By Bingyan Wang


Shares of Alibaba Health Information Technology Ltd. are higher after the Chinese company said it expects to swing to profit in the April-September period on continued customer growth.

Hong-Kong listed shares of the healthcare-focused e-commerce platform were 10% higher in early trading Wednesday, trimming year-to-date losses to 45% and putting the company on track for its biggest one-day gain since June. The shares are outperforming a 2.5% gain in the city's broader Hang Seng Index.

The Alibaba Group Holding Ltd. unit said late Tuesday that it expects to post profit of at least 80 million yuan ($11.0 million) in its fiscal first half, reversing a year-earlier loss of CNY231.6 million.

It cited the growing number of users on its pharmaceutical direct-sales platform, improved bargaining and pricing power and better efficiency.

The profit would come after Alibaba Health posted a loss of CNY265.9 million in the year ended March, as higher expenses for sales, marketing and development offset a 33% rise in revenue.


Write to Bingyan Wang at bingyan.wang@wsj.com


(END) Dow Jones Newswires

10-26-22 0006ET