Alibaba Growth Rate Shows Cooling Off as Margins Shrunk
Alibaba Group Holdings hot growth is showing signs of cooling off but only slightly. During a privately held Chinese online market place that posted a 51 percent revenue growth for July to September quarter compared to the previous year the lowest rates for all three quarters and margins shank for the second consecutive period
Although the rate was the lowest for the three quarters is sung from a loss compared to a year to US$ 792 million in net income in what is billed to be the biggest initial public offering since Facebook. The figures disclosed by Yahoo Inc. shows a hold of 24 percent stake in the Chinese company and have reported that Alibaba results for one quarter in arrears is part of their own financial disclosures. Alibaba was able to set a pace for itself for the first two quarters of 2013 by logging top line growth of 71 percent and 61 percent.
With a decelerated revenue growth Alibaba margins have also decreased down to 70 percent from 74 percent. But these decrease suggested that the Alibaba is gearing itself for a public market debut rather than considering the decrease a weakness in the business.