Alibaba Group growth slows for financial quarter

China’s online giant Alibaba Group has warned its annual revenue is set to grow at its lowest pace since 2014 when the firm was founded. Compared to western firms, the projected 20-23% growth is still very large.

Singles Day on 11/11 saw the slowest growth on record for the firm, and for the current financial quarter, Alibaba reported 29% year on year growth to 200.69 billion yuan (£23.31 billion). Slower growth was attributed to competition from smaller players like JD.com.

At the same time Alibaba’s Fintech affiliate Ant Group saw revenues hit 19.7 billion yuan (£2.23bn) for the quarter ending in June 2021.

Alibaba’s founder Jack Ma has stepped back from the limelight after criticising the Chinese state regulatory system. Ant. Group’s IPO was suspended as a result last November after heavy regulatory scrutiny. Regulators have begun a crackdown on the country’s major online players including telecoms giant Tencent and ride hailing player Didi, as well as Alibaba itself. The regulators have said that these companies are behaving monopolistically.

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