Alibaba Group Announces March Quarter 2024 and Fiscal Year 2024 Results
Alibaba Group (NYSE: BABA) announced its financial results for the quarter and fiscal year ended March 31, 2024. Quarterly revenue reached RMB221,874 million ($30,729 million), a 7% YoY increase, but net income dropped by 96% to RMB919 million ($127 million), largely due to losses from investments. For the fiscal year, revenue grew 8% to RMB941,168 million ($130,350 million). Income from operations increased 13% to RMB113,350 million ($15,699 million), while net income rose 9% to RMB71,332 million ($9,879 million). Adjusted EBITA for the fiscal year increased by 12% to RMB165,028 million ($22,856 million). In FY2024, Alibaba repurchased $12.5 billion worth of shares and declared a $4.0 billion dividend. Key business areas like Taobao & Tmall Group, Cloud Intelligence, and International Digital Commerce showed growth, with notable gains in cross-border e-commerce. However, the company faced declines in net income and free cash flow, impacted by higher investments and market shifts.
- Revenue for Q1 2024 increased by 7% YoY to RMB221,874 million ($30,729 million).
- Annual revenue grew by 8% YoY to RMB941,168 million ($130,350 million).
- Income from operations for the fiscal year increased by 13% YoY to RMB113,350 million ($15,699 million).
- Adjusted EBITA for FY2024 rose 12% YoY to RMB165,028 million ($22,856 million).
- Alibaba repurchased $12.5 billion in shares in FY2024.
- Declared a $4.0 billion dividend for FY2024.
- Revenue from Alibaba International Digital Commerce Group increased 45% YoY to RMB27,448 million ($3,802 million).
- Revenue from Cainiao Smart Logistics Network grew 30% YoY to RMB24,557 million ($3,401 million).
- Net income for Q1 2024 dropped by 96% YoY to RMB919 million ($127 million).
- Net income attributable to ordinary shareholders decreased by 86% to RMB3,270 million ($453 million) in Q1 2024.
- Non-GAAP net income for Q1 2024 decreased by 11% YoY to RMB24,418 million ($3,382 million).
- Free cash flow for Q1 2024 decreased 52% YoY to RMB15,361 million ($2,127 million).
- Net cash provided by operating activities for Q1 2024 fell by 26% to RMB23,340 million ($3,233 million).
- Non-GAAP diluted earnings per ADS decreased by 5% YoY to RMB10.14 ($1.40) in Q1 2024.
- Net cash provided by operating activities for FY2024 decreased by 9% YoY to RMB182,593 million ($25,289 million).
- Free cash flow for FY2024 decreased by 9% YoY to RMB156,210 million ($21,635 million).
Insights
Alibaba's fiscal year 2024 financial results offer a mixed bag for investors. Revenue growth at
The
Long-term prospects remain cautiously optimistic due to Alibaba's strategic focus on AI and cloud computing, which are projected to fuel future growth. The share repurchase program and dividend declaration signal confidence in the long-term business outlook, but the significant use of cash for these activities could be seen as a double-edged sword, potentially limiting resources for future investments.
Additionally, non-GAAP adjustments such as share-based compensation and impairment charges warrant close scrutiny as they offer a clearer perspective on core operational performance, which showcases a
Investors should consider both the immediate financial drawbacks and the strategic initiatives for future growth in their evaluation.
Alibaba's strategic movements in various business segments present significant insights. The robust revenue growth in Taobao and Tmall, driven by increased user engagement and improved consumer retention, highlights the effectiveness of their consumer-first approach. Moreover, the double-digit growth in GMV and order frequency indicate strong market positioning in the competitive e-commerce environment.
Cloud Intelligence Group's focus on high-quality revenue streams is a strategic pivot that could yield sustainable long-term growth. The
The international digital commerce segment shines with a
While growth in the core businesses remains promising, challenges in other segments, such as the narrower revenue growth in cloud services and the loss-making Local Services Group, highlight areas requiring strategic adjustments.
Alibaba's technological advancements in AI and cloud computing are noteworthy. The company's focus on AI-driven revenue streams, which saw triple-digit growth, indicates a strong foothold in emerging technological trends. This growth is driven by sectors like financial services and automotive, showcasing the broad applicability and demand for Alibaba's AI solutions.
The strategic shift away from low-margin projects to more profitable public cloud services reflects an understanding of the market dynamics and the importance of scalability and efficiency. The reduction in prices for over 100 public cloud products aims to boost adoption and market share, which is critical in the competitive cloud market where cost efficiency is a significant differentiator.
Investors should consider the implications of these technological investments carefully. While these initiatives promise long-term revenue growth and market positioning, the short-term financial impact due to increased capital expenditure and focused investments could affect profitability. However, the strategic importance of maintaining leadership in AI and cloud technology justifies these investments as they align with global digital transformation trends.
“This quarter’s results demonstrate that our strategies are working and we are returning to growth. Our
“Alibaba Group delivered a strong quarter with revenue growth of
BUSINESS HIGHLIGHTS
In the quarter ended March 31, 2024:
-
Revenue was
RMB221,874 million (US ), an increase of$30,729 million 7% year-over-year.
-
Income from operations was
RMB14,765 million (US ), a decrease of$2,045 million 3% year-over-year. Adjusted EBITA, a non-GAAP measurement, decreased5% year-over-year toRMB23,969 million (US ), primarily attributable to increased investments in our e-commerce businesses and retention incentives granted to Cainiao employees.$3,320 million
-
Net income attributable to ordinary shareholders was
RMB3,270 million (US ). Net income was$453 million RMB919 million (US ), a decrease of$127 million 96% orRMB21,077 million year-over-year, primarily attributable to a net loss from our investments in publicly-traded companies during the quarter, compared to a net gain in the same quarter last year, due to the mark-to-market changes. Excluding share-based compensation expense, gains/losses of investments, impairment of intangible assets, and certain other items, non-GAAP net income in the quarter ended March 31, 2024 wasRMB24,418 million (US ), a decrease of$3,382 million 11% compared toRMB27,375 million in the same quarter of 2023.
