Alibaba’s Profit Slumps But AI Business Shines

Alibaba Group's profit halved in the company’s fiscal second quarter amid fierce competition in the food-delivery sector, but revenue growth was steady as its artificial-intelligence business gained momentum, with the consumer AI space the latest target in its sights.

- By Suerry Quy anp TracyQu

The Hangzhou, China-based company said Tuesday that its net profit fell 53% to 20.99 billion yuan, equivalent to $2.96 billion. Adjusted net profit declined by an even sharper 72% to 10.35 billion yuan, a tad below market expectations.