Alibaba (NYSE:BABA) reported better-than-expected earnings for the first quarter of 2021, but missed revenue expectations. The Chinese technology giant reported Q1 EPS of RMB10.71, RMB1.25 better than the analyst estimate of RMB9.46. Revenue of RMB208.2 billion in the quarter, which rose 2% YoY, was below the consensus estimate of RMB209.02B. Online physical goods GMV on Alibaba’s Taobao and Tmall platforms, excluding unpaid orders, declined mid-single-digit year-over-year.
Chairman and CEO Daniel Zhang also announced the company’s approval of a full spin-off of the Cloud Intelligence Group via a stock dividend distribution to shareholders. The intention is for it to become an independent publicly listed company, with the target to complete the spin-off in the next 12 months.