Alibaba (BABA) Reports Second-Quarter 2022 Financial Results
Alibaba Group Holding (BABA) has published a report for the 2nd quarter of 2022. Alibaba shares rose 7% after the release of the quarterly report. Revenue was higher than analysts had forecast. After the release of the report, the securities rose to $102.2, and as of August 4, the quotes fell to $97.52. The company has recently faced a number of negative factors that affected the slowdown in revenue. Negative factors include the consequences of coronavirus restrictions in China and strict regulation by the Chinese authorities. However, the company still managed to publish a good report.
Alibaba (BABA) Key Financial Highlights for Q2 2022
- – Earnings per share = $1.75 ($1.50 forecast)
- – Revenue = $30.7B ($31.0B forecast)
In the second quarter of 2022, revenue was $30.7 billion (205.6 billion yuan). At the same time, analytical firms predicted revenue at the level of 203.19 billion yuan. However, quarterly revenue was unchanged compared to the same quarter last year. This is primarily due to the consequences of strict quarantines in China. In the second quarter of 2022, the net profit of Alibaba Group Holding (BABA) was 22.73 billion ($3.4 billion). For example, last year’s same-quarter net revenue was 45.14 billion yuan. Compared to the same quarter last year, net profit decreased by 50%. The average price target for Alibaba (BABA) shares is $152. Analysts recommend shares “buy”. However, the risks of a military conflict between Taiwan and China must be taken into account. The latest target prices can be found here.