The e-commerce company posted a better-than-expected 7.6% rise in revenue as it worked to put growth back on track amid fierce domestic competition and a slowing Chinese economy.

Alibaba on Thursday reported third-quarter revenues just above analysts' estimates on strong year-end sales, showing that the e-commerce group's strategy to attract cost-conscious consumers has helped to revive its performance.

Chinese e-commerce giant Alibaba highlighted its AI ambitions as it reported strong results for its third quarter, fueling hopes that it will become a leader in AI.