INTERNATIONAL - China’s Alibaba Group Holding Ltd beat analysts’ estimates for fourth-quarter revenue on Wednesday, boosted by growth in its core e-commerce and cloud computing businesses.
The company’ shares rose more than 2 percent to $179.79 in pre-market trading.
Alibaba makes money primarily by selling advertising and promotional services to third-party merchants that list products on Taobao and Tmall, two of its e-commerce sites. The business boomed in tandem with internet adoption and mobile phone penetration in China.
Alibaba’s revenue rose to 93.50 billion yuan ($13.59 billion) for the three months ended March 31, beating estimates of 91.58 billion yuan, according to IBES data from Refinitiv.
Revenue from the company’s cloud computing business rose 76 percent in the reported period.