-
Diluted earnings per ADS was
RMB1.30 (US ) and diluted earnings per share was$0.18 RMB0.16 (US or$0.02 HK ). Non-GAAP diluted earnings per ADS was$0.18 RMB10.14 (US ), a decrease of$1.40 5% year-over-year and non-GAAP diluted earnings per share wasRMB1.27 (US or$0.18 HK ), a decrease of$1.40 5% year-over-year.
-
Net cash provided by operating activities was
RMB23,340 million (US ), a decrease of$3,233 million 26% compared toRMB31,401 million in the same quarter of 2023. Free cash flow, a non-GAAP measurement of liquidity, wasRMB15,361 million (US ), a decrease of$2,127 million 52% compared toRMB32,267 million in the same quarter of 2023. The year-over-year decrease in free cash flow mainly reflected the increase in capital expenditure during the quarter, the majority of which reflected our investments in Alibaba Cloud infrastructure, as well as a special dividend ofRMB10,519 million from Ant Group in the same quarter of 2023.
In the fiscal year ended March 31, 2024:
-
Revenue was
RMB941,168 million (US ), an increase of$130,350 million 8% year-over-year.
-
Income from operations was
RMB113,350 million (US ), an increase of$15,699 million 13% year-over-year. The year-over-year increase was primarily attributable to an increase in adjusted EBITA and a decrease in share-based compensation expense, partly offset by the increase in impairment of intangible assets and goodwill. During the fiscal year, impairment of intangible assets was mainly related to Sun Art, while the impairment of goodwill was mainly related to Youku. Adjusted EBITA, a non-GAAP measurement (excluding share-based compensation expense, impairment of intangible assets and goodwill and certain other items), increased12% year-over-year toRMB165,028 million (US ).$22,856 million
-
Net income attributable to ordinary shareholders was
RMB79,741 million (US ). Net income was$11,044 million RMB71,332 million (US ), an increase of$9,879 million 9% orRMB5,759 million year-over-year, primarily attributable to the increase in income from operations, partly offset by the increase in net loss from our equity investments due to mark-to-market changes. Excluding share-based compensation expense, gains/losses of investments, impairment of intangible assets and goodwill, and certain other items, non-GAAP net income in fiscal year 2024 wasRMB157,479 million (US ), an increase of$21,811 million 11% compared toRMB141,379 million in fiscal year 2023.
-
Diluted earnings per ADS was
RMB31.24 (US ) and diluted earnings per share was$4.33 RMB3.91 (US or$0.54 HK ). Non-GAAP diluted earnings per ADS was$4.31 RMB62.23 (US ), an increase of$8.62 14% year-over-year and non-GAAP diluted earnings per share wasRMB7.78 (US or$1.08 HK ), an increase of$8.58 14% year-over-year.
-
Net cash provided by operating activities was
RMB182,593 million (US ), a decrease of$25,289 million 9% compared toRMB199,752 million in fiscal year 2023. Free cash flow, a non-GAAP measurement of liquidity, wasRMB156,210 million (US ), a decrease of$21,635 million 9% compared toRMB171,663 million in fiscal year 2023. The year-over-year decrease mainly reflected special dividends ofRMB14,464 million from Ant Group in fiscal year 2023 and changes in working capital, partially offset by the year-over-year increase in adjusted EBITA.
Reconciliations of GAAP measures to non-GAAP measures presented above are included at the end of this results announcement.
BUSINESS AND STRATEGIC UPDATES
Taobao and Tmall Group
Under our strategy to put users first and develop systems for brands, merchants and industrial belt manufacturers to operate with high efficiency on our platform, we aim to provide a shopping experience that satisfies all aspects of consumption needs with quality products and services at attractive prices. We are increasing strategic investment in areas such as price competitive product supplies, customer service, membership program benefits and technology, aiming to enhance user experience, which resulted in improved consumer retention and higher purchase frequency.
Our strategy of price-competitiveness and focus on user experience is yielding results. During the quarter, we achieved double-digit online GMV and order growth year-over-year, driven by strong increase in the number of purchasers and purchase frequency.
Importantly, the number of 88VIP members increased by double digits year-over-year, surpassing 35 million during the quarter. We will continue to increase the subscription of 88VIP membership among our premium shoppers by improving customer service and enhancing program benefits.
For the quarter ended March 31, 2024, revenue from Taobao and Tmall Group grew
Cloud Intelligence Group
For the quarter ended March 31, 2024, revenue from Cloud Intelligence Group was
We are committed to our strategy of focusing on high quality revenues from increasing public cloud adoption while reducing low-margin project-based contracts. During the quarter, our core public cloud offerings, which include products such as elastic compute, database and AI products, recorded double-digit year-over-year growth in revenue. Overall revenue excluding Alibaba-consolidated subsidiaries decreased slightly year-over-year as we transition away from low-margin project-based revenues. We expect the strong revenue growth in public cloud and AI-related products will offset the impact of the roll-off of project-based revenues.
The cost benefits from our infrastructure scale and advanced technologies enabled us to reduce prices across more than 100 public cloud products this quarter. Our goal is to enhance cost efficiency for our customers and boost public cloud adoption in
During this quarter, AI-related revenue experienced accelerated growth and continued to record triple-digit growth year-over-year. AI-related revenue was generated from various sectors including foundational model companies, Internet companies, as well as customers from industries such as financial services and automotive.
