Internet companies develop rapidly in H1
Affected by the novel coronavirus (COVID-19) pandemic, new internet formats and models like online offices, online teaching, online medical treatment, and online shopping have provided great opportunities for the transformation and upgrading of manufacturing and service industries, while also bringing the accelerated growth of the internet industry.
According to statistics, in the first half of 2020, the total market value of internet companies listed at home and abroad in China was 15 trillion yuan ($2.19 trillion), up 35 percent month-on-month. It is expected that the total revenue of China's listed internet companies will reach 2.5 trillion yuan in 2020, while the growth rate will enter the 10 percent range.
The performance of many companies exceeded expectations. JD.com, a Chinese e-commerce giant, achieved a single-quarter net income of over 200 billion yuan for the first time, setting a new record in the domestic e-commerce retail and internet industry for net income in a single-quarter. In that period, Chinese tech giant Tencent's market value exceeded 500 billion yuan, with an increased large investment in new infrastructure.
In the first half of the year, Tencent's revenue was 222.948 billion yuan, a year-on-year increase of 28 percent, and its net profit was 57.232 billion yuan, a year-on-year increase of 29 percent.
The revenue from its financial technology and corporate services was 29.862 billion yuan in the second quarter of the year, a year-on-year increase of 30 percent. The company has adopted customized equipment, as well as built and expanded its own ultra-large data centers to develop technology and infrastructure. In July, Tencent Qingyuan Cloud Computing Data Center officially opened, becoming the largest new infrastructure project in south China to date. It will deploy large data centers in Jiangsu province and Hebei province in the future.
In the first half of 2020, the total revenue of JD was about 347.259 billion yuan, a year-on-year increase of about 27.97 percent, while its net income was 201.1 billion yuan, a year-on-year increase of 33.8 percent. The growth rate hit a new high for the company in the past 10 quarters.
A total of 1,137 brands placed orders of over 100 million yuan on JD.com in the first six months of the year, with Chinese brands accounting for 80 percent of the total. Due to its continuous investment in technological innovation, JD Logistics has consistently maintained a high-quality logistics service experience and ensures that 91 percent of packages on its self-operated platforms are delivered on the same day or the next day across the country.
As of June 30, JD Logistics operated more than 750 warehouses, covering a total construction area of approximately 18 million square meters.
In addition, online medical treatment has attracted great attention. Ping An Good Doctor, a leading online health service provider and a representative company in the field of internet healthcare, had strong growth in its online medical business during the COVID-19 pandemic. Its total revenue in the first half of 2020 reached 2.75 billion yuan, of which its online medical revenue reached 695 million, a year-on-year increase of 106.8 percent.