Chinese Ecommerce Giant Alibaba Reports First Post-IPO Income Gains

Chinese Ecommerce Giant Alibaba Reports First Post-IPO Income Gains
Image credit: Reuters | Chance Chan
Alibaba's logo is seen at its headquarters on the outskirts of Hangzhou, Zhejiang province.

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This story originally appeared on Reuters

Alibaba Group Holding Ltd reported quarterly results which showed net income rising 15.5 percent to $1.11 billion for the July-September period, meeting forecasts.

It was the Chinese e-commerce giant's first report to investors since its record-setting $25 billion listing in September.

The non-GAAP net income - which excludes the share-based compensation expenses and amortisation of intangible assets - compared with a consensus estimate of $1.17 billion based on a Thomson Reuters SmartEstimate poll of 21 analysts.

Revenue rose 53.7 percent to $2.74 billion, versus expected sales of $2.7 billion, its fastest growth in three quarters. Diluted earnings per share were $0.20, while non-GAAP diluted earnings per share were $0.45, up 9.4 percent year-on-year.

"We delivered a strong quarter with significant growth across our key operating metrics," said Jonathan Lu, chief executive officer of Alibaba in its earnings statement.

Mobile revenue was more than ten times higher than in the same period last year and accounted for 22 percent of total revenues, as Alibaba continued to successfully ramp up its mobile monetisation.

Meanwhile, profit margins shrank to a two-year low of 18 percent.

The shares were flat in pre-market trading in New York, from $101.80 at Monday's close. The stock has risen about 50 percent from its debut price.

(Reporting by Paul Carsten; Editing by David Goodman and Elaine Hardcastle)

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