Alibaba International Digital Commerce Group (“AIDC”)
For the quarter ended March 31, 2024, revenue from AIDC grew
During the quarter, AliExpress continued to deliver robust year-over-year order growth, driven by Choice, which provides price competitiveness and high delivery speed to customers. Synergies between AliExpress and the cross-border logistics operations of Cainiao have further strengthened AliExpress’ competitiveness with both the 5-day and 10-day delivery completion rates doubling year-over-year. We increased our investment in key markets to enhance customer experience, expand consumer base and strengthen our market position. Choice represented around
During the quarter, Trendyol continued its double-digit order growth. While maintaining its leading e-commerce position in Türkiye, Trendyol has further expanded its cross-border business in the Gulf region. Since the launch of Trendyol’s cross-border initiatives, we increased our investment in customer experience by expanding merchandise categories as well as providing speedy and reliable delivery. As a result, Trendyol has become one of the most downloaded e-commerce apps in the Gulf region during the quarter.
Lazada continued to focus on improving its operating efficiency. With further increased monetization and optimized operations, Lazada’s loss per order narrowed significantly year-over-year during the quarter.
Cainiao Smart Logistics Network Limited (“Cainiao”)
For the quarter ended March 31, 2024, revenue from Cainiao grew
In March, Cainiao withdrew its initial public offering on the Hong Kong Stock Exchange in order to align its business to better realize strategic synergies with our e-commerce businesses. This will enable Cainiao to work more closely with AliExpress to strengthen its comprehensive end-to-end cross-border delivery capabilities. During the quarter, Cainiao extended its premium delivery (i.e., five to ten-day delivery) to four additional countries, bringing the total coverage to 14 countries.
Cainiao will continue to execute its strategy of building a global smart logistics network, leveraging its e-commerce insights and proprietary technology to optimize efficiency in first-mile pick-up, line haul, customs clearance, sortation, and last-mile delivery.
Local Services Group
For the quarter ended March 31, 2024, revenue from Local Services Group grew by
Digital Media and Entertainment Group
During the quarter ended March 31, 2024, revenue of Digital Media and Entertainment Group was
Share Repurchases
During the quarter ended March 31, 2024, we repurchased a total of 524 million ordinary shares (equivalent of 65 million ADSs) for a total of
As of March 31, 2024, we had 19,469 million ordinary shares (equivalent of 2,434 million ADSs) outstanding, a net decrease of 520 million ordinary shares during the quarter, or a
Dividends
Our board of directors has approved a two-part dividend comprised of (i) an annual regular cash dividend for fiscal year 2024 in the amount of
For holders of ordinary shares, in order to qualify for the dividend, all valid documents for the transfers of shares accompanied by the relevant share certificates must be lodged with the Company’s
Update on Progress of Voluntary Conversion to Dual Listing on the Hong Kong Stock Exchange
We have been preparing for our primary listing in
CHANGES OF BUSINESS GROUP DIRECTORS AND CEOS
Our board of directors has approved certain changes to the directors and CEOs of the six major business groups. As of the date of this announcement, the directors and CEOs of the six major business groups are:
Business Group
|
Board of Directors |
Taobao and Tmall Group |
|
Cloud Intelligence Group
|
|
Alibaba International Digital Commerce Group
|
|
Cainiao Smart Logistics Network Limited |
|
Local Services Group
|
|
Digital Media and Entertainment Group |
|
MARCH QUARTER SUMMARY FINANCIAL RESULTS |
||||||||
|
Three months ended March 31, |
|
|
|||||
|
2023 |
|
2024 |
|
|
|||
|
RMB |
|
RMB |
|
US$ |
|
YoY %
|
|
|
(in millions, except percentages and per share amounts) |
|||||||
|
|
|
|
|
||||
Revenue |
208,200 |
|
221,874 |
|
30,729 |
|
|
|
|
|
|
|
|
|
|
|
|
Income from operations |
15,240 |
|
14,765 |
|
2,045 |
|
(3)% |
|
Operating margin |
|
|
|
|
|
|
|
|
Adjusted EBITDA(1) |
32,123 |
|
30,807 |
|
4,267 |
|
(4)%(2) |
|
Adjusted EBITDA margin(1) |
|
|
|
|
|
|
|
|
Adjusted EBITA(1) |
25,280 |
|
23,969 |
|
3,320 |
|
(5)%(2) |
|
Adjusted EBITA margin(1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
21,996 |
|
919 |
|
127 |
|
(96)%(3) |
|
Net income attributable to ordinary shareholders |
23,516 |
|
3,270 |
|
453 |
|
(86)%(3) |
|
Non-GAAP net income(1) |
27,375 |
|
24,418 |
|
3,382 |
|
(11)%(3) |
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share(4) |
1.12 |
|
0.16 |
|
0.02 |
|
(86)%(3)(5) |
|
Diluted earnings per ADS(4) |
9.00 |
|
1.30 |
|
0.18 |
|
(86)%(3)(5) |
|
Non-GAAP diluted earnings per share(1)(4) |
1.34 |
|
1.27 |
|
0.18 |
|
(5)%(3)(5) |
|
Non-GAAP diluted earnings per ADS(1)(4) |
10.71 |
|
10.14 |
|
1.40 |
|
(5)%(3)(5) |
|
| ____________________ | ||
(1) |
See the sections entitled “Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Measures to the Nearest Comparable |
|
(2) |
The year-over-year decreases were primarily attributable to the increase in investments in our e-commerce businesses and retention incentives granted to Cainiao employees, partly offset by revenue growth and improved operating efficiency. |
|
(3) |
The year-over-year decrease in net income was primarily attributable to a net loss from our investments in publicly-traded companies during the quarter, compared to a net gain in the same quarter last year, due to mark-to-market changes, while net income attributable to ordinary shareholders and earnings per share/ADS would further take into account the net loss attributable to noncontrolling interests. We excluded share-based compensation expense, gains/losses of investments, impairment of intangible assets, and certain other items from our non-GAAP measurements. |
|
(4) |
Each ADS represents eight ordinary shares. |
|
(5) |
The year-over-year percentages as stated are calculated based on the exact amount and there may be minor differences from the year-over-year percentages calculated based on the RMB amounts after rounding. |
|
MARCH QUARTER SEGMENT RESULTS
Revenue for the quarter ended March 31, 2024 was
Starting from the quarter ended June 30, 2023, we have implemented a new organizational structure which includes six major business groups and various other businesses (the “Reorganization”). Our segment reporting has been updated to reflect our Reorganization and how our chief operating decision maker (“CODM”) review information under our new structure.
