Ant group's profit grows by 39% in June quarter as investments gain

Topics Ant Group | Alibaba

Jack Ma (Photo: Bloomberg)
Ant Group's profit rose an estimated 39 per cent in the June quarter, attributed to a gain in investments as billionaire Jack Ma's fintech giant grapples with the impact of China's rapidly shifting rules for private enterprise.

The company contributed $1.4 bn to Alibaba Group Holding's earnings, a filing showed on Thursday (Nov 18). Based on Alibaba's one-third stake in Ant, that translates to an estimated 19.71 bn yuan in profit, up 39 per cent from a year earlier.

 Ant's earnings lag one quarter behind Alibaba's. Ant declined to comment.

"The year-over-year increase in share of profit of Ant Group was mainly due to an increase in net gains arising from fair value changes in the investments held by Ant Group," Alibaba said in its statement.

Alibaba's founder Jack Ma has been largely out of public view since criticising China's regulatory system last year.The company logged its first operating loss as a public company the same quarter it faced the penalty.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel