Chinese e-commerce giant Alibaba Group reported better-than-expected Q1 results on Friday, with revenues of RMB 187.4 billion ($28.6 billion), up 64% year-over-year, beating analysts’ estimates of RMB 180.4 billion. The company also reported a net income of RMB 46.4 billion ($7.1 billion), up 12% year-over-year.
The results were driven by strong growth in Alibaba’s core e-commerce business, as well as its cloud computing and digital media divisions. The company’s CEO, Daniel Zhang, said in a statement, “Our strong performance this quarter reflects the resilience and vibrancy of China’s economy, where we see continued strong demand from consumers and businesses.”
Alibaba’s results come amid a challenging regulatory environment in China, with the government cracking down on the country’s tech giants over issues such as data privacy and antitrust concerns. Last year, Alibaba’s affiliate Ant Group was forced to suspend its planned $37 billion IPO following regulatory pressure.
Despite the regulatory headwinds, Alibaba remains one of China’s most valuable companies, with a market capitalization of over $600 billion. The company has been investing heavily in new growth areas such as logistics, artificial intelligence, and fintech, and recently launched its own autonomous delivery robot in partnership with a Chinese robotics firm.
Looking ahead, Alibaba is expected to continue its strong growth trajectory, as China’s economy bounces back from the pandemic and the country’s tech industry navigates an increasingly complex regulatory landscape.