Alibaba 1Q revenue jumps as it sees more shoppers
NEW YORK (AP) — Chinese e-commerce powerhouse Alibaba Group says its revenue jumped 45 percent on strong growth in active buyers and service fees.
Shares of the company rose 7.5 percent in premarket trading. Alibaba went public in September to much fanfare as investors sought to tap into the rapidly growing Chinese middle-class consumer class.
Net income for the three months ended March 31 fell 49 percent to 2.87 million Chinese yuan ($463 million), or $1.12 yuan (18 cents) per share, from 5.66 billion yuan, or 2.80 yuan per share, last year. Excluding one-time items, net income totaled 48 cents per share. Analysts expected 49 cents per share, according to FactSet.
Revenue rose 45 percent to 17.43 billion yuan ($2.81 billion), from 12.03 billion yuan last year. Analysts expected $2.54 billion.