{"id":46839,"date":"2023-08-10T12:23:04","date_gmt":"2023-08-10T16:23:04","guid":{"rendered":"https:\/\/ifintechworld.com\/investing\/alibaba-beats-estimates-on-q2-earnings\/"},"modified":"2023-08-10T12:23:06","modified_gmt":"2023-08-10T16:23:06","slug":"alibaba-beats-estimates-on-q2-earnings","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=46839","title":{"rendered":"Alibaba Beats Estimates On Q2 Earnings"},"content":{"rendered":"
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Alibaba Q2 Earnings Overview<\/h3>\n

Alibaba released its Q2 results this morning before the US open. The results were overwhelmingly positive, and management did a good job keeping costs stable year-over-year. Cloud intelligence was a particular bright spot, as the segment\u2019s EBITDA grew over +100% year-over-year (YoY). International digital commerce was also a high point, with revenue up +41% YoY. Meanwhile, Cainiao logistics swung to profitability.<\/p>\n

During the call, outgoing CEO Daniel Zhang acknowledged that this was his 30th<\/sup> and final earnings call as group CEO and that he was excited to begin his focused work on the cloud division. He also pointed out that despite weakness in macro data coming out of China, his company\u2019s results speak to a steady consumer rebound in China and that the company\u2019s increased focus on price competitiveness was proving fruitful.<\/p>\n

“Our businesses demonstrated encouraging trends that reflect the economy’s resilience, confidence in a consumption recovery, and the significant potential from an integrated development of the digital economy and real economy,” said outgoing CEO Daniel Zhang.<\/p>\n

He also said that the company\u2019s six businesses have already begun to operate differently, re-energizing themselves to focus on their individual strengths and challenges.<\/p>\n

Analysts\u2019 questions were heavily focused on artificial intelligence (AI) as Daniel noted that they now have over 100 million users of their AI models. He also said that profitability in AI will come down to not only Alibaba\u2019s own chat bots and models, but also cloud customers leveraging the company\u2019s infrastructure to build out and provide their own models.<\/p>\n

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Non-GAAP (Adjusted)<\/em><\/p>\n