The following table sets forth a breakdown of our revenue by segment for the periods indicated(1):
|
Three months ended March 31, |
|
|
|||||
|
2023 |
|
2024 |
|
|
|||
|
RMB |
|
RMB |
|
US$ |
|
YoY %
|
|
|
(in millions, except percentages) |
|||||||
Taobao and Tmall Group: |
|
|
|
|
||||
|
|
|
|
|
||||
- Customer management |
60,545 |
|
63,574 |
|
8,805 |
|
|
|
- Direct sales and others(2) |
25,212 |
|
24,690 |
|
3,419 |
|
(2)% |
|
|
85,757 |
|
88,264 |
|
12,224 |
|
|
|
|
4,132 |
|
4,952 |
|
686 |
|
|
|
Total Taobao and Tmall Group |
89,889 |
|
93,216 |
|
12,910 |
|
|
|
|
|
|
|
|
|
|
|
|
Cloud Intelligence Group |
24,742 |
|
25,595 |
|
3,545 |
|
|
|
|
|
|
|
|
|
|
|
|
Alibaba International Digital Commerce Group: |
|
|
|
|
|
|
|
|
International commerce retail |
14,247 |
|
22,278 |
|
3,086 |
|
|
|
International commerce wholesale |
4,668 |
|
5,170 |
|
716 |
|
|
|
Total Alibaba International Digital Commerce Group |
18,915 |
|
27,448 |
|
3,802 |
|
|
|
|
|
|
|
|
|
|
|
|
Cainiao Smart Logistics Network Limited |
18,915 |
|
24,557 |
|
3,401 |
|
|
|
Local Services Group |
12,340 |
|
14,628 |
|
2,026 |
|
|
|
Digital Media and Entertainment Group |
4,989 |
|
4,945 |
|
685 |
|
(1)% |
|
All others(3) |
53,303 |
|
51,458 |
|
7,126 |
|
(3)% |
|
Total segment revenue |
223,093 |
|
241,847 |
|
33,495 |
|
|
|
Unallocated |
232 |
|
397 |
|
55 |
|
|
|
Inter-segment elimination |
(15,125) |
|
(20,370) |
|
(2,821) |
|
|
|
Consolidated revenue |
208,200 |
|
221,874 |
|
30,729 |
|
|
|
____________________ |
||
(1) |
During fiscal year 2024, our segment reporting has been updated to reflect our Reorganization and the reclassification of the revenue of our DingTalk business, which was previously reported under Cloud Intelligence Group, to All others, the purpose of which was to provide DingTalk with greater autonomy to promote innovation and enhance competitiveness. Our CODM started to review information under this new reporting structure and segment reporting has been updated to conform to this change as well as the way we manage and monitor segment performance. Comparative figures were reclassified to conform to this presentation. |
|
(2) |
Direct sales and others revenue under Taobao and Tmall Group primarily represents Tmall Supermarket, Tmall Global and other direct sales businesses, where revenue and cost of inventory are recorded on a gross basis. |
|
(3) |
All others include Sun Art, Freshippo, Alibaba Health, Lingxi Games, Intime, Intelligent Information Platform (which mainly consists of UCWeb and Quark businesses), Fliggy, DingTalk (previously reported under Cloud Intelligence Group segment) and other businesses. The majority of revenue within All others consist of direct sales revenue, which is recorded on a gross basis. |
|
The following table sets forth a breakdown of our adjusted EBITA by segment for the periods indicated(1):
|
Three months ended March 31, |
|
|
|||||
|
2023 |
|
2024 |
|
|
|||
|
RMB |
|
RMB |
|
US$ |
|
YoY %
|
|
|
(in millions, except percentages) |
|||||||
Taobao and Tmall Group |
39,041 |
|
38,501 |
|
5,332 |
|
(1)% |
|
Cloud Intelligence Group |
987 |
|
1,432 |
|
198 |
|
|
|
Alibaba International Digital Commerce Group |
(2,171) |
|
(4,085) |
|
(566) |
|
(88)% |
|
Cainiao Smart Logistics Network Limited |
(319) |
|
(1,342) |
|
(186) |
|
(321)% |
|
Local Services Group |
(4,063) |
|
(3,198) |
|
(443) |
|
|
|
Digital Media and Entertainment Group |
(1,129) |
|
(884) |
|
(122) |
|
|
|
All others(2) |
(1,855) |
|
(2,818) |
|
(390) |
|
(52)% |
|
Total segment adjusted EBITA |
30,491 |
|
27,606 |
|
3,823 |
|
(9)% |
|
Unallocated (3) |
(4,364) |
|
(2,900) |
|
(402) |
|
|
|
Inter-segment elimination |
(847) |
|
(737) |
|
(101) |
|
|
|
Consolidated adjusted EBITA |
25,280 |
|
23,969 |
|
3,320 |
|
(5)% |
|
Less: Share-based compensation expense |
(7,546) |
|
(7,123) |
|
(987) |
|
|
|
Less: Amortization and impairment of intangible assets |
(2,494) |
|
(2,081) |
|
(288) |
|
|
|
Income from operations |
15,240 |
|
14,765 |
|
2,045 |
|
(3)% |
|
____________________ |
||
(1) |
During fiscal year 2024, our segment reporting has been updated to reflect our Reorganization and the reclassification of the results of our DingTalk business, which was previously reported under Cloud Intelligence Group, to All others, the purpose of which was to provide DingTalk with greater autonomy to promote innovation and enhance competitiveness. Our CODM started to review information under this new reporting structure and segment reporting has been updated to conform to this change as well as the way we manage and monitor segment performance. Comparative figures were reclassified to conform to this presentation. |
|
(2) |
All others include Sun Art, Freshippo, Alibaba Health, Lingxi Games, Intime, Intelligent Information Platform (which mainly consists of UCWeb and Quark businesses), Fliggy, DingTalk (previously reported under Cloud Intelligence Group segment) and other businesses. |
|
(3) |
Unallocated primarily relates to certain costs incurred by corporate functions and other miscellaneous items that are not allocated to individual segments. |
|
(4) |
For a more intuitive presentation, widening of loss in YoY% is shown in terms of negative growth rate, and narrowing of loss in YoY% is shown in terms of positive growth rate. |
|
Taobao and Tmall Group
(i) Segment revenue
-
China Commerce Retail Business
Revenue from ourChina commerce retail business in the quarter ended March 31, 2024 wasRMB88,264 million (US ), an increase of$12,224 million 3% compared toRMB85,757 million in the same quarter of 2023.
