Alibaba slid over 9% in morning trading as its net profit fell down 87% year-on-year

Alibaba slid over 9% in morning trading as its net profit fell down 87% year-on-year.

According to the company's disclosure, from July to September this year, the total revenue (RMB) was 200.69 billion yuan (about 31.147 billion US dollars), a year-on-year increase of 29%, but slightly lower than the market estimate of 206.17 billion yuan, and also inferior to the previous quarter.

Its net profit was 3.377 billion yuan, down 87% year-on-year.It also announced that it would adjust its revenue guidelines for fiscal year 2022 to a year-on-year increase of 20-23%, which was previously expected to be 930 billion yuan (about 29.5%).

Zhang Yong, Chairman and CEO of Alibaba Group, said: "This quarter, Alibaba continued to invest firmly in the three strategies of domestic demand, globalization and cloud computing, laying a solid foundation for the Group to achieve long-term sustainable development. Alibaba Eco's global annual active consumers reached about 1.24 billion, with a net increase of 62 million in a single quarter, and is steadily moving towards the long-term goal of serving 2 billion consumers around the world. "

Wu Wei, chief financial officer of Alibaba Group, said: "Driven by the performance of diversified businesses, the Group's revenue increased by 29% this quarter. Ali continued to invest in key strategic areas during the quarter and achieved significant growth in these young businesses."