Alibaba Group Holding on Thursday reported revenue growth of 45 per cent for its cloud and artificial intelligence division in the June quarter, driving adjusted profit to a better-than-expected 27.3 billion yuan (US$4 billion).<\/p>\n
AI Cloud and Compute Services, the Chinese tech giant\u2019s new business segment covering its cloud business and T-Head chip arm, posted 48.4 billion yuan in revenue for the three months ended June 30, marking its fastest growth pace in 22 quarters.<\/p>\n
The segment\u2019s AI-related product revenue maintained triple-digit growth for the 12th straight quarter, hitting 12.4 billion yuan, up from 8.97 billion yuan in the previous quarter.<\/p>\n
Driven by these AI gains, the Hangzhou-based company\u2019s total revenue increased 9 per cent year on year to 269 billion yuan for the quarter, in line with the Bloomberg consensus estimate of 268.5 billion yuan. That was faster than the 3 per cent growth seen in the previous quarter.<\/p>\n
Adjusted Ebitda \u2013 earnings before interest, taxes and amortisation, and a measure of profitability \u2013 dropped by 30 per cent year on year to 27.3 billion yuan, compared with the analyst consensus forecast of 26.6 billion yuan.<\/p>\n
Capital expenditure also surged 75 per cent from a year earlier to 67.7 billion yuan, compared with 26.9 billion yuan recorded in the previous quarter.<\/p>\n
Free cash outflow in the reported quarter more than doubled to 44.7 billion yuan from 18.8 billion yuan a year earlier, as heavier investment in cloud infrastructure further strained cash generation.<\/p>\n","protected":false},"excerpt":{"rendered":"Alibaba Group Holding on Thursday reported revenue growth of 45 per cent for its cloud and artificial intelligence…\n","protected":false},"author":2,"featured_media":145989,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[24,71808,71807,71809,10495,25,2478,26689,71806,6726,2700,71805,3423,71810,63858,1414,71811],"class_list":["post-145988","post","type-post","status-publish","format-standard","has-post-thumbnail","category-ai","tag-ai","tag-ai-cloud-and-compute-services","tag-ai-labs-and-applications","tag-alibaba-e-commerce-group","tag-alibaba-group","tag-artificial-intelligence","tag-bloomberg","tag-eddie-wu-yongming","tag-freshippo","tag-hangzhou","tag-hong-kong","tag-june-quarter","tag-new-york","tag-qwen-consumer-business-group","tag-qwenwork","tag-south-china-morning-post","tag-taobao-instant-commerce"],"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/145988","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/comments?post=145988"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/145988\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media\/145989"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media?parent=145988"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/categories?post=145988"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/tags?post=145988"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}