Customer management revenue increased by5% year-over-year, primarily due to a double-digit year-over-year growth in online GMV, excluding unpaid orders, partly offset by a decline in overall take rate. The overall take rate (customer management revenue divided by online GMV, which represents revenue as a percentage of overall volume generated on major marketplaces of Taobao and Tmall Group) decreased year-over-year primarily due to the increase in online GMV mainly coming from Taobao merchants and the introduction of new models that currently have low monetization rates.
Direct sales and others revenue underChina commerce retail business in the quarter ended March 31, 2024 wasRMB24,690 million (US ), a decrease of$3,419 million 2% compared toRMB25,212 million in the same quarter of 2023.
-
China Commerce Wholesale Business
Revenue from ourChina commerce wholesale business in the quarter ended March 31, 2024 wasRMB4,952 million (US ), an increase of$686 million 20% compared toRMB4,132 million in the same quarter of 2023, primarily due to an increase in revenue from value-added services provided to paying members.
(ii) Segment adjusted EBITA
Taobao and Tmall Group adjusted EBITA was
Cloud Intelligence Group
(i) Segment revenue
Revenue from Cloud Intelligence Group was
(ii) Segment adjusted EBITA
Cloud Intelligence Group adjusted EBITA increased by
Alibaba International Digital Commerce Group
(i) Segment revenue
-
International Commerce Retail Business
Revenue from our International commerce retail business in the quarter ended March 31, 2024 wasRMB22,278 million (US ), an increase of$3,086 million 56% compared toRMB14,247 million in the same quarter of 2023. The increase in revenue was primarily due to the solid combined order growth of AIDC’s retail businesses, revenue contribution from AliExpress’ Choice, as well as improvements in monetization. As certain of our international businesses generate revenue in local currencies while our reporting currency is Renminbi, AIDC’s revenue is affected by exchange rate fluctuations.
-
International Commerce Wholesale Business
Revenue from our International commerce wholesale business in the quarter ended March 31, 2024 wasRMB5,170 million (US ), an increase of$716 million 11% compared toRMB4,668 million in the same quarter of 2023. The increase was primarily due to an increase in revenue generated by cross-border related value-added services.
(ii) Segment adjusted EBITA
Alibaba International Digital Commerce Group adjusted EBITA was a loss of
Cainiao Smart Logistics Network Limited
(i) Segment revenue
Revenue from Cainiao Smart Logistics Network Limited was
(ii) Segment adjusted EBITA
Cainiao Smart Logistics Network Limited adjusted EBITA was a loss of
Local Services Group
(i) Segment revenue
Revenue from Local Services Group was
(ii) Segment adjusted EBITA
Local Services Group adjusted EBITA was a loss of
Digital Media and Entertainment Group
(i) Segment revenue
Revenue from Digital Media and Entertainment Group was
(ii) Segment adjusted EBITA
Digital Media and Entertainment Group adjusted EBITA in the quarter ended March 31, 2024 was a loss of
All Others
(i) Segment revenue
Revenue from All others segment was
(ii) Segment adjusted EBITA
Adjusted EBITA from All others segment in the quarter ended March 31, 2024 was a loss of
MARCH QUARTER OTHER FINANCIAL RESULTS
Costs and Expenses
The following tables set forth a breakdown of our costs and expenses, share-based compensation expense, and costs and expenses excluding share-based compensation expense by function for the periods indicated:
|
Three months ended March 31, |
|
% of
|
|||||||||
|
2023 |
|
2024 |
|
||||||||
|
RMB |
|
% of
|
|
RMB |
|
US$ |
|
% of
|
|
||
|
(in millions, except percentages) |
|||||||||||
Costs and expenses: |
|
|
|
|
|
|
||||||
Cost of revenue |
138,823 |
|
|
|
148,098 |
|
20,511 |
|
|
|
|
|
Product development expenses |
13,880 |
|
|
|
14,085 |
|
1,951 |
|
|
|
(1)% |
|
Sales and marketing expenses |
24,931 |
|
|
|
28,826 |
|
3,992 |
|
|
|
|
|
General and administrative expenses |
12,832 |
|
|
|
14,019 |
|
1,942 |
|
|
|
|
|
Amortization and impairment of intangible assets |
2,494 |
|
|
|
2,081 |
|
288 |
|
|
|
|
|
Total costs and expenses |
192,960 |
|
|
|
207,109 |
|
28,684 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share-based compensation expense: |
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenue |
1,235 |
|
|
|
891 |
|
124 |
|
|
|
(1)% |
|
Product development expenses |
2,938 |
|
|
|
2,037 |
|
282 |
|
|
|
(1)% |
|
Sales and marketing expenses |
858 |
|
|
|
735 |
|
102 |
|
|
|
|
|
General and administrative expenses |
2,515 |
|
|
|
3,460 |
|
479 |
|
|
|
|
|
Total share-based compensation expense |
7,546 |
|
|
|
7,123 |
|
987 |
|
|
|
(1)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and expenses excluding share-based compensation expense: |
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenue |
137,588 |
|
|
|
147,207 |
|
20,387 |
|
|
|
|
|
Product development expenses |
10,942 |
|
|
|
12,048 |
|
1,669 |
|
|
|
|
|
Sales and marketing expenses |
24,073 |
|
|
