailer, it's always about how much value it can create for them.

對於為零售商服務的品牌來說，最重要的是它能為他們創造多少價值。

It is probably true that the GMV number the brands can get from our platform is lower than our competitors.

品牌從我們平台獲得的 GMV 數字可能確實低於我們的競爭對手。

But it's probably also true for many of them, they probably make in absolutely terms, they're making more money from our platform than our competitors' platform.

但對他們中的許多人來說可能也是如此，他們可能從絕對意義上賺了錢，他們從我們的平台賺的錢比我們競爭對手的平台賺的錢更多。

We're not advertising-based business.

我們不是以廣告為基礎的業務。

They don't need to spend here tremendous amount of money on JD to get traffic.

他們不需要在這里花大量的錢在京東上來獲得流量。

Because of the nature of our platform, our traffic is of a high quality meaning that when customers and buyers come to our site, it's very easier for the brands to convert them, the typical customers won't spend, waste their time.

由於我們平台的性質，我們的流量是高質量的，這意味著當客戶和買家來到我們的網站時，品牌很容易將其轉化，典型的客戶不會花費、浪費時間。

And on your other question on logistic services to merchants.

關於你提到的關於商家物流服務的另一個問題。

We still offer, we still deliver right now a meaningful portion of the third party merchants orders.

我們仍然提供，我們現在仍然交付第三方商家訂單的很大一部分。

In the second quarter was in high 20s.

第二季度達到20多歲。

The reason for the percentage went down slightly was because increasingly customers are paying online instead of COD.

該百分比略有下降的原因是越來越多的客戶開始在線支付而不是貨到付款。

So COD was one of the drivers for our service because it is exclusively offered by JDs delivery team.

因此，貨到付款是我們服務的推動因素之一，因為它是由京東的配送團隊獨家提供的。

Now we are in the process of designing enhanced service offering to our merchants, so we expect to launch that very shortly in the second half.

現在，我們正在為商家設計增強的服務，因此我們預計將在下半年很快推出。

Sean Zhang, 86 Research.

張肖恩，86 歲，研究。

Thank you, management, for taking my question.

謝謝管理層回答我的問題。

I have a follow-up on the market breakdown you have over 50% of your customers coming from lower-tier cities.

我對市場細分進行了跟踪，您有超過 50% 的客戶來自二三線城市。

Can you explain to us what's the difference between shopping behavior?

您能向我們解釋一下購物行為之間有什麼區別嗎？

Am I correct to assume I think lower-tier city customer will buy more 3C, home appliances or small 1P product, instead of we are diversifying our product portfolio in tier one cities that meaning tier one city marketplace grow faster, lower-tier city primarily we're selling more 1P product.

我的假設是否正確，我認為二線城市客戶會購買更多的 3C、家電或小型 1P 產品，而不是我們在一線城市實現產品組合多元化，這意味著一線城市市場增長更快，主要是二線城市我們正在銷售更多 1P 產品。

Is that correct to assume that?

這樣的假設正確嗎？

Thank you.

謝謝。

Yes, I don't think that's correct.

是的，我認為這是不正確的。

We are -- you would assume so, but what we are finding is these lower-tier city -- and first of all their behavior is different because they buy in aggregate.

我們——你可能會這麼認為，但我們發現的是這些低線城市——首先他們的行為是不同的，因為他們總體購買。

They do purchase less from us.

他們從我們這裡購買的東西確實減少了。

The ticket price tend to be smaller and the frequency tend to be slightly lower.

票價往往較低，班次也略低。

But it's not true that they only or they tend to buy first party or a 3C category products.

但他們並不只購買或傾向於購買第一方或 3C 類別的產品。

They do buy other categories from us even as a first-time user of JD.com, they buyers from and third-tier and fourth-tier cities, they do buy non-3C products from us.

即使是第一次使用京東，他們也會從我們這裡購買其他品類，他們來自三線和四線城市，他們也會從我們這裡購買非3C產品。

Yes, just to add on Haoyu's point, so even though the ticket size and the average purchase frequency is lower than tier one, tier two cities, but when we look at the trend over the past four, five quarters, those metrics have been improving for the lower-tier cities.

是的，補充一下浩宇的觀點，儘管門票規模和平均購買頻率低於一、二線城市，但當我們看過去四、五個季度的趨勢時，這些指標一直在改善對於低線城市。

So right now this is really just a function of these people starting to shop on JD.com at a later time than tier-one, tier-two city customers.

