INTERNATIONAL - Alibaba Group Holdings posted quarterly revenue and earnings that topped analyst estimates as personalised recommendations drive consumer spending across its shopping sites.
Revenue at China's biggest e-commerce company rose 51percent to 93.5 billion yuan (R194bn) in the three months ended in March, the company said.
That compares with the 91.7billion yuan average of analysts’ estimates compiled by Bloomberg. Adjusted earnings per share was 8.57 yuan, topping projections for 6.5 yuan.
The Hangzhou-based company predicted revenue in the current financial year of more than 500 billion yuan. Recommendations to users based on their preferences are now driving more sales than traditional search, boosting Alibaba’s ability to provide targeted advertising for merchants on its main Taobao platform.
That’s helping the e-commerce operator generate more revenue at a time that escalating US-Chinese tensions threaten to dampen the world's No2 economy.