Alibaba’s profit jumps 96%

Hangzhou, 17th August: Last week, China’s largest e-commerce company, the Alibaba Group, announced its results for the quarter ended 30th June 2017. The company recorded revenues of US$7.4 billion, up 56% over same period last year. Net income jumped 96% year-on-year, reaching US$2.1 billion. Diluted earnings per share in the quarter were RMB 5.65 (US$0.83).

About 86% of Alibaba’s total revenues were generated from its core e-commerce business amounting to US$6.3 billion. Revenues from Alibaba’s China B2B business, primarily generated through 1688.com, grew by 30% to US$242 million; while the international B2B business, primarily from Alibaba.com, generated revenues of US$237 million, a year-on-year 12% increase. In total, B2B revenues for the quarter accounted for just 6.5% of overall revenues.

Its remaining revenues were generated from the digital media & entertainment business (US$602 million), cloud computing business (US$359 million) and innovation initiatives & other businesses (US$95 million).

Daniel Zhang, CEO of Alibaba Group, commented, “Alibaba had a strong start to fiscal 2018, reflecting the strength and diversity of our businesses and the value we bring to customers on our platforms. Our technology is driving significant growth across our business and strengthening our position beyond core commerce. We are excited about the future as we continue to innovate and drive synergies among the businesses throughout the Alibaba ecosystem.”

Source: Alibaba Group press release