所以現在這實際上只是這些人比一二線城市消費者更晚開始在京東購物的一個原因。

So over time we do expect their shopping behavior will catch up and get much closer to the tier-one to tier-two customers.

因此，隨著時間的推移，我們確實預計他們的購物行為將會趕上並更加接近一級到二級客戶。

Robert Peck, Suntrust.

羅伯特·佩克，Suntrust。

Yes, thank you and congratulations, everybody.

是的，謝謝大家，祝賀你們。

Sidney, I was wondering if you can give us a little more color on the Chinese stock market movement and maybe what impact it would have had during the quarter?

西德尼，我想知道您是否能給我們更多關於中國股市走勢的信息，以及它在本季度會產生什麼影響？

And I know you called out as part of the guidance reflecting what you've seen so far.

我知道您作為指導的一部分提出了要求，反映了您迄今為止所看到的情況。

Is there anything else to call out in the guidance?

指南中還有什麼需要注意的嗎？

Any other areas of weakness per se to point out?

本身還有其他弱點需要指出嗎？

Thanks so much.

非常感謝。

Well, it's very hard to comment on the stock market itself, but we know that there are a lot of ordinary consumers who participated in the stock market and the corruption does affect a lot of people.

嗯，很難評論股市本身，但是我們知道有很多普通消費者參與了股市，腐敗確實影響了很多人。

But there are other analysis indicating that stock market investment actually contributed a very small percentage of the overall consumer income, disposable income.

但也有其他分析表明，股市投資實際上只佔總體消費者收入（即可支配收入）的很小一部分。

So both are valid.

所以兩者都是有效的。

So we think also on a sentiment basis, we do believe that certain large ticket item purchases could be affected.

因此，我們認為，從情緒的角度來看，我們確實認為某些大宗商品的購買可能會受到影響。

So that's why we made a relatively conservative assumption and we reflected that in our Q3 guidance.

這就是為什麼我們做出相對保守的假設，並在第三季度指導中反映了這一點。

We hope as the market continue to be in its early development phase, we prepare for the worst.

我們希望，隨著市場繼續處於早期發展階段，我們做好最壞的打算。

But right now seems the market has been stabilizing.

但目前市場似乎已經企穩。

Fawne Jiang, Brean Capital.

Fawne Jiang，布瑞恩資本。

Hi, thank you for taking my question.

你好，謝謝你回答我的問題。

My question is actually regarding your product mix for your 1P business.

我的問題實際上是關於您的 1P 業務的產品組合。

Just wonder whether you can give us a little bit color on the trend of the 1P business in terms of the product mix breakout and how has that impact your margin so far and what do we expect going forward?

只是想知道您是否可以向我們介紹一下 1P 業務在產品組合突破方面的趨勢，以及到目前為止這對您的利潤率有何影響以及我們對未來有何期望？

Yes, so right now if you look at the Q2, the year-over-year growth in the ranking in terms of growth rate, general merchandise grew fastest followed by mobile handsets, which also grew very significantly in the second quarter and then followed by home appliance, which also grew faster than average.

是的，所以現在如果你看一下第二季度的同比增速排名，百貨增長最快，其次是手機，第二季度增長也非常顯著，然後是家用電器的增長也快於平均水平。

So the slowest-growing category was IT digital products, which has been the case for multiple quarters.

因此，增長最慢的類別是 IT 數字產品，多個季度都是如此。

So overall they all grew at a relatively healthy pace.

因此總體而言，它們都以相對健康的速度增長。

Margin-wise I mentioned that the first party business as a whole, the gross margin did improve from the same quarter last year.

就利潤率而言，我提到第一方業務作為一個整體，毛利率確實比去年同期有所改善。

So we do see upward trend as we continue to expand the scale and enjoy more scale benefit.

因此，隨著我們繼續擴大規模並享受更多的規模效益，我們確實看到了上升的趨勢。

(Interpreted).

（解釋）。

Although the growth rates are different across different categories, even for the slowest growing category IT digital products, we still grow at least twice as fast as the industry.

雖然不同品類的增速有所不同，但即使是增速最慢的IT數碼產品品類，我們的增速也至少是行業的兩倍。

In fact we heard in some of these subcategories, the overall volume was decreasing or declining, but we still grew at very healthy rate.

事實上，我們聽說其中一些子類別的總體數量正在減少或下降，但我們仍然以非常健康的速度增長。

Thomas Chong, Citi.

