Alibaba misses estimates, souring hopes of consumer revival

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Alibaba Group Holding Ltd.’s quarterly revenue missed projections, reflecting a persistent Chinese consumer downturn as well as intense rivalry in the critical field of AI.

Revenue for the three months ended March rose 7% to 236.5 billion yuan ($32.8 billion), versus an average estimate of (237.9 billion yuan). Net income almost quadrupled to 12.4 billion yuan in part because of gains from equity investments. Its shares fell more than 6% in pre-market trading.

Alibaba, a barometer of the Chinese consumer economy because of its sprawl, had benefited…



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Alibaba misses estimates, souring hopes of consumer revival


Alibaba Group Holding Ltd.’s quarterly revenue missed projections, reflecting a persistent Chinese consumer downturn as well as intense rivalry in the critical field of AI.

Revenue for the three months ended March rose 7% to 236.5 billion yuan ($32.8 billion), versus an average estimate of (237.9 billion yuan). Net income almost quadrupled to 12.4 billion yuan in part because of gains from equity investments. Its shares fell more than 6% in pre-market trading.

Alibaba, a barometer of the Chinese consumer economy because of its sprawl, had benefited…



Source link

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We StartupNews.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It’s possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.

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