Alibaba’s fourth-quarter revenue was 208.20 billion yuan, an estimated 209.19 billion yuan. …
Before the U.S. stock market opened on Thursday, May 18, Alibaba announced its results for the fourth quarter of fiscal 2023 ending March 31, 2023. According to financial report data, Alibaba’s fourth-quarter revenue was 208.2 billion yuan, a year-on-year increase of 2%, basically in line with market expectations of 209.19 billion yuan.
On the profit side, Alibaba’s net profit this quarter was 27.38 billion yuan, a year-on-year increase of 38%; operating profit was 15.240 billion yuan, a year-on-year decrease of 9%; net profit attributable to ordinary shareholders was 23.516 billion yuan, a net loss of 18.357 billion yuan in the same period last year .
Adjusted profit before interest, taxes, depreciation and amortization was 32.12 billion yuan, a year-on-year increase of 37%, better than the market estimate of 30.07 billion yuan; adjusted earnings per ADS were 10.71 yuan, compared with 7.95 yuan in the same period last year, and an estimated 9.45 yuan . Adjusted EBITDA margin was 15%, beating consensus estimates of 14.5%, and 11% in the same period last year.
At the same time, it said that it will continue to implement the share repurchase plan in this quarter. During the quarter ended March 31, approximately 21.5 million American depositary shares (equivalent to approximately 172.4 million common shares) were repurchased for approximately $1.9 billion. As of March 31, 2023, Alibaba had approximately 20.5 billion common shares outstanding (equivalent to approximately 2.6 billion American depositary shares). Under the current authorization, there is approximately $19.4 billion in repurchase facilities, valid until March 2025.
Ali said in the financial report: The synergy between different businesses is significant, and it has also contributed new growth points to the company.
Financial report shows,March quarter, international business, rookie, local lifeServeRevenue growth rate in order of29%, 18%, 17%; even under the complex and changing market situation and many uncertain factors in fiscal year 2023, the threeindivualBusiness realized on an annual basisRevenue growth rates of 13%, 21%, and 12% have gradually become the new engine for Alibaba’s steady growth.
After the financial report was released, Alibaba’s U.S. stocks fell before the market, falling more than 2% at one point, and then rose 1.5%.
E-commerce business revenue fell 5% year-on-year
In terms of core retail business data, Alibaba’s core Chinese retail business quarterly revenue was 132.062 billion yuan, a year-on-year decrease of 3%. Among them (e-commerce business) customer management revenue was 60.274 billion yuan, a year-on-year decrease of 5%. Direct sales and other business revenue was 71.788 billion yuan, a year-on-year decrease of 1%, mainly due to the negative impact of the new crown pneumonia epidemic in January and the seasonal fluctuations of the Spring Festival ahead of time, which led to a decline in offline store sales, and consumers reduced hoarding behavior in the post-epidemic period normalized demand for groceries.
active users,existIn March, the GMV of online physical goods on Taobao and Tmall increased.long(excluding unpaid orders) turned positive, and the financial report showed strong growth in apparel and health care products.
This quarter, on Taobao and TaotePayment GMV generated by M2C products increased by 26% year-on-year.Taocaicai continues to promoteChina’s retail marketCategory penetration in grocery and fresh produce, as ofIn the 12 months ended March 31, 2023, 62% of the annual active consumers of Taocaicai were consumers who purchased fresh products on the Ali platform for the first time.
internationalityBusiness continues to grow strongly
Overseas e-commerce business continued to maintain a strong momentum.quarter, includingThe international retail business revenue of Lazada, AliExpress, Trendyol and Daraz increased by 41% year-on-year to 13.967 billion yuan; the overall order volumeYoYincrease15%。
The growth was mainly due to revenue growth generated by Trendyol, Lazada and AliExpress:
Lazada boosts monetization rate and strong year-over-year order growth by offering more value-added services；
Trendyol resumed business from March,and strong growth in new business orders,Quarterly order growth rate remained resilient year-on-year;
AliExpress launches new service for global consumersChoice, consumers in designated countries can enjoy services such as free shipping, free returns, and delivery quality assurance when placing orders on Choice. Since its launch, the daily order volume of Choice has grown rapidly, driving AliExpress to achieve double-digit growth in quarterly orders.
Data Display,Since March, AliExpress orders have grown rapidly, with a year-on-year increase of more than 50%. At the same time, in South Korea, Spain and other countries where the Choice service is currently available, the download volume of AliExpress has soared to the top 3. The rapid growth of orders has also put forward higher requirements for warehouse and logistics capabilities. In May, AliExpress and Cainiao announced that they will open 5 new cross-border warehouses within one month, and the total area of preferred warehouses will increase by tens of thousands of square meters, providing merchants with more storage space.
local life serviceOrder growth exceeds20%
Local life services mainly include “home” and “destination” businesses, such as Ele.me, AutoNavi and Fliggy. For the three months ended March 31, 2023, local life service revenue was 12.549 billion yuan, a year-on-year increase 17%, mainly due to the increase in orders and average order value of Ele.me, which promoted the growth of GMV.
