Alibaba Crushes Analyst Forecasts, Posts Strong Commerce and Cloud Computing Earnings

Phone with Alipay app open

Source: Unsplash | Photographer: Markus Winkler

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While COVID-19 has been a nuisance for most businesses, the stay-at-home situation did lead to increased online shopping. This greatly benefitted leaders in this sector like Amazon, Etsy, Ebay and, of course, Alibaba, which posted net income of 47.59 billion yuan.

Total revenue, on the other hand, rose by about 34% to 153.75 billion yuan, crushing analyst expectations for a revenue of 147.77 billion yuan. The price of U.S.-listed shares went up shortly after the news, adding to the already massive 23% gains that the company has posted so far this year. Sales from Alibaba’s core commerce business skyrocketed by 34%, reaching 133.32 billion yuan ($19.27 billion).

Тhroughout fiscal Q1 2021 the company earned 14.82 yuan per American depository share (ADS). In contrast, analysts had expected 13.78 yuan per ADS.

 

“Our domestic core commerce business has fully recovered to pre-COVID-19 levels across the board, while cloud computing revenue grew 59% year-over-year.”

Chief Financial Officer Maggie Wu

 

Despite the strong financial results, some analysts fear that the recently reignited tensions between President Donald Trump and China could hamper Alibaba’s future growth. Earlier this month, the U.S. president threatened to ban TikTok, owned by China’s ByteDance, citing national security concerns, and suggested that he may sanction other Chinese businesses as well.


Upcoming reports

See the full list of upcoming earnings reports for 24 – 28 August in the tables below.

Monday, August 24 2020

Country of originCompany nameFiscal period
USAPalo Alto Networks IncFourth quarter of 2020
United KingdomBunzl PLCHalf year 2020

Tuesday, August 25 2020

Country of originCompany nameFiscal period
USAAutodesk IncSecond quarter of 2021
USAHewlett Packard Enterprise CoThird quarter of 2020
USAHEICO CorpThird quarter of 2020
USAUrban Outfitters IncSecond quarter of 2021
USASalesforce.com IncSecond quarter of 2021
USAIntuit IncFourth quarter of 2020
USABest Buy Co IncSecond quarter of 2021
USALannett Company IncFourth quarter of 2020
IrelandMedtronic PLCFirst quarter of 2021

Wednesday, August 26 2020

Country of originCompany nameFiscal period
USABox IncSecond quarter of 2021
USANetApp IncFirst quarter of 2021
NorwayMowi ASASecond quarter of 2020

Thursday, August 27 2020

Country of originCompany nameFiscal period
USAGap IncSecond quarter of 2020
USAVMware IncSecond quarter of 2021
USAHP IncThird quarter of 2020
USADollar General CorpSecond quarter of 2020
USADollar Tree IncSecond quarter of 2020
United KingdomRolls-Royce Holdings PLCHalf year 2020
Kingdom of the NetherlandsOCI NVHalf year 2020
GermanyFielmann AGSecond quarter of 2020
United KingdomHays PLCFull year 2020
United KingdomWPP PLCHalf year 2020
IrelandFlutter Entertainment PLCHalf year 2020
SingaporeBW LPG LtdHalf year 2020
United KingdomHunting PLCHalf year 2020
FranceBouygues SAHalf year 2020
AustriaEVN AGHalf year 2020

Friday, August 28 2020

Country of originCompany nameFiscal period
United KingdomEssentra PLCHalf year 2020
Kingdom of the NetherlandsNorwegian Air Shuttle ASASecond quarter of 2020
BermudasMarvell Technology Group LtdSecond quarter of 2021
USADell Technologies IncSecond quarter of 2021

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