托馬斯·莊，花旗銀行。

Hi, management.

嗨，管理層。

Thanks for taking my questions.

感謝您回答我的問題。

I have two questions.

我有兩個問題。

The first question is about cross broader e-commerce.

第一個問題是關於更廣泛的跨境電子商務。

Can management give us some update on your expectations in a few years' time?

管理層能否向我們介紹您幾年後的期望的最新情況？

And my second question is about the trend for the marketing expenses in the second half.

我的第二個問題是關於下半年營銷費用的趨勢。

Will management pursue aggressive spending in O2O such as subsidies etc?

管理層是否會在O2O領域追求激進的支出，例如補貼等？

Thanks.

謝謝。

First question?

第一個問題？

Cross border.

跨境。

Cross border, okay, right.

跨界，好吧，好吧。

So, we launched the JD global -- JD worldwide in April and we did a few campaigns and the business also participated in our June campaign.

所以，我們在四月份推出了京東全球——京東全球，我們做了一些活動，商家也參與了我們六月份的活動。

So, if we look at number of orders, it's growing steadily and we're very much looking forward to more growth in second half especially in Q4 which tend to be sort of a high season for cross border business.

因此，如果我們看一下訂單數量，它正在穩步增長，我們非常期待下半年有更多增長，尤其是第四季度，這往往是跨境業務的旺季。

And if you look at the categories, it's the baby and mother products, skin care, food supplements, these tend to be the large categories.

如果你看一下品類，就會發現母嬰產品、護膚品、食品補充劑，這些往往是大品類。

And we continue to work with multiple cities on bonded warehouse arrangements.

我們繼續與多個城市進行保稅倉庫安排合作。

And we do offer a few models, we can operate as a first party, meaning we can buy inventory from overseas sellers and put them in bonded warehouses, act as a seller ourselves.

我們確實提供了一些模式，我們可以作為第一方運營，這意味著我們可以從海外賣家那裡購買庫存並將它們放在保稅倉庫中，我們自己充當賣家。

We can also offer marketplace model for merchants.

我們還可以為商家提供市場模型。

So, overall it's a fast growing business and we will put a good amount of resource behind it, but in absolute scale, it's a small business.

因此，總的來說，這是一個快速增長的業務，我們將投入大量資源，但從絕對規模來看，它是一家小型企業。

Yes, the second question if I understand correctly, is about marketing spending on O2O initiative.

是的，如果我理解正確的話，第二個問題是關於O2O計劃的營銷支出。

There is actually quite small spending right now.

現在的支出實際上很小。

The bulk of the marketing spending has been on overall JD brand building, and so it's not specifically for O2O initiative.

大部分營銷支出用於京東的整體品牌建設，因此並不是專門用於 O2O 計劃。

Wendy Huang, Macquarie Capital.

溫迪·黃，麥格理資本。

Thank you.

謝謝。

I have a few quick questions.

我有幾個簡單的問題。

First regarding the O2O, GMV and the (inaudible) that we recognized in your P&L.

首先是關於 O2O、GMV 以及我們在您的損益表中確認的（聽不清）。

Will that be under the direct sales GMV or will it be under the other revenue in the revenue line.

這是在直銷 GMV 下還是在收入線中的其他收入下。

Secondly, can you comment on the latest draft from the government regarding the online payment regulations?

其次，您能否評論一下政府最新發布的關於網上支付規定的草案？

How will those RMB1,000 or RMB5,000 daily transaction limit affect your business?

每日 1,000 元或 5,000 元的交易限額對您的業務有何影響？

And lastly, if you can give an update outlook on the CapEx given your recent new initiatives into the lower-tier cities, O2O, etc.

最後，考慮到您最近在低線城市、O2O 等方面的新舉措，您能否對資本支出進行最新展望？

That will be very helpful.

這將非常有幫助。

Thank you.

謝謝。

Yes, so on the O2O, because we don't really sell those, we don't possess those products, so it is essentially a marketplace model, so we would recognize the GMV, but not the full revenue.

是的，所以在O2O上，因為我們並不真正銷售這些產品，我們不擁有這些產品，所以它本質上是一個市場模式，所以我們會承認GMV，但不是全部收入。

So we will take our own commission as part of the other revenue line.

因此，我們將把自己的佣金作為其他收入線的一部分。

And for the payment, this is still -- we are still assessing this latest regulatory policy.

