Chinese e-commerce giant Alibaba Group Holding today reported a stronger-than-expected 32% rise in second-quarter revenue, despite the value of goods traded on its platforms growing at a slower pace.
Revenue from mobile platforms, an increasingly important area for the company, nearly tripled to $1.66 billion.
The company said that mobile gross merchandise volume (GMV) accounted for 62% of total GMV transacted on its China retail marketplaces.
Gross merchandise volume, the total value of goods transacted on Alibaba's retail marketplaces in China, rose 28% to $112 billion, but this was the slowest growth in more than three years.
The lower GMV growth was not unexpected.
In early September, Jane Penner, Alibaba's head of investor relations, said the total value of transactions during the quarter would be smaller than originally expected due to lower order values.
Revenue rose to $3.49 billion in the three months ended September 30, beating the average analyst estimate of $3.44 billion, according to Thomson Reuters I/B/E/S.
The jump in revenue added weight to Alibaba founder and executive chairman Jack Ma's recent comments that concerns about slowing consumption in China were overdone.
The earnings report comes about two weeks before Alibaba's "Singles Day" shopping festival on November 11, which netted GMV of more than $9 billion last year.
The company reported net income attributable to shareholders of $3.58 billion, or $1.40 per share.
Excluding items, Alibaba earned 57 cents per share, beating the average estimate of 54 cents.
Alibaba, facing increasing competition from rival JD.com, has been branching out from its core online shopping platforms in a bid to stem a slowdown in revenue growth.
During the quarter, the company invested $4.6 billion in Suning Commerce Group in a bid to bolster its ability to compete in logistics and electronics - two areas of strength for JD.com.
It has also poured more money into ventures outside China, for example by investing in One97 Communications, the parent of Indian online retailer Paytm, and taking part in a funding round for Indian e-commerce company Snapdeal.com.