Business & Economy

Alibaba doubles its income in June quarter

Beijing, Aug 20 (efe-epa).- Chinese e-commerce giant Alibaba on Thursday reported a net income of 47.59 billion yuan ($6.74 billion) in its first fiscal quarter driven by a spike in online sales, making for a 124 percent increase year-on-year.

The Alibaba group said it had pulled in 153.75 billion yuan in revenues during the same timeframe between April and June, a 34 percent increase on the same period last year.

Daniel Zhang, Alibaba’s CEO, said: “Alibaba delivered excellent results this past quarter. We were well positioned to capture growth from the ongoing digital transformation, which has been accelerated by the pandemic, in both consumption and enterprise operations.

“We mobilized our entire digital infrastructure to support the economic recovery of businesses across a wide range of sectors, while broadening and diversifying our consumer base by addressing their changing preferences in a post-Covid-19 environment,” he added.

The firm added 16 million annual active users in China, bringing the total to 742 million, while the number of mobile users in the Asian country increased in the same period by 38 million, reaching 874 million by the end of June.

Retail sales in China, made mostly through its portal Taobao, generated revenue of 101.3 billion yuan, an increase of 34% year-on-year.

Alibaba’s international sales, primarily through AliExpress, increased by 26 percent in the first fiscal quarter.

Maggie Wu, Chief Financial Officer of Alibaba Group, said: “Our domestic core commerce business has fully recovered to pre-COVID-19 levels across the board, while cloud computing revenue grew 59% year-over-year.

“Our strong profit growth and cash flow enable us to continue to strengthen our core business and invest for long term growth.”EFE-EPA

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