Alibaba's shares opened 10% higher in Hong Kong on Friday to reach their highest level in more than three years, after it reported third-quarter revenues just above analysts' estimates and said it plans to invest more in e-commerce and AI.

Chief executive Eddie Wu said AI was "the kind of opportunity for industry transformation that only comes around only once every few decades."

Alibaba Group’s artificial-intelligence strategy helped drive third-quarter revenue growth to its quickest pace since late 2023 as the e-commerce company weathered fierce domestic competition and a slowing Chinese economy.