Online trading company Alibaba for several years, to 2025 of the year, вкладывает 100 billion yuan, or 15,5 billion dollars, for the benefit of the "common welfare". The company will finance such undertakings, how to create quality jobs, support for vulnerable groups, financial development and technological innovation.
14 days ago, Chinese President Xi Jinping asked the rich with "excessive" income to share with the public. According to the president, it is worth achieving moderate well-being for all, but not for some.
Alibaba CEOs Support President's Initiative. "Alibaba is the beneficiary of the social and financial development of the PRC over the past twenty-two years. We are sure, what if society and the economy do well?, then Alibaba will be fine.", - said the head of the company Daniel Zhang.
Other companies responded to the call for universal well-being., which in the near future are under pressure from regulators.
For example, in August, Tencent pledged to double its investment in the common good to 100 billion yuan. The funds will be directed to the development of rural areas and assistance to people with low income.
Heads of such tech companies, как Xiaomi, Pinduoduo and Meituan, also supported social initiatives worth billions of dollars.
Even for a great Alibaba donation in 100 billion yuan – a large amount. This is approximately half of the company's free currency flow or operating income over the past year..
First trading on the Hong Kong stock exchange, Alibaba shares fell by four percent. Since the beginning of the year, securities on the Hong Kong Stock Exchange have fallen in price by 28%, in American — on 25%.
Financial performance of Alibaba, billion yuan
| 2018 | 2019 | 2020 | |
|---|---|---|---|
| Operating profit | 112 | 134 | 206 |
| free cash flow | 101 | 135 | 189 |
