(CNN Business) Alibaba sought to reassure investors by unveiling a 50% increase in its share repurchase plans Tuesday while reporting somewhat mixed results.
The Chinese online shopping behemoth has been slammed in recent months by Beijing's widening crackdown on private business, stoking concerns about its future. On Tuesday, it reported a drop in earnings despite an increase in sales.
Net income of 45.1 billion yuan, or about $7 billion, slipped from 47.6 billion yuan it earned a year earlier. But its adjusted earnings were a bit better than recently lowered estimates from analysts. Alibaba's revenue of 205.7 billion yen, or about $32 billion, while up 34% from a year ago, fell a bit short of expectations. Analysts surveyed by Refinitiv had forecast revenue would reach 209 billion yuan.
The company tried to assure investors by announcing it will now repurchase $15 billion in shares through next year, up from a $10 billion repurchase plan that had been in place. It also disclosed it had repurchased $3.7 billion worth of its US-traded shares since April.
Alibaba's main business — e-commerce — has held up well during the coronavirus pandemic, soaring as people turn to online shopping to buy things without leaving their homes. The company has also benefited from continued economic strength in China, which averted the recession that pummeled most of the globe last year.