China's top tech groups on track for worst-ever quarterly results

Alibaba, Tencent expected to post negative revenue growth in virus-hit economy

China's tech sector has been laying off tens of thousands of workers as companies look to cut costs and scale down their noncore businesses amid a sweeping regulatory crackdown. (Source photos by Reuters)

CISSY ZHOU, Nikkei staff writer

August 1, 2022 15:55 JST

HONG KONG -- China's leading technology companies are on track to post their worst-ever quarterly results after the country's strict zero-COVID policy hammered the economy in the midst of a regulatory crackdown.

Alibaba Group Holding and Tencent Holdings are for the first time expected to post negative quarterly revenue growth, according to analysts surveyed by Refinitiv.