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Alibaba posts lower-than-expected revenue for Q3 2022, delays Hong Kong listing

On Thursday, Chinese e-commerce giant Alibaba posted a 3% rise in third-quarter revenue from a year ago, hitting RMB 207 billion ($29 billion), slightly lower than the average estimations compiled by Yahoo Finance analysts. The company also reported a net loss of RMB 20.6 billion, which it said was mainly due to the decreased value of its portfolio investments. Alibaba saw a 7% year-on-year drop in customer management revenue as GMV from online physical goods generated through its Taobao and Tmall platforms declined, reflecting the continued trend of weakening consumption in China amid a macroeconomic slowdown. Its cloud services business saw revenue increase by just 4% year-on-year during the third quarter of 2022, its slowest growth on record. By contrast, Alibaba recorded significant growth in its logistics arm Cainiao, with revenue rising 26% year-on-year, while its food delivery service Ele.me was another bright spot, posting positive GMV growth in the June to September period. The company’s domestic retail business, including Taobao Deals, grocery service Taocaicai and supermarket chain Freshippo saw its losses narrow during the quarter. Meanwhile, the New York-listed company said in a filing to Hong Kong’s stock exchange that it won’t complete a primary listing in Hong Kong by the end of 2022 as originally planned. [Alibaba]

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