|
28,091 |
|
3,890 |
|
|
|
|
|
General and administrative expenses |
10,317 |
|
|
|
10,559 |
|
1,463 |
|
|
|
(1)% |
|
Amortization and impairment of intangible assets |
2,494 |
|
|
|
2,081 |
|
288 |
|
|
|
|
|
Total costs and expenses excluding share-based compensation expense |
185,414 |
|
|
|
199,986 |
|
27,697 |
|
|
|
|
|
Cost of revenue – Cost of revenue in the quarter ended March 31, 2024 was
Product development expenses – Product development expenses in the quarter ended March 31, 2024 were
Sales and marketing expenses – Sales and marketing expenses in the quarter ended March 31, 2024 were
General and administrative expenses – General and administrative expenses in the quarter ended March 31, 2024 were
Share-based compensation expense – Total share-based compensation expense included in the cost and expense items above in the quarter ended March 31, 2024 was
The following table sets forth our analysis of share-based compensation expense for the quarters indicated by type of share-based awards:
|
Three months ended March 31, |
|
|
|||||||||
|
2023 |
|
2024 |
|
|
|||||||
|
RMB |
|
% of
|
|
RMB |
|
US$ |
|
% of
|
|
YoY %
|
|
|
(in millions, except percentages) |
|||||||||||
By type of awards: |
|
|
|
|
|
|
||||||
Alibaba Group share-based awards(1) |
5,972 |
|
|
|
4,350 |
|
602 |
|
|
|
(27)% |
|
Ant Group share-based awards(2) |
126 |
|
|
|
25 |
|
4 |
|
|
|
(80)% |
|
Others(3) |
1,448 |
|
|
|
2,748 |
|
381 |
|
|
|
|
|
Total share-based compensation expense |
7,546 |
|
|
|
7,123 |
|
987 |
|
|
|
(6)% |
|
____________________ |
||
(1) |
This represents Alibaba Group share-based awards granted to our employees. |
|
(2) |
This represents Ant Group share-based awards granted to our employees, which is subject to mark-to-market accounting treatment. |
|
(3) |
This represents share-based awards of our subsidiaries. |
|
Share-based compensation expense related to Alibaba Group share-based awards decreased in the quarter ended March 31, 2024 compared to the same quarter of 2023. This decrease was primarily due to the general decrease in the average fair market value of the awards granted.
We expect that our share-based compensation expense will continue to be affected by changes in the fair value of the underlying awards and the quantity of awards we grant in the future.
Amortization and impairment of intangible assets – Amortization and impairment of intangible assets in the quarter ended March 31, 2024 was
Income from operations and operating margin
Income from operations in the quarter ended March 31, 2024 was
Adjusted EBITDA and Adjusted EBITA
Adjusted EBITDA decreased
Adjusted EBITA by segment
Adjusted EBITA by segment as well as a reconciliation of income from operations to adjusted EBITA are set forth in the section entitled “March Quarter Segment Results” above.
Interest and investment income, net
Interest and investment income, net in the quarter ended March 31, 2024 was a loss of
The above-mentioned gains and losses were excluded from our non-GAAP net income.
Other income, net
Other income, net in the quarter ended March 31, 2024 was
Income tax expenses
Income tax expenses in the quarter ended March 31, 2024 were
Share of results of equity method investees
Share of results of equity method investees in the quarter ended March 31, 2024 was a loss of
|
Three months ended March 31, |
|||||
|
2023 |
|
2024 |
|||
|
RMB |
|
RMB |
|
US$ |
|
|
(in millions) |
|||||
Share of profit (loss) of equity method investees |
|
|
|
|||
- Ant Group |
3,180 |
|
2,570 |
|
356 |
|
- Others |
(183) |
|
358 |
|
50 |
|
Impairment loss |
(989) |
|
(5,403) |
|
(748) |
|
Others(1) |
(1,562) |
|
(733) |
|
(102) |
|
Total |
446 |
|
(3,208) |
|
(444) |
|
____________________ |
||
(1) |
Others mainly include basis differences arising from equity method investees, share-based compensation expense related to share-based awards granted to employees of our equity method investees, as well as gain or loss arising from the deemed disposal of the equity method investees. |
|
We record our share of results of all equity method investees one quarter in arrears. We recorded an impairment loss of
Net income and Non-GAAP net income
Our net income in the quarter ended March 31, 2024 was
Excluding share-based compensation expense, revaluation and disposal gains/losses of investments, impairment of investments, amortization and impairment of intangible assets and certain other items, non-GAAP net income in the quarter ended March 31, 2024 was
Net income attributable to ordinary shareholders
Net income attributable to ordinary shareholders in the quarter ended March 31, 2024, which takes into account the relevant attributions to noncontrolling interests, was
Diluted earnings per ADS/share and non-GAAP diluted earnings per ADS/share
Diluted earnings per ADS in the quarter ended March 31, 2024 was
Diluted earnings per share in the quarter ended March 31, 2024 was
A reconciliation of diluted earnings per ADS/share to non-GAAP diluted earnings per ADS/share is included at the end of this results announcement. Each ADS represents eight ordinary shares.
