The company grew revenue over 46% from year-ago levels to $2.54 billion, while total gross merchandising volumes (GMVs) rose a similar percentage, led by a near-doubling in Tmall volumes. Alibaba also disclosed in its second quarter results that mobile GMVs now account for 32.8% of the company's total marketplace volume, a near tripling from this time last year.
Alibaba's quarterly results indicate that the company is making continued progress in capturing a rising share of the Chinese mobile commerce market ahead of its highly anticipated initial public offering. However, mobile growth may be cutting into the company's short-term profitability trends. Alibaba's operating profit rose 26% to $1.1 billion, a slower pace than the company's overall revenue growth rate.
Read More: Alibaba Restructures Alipay Relationship
Earlier in August, Alibaba restructured its relationship with payments business Alipay in a move that gives the e-commerce giant a smaller exposure to financial services, but the potential to receive a larger pie of fees from those businesses.
Alibaba disposed its SME loan business to Small and Micro Financial Services Company, which also owns Alipay, for a $518 million cash consideration and annual fees for seven years based on the average daily size of the SME loan portfolio. Between 2015 and 2017, Alibaba will receive a fee equal to 2.5% of the daily average loan balances of the SME business. For remaining years, Alibaba will receive an amount equal to its 2017 fee.