Signage at the Alibaba Group Holdings Ltd. headquarters in Hangzhou, China, on Wednesday, March 24, 2021.
Qilai Shen | Bloomberg | Getty Images
GUANGZHOU, China — Alibaba swung to a net loss in its fiscal fourth quarter as a massive antitrust fine it received last month weighed on its earnings, while revenue beat expectations.
Here’s how Alibaba id versus Refinitiv estimates:
Revenue: 187.39 billion ($28.6 billion) vs. 180.41 billion yuan estimated, up 64% year-over-year
Earnings per share: 10.32 yuan per share vs. 11.12 yuan per share estimated, up 12% year-over-year
Alibaba swung to a net loss in the March quarter of 5.47 billion yuan. The market had expected a net profit of 6.95 billion yuan, according to Refinitiv estimates.
Alibaba will be hoping the latest results might draw a line over the company’s recent troubles with regulators, which began when the $34.5 billion initial public offering of Ant Group, its financial technology affiliate, was pulled in November.
Since then, over $240 billion of value has been wiped off of Alibaba’s stock as regulatory scrutiny continued including the massive 18.23 billion yuan ($2.8 billion) it received as a result of an anti-monopoly investigation into the tech giant.
China has been expanding its crackdown on the domestic technology sector. Last month, the market regulator opened an investigation into “suspected monopolistic practices” of food delivery giant Meituan, a company that Alibaba’s Ele.me competes with.
Alibaba’s U.S. shares were down 0.6% in pre-market trade.