The Chinese giant of e-commerce, Alibaba Group, announced a significant reduction in its profits for the first fiscal quarter. The company reported a profit of 24,2 billion yuan, representing a decrease of 29% compared to the same period last year
Despite the drop in profit, the company's revenue grew 14% year over year, reaching 234,2 billion yuan. This increase was mainly driven by the performance of the trade segment in China, that recorded a 12% increase in revenue
The CEO of Alibaba Group, Eddie Wu, commented on the results, highlighting the resilience of the business in a challenging macroeconomic environment. He emphasized the company's focus on improving operational efficiency and cost structure
The company also announced changes to its organizational structure, with the appointment of a new CEO for the domestic commerce unit Taobao and Tmall Group
These results reflect the challenges faced by Alibaba in an increasingly competitive market and amid an uncertain global economy. The company continues to seek strategies to recover its growth and maintain its leadership position in the e-commerce sector
With information from MSN
