Via Reuters Finance

A man stands near the logo of Alibaba Group at the company’s newly-launched office in Kuala Lumpur, Malaysia June 18, 2018. REUTERS/Lai Seng Sin

(Reuters) – China’s Alibaba Group Holding Ltd beat analysts’ estimates for fourth-quarter revenue on Wednesday, boosted by growth in its core e-commerce and cloud computing businesses.

The company’ shares rose more than 2% to $179.79 in pre-market trading.

Alibaba makes money primarily by selling advertising and promotional services to third-party merchants that list products on Taobao and Tmall, two of its e-commerce sites. The business boomed in tandem with internet adoption and mobile phone penetration in China.

Alibaba’s revenue rose to 93.50 billion yuan ($13.59 billion) for the three months ended March 31, beating estimates of 91.58 billion yuan, according to IBES data from Refinitiv.

Revenue from the company’s cloud computing business rose 76% in the reported period.

Alibaba is the world’s third-largest cloud service provider, after Microsoft Corp and Inc, and the largest in China with a market share of over 40%, according to data from IDC.

Net income attributable to ordinary shareholders rose to 25.83 billion yuan from 7.56 billion yuan in the fourth quarter.

Reporting by Josh Horwitz in Shanghai and Vibhuti Sharma in Bengaluru; Editing by Shounak Dasgupta

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