Alibaba shares soar in Hong Kong as optimism persists over earnings beat

Alibaba Group Holding Ltd. 9988 shares,
+ 12.27%
it soared on Friday in Hong Kong trading, extending the positive momentum of U.S. trading overnight as investors welcomed the company’s better-than-expected earnings.

Shares of Chinese e-commerce giant rose 14% in Hong Kong to Hong Kong $ 92.40 (US $ 11.77) after its US BABA deposit receipts
+ 14.79%
closed 15% higher on Thursday.

The gains came after Alibaba posted earnings for its fourth fiscal quarter, which was more resilient than the market had feared.

The company’s revenue rose 9 percent from the previous year to 204.1 billion yuan, or $ 32.2 billion, according to a CNY 6.34 exchange rate for a dollar used by Alibaba. The net loss extended to CNY 16.2 billion from CNY 5.5 billion the previous year. Alibaba attributed the largest loss to price declines in its stock investments in listed companies.

While top-line growth marked Alibaba’s slowest revenue growth for the second consecutive quarter since it went public in 2014, both revenue and net loss figures exceeded expectations. of analysts surveyed by FactSet.

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