Alibaba CEO Lu Says Revenue in Coming Quarters to Be ‘Flat’
Alibaba.com Ltd. (1688)’s revenue in the coming quarters will be “flat” compared with the level in the first three months this year, as the company tightens screening of customers, Chief Executive Officer Jonathan Lu said.
Revenue growth in 2011 will slow compared with previous years, Lu said in a conference call today. The company lost customers for its “China Gold Supplier” program for Chinese exporters in the first quarter, he said.
“We expect revenue to grow, but the rate will not be the same as in the previous years,” Lu said. “The view of the revenue for coming quarters would be relatively flat compared to first quarter, but it will represent continued growth from 2010.”
Alibaba.com, owner of China’s biggest online-commerce site for businesses, increased first-quarter revenue 25 percent to 1.53 billion yuan ($235 million), the company reported today. Net income rose 37 percent to 452.5 million yuan.
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