Alibaba sales surge 61% while profits skyrocket 83%

Alibaba sales

Alibaba has reported a huge spike in both revenues and profits in its latest quarterly update, beating analyst expectations and raising its full-year forecast.

For the three month period to September, the online retail giant recorded a revenue rise of 61 per cent year-on-year, to 55.1 billion yuan (£6.4 billion).

Meanwhile, income from operations skyrocketded 83 per cent compared to the same quarter last year, to 16.58 billion yuan (£1.91 billion).

Alibaba chief executive Daniel Zhang said that a recent push into offline services and a number of bricks-and-mortar deals had contributed to its growth.

“We had an outstanding quarter,” he said.

“We are seeing the early results from our efforts to integrate online and offline with our New Retail strategy.”

Alibaba’s shares – which have more than doubled in value this year – increased 3.1 per cent in pre-market trading and were set to open at a record high.

In addition, the online retailer raised its forecast for the full-year to growth of between 49 per cent to 53 per cent, from between 45 per cent to 49 per cent previously.

Alibaba is now gearing up for the annual Singles’ Day event on November 11 – now known as 11:11 – a sales bonanza that sees more transactions than the infamous Black Friday and Cyber Monday sales days in the US combined.

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