In the first quarter of this year, domestic consumption showed a steady recovery trend, in which catering consumption was faster than commodity consumption.Benefiting from this, Ali’s local life service orders increased by more than 100% in this quarter.20%。
Among them, AutoNavi and Fliggy’s “to destination” business ordersYoYgrowing rapidly inIn March, the number of daily active users of AutoNavicreateWith a new high of 150 million, Fliggy’s domestic hotel booking value has increased by more than 70% compared with the same period in 2019.
For the “Daojia” business, the improvement in consumer demand, the increase in the number of active merchants, and the effective expansion of delivery capabilities have led to growth in GMV and orders for Ele.mesignificantlyrise.
Cainiao quarterly revenue growth18%
During the quarter, Cainiao’s revenue increased year-over-year after offsetting the impact of cross-segment transactions18% to RMB 13.619 billion. In the construction of key logistics capabilities that affect the experience, such as the international end-to-end contract fulfillment network and domestic door-to-door delivery, Cainiao continued to advance and made significant progress.
This yearIn March, Cainiao became the first global logistics partner of the United Nations World Food Program (WFP) in China. Through this cooperation, Cainiao will help WFP shorten the delivery time of key supplies in global emergencies.
domestic,Cainiao Post’s home delivery package volume increased year-on-year85%, and put forward a new service standard of “1 minute fast pick-up, self-service pick-up before 24:00”.
cloudQuarterly business revenue decreased by 2% year-on-year to continue to promote the development of computing power and AI
In fiscal year 2023, after offsetting the impact of cross-segment transactions, the cloud business revenue was 77.203 billion yuan, and the adjusted EBITA was 1.422 billion yuan, a year-on-year increase of 24%, achieving the second consecutive year of profitability.
For the three months ended March 31, 2023, after offsetting the impact of cross-segment transactions, the revenue of the cloud business segment was RMB 18.582 billion, a year-on-year decrease of 2%. Ali said:
Reflecting the delayed delivery of hybrid cloud projects due to the repeated impact of the epidemic in January, the normalization of content distribution network demand compared with the same period last year, and the impact of a leading customer who gradually stopped using our overseas cloud services for its international business due to non-product factors .
Alibaba Cloud has been committed to the research and development of cloud computing, big data and artificial intelligence (AI) core technologies to promote the development of computing power and artificial intelligence. In April this year, Alibaba Cloud released a large-scale AI model called Tongyi Qianwen, and announced that it will be connected to all Alibaba products for a comprehensive upgrade. The data shows that more than 200,000 companies have applied for access to the Tongyi Qianwen test, and the demand for enterprise-specific large models is very hot.
Since the beginning of this year, Alibaba Cloud has turned from defense to offense, launching core product price cuts and free trial plans, greatly increasing the commission rate of partners, expanding the public cloud customer base, and improving cloud utilization. According to the financial report, a number of initiatives will promote the long-term healthy and sustainable growth of Alibaba Cloud.
Multi-business start-up financing listing plan
Alibaba Group2023fiscal yearQ4and annual financial report announcement, atThe reform plan launched at the end of March is advancing rapidly and efficiently: Yunzhi Group will be completely spun off from Alibaba Group to go public independently, Cainiao and Hema will launch listing plans, and Alibaba International Digital Business Group will launch an externalfinancingthe six major business groups formally established the board of directors.
With the rapid implementation of a series of substantive progress, various business groups and business companiesdevelopPaths are also clearer.Ali’s financial report shows that AliCloud Intelligent Group will be completely spun off from Alibaba Group，Go to market more flexibly.
Meanwhile, Alibaba GroupThe board of directors approved the launch of the listing plan of Cainiao Group, which is expected to be launched in the future 12arrive18completed within a month.This year coincides with the tenth anniversary of Cainiao.After ten years of development, Cainiao has becomea familyA leading digital logistics company has formed five major business segments of domestic logistics, international logistics, urban and rural terminals, logistics technology and logistics real estate, and continues to invest in global logistics infrastructure and supply chain capacity building. The time for market testing is ripe.
In addition, the board of directors of Alibaba Group also approved Hema to start the listing process, which is expected to be completed in the future.6 to 12completed within a month.born in2015Hema in 2019, as a benchmark for Alibaba to explore new retail,Has formed a clear business model and relatively clear profit prospects。
The financial report also shows thatBoard of Directors of Alibaba Groupalreadyapproval and appointmentThe board of directors of the six major business groups.business groupDirectors are served by senior business leaders of Alibaba,byRich industry and market experience, strong support for each business grouphigh speed healthdevelop。
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