Net cash provided by operating activities and free cash flow
During the quarter ended March 31, 2024, net cash provided by operating activities was
A reconciliation of net cash provided by operating activities to free cash flow is included at the end of this results announcement.
Net cash provided by investing activities
During the quarter ended March 31, 2024, net cash provided by investing activities of
Net cash used in financing activities
During the quarter ended March 31, 2024, net cash used in financing activities of
Employees
As of March 31, 2024, we had a total of 204,891 employees, compared to 219,260 as of December 31, 2023.
FULL FISCAL YEAR SUMMARY FINANCIAL RESULTS |
||||||||
|
Year ended March 31, |
|
|
|||||
|
2023 |
|
2024 |
|
|
|||
|
RMB |
|
RMB |
|
US$ |
|
YoY %
|
|
|
(in millions, except percentages and per share amounts) |
|||||||
|
|
|
|
|
||||
Revenue |
868,687 |
|
941,168 |
|
130,350 |
|
|
|
|
|
|
|
|
|
|
|
|
Income from operations |
100,351 |
|
113,350 |
|
15,699 |
|
|
|
Operating margin |
|
|
|
|
|
|
|
|
Adjusted EBITDA(1) |
175,710 |
|
191,668 |
|
26,546 |
|
|
|
Adjusted EBITDA margin(1) |
|
|
|
|
|
|
|
|
Adjusted EBITA(1) |
147,911 |
|
165,028 |
|
22,856 |
|
|
|
Adjusted EBITA margin(1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
65,573 |
|
71,332 |
|
9,879 |
|
|
|
Net income attributable to ordinary shareholders |
72,509 |
|
79,741 |
|
11,044 |
|
|
|
Non-GAAP net income(1) |
141,379 |
|
157,479 |
|
21,811 |
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share(5) |
3.43 |
|
3.91 |
|
0.54 |
|
|
|
Diluted earnings per ADS(5) |
27.46 |
|
31.24 |
|
4.33 |
|
|
|
Non-GAAP diluted earnings per share(1)(5) |
6.82 |
|
7.78 |
|
1.08 |
|
|
|
Non-GAAP diluted earnings per ADS(1)(5) |
54.56 |
|
62.23 |
|
8.62 |
|
|
|
____________________ |
||
(1) |
See the sections entitled “Non-GAAP Financial Measures” and “Reconciliations of Non-GAAP Measures to the Nearest Comparable |
|
(2) |
The year-over-year increase was primarily attributable to an increase in adjusted EBITA and a decrease in share-based compensation expense, partly offset by the increase in impairment of intangible assets and goodwill. During the fiscal year, the impairment of intangible assets and goodwill was mainly in relation to Sun Art and Youku respectively. |
|
(3) |
The year-over-year increases were primarily contributed by revenue growth and improved operating efficiency that was partly offset by the increase in investments in our e-commerce businesses. |
|
(4) |
The year-over-year increase in net income was primarily attributable to the increase in income from operations, partly offset by the increase in net loss from our equity investments due to mark-to-market changes, while net income attributable to ordinary shareholders and earnings per share/ADS further take into account the relevant attributions to noncontrolling interests. We excluded share-based compensation expense, gains/losses of investments, impairment of intangible assets and goodwill, and certain other items from our non-GAAP measurements. |
|
(5) |
Each ADS represents eight ordinary shares. |
|
(6) |
The year-over-year percentages as stated are calculated based on the exact amount and there may be minor differences from the year-over-year percentages calculated based on the RMB amounts after rounding. |
|
FULL FISCAL YEAR SEGMENT RESULTS
Revenue for fiscal year 2024 was
Starting from the quarter ended June 30, 2023, we have implemented a new organizational structure which includes six major business groups and various other businesses. Our segment reporting has been updated to reflect our Reorganization and how our chief operating decision maker review information under our new structure.
