Alibaba reported revenue of RMB 269 billion (USD 39.9 billion) for the quarter ended June 30, 2023, marking an 8.6% year-on-year increase, up from 2.9% growth in the March quarter, according to KrASIA.
The company significantly ramped up its capital expenditure, more than doubling investment from the previous quarter, with a particular focus on its cloud business. AI-related products continued to show strong momentum, maintaining triple-digit growth during the period.
Despite the revenue gains, adjusted earnings declined and free cash flow remained deeply negative, highlighting ongoing challenges. For Japanese investors, Alibaba's increased cloud spending and AI growth underline the broader tech sector's pivot to innovation amid a cautious earnings environment.