Chinese e-commerce giant Alibaba on Thursday reported a loss of 20.6 billion
yuan ($2.89 billion) for the third quarter, as the company grapples with an
economic slowdown and an anti-monopoly crackdown.
اضافة اعلان
The heavy net loss attributable to ordinary shareholders was primarily due
to a "decrease in market prices of our equity investments in publicly
traded companies", among other factors, the company said in a statement.
Alibaba's performance is widely seen as a gauge of Chinese consumer
sentiment, given its market dominance.
Revenue for the three months ending September 30 was up three percent
year-on-year at 207.2 billion yuan, which Chief Financial Officer Toby Xu said
was achieved "in spite of the impact on consumption demand by the Covid-19
resurgence in China as well as slowing cross-border commerce".
Alibaba said it achieved revenue growth by "enhancing operating
efficiency" as well as through the expansion of its logistics and services
businesses, despite a slump in e-commerce sales within China.
It comes after the company earlier this year reported flat quarterly revenue
growth for the first time ever.
- Flagging demand -
The company said in its statement on Thursday that revenue from domestic
commerce had fallen in the third quarter, "mainly as a result of softer
consumption demand, Covid-19 resurgence and restrictions, as well as ongoing
competition".
In a sign of difficulties for Alibaba, the company appears to have laid off
a number of employees, with its headcount down more than 1,700 from the
previous quarter.
China's major tech companies have faced economic uncertainty, Covid-19
restrictions that have depressed consumer spending, as well as heightened
scrutiny from regulators in recent months.
Fellow tech titan Tencent reported on Wednesday its second quarterly drop in
revenue in a row.
Alibaba in particular has been at the centre of regulatory crackdowns at
home and abroad.
US authorities have put the company on a watchlist that could see it delisted
in New York if it does not comply with disclosure orders, causing its shares to
slump.
Chinese authorities pulled a planned IPO by the company's financial arm Ant
Group at the last minute in 2020, then hit Alibaba with a record $2.75 billion
fine for alleged unfair practices last year.
The company's Singles Day e-commerce festival, which traditionally dwarfs
similar US events such as Black Friday and Cyber Monday, has been more muted in
recent years.
Alibaba -- alongside main rival JD.com -- did not release full sales figures
for the shopping bonanza for the first time ever this year, instead saying in a
statement that sales were flat from last year.
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