Overview

• Hong Kong shares rose as much as 19% on Monday, extending Friday’s 12.9% gain in New York following the quarterly report.
• Alibaba Cloud revenue increased 26% year over year to 33.4 billion yuan, beating expectations, as AI-related product revenue logged another triple-digit gain.
• Group revenue grew 2% to 247.65 billion yuan and operating profit fell 3% to 35 billion yuan, with the top line missing analysts’ estimates.
• Heavy subsidies for instant shopping and food delivery drove a 21% decline in China e-commerce EBITDA, though management expects efficiency to improve with scale.
• CNBC reported that Alibaba is developing a new AI chip, and analysts highlighted the company’s position as a leading AI enabler in China.