Alibaba is back in business: the holding’s quarterly revenue grew by a third contrary to forecasts
Chinese holding Alibaba released its financial results for the second quarter of 2015. Compared to the same period last year, revenue was a record.
In July-September this year, it increased by 32% and reached 3.49 billion dollars (22.17 billion yuan). Revenues not only showed record growth, but also exceeded analysts' expectations. They believed that revenue would not exceed 21.3 billion yuan.
On Tuesday, October 27, at preliminary auction in New York, Alibaba quotes increased by 8%. In October, the company's capitalization increased by 29%.
The total value of goods sold through the company's sites (GMV) amounted to $ 112 billion and increased by 28%. Mobile device users accounted for 62% of GMV - about $ 1.65 billion in monetary terms. The revenue of the company's “cloud” business increased by 128% year-on-year and reached $ 102 million. The number of active users who regularly shop at Alibaba has increased from 367 to 386 million year-on-year. Of these, 346 million are mobile users. Their number increased by 59% compared with the previous year and by 13% over the last quarter.
The holding recorded a 7.5-fold increase in net profit in July-September 2015 due to a revaluation of the cost of the Alibaba Health division . Alibaba adjusted earnings of 57 cents per share.
In Augustit was reported that the fund, owned by billionaire George Soros, sold most of the shares of the Chinese company. Even top managers of the Alibaba Group themselves admitted that not everything went smoothly in the summer of the company.
Megamind wrote that on September 12, Barron's, an American financial magazine, issued its forecast for a further fall in the shares of the Chinese holding Alibaba Group. According to the magazine, they may lose another 50% in price.
At the end of August, the company's quotes fell (to $ 68) below the 2014 IPO. Barron's experts suggested that Alibaba quotes may continue to fall amid a slowdown in China.
Alibaba spokesmen transparently hinted that Barron's experts were simply juggling facts taken out of context. Alibaba said in response to criticism of its strategy that logistics is a key aspect of e-commerce. Therefore, they invest a lot in the development of logistics networks. The holding is engaged in cloud technologies, as it has technologies and developments that go beyond the core business of the company. The development of media in China is one of the most important tasks of the holding, as this is done for the benefit of the whole country. The Chinese media market is still in its infancy. Therefore, losses in this business are inevitable.