The following table sets forth a breakdown of our revenue by segment for the periods indicated(1):
|
Year ended March 31, |
|
|
|||||
|
2023 |
|
2024 |
|
|
|||
|
RMB |
|
RMB |
|
US$ |
|
YoY %
|
|
|
(in millions, except percentages) |
|||||||
Taobao and Tmall Group: |
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
- Customer management |
291,541 |
|
304,009 |
|
42,105 |
|
|
|
- Direct sales and others(2) |
103,811 |
|
110,405 |
|
15,291 |
|
|
|
|
395,352 |
|
414,414 |
|
57,396 |
|
|
|
|
17,854 |
|
20,479 |
|
2,836 |
|
|
|
Total Taobao and Tmall Group |
413,206 |
|
434,893 |
|
60,232 |
|
|
|
|
|
|
|
|
|
|
|
|
Cloud Intelligence Group |
103,497 |
|
106,374 |
|
14,733 |
|
|
|
|
|
|
|
|
|
|
|
|
Alibaba International Digital Commerce Group: |
|
|
|
|
|
|
|
|
International commerce retail |
50,933 |
|
81,654 |
|
11,309 |
|
|
|
International commerce wholesale |
19,573 |
|
20,944 |
|
2,901 |
|
|
|
Total Alibaba International Digital Commerce Group |
70,506 |
|
102,598 |
|
14,210 |
|
|
|
|
|
|
|
|
|
|
|
|
Cainiao Smart Logistics Network Limited |
77,512 |
|
99,020 |
|
13,714 |
|
|
|
Local Services Group |
50,249 |
|
59,802 |
|
8,282 |
|
|
|
Digital Media and Entertainment Group |
18,444 |
|
21,145 |
|
2,929 |
|
|
|
All others(3) |
197,115 |
|
192,331 |
|
26,637 |
|
(2)% |
|
Total segment revenue |
930,529 |
|
1,016,163 |
|
140,737 |
|
|
|
Unallocated |
866 |
|
1,297 |
|
180 |
|
|
|
Inter-segment elimination |
(62,708) |
|
(76,292) |
|
(10,567) |
|
|
|
Consolidated revenue |
868,687 |
|
941,168 |
|
130,350 |
|
|
|
____________________ |
||
(1) |
During fiscal year 2024, our segment reporting has been updated to reflect our Reorganization and the reclassification of the revenue of our DingTalk business, which was previously reported under Cloud Intelligence Group, to All others, the purpose of which was to provide DingTalk with greater autonomy to promote innovation and enhance competitiveness. Our CODM started to review information under this new reporting structure and segment reporting has been updated to conform to this change as well as the way we manage and monitor segment performance. Comparative figures were reclassified to conform to this presentation. |
|
(2) |
Direct sales and others revenue under Taobao and Tmall Group primarily represents Tmall Supermarket, Tmall Global and other direct sales businesses, where revenue and cost of inventory are recorded on a gross basis. |
|
(3) |
All others include Sun Art, Freshippo, Alibaba Health, Lingxi Games, Intime, Intelligent Information Platform (which mainly consists of UCWeb and Quark businesses), Fliggy, DingTalk (previously reported under Cloud Intelligence Group segment) and other businesses. The majority of revenue within All others consist of direct sales revenue, which is recorded on a gross basis. |
|
The following table sets forth a breakdown of our adjusted EBITA by segment for the periods indicated(1):
|
Year ended March 31, |
|
|
|||||
|
2023 |
|
2024 |
|
|
|||
|
RMB |
|
RMB |
|
US$ |
|
YoY %
|
|
|
(in millions, except percentages) |
|||||||
Taobao and Tmall Group |
189,140 |
194,827 |
26,983 |
|
||||
Cloud Intelligence Group |
4,101 |
6,121 |
848 |
|
||||
Alibaba International Digital Commerce Group |
(4,944) |
(8,035) |
(1,113) |
(63)% |
||||
Cainiao Smart Logistics Network Limited |
(391) |
1,402 |
194 |
N/A |
||||
Local Services Group |
(13,148) |
(9,812) |
(1,359) |
|
||||
Digital Media and Entertainment Group |
(2,789) |
(1,539) |
(213) |
|
||||
All others(2) |
(9,388) |
(9,160) |
(1,268) |
|
||||
Total segment adjusted EBITA |
162,581 |
173,804 |
24,072 |
|
||||
Unallocated (3) |
(12,143) |
(6,190) |
(857) |
|
||||
Inter-segment elimination |
(2,527) |
(2,586) |
(359) |
|
||||
Consolidated adjusted EBITA |
147,911 |
165,028 |
22,856 |
|
||||
Less: Share-based compensation expense |
(30,831) |
(18,546) |
(2,569) |
|
||||
Less: Amortization and impairment of intangible assets |
(13,504) |
(21,592) |
(2,990) |
|
||||
Less: Impairment of goodwill, and others |
(3,225) |
(11,540) |
(1,598) |
|
||||
Income from operations |
100,351 |
113,350 |
15,699 |
|
||||
____________________ |
||
(1) |
During fiscal year 2024, our segment reporting has been updated to reflect our Reorganization and the reclassification of the results of our DingTalk business, which was previously reported under Cloud Intelligence Group, to All others, the purpose of which was to provide DingTalk with greater autonomy to promote innovation and enhance competitiveness. Our CODM started to review information under this new reporting structure and segment reporting has been updated to conform to this change as well as the way we manage and monitor segment performance. Comparative figures were reclassified to conform to this presentation. |
|
(2) |
All others include Sun Art, Freshippo, Alibaba Health, Lingxi Games, Intime, Intelligent Information Platform (which mainly consists of UCWeb and Quark businesses), Fliggy, DingTalk (previously reported under Cloud Intelligence Group segment) and other businesses. |
|
(3) |
Unallocated primarily relates to certain costs incurred by corporate functions and other miscellaneous items that are not allocated to individual segments. |
|
(4) |
For a more intuitive presentation, widening of loss in YoY% is shown in terms of negative growth rate, and narrowing of loss in YoY% is shown in terms of positive growth rate. |
|
Taobao and Tmall Group
(i) Segment revenue
-
China Commerce Retail Business
Revenue from ourChina commerce retail business in fiscal year 2024 wasRMB414,414 million (US ), an increase of$57,396 million 5% compared toRMB395,352 million in fiscal year 2023.
Customer management revenue increased by4% year-over-year, primarily due to healthy growth in online GMV, excluding unpaid orders.
Direct sales and others revenue underChina commerce retail business in fiscal year 2024 wasRMB110,405 million (US ), an increase of$15,291 million 6% compared toRMB103,811 million in fiscal year 2023, primarily due to strong sales driven by consumer electronics and appliances.
-
China Commerce Wholesale Business
Revenue from ourChina commerce wholesale business in fiscal year 2024 wasRMB20,479 million (US ), an increase of$2,836 million 15% compared toRMB17,854 million in fiscal