Alibaba Group Holding Ltd(NYSE: BABA) stock rose over 1.6% on November 2nd, 2017 (as of 10:04AM EDT; Source: Google finance) driven by their better than expected results.
The group’s revenues surged 61% yoy to RMB55,122 million (US$8,285 million), for the third quarter of 2017. Their core commerce revenue enhanced 63% on a year-over-year basis to RMB46,462 million (US$6,983 million) while revenue from cloud computing surged 99% yoy to RMB2,975 million (US$447 million). The group’s revenue from digital media and entertainment enhanced 33% on a year-over-year basis to RMB4,798 million (US$721 million). Innovation initiatives and others enhanced 27% yoy to RMB887 million (US$134 million).
Alibaba Group’s annual active consumers on their retail marketplaces reached 488 million, which is a rise of 22 million as compared to the twelve month period ended June 30, 2017. Their user activities on the Taobao App drove a quarterly net rise of 20 million mobile MAUs on their China retail marketplaces to a total of 549 million mobile MAUs as of September 2017. The group’s Tmall delivered a 49% yoy rise of physical goods GMV during the quarter ended September 30, 2017 driven by performance across all major categories.
The group’s cross-border and international consumer businesses showed solid growth driving their Revenue from their international commerce retail business to RMB2,878 million (US$433 million) which is a rise of 115% on a yoy basis. Solid growth in their Southeast Asian platform Lazada coupled with their China outbound platform AliExpress expanded their customer base outside China.
Alibaba’s cloud computing revenue also showed an outstanding performance which rose 99% yoy to RMB2,975 million (US$447 million), boosted by paying customers coupled with a better revenue mix to higher valued-added services. The group is seeing a major traction and diversification of customers and revenue, and would invest to further expand the market through valuable services for their cloud customers. Alibaba Cloud launched 245 new products and features, during the quarter.
As of September 30, 2017 quarter, net cash provided by operating activities surged 77% yoy to RMB30,507 million (US$4,585 million).