Alibaba beats profit expectations but falls short on sales in September quarter.

From CNBC: 2024-11-15 07:10:42

Alibaba exceeded profit expectations in the September quarter, with net income up 58% year-on-year to 43.9 billion Chinese yuan. However, sales fell short at 236.5 billion yuan. The company’s New York-listed shares have risen 17% this year. Investors are monitoring Taobao and Tmall Group performance amid a challenging retail environment in China.

Amid a tepid retail landscape, Alibaba’s revenue from its main business units saw a modest 1% increase to 98.99 billion yuan in the September quarter. With recent Beijing stimulus measures and a better-than-expected 4.8% sales increase year-on-year in October, the outlook for retail appears promising. Alibaba saw significant growth in gross merchandise volume during the Singles’ Day shopping holiday.

Alibaba’s overseas online shopping businesses, like Lazada and Aliexpress, experienced a 29% year-on-year sales jump to 31.67 billion yuan. Analysts from ING are closely monitoring Alibaba’s report for insights into the Chinese economy’s growth momentum. The company’s outlook remains dependent on the Chinese economy and evolving regulatory policies.



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