As Jack Ma seeks exit, Alibaba beats estimate on cloud, e-commerce growth

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As Jack Ma seeks exit, Alibaba beats estimate on cloud, e-commerce growth

On Thursday, the 15th of August 2019, Alibaba Group Holdings Ltd., the Chinese multinational conglomerate engaged in e-commerce, retail, internet services and technology, had posted a better-than-projected quarterly earnings’ report for second quarter of the year, mostly triggered by growth in its cloud computing and e-commerce businesses.

According to Thursday’s (August 15th) quarterly report, the Chinese e-commerce goliath’s revenue surged 42 percent to $16.3 billons or ¥114.92 billion in the quarter that ended on June 30th, on a year-on-year basis, while analysts were expecting a revenue growth of roughly ¥111.73 billion Yuan, IBES data from Refinitiv revealed.

In point of fact, latest surge on operating profit of Alibaba, owned and chaired by Jack Ma, the former salesman turned into a billionaire business entrepreneur, had been indicating that the Chinese multinational conglomerate was capable of weathering a tougher macroeconomic environment alongside a highly clogged e-commerce industry, analysts suggested followed by the release of Alibaba’s quarterly earnings’ report.

Aside from that, the NYSE-listed shares of Alibaba, which has been making money by selling promo services and ads to third-party merchants through its Taobao and Tmall sites, rose as much as 4.91 per cent to $170.11 per share in the pre-market trading, however, closed the day 3.03 per cent higher at $166.97 per share.

Nonetheless, as part of a broad reform of its management board, Chief Executive Daniel Zhang is expected to take over Alibaba founder Jack Ma’s position as Chairman as early as this month, while the Chinese mogul had already placed its CFO (Chief Financial Officer) Maggie Wu in charge of the company’s strategic investment unit.