Chinese company Alibaba Group Holding Ltd has released a quarterly report. The performance is impressive! Both the company’s profit and revenue for the second quarter have turned out to be higher than the figures predicted by analysts.
Representatives of the Chinese company have issued a press release with various financial indicators. For example, net profit for the quarter has amounted to 72.5 billion yuan (10.1 billion US dollars), in terms of per share the figure is 27.51 yuan. For the same period last year, the net income was 20 billion yuan, or 7.62 yuan per share.
Earnings excluding one-time factors have increased to 13.10 yuan per share. Analysts agree that the value of this indicator is unlikely to exceed 10.75 yuan per share.
Also, the experts shared with the public revenue forecasts. In their opinion, it should have amounted to 117 billion yuan. The reality has turned out to be much better than expected. Alibaba’s revenue for the quarter has grown 40% to 119 billion yuan. The breakthrough was made by the company’s division engaged in “cloud” technologies; the revenue there has jumped 64% – to the level of 9.3 billion yuan.
It is noteworthy that the total number of company customers (that is, those individuals who use the company’s services in one way or another) has increased 19 million people over three months. This means that at the moment, the total annual audience is huge – 693 million users.
A large-scale Chinese platform Taobao is considered to be Alibaba’s main asset. The company accounts for more than 80% of all online transactions in the Celestial Empire.
Of course, strong reporting will affect stock prices. In less than a year, Alibaba’s capitalization has grown almost a third and currently totals $ 462.5 billion.
The material was prepared with the participation of Katya Wilson,
a leading analyst of the brokerage company UFT Group