Alibaba Group Cloud Computing Revenue Results: Net Profit Jumps 1.18 Billion Straight

Alibaba Group Cloud Computing Revenue Results: Net Profit Jumps 1.18 Billion Straight HANGZHOU, China — Alibaba, a leading Chinese cloud business announced its results for the quarter ended June 30, 2021, sales were up 103 percent after 12 years of operation. The company’s internal cloud unit, also known as Aliyun, scored MB 16.1 billion ($2.4 billion) on a nearly $2.8 billion annual run rate.

For the past decades, the cloud ecosystem has been dominated by global technology giants like Google, AWS, VMware, and Azure. Even Alibaba Group’s Cloud Computing arm continues serving multiple business needs and has increased its presence in Asia and beyond. Its business growth is primarily driven by the immense increment in the total number of cloud users, retail industries, and public sectors. The company also unveiled the positive adjustment of EBITA during this quarter for the first time because of economies of scale.

According to Gartner, this is the best time for Cloud Computing companies to grow their revenue as Infrastructure as a Service (IaaS) is becoming a crucial part of business plans. As an outcome of the investment in Cloud business, Blackstone will become the organization’s biggest institutional stockholder.

“Alibaba gained more than one billion active clients globally just in the first quarter of 2021 and it is the biggest milestone in the company’s history. Our entire business is growing rapidly with a healthy foundation. Alibaba Ecosystem is generating US$1.2 trillion in GMV during this financial year. Such big achievements show the core value propositions that we are offering to our consumers and industry. We have always remained very excited about China’s consumption economy growth and accelerating profits in every aspect. We will keep focusing on delivering the best user experience and services through our innovative technologies as digitalizing the world as much as possible.” said Daniel Zhang, Chairman and Chief Executive Officer of Alibaba Group.

The cloud business is the reason for Alibaba’s growth and has made the company a popular eCommerce unicorn. The company has reported the highest revenue of $9.87 billion, which is more than 61% from the last year. The core commerce revenue was up by 62% and disclosed the bulk of total revenue.

Business Highlights Incoming in the Second Quarter Ended June 30, 2021 ● The revenue was reported as RMB 205,740 million (US$31,865 million), increasing at the rate of 34%. ● Alibaba serves over 1.18 billion active consumers globally. ● The total income from the business operations was reported at RMB30,847 million (US$4,778 million), which decreased by 11% over the year. ● The net cash delivered by operations was RMB33,603 million (US$5,204 million).

The Non-GAAP free cash flow decreased to RMB20,683 million (US$3,203 million) as compared to the same quarter of 2020 (RMB36,570 million).

Alibaba Cloud is Growing So Fast But Still Can’t Beat Azure and AWS? Today Alibaba Cloud is a well-established company focusing on the Southeast Asian Market growth and retaining a good position in the Chinese market. According to Synergy Research, it has become the biggest cloud service provider in the Middle Kingdom and the fourth largest cloud provider in the global market. In addition, with 6% of global cloud service in the online market, Alibaba has overtaken 5% of Google’s existing market.

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