Shanghai: Chinese e-commerce leader Alibaba Group said on Thursday its profit fell 81 percent for the most recent quarter, as the government’s crackdown on the country’s big tech champions hit the bottom line.
Alibaba said its profit stood at 5.37 billion yuan ($833 million) for the July-September period, falling from 28.77 billion yuan earned in the same period last year.
The Hangzhou-based company’s revenue, which mainly originated from its core e-commerce operations, reached 200.7 billion yuan, a growth rate of about 29 percent in line with previous years.
Alibaba’s earnings results have been gauged by how one of the country’s most high-profile companies is performing as part of the government’s campaign to rein in big tech.
China’s decision communist party Earlier, the country had relied on its tech giants to drive digital transformation.
But it suddenly turned on the field late last year as concerns grew over its aggressive expansion, perceived monopolistic practices and data security — with tech firms similar uneasy. United States of america and elsewhere.
Alibaba was the first to feel the rage. Last year the government scrapped a world record stock IPO by the financial arm of Alibaba, ant group, and fined in April Alibaba A record $2.78 billion for anti-competitive practices.
Since then, the government has taken several other measures against major Chinese digital players, causing their share prices to plummet.
Alibaba said its profit stood at 5.37 billion yuan ($833 million) for the July-September period, falling from 28.77 billion yuan earned in the same period last year.
The Hangzhou-based company’s revenue, which mainly originated from its core e-commerce operations, reached 200.7 billion yuan, a growth rate of about 29 percent in line with previous years.
Alibaba’s earnings results have been gauged by how one of the country’s most high-profile companies is performing as part of the government’s campaign to rein in big tech.
China’s decision communist party Earlier, the country had relied on its tech giants to drive digital transformation.
But it suddenly turned on the field late last year as concerns grew over its aggressive expansion, perceived monopolistic practices and data security — with tech firms similar uneasy. United States of america and elsewhere.
Alibaba was the first to feel the rage. Last year the government scrapped a world record stock IPO by the financial arm of Alibaba, ant group, and fined in April Alibaba A record $2.78 billion for anti-competitive practices.
Since then, the government has taken several other measures against major Chinese digital players, causing their share prices to plummet.
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