Alibaba, China’s top e-commerce firm, beat analyst’s estimates with a 56% rise in first-quarter revenue, driven by growth in online sales which make up most of its business.
Thursday’s results show that Alibaba Group, one of Asia’s most valuable companies, is benefiting from more and more Chinese buying an increasing proportion of everything from food to clothing to luxury items online.
Alibaba’s stock is up by over 81% this year, lifted by steady increases in revenue for its commerce business and strong growth in its cloud computing and entertainment units, even as investments in offline stores are yet to pay off.
Alibaba’s revenue rose to 50.1 billion yuan ($7.51 billion)for the three months ended June 30, compared with analysts’ average estimate of 47.7 billion yuan, according to Thomson Reuters.
“Our technology is driving significant growth across our business and strengthening our position beyond core commerce,” chief executive Daniel Zhang said in a statement.