對於付款，我們仍在評估這一最新的監管政策。

So right now we don't give out any comments at this point, we will still, because in any new regulations there will be a lot of interpretations.

所以現在我們不會發表任何評論，我們仍然會發表任何評論，因為在任何新的法規中都會有很多解釋。

(Interpreted).

（解釋）。

There is probably some technicality here, but has negligible impact on JV because the kind of online payment we tend to focus on are not regulated --

這裡可能存在一些技術性問題，但對合資企業的影響可以忽略不計，因為我們傾向於關注的在線支付類型不受監管——

Not part of the restriction.

不屬於限制的一部分。

The restriction is more on payment out of accounts.

限制更多的是賬戶付款。

So we have not been in that part of the business.

所以我們還沒有涉足這部分業務。

(Interpreted).

（解釋）。

Yes, so in other words if you deposit certain money in that payment account in advance, so that part of the business maybe restricted now.

是的，所以也就是說，如果你提前在那個支付賬戶裡存入一定的錢，那麼現在這部分業務可能會受到限制。

And we have been connecting the consumers through basically using their bank cards to provide the payment solution.

我們基本上通過使用銀行卡來連接消費者來提供支付解決方案。

So it's quite different.

所以這是完全不同的。

Yes, so the government's objective seems to be limiting the third party payment provider's ability to manage the money in its accounts rather they would rather have the money deposited in the bank's accounts.

是的，所以政府的目標似乎是限制第三方支付提供商管理其賬戶中資金的能力，而不是他們寧願將錢存入銀行賬戶。

[Purdy Ho], China Everbright.

[Purdy Ho]，中國光大。

Hi, good evening or good morning, management.

嗨，晚上好或早上好，管理層。

This is Purdy Ho from China Everbright overseas TMD team.

我是光大海外TMD團隊的Purdy Ho。

So I have a question regarding the competitive landscape.

所以我有一個關於競爭格局的問題。

So as we can see your competitors, the differentiation between JD and your competitors is getting closer in terms of both products and price.

所以我們可以看到你的競爭對手，京東和你的競爭對手在產品和價格上的差異化越來越接近。

So I'd like to understand more about how would you position yourselves going forward?

所以我想更多地了解您今後如何定位自己？

Will it be more on the logistics side or will it be on product differentiation?

會更多地在物流方面還是會在產品差異化方面？

And I will also like to know about the Paipai breakdown either in GMV or in revenue.

我還想了解拍拍的 GMV 或收入細分情況。

Thanks.

謝謝。

Yes, I think our offering is actually quite differentiated from our key competitor.

是的，我認為我們的產品實際上與我們的主要競爭對手有很大不同。

Now we operate our first party business which is still contributing more than half of our GMV and bulk of our revenue.

現在，我們經營第一方業務，該業務仍然貢獻了我們一半以上的 GMV 和大部分收入。

First party means we possess the merchandise first before selling to the consumers, so we have a lot more control over the quality and authenticity of these products and we also can accumulate procurement power over time when we purchase more and more larger quantity from the suppliers.

第一方意味著我們在銷售給消費者之前首先擁有商品，因此我們對這些產品的質量和真實性有更多的控制權，並且隨著時間的推移，當我們從供應商那裡購買越來越多的數量時，我們也可以積累採購能力。

And so just on the product quality assurance aspect, we have been very much differentiated and consumers recognize that as through various third-party surveys.

因此，僅在產品質量保證方面，我們就具有很大的差異化，消費者通過各種第三方調查也認識到這一點。

Logistics has also been a key differentiator from our competitors.

物流也是我們區別於競爭對手的一個關鍵因素。

You can see that our 2 on 1 program now covering more counties and districts every quarter, together with our second day delivery we cover well over 80% of all of our orders.

您可以看到，我們的 2 對 1 計劃現在每個季度都會覆蓋更多的縣和地區，加上我們的第二天送貨，我們覆蓋了超過 80% 的訂單。

So the speed of delivery and also the personal touch of our in-house delivery staff has been a huge differentiator from a pure marketplace operator.

因此，交付速度以及我們內部交付人員的個人風格是與純粹的市場運營商的巨大區別。

Mark Miller, William Blair.

馬克·米勒，威廉·布萊爾。

Hi, good day, everyone.

嗨，大家好。

Can you provide some color on the -- what we would calculate as the take rate for marketplace and other and I know last quarter there was some concern around that and there are some differences between gross and net GMV, but the metric looks better this period and so if you could elaborate on the drivers of that?

