reported Monday second-quarter profit that fell but beat expectations, while revenue rose above forecasts, as the China-based supply chain-based technology and service provider added more than 32 million new users, a quarterly record. The stock rallied 2.0% in premarket trading, reversing earlier slight declines. Net income fell to RMB794.3 million ($123.02 million), or RMB0.50 per American depositary receipt, from RMB16.45 billion, or RMB10.47 a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per ADS slipped to RMB2.90 from RMB3.51, but was above the FactSet consensus of RMB2.60. Total revenue rose 26.2% to RMB253.80 billion ($39.31 billion), to beat the FactSet consensus of RMB248.28 billion, as net product revenue grew 23.3% and net service revenue rose 49.2%. Annual active customer accounts increased 27.4% to 531.9 million in the 12 months through June 30. The stock, which has dropped 12.6% over the past three months through Friday, closed at a one-year low of $62.19 on Thursday. In comparison, the iShares MSCI China ETF
has dropped 16.7% the past three months while the S&P 500
has gained 6.9%.