Alibaba uncovers secret to Q2 success

Revenue growth at Chinese e-commerce and technology company beats expectations

                                

Chinese e-commerce and technology company Alibaba has reported strong revenue and profit growth for the quarter ending September 30, 2019.

The company announced a better-than-expected 40 per cent rise in revenue, driven primarily by growth in its cloud computing and e-commerce activities. Total revenues leapt to $16.7bn (£12.8bn, €14.9bn), slightly beating analyst expectations.

Maggie Wu, chief financial officer of Alibaba Group, said: “We delivered a strong quarter with revenue growth of 40 per cent and adjusted EBITDA up 39 per cent year-over-year. With sustained consumer engagement and spending across the Alibaba Economy, we have continued our revenue and profit growth, as well as (creating) strong free cash flow that enables us to invest in long-term growth.”

Alibaba’s core online retail operation continues to flourish, despite worries that Chinese e-commerce is reaching saturation point and concerns about the effects of the ongoing trade war with the US. Alibaba added nearly 30 million users to its retail marketplaces in the past year, topping 690 million in total.

In addition, revenue from the company’s cloud services division grew 64 per cent to $1.3bn year on year, with Alibaba Cloud now counting 59 per cent of Chinese-listed companies among its customers.

Daniel Zhang, executive chairman and CEO of Alibaba Group, said the company is aiming to serve more than a billion active consumers every year by the end of 2024.

The material provided on this website is for information purposes only and should not be regarded as investment research or investment advice. Any opinion that may be provided on this page is a subjective point of view of the author and does not constitute a recommendation by Currency Com Bel LLC or its partners. We do not make any endorsements or warranty on the accuracy or completeness of the information that is provided on this page. By relying on the information on this page, you acknowledge that you are acting knowingly and independently and that you accept all the risks involved.
iPhone Image
Trade the world’s top tokenised stocks, indices, commodities and currencies with crypto or fiat
iMac Image
Trade the world’s top tokenised stocks, indices, commodities and currencies with crypto or fiat
iMac Image