您能否提供一些關於我們將計算的市場和其他方面的採用率的信息，我知道上個季度對此存在一些擔憂，並且總 GMV 和淨 GMV 之間存在一些差異，但這一時期的指標看起來更好您能否詳細說明一下其驅動因素？

So take rate within third party sales as well as advertising and other components that are relevant.

因此，請考慮第三方銷售以及廣告和其他相關組成部分的費率。

Thank you.

謝謝。

Right, so on the GMV versus net GMV, the gap between the two metrics are closing now for a second quarter in a row.

是的，就 GMV 與淨 GMV 而言，這兩個指標之間的差距現已連​​續第二個季度縮小。

So that is very positive trend.

所以這是非常積極的趨勢。

So there are a number of moving pieces in between.

因此，中間有許多移動的部分。

For example the return rates, which we have said are consistently in low single digit and then the remaining was really just uncompleted orders.

例如，我們所說的退貨率始終處於低個位數，而剩下的實際上只是未完成的訂單。

We saw higher uncompleted orders on mobile, we think maybe part of the mobile behavior.

我們在移動設備上看到了更高的未完成訂單，我們認為這可能是移動行為的一部分。

But the trend has been improving, but it's offsetting by increasing proportion of the orders from mobile.

但這一趨勢一直在改善，但它被移動訂單比例的增加所抵消。

So overall we see very positive trend that will close the gap.

總的來說，我們看到了非常積極的趨勢，這將縮小差距。

So on the commission, some will reflect that, because the take rate on the marketplace will adjust so that tracks the net GMV.

因此，在佣金方面，有些人會反映這一點，因為市場上的佣金率會調整，以便跟踪淨 GMV。

And advertising is also growing very nicely.

廣告也增長得非常好。

As I mentioned on last quarter's earnings call, we are yet to monetize on mobile, and we right now most of the advertising revenue came from PC and as everyone knows that PC traffic is decelerating in growth although we are still growing, but on mobile we are still testing and taking very careful step before monetizing on mobile.

正如我在上季度的財報電話會議上提到的，我們尚未在移動設備上實現盈利，目前我們的大部分廣告收入來自 PC，眾所周知，儘管我們仍在增長，但 PC 流量的增長正在放緩，但在移動設備上，我們在通過移動設備獲利之前，我們仍在進行測試並採取非常謹慎的步驟。

So just add a few words to what Sydney said, so the majority of our take rate is from commission, now from ads.

因此，只需在悉尼所說的基礎上補充幾句話，我們的大部分收入來自佣金，現在來自廣告。

So the migration of orders from -- marketplace orders from PC to mobile has not impacted our overall take rate that much even though we are not selling much ads on mobile yet, but we are working on it because there is needs from brands to prioritizing on mobile and we are doing some experiments and so far we're seeing promising results.

因此，儘管我們還沒有在移動設備上銷售太多廣告，但訂單從 PC 市場訂單向移動設備的遷移並沒有對我們的整體接受率產生太大影響，但我們正在努力解決這個問題，因為品牌需要優先考慮移動，我們正在做一些實驗，到目前為止我們看到了有希望的結果。

So going forward, we will monetize mobile traffic with ads more so than now anyway.

因此，展望未來，我們將比現在更多地通過廣告來通過移動流量貨幣化。

John Choi, Daiwa Capital Markets.

約翰·崔，大和資本市場。

Good evening.

晚上好。

Thanks for taking my question.

感謝您提出我的問題。

I just have a question on the JD Daoja especially on the user experience side given that your in-house delivery is pretty much well regarded to the user experience.

我只是有一個關於京東道家的問題，特別是在用戶體驗方面，因為你們的內部交付非常重視用戶體驗。

I'm wondering how you guys are going to control on a lot of these part time delivery people and when you have tens of thousand, wouldn't that have a negative impact to user experience?

我想知道你們將如何控制大量的兼職送貨人員，當您有數万人時，這不會對用戶體驗產生負面影響嗎？

And a follow up is, I remember, Sydney, you mentioned that the fulfillment cost might go up from the 7% level from this quarter.

我記得悉尼，您提到履行成本可能會從本季度起 7% 的水平上升。

So, can you give us a bit more color and the reason why and what's the magnitude?

那麼，您能給我們提供更多信息嗎？原因以及規模有多大？

Thank you.

