Business, Internet

Alibaba's China Revenue Swells But Company Takes Profit Hit On Taxes

Alibaba Group Holding Limited says its revenue grew as it announced its financial results for the quarter ended September 30, 2014.

The e-commerce company's revenue increased to USD2.74 billion in the quarter ended September 30, 2014, up nearly 54% year on year. Mobile revenue increased by 1,020.2% year on year to USD606 million in the quarter ended September 30, 2014.

China retail marketplaces had 307 million annual active buyers in the twelve months ended September 30, 2014, compared to 279 million in the twelve months ended June 30, 2014, and 202 million in the twelve months ended September 30, 2013, representing an increase of 52.0% compared to the same period in 2013.

Income from operations in the quarter ended September 30, 2014, was USD708 million, or 25.8% of revenue, a decrease of 17.2% in the same quarter of 2013. The decrease was primarily due to share-based compensation charges and an increase in amortization of Alibaba's intangible assets.

Alibaba's net income in the quarter ended September 30, 2014, was USD494 million, a decrease of 38.6% compared to the same quarter of 2013. The decrease was primarily due to the same share-based compensation charges and increased amortization expense, and an increase in the company's effective tax rate.


Image Credit: Christopher Penler

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