Alibaba reported revenues of $31.4 billion (200.69 billion yuan), marking a 29% year-on-year increase from last year’s numbers. Its core commerce business saw revenue growth of 31% to 171.17 billion yuan, lower than expected.
The company missed revenue and earnings for the September quarter as China’s economy slowed down, impacting consumption. Alibaba has also been part of China’s crackdown process on its domestic tech industry, which has seen a slew of new regulations ranging from antitrust to data protection. The company was fined $2.8 billion in April as part of an anti-monopoly probe. Moreover, Alibaba started facing competition from JD.com, Pinduoduo, and ByteDance.
Alibaba slashed its revenue guidance for the current fiscal year, expecting growth between 20% - 23%, lower than the 29.5% increase previously announced, or 930 billion yuan.
After the news hit the wires, Alibaba’s US-listed shares fell 8.2% in pre-market trade.