謝謝。

(Interpreted).

（解釋）。

All these freelancers are not our full-time employees, so naturally we were concerned about the customer experience quality at the beginning.

這些自由職業者都不是我們的全職員工，所以我們一開始自然就關心客戶體驗質量。

But now we're not concerned, because we recognize that vast majority of these freelancers are actually from the same community they want to serve.

但現在我們並不擔心，因為我們認識到這些自由職業者中的絕大多數實際上來自他們想要服務的同一個社區。

So they do have a reputation they need to protect.

所以他們確實有需要保護的聲譽。

So we've accumulated a lot of experience over time at JD in managing delivery staff and we believe a lot of these expertise can be leveraged in this crowdsourcing model as well.

因此，隨著時間的推移，我們在京東積累了很多管理配送人員的經驗，我們相信這些專業知識也可以在這種眾包模式中得到利用。

So on the fulfillment expenses, because think about these delivery cost does not generate revenue.

所以在履行費用上，因為考慮到這些交付成本不會產生收入。

If anything, it's a very small take rate.

如果說有什麼不同的話，那就是接受率非常低。

So it's just on a pure percentage basis, it wouldn't move higher.

因此，這只是純粹的百分比基礎，不會走得更高。

On the other hand, at the beginning of the business, we may decide to subsidize to certain extent to this business.

另一方面，在業務剛開始的時候，我們可能會決定對這項業務進行一定程度的補貼。

So my comment was really incorporating all this potential cost in the second half.

所以我的評論實際上是考慮了下半年所有這些潛在成本。

But there is no clear at this point, because it's still in a very early stage, it's very difficult to quantify, so I just wanted to make a very conservative assessment.

但目前還不清楚，因為還處於非常早期的階段，很難量化，所以我只想做一個非常保守的評估。

Robert Lin, Morgan Stanley.

羅伯特·林，摩根士丹利。

Management, I just want a follow-up question on your internet finance business.

管理層，我想問一下你們的互聯網金融業務。

We've heard from the [ODO] this morning that there could be potential more cooperation among JD and Tencent.

今天早上我們從[ODO]獲悉，京東和騰訊之間可能有更多的合作。

When I think about your -- this is a fairly asset heavy business, is there consideration to spin out this business as a separate entity to allow supplier financing, insurance, etc.

當我想到你的——這是一個相當重資產的業務時，是否考慮將該業務分拆為一個單獨的實體，以允許供應商融資、保險等。

Could you provide some color on how we think about finance business going forward?

您能否提供一些關於我們如何看待金融業務未來發展的信息？

Yes, so basically as I mentioned earlier about internet finance business, we are seeking external sources of funding.

是的，所以基本上正如我之前提到的互聯網金融業務，我們正在尋求外部資金來源。

We're both doing this through securitization, but also we may look for external financing for this business.

我們都通過證券化來做到這一點，但我們也可能為這項業務尋找外部融資。

Until further announcement, we will leave it as this at this point.

在進一步公告之前，我們將保持原樣。

And just quickly, I remember this earlier question on Paipai.com.

很快，我就想起了之前在 Paipai.com 上提出的這個問題。

So Paipai is going through an internal restructuring and we are redesigning its business.

所以拍拍正在進行內部重組，我們正在重新設計它的業務。

So just a heads-up that it will impact year-over-year GMV growth going forward, but as always I have been disclosing GMV growth for JD Mall on a standalone basis.

因此，請注意，這將影響未來的逐年 GMV 增長，但一如既往，我一直在單獨披露京東商城的 GMV 增長。

So the Paipai business restructuring will potentially impact the overall GMV growth, but as again, we will also disclose the core JD Mall growth as well.

因此，拍拍業務重組可能會影響整體GMV增長，但我們也將再次披露核心的京東商城增長。

Right.

正確的。

So Richard just added, because Paipai has a zero commission, so whatever the business restructuring plan is there will be very limited impact on the revenue.

所以理查德補充道，因為拍拍是零佣金的，所以無論業務重組計劃如何，對收入的影響都非常有限。

Eric Wen, Blue Lotus.

溫家寶，藍蓮花。

Hi, thanks very much for taking my question and congratulations on a great quarter.

您好，非常感謝您提出我的問題，並祝賀您度過了一個美好的季度。

I have a short question regarding the collaboration with the supermarket.

我有一個關於與超市合作的簡短問題。

As we know the supermarket business has a low percentage of fresh business which actually do not make money and all the profit comes from the remaining business which are really not fresh produced.

我們知道，超市業務的生鮮業務比例很低，實際上並不賺錢，所有的利潤都來自於剩餘的非生鮮業務。

When you collaborate with the hypermarts, how do you structure the economic benefit so that there will be profit coming to your end and going forward.

當你與大賣場合作時，你如何構建經濟利益，以便你的最終和未來都能獲得利潤。

That's my question.

這就是我的問題。

So, Yonghui actually is as I mentioned the best fresh product operator among all Chinese supermarkets.

所以，永輝實際上是我剛才提到的中國超市中最好的生鮮運營商。

The percentage of a fresh product sales of total sales at Yonghui actually much higher than other supermarket chains.

永輝的生鮮銷售額佔總銷售額的比例實際上遠高於其他連鎖超市。

From its mid-year financial report you will see that fresh actually contributed about 43% of the total sales.

從它的年中財報中你會看到，生鮮實際上貢獻了總銷售額的43%左右。

And because Yonghui has been very much focused on improving and strengthening its supply chain for fresh products, it probably has the best procurement cost among all players on fresh products.

而且由於永輝一直非常注重改善和加強生鮮供應鏈，因此它的採購成本可能是所有生鮮參與者中最好的。

So we actually, from our understanding, its fresh product is profitable and gross margin is very healthy.

所以實際上，根據我們的了解，它的生鮮產品是有利可圖的，毛利率非常健康。

Now I think on a strategic collaboration front, obviously we will work out a model that will provide a benefit to both companies.

現在我認為在戰略合作方面，顯然我們將製定一個模型，為兩家公司帶來利益。

For example, they now have over 350 stores, but obviously that will never be able to cover the entire country.

例如，他們現在擁有超過350家商店，但顯然這永遠無法覆蓋整個國家。

So by having the partnership in areas where the physical stores do not cover, but we can jointly provide an online, offline model to provide this service, because they already have the sourcing and the products and the warehouses and we have delivery network.

所以通過在實體店沒有覆蓋的地區進行合作，但是我們可以共同提供線上、線下的模式來提供這種服務，因為他們已經有了採購、產品和倉庫，我們也有配送網絡。

So there will be a lot of areas for potential collaboration in this area.

所以在這個領域將會有很多潛在的合作領域。

(Interpreted).

（解釋）。

Jingdong Daoja although very small right now will in the future will contribute a lot of GMV and revenue to the company and profitability as well.

京東到家雖然現在規模很小，但未來將為公司貢獻大量的GMV和收入以及盈利能力。

But more importantly, it will make Jingdong a high frequency destination for customers, increase the stickiness of our customers and we believe this is most important value to a company.

但更重要的是，這將使京東成為客戶的高頻目的地，增加客戶的粘性，我們認為這對公司來說是最重要的價值。

As successful as JD Mall is, our typical customer will probably use us a handful of times every month in a quarter, but when we find that Jingdong Daoja app is our customers use our app a few times a day.

與京東商城一樣成功，我們的典型客戶可能每個季度每個月都會使用我們幾次，但是當我們發現京東到家應用程序是我們的客戶每天都會使用我們的應用程序幾次。

They open our apps a few times a day anyway.

無論如何，他們每天都會打開我們的應用程序幾次。

If down the road if one day we have an app installed because their cellphones which they use few times every day, there is lot of cross selling opportunities.

如果有一天我們安裝了一款應用程序，因為他們的手機每天使用次數很少，那麼就會有很多交叉銷售的機會。

We are now approaching the end of the conference call.

我們現在電話會議即將結束。

I will now turn the call over to JD.com's Ruiyu Li for closing remarks.

現在我將把電話轉給京東的李瑞宇致閉幕詞。

Thank you, operator.

謝謝你，接線員。

Once again thank you for your continued support and we're looking forward to talk with you in the coming months.

再次感謝您的持續支持，我們期待在未來幾個月與您交談。

Thank you for your participation in today's conference.

感謝您參加今天的會議。

This concludes the presentation.

演示到此結束。

You may now disconnect.

您現在可以斷開連接。

Good day.

再會。

Portions of this transcript that are marked (interpreted) were spoken by an interpreter present on the live call.

該文字記錄中標記（翻譯）的部分是由現場通話中的口譯員說出的。

The interpret was provided by the Company sponsoring this Event.

口譯由贊助本次活動的公司提供。