Alibaba Sales Better Than Feared in Defiance of Economic Turmoil

Alibaba Group Holding Ltd. posted better results than many investors feared, avoiding a sharp sales contraction despite a rocky Chinese economy that’s sapping consumer sentiment nationwide.

Its revenue slid for the first time on record in the June quarter, albeit by a fractional amount that was less than analysts projected.

The contraction marked an official end to a decade of sizzling growth for China’s internet giants.

which began to wind down in 2021 when regulators slapped curbs on a range of sectors from e-commerce to social media.

Alibaba is still grappling with the economic fallout from nationwide Covid-related lockdowns and a near-economic contraction in China.

Smaller rival Inc., which escaped the worst of the crackdown, is overtaking Alibaba in sales growth.

while up-and-coming competitors such as ByteDance Ltd. to Pinduoduo Inc. are drawing more users away.