JD.com reports unexpected Q3 profit

JD.com reports unexpected Q3 profit

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China's second biggest e-commerce company, JD.com, reported an unexpected profit in the third quarter, though it lost about 100 merchants to fierce competition in the run-up to this month's Singles' Day shopping extravaganza. JD posted net earnings of 1 billion yuan ($151 million), its highest ever quarterly profit, in the three months to Sept. 30, far above an analyst consensus forecast of a 213 million yuan loss. The unexpected profit and a 39% rise in revenue boosted the company's shares, which were 5% higher at 1554 GMT Monday. The company reported a net loss of 807.9 million yuan in the third quarter last year. More recently, JD said it had lost roughly 100 merchants to competition during the promotion period for "Singles' Day," China's biggest online sales event which ended on Saturday. JD accused its main competitor, Alibaba, of engaging in "coercive" tactics, saying its rival obliged merchants to choose between online platforms, Reuters reports.