Alibaba beats forecasts again: profits up 40%
Chinese trading giant reports sales of $ 14.4 billion, up 40%, up to two major segments: Chinese retail and cloud.
We have not yet reached Bachelor Day: Online retail giant Alibaba (NYSE: BABA) reports that revenues from all of its business revenue increased in the third quarter of 2019. Company sales totaled $ 14.4 billion (RMB 101 billion) in the third quarter, up 40% in sales.
In her report, Alibaba says profits rise in two key and significant segments for her: the Chinese retail market and the cloud department. Moreover, the company expects the Chinese market to continue to grow, given that the company’s sales exceed the Chinese gross domestic product growth rate.
In the cloud sector, the company expects continued growth, with information technology spending estimated at $ 80 million for Internet companies and $ 300 million if the public sector and other industries are also considered. The company’s total profits on cloud services rose by 64%.
At the same time, Alibaba increased its users by 19 million compared to the previous quarter, bringing the number of users to about 693 million. The company also reportedly doubled its Southeast Asian business (through the company LAZADA) and tripled its business in Indonesia.
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