Alibaba shares drop more than 8% on big profit miss

Alibaba shares fell 7.5% on Thursday after the Chinese e-commerce giant missed earnings expectations for its fiscal fourth quarter on both the top and bottom line. Here's how Alibaba did in its fiscal fourth quarter ended March versus LSEG estimates: Revenue: 236.5 billion Chinese yuan ($32.6 Billion), versus 237.2 billion yuan expected Net income: 12.4 billion yuan, compared 24.7 billion expected. While falling short of analyst expectations, revenue was nevertheless up 7% year-on-year. Alibaba's net income was also still 279% higher year-on-year, off a low base. Alibaba said it saw some losses as a result of the disposal of some of its subsidiaries, which was offset by an increase in income from operations and changes to valuations of its equity investments. However, analysts were hoping the company's investments in artificial intelligence and its core e-commerce business would help it hit or exceed high expectations. But Alibaba is grappling with macroeconomic volatility that ... Read full article.