Published: 21:31, February 13, 2020 | Updated: 07:56, June 6, 2023
Alibaba beats estimates on record Singles' Day sales
By Reuters

A screen in Hangzhou, East China's Zhejiang province shows the Gross Merchandise Volume of 2019 Double 11 global shopping festival has surpassed 268.4 billion yuan, Nov 12, 2019. (PHOTO / XINHUA)

China’s Alibaba Group Holding Ltd beat analysts’ estimates for quarterly results on Thursday, driven by record sales during its annual Singles’ Day shopping blitz and demand for its cloud computing business.

The e-commerce giant usually reports its highest revenue in the December quarter due to its mega “Singles’ Day” shopping bonanza in November. The company said sales during the 24-hour shopping event hit a record US$38.4 billion in 2019.

The company said it was supporting the fight against the noval coronavirus outbreak in China by ensuring supply of daily necessities and introducing relief measures for its merchants

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Alibaba primarily generates revenue by selling advertising and promotional services to third-party merchants that list products on its e-commerce sites, Taobao and Tmall.

The company said it was supporting the fight against the noval coronavirus outbreak in China by ensuring supply of daily necessities and introducing relief measures for its merchants.

Alibaba affiliate Ant Financial’s MYBank unit has said it would offer 20 billion yuan (US$2.86 billion) in loans to companies in China in the wake of the outbreak.

Sales in the company’s core commerce business jumped 38 percent to 141.48 billion yuan (US$20.26 billion) in the third quarter ended Dec 31, while revenue at its cloud computing unit surged 62 percent to 10.72 billion yuan.

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Net income attributable to ordinary shareholders rose to 52.31 billion yuan from 33.05 billion yuan.

Excluding items, the company earned 18.19 yuan per American Depository Share. Analysts had expected 15.75 yuan per ADS, according to IBES data from Refinitiv.

Revenue rose about 38 percent to 161.46 billion yuan, beating estimates of 159.28 billion yuan.

US-listed shares of the company were up nearly 1 percent at US$226.30 in premarket trade.