Saturday, October 31, 2020

Alibaba defies Chinese economic slowdown with strong Q2 update


Online retail behemoth Alibaba recorded a 55 per cent increase in second-quarter sales today, which it attributed to a growth in e-commerce sales and strong media and entertainment growth.

The Hong Kong-based etailer raked in 34.3 billion yuan (£4.12 billion) in sales during the three months to September 30, exceeding the prediction of 33.9 billion yuan (£4.07 billion) in a Thomson Reuters poll of 24 analysts.

Meanwhile, revenues at the company’s core commerce business spiked by 41 per cent from the previous year to 28.49 billion yuan (£3.42 billion), dominated by sales within China.

READ MORE: Big Interview: Amee Chande UK Managing Director of Alibaba

This is the second consecutive quarter of positive financial results for Alibaba, as the immense range of brands and vendors on its ecommerce platform increased their spending on advertising.

The results also beat analyst estimates and defied uncertainties about the health of China’s slowing economy.

Alibaba, regarded as China‘s biggest e-commerce firm and one of the largest worldwide, is in the process of preparing for its November 11 Singles’ Day shopping holiday.

Click here to sign up to Retail Gazette’s free daily email newsletter



Please enter your comment!
Please enter your name here