Alibaba announces losses of $2.9 billion in the third quarter

Chinese e-commerce giant Ali Baba announced a $2.9 billion third-quarter loss on Thursday amid a slowing economy in China and tightening regulations.

However, its business volume increased 3% year-on-year to 207.1 billion yuan (about 28.9 billion US dollars) in the July-September period.

In the previous quarter, Alibaba had posted zero revenue growth for the first time in its history.

Since the end of 2020, the authorities have taken a hard line against certain previously tolerated practices by digital giants in the area of ​​personal data collection and competition.

Some measures have caused the sector to lose billions of dollars in market capitalization.

In parallel China It has been fighting a recurrence of the Covid-19 epidemic for several months and weak household spending is weighing on e-commerce companies.

sign of hardship, Ali Baba was more discreet than usual this year after the singles day, a hugely popular trade event in China that generates huge online sales and ended on November 11.

For years, these sales were accompanied by an intense media campaign of Ali Babawith a giant screen that shows the evolution of the amount of the transactions carried out on its platforms.

In this gloomy economic context, Ali Baba It also registered a year-on-year drop of 1% in its sales in China during his last exercise. Internationally, however, its sales increased by 4% in the year.

The Hangzhou group (east China) laid off almost 15,000 employees, according to figures obtained by comparing its workforce with the same quarter last year.

kg