China’s biggest ecommerce-operator Alibaba Group Holdings actually triples its profit in the first quarter of the current fiscal year due to a sharp rise in sales. Course of sales growth the company has taken on a background of preparation for entering the public market.
In the reporting period, Alibaba showed growth in net profit to $ 669 million, versus $ 220 million for the period March to June 2012. Sales rose 71% to $ 1.4 billion, from $ 1.1 billion a year earlier.
At present, China’s main activity is the management of Alibaba ecommerce-site, allowing local entrepreneurs to sell products and services, as well as Asian payment system Alipay. The founder of Alibaba Jack Ma said that the company may in the next couple of years to enter the IPO, but for this it is still necessary to fix a number of business processes.
Meanwhile, investors say that by the time the capitalization Alibaba could exceed $ 60 billion, according to analysts, is now the explosive growth of the financial performance of the company due to the increase in demand for services related to electronic trade and commerce in China.
The company Alibaba was founded in 1999 as an online marketplace for the sale of Chinese products to Chinese consumers, but the company now operates globally in cooperation with many manufacturers.