In the past quarter, Chinese e-commerce giant Alibaba once again saw a strong increase in turnover and profit. Flourishing cloud activities are at the basis of the growth, which was bigger than expected.
Exponential growth
Alibaba’s total quarterly revenue amounted to 119 billion yuan (15 billion euros), representing a 40 % increase compared to the same period last year. Analysts were expecting a turnover of 116.8 billion yuan, Reuters reports. E-commerce turnover increased by 40 % to 101.2 billion yuan (14 billion euros), while cloud activities even grew by 64 % to 9.29 billion yuan (1.2 billion euros) and now account for 8 % of the total turnover.
Adjusted gross operating profit (AEBITDA) rose from 26.7 billion yuan to 37.1 billion yuan (4.8 billion euros). Alibaba is still making all of its profit from its core business activities: all other industries (including the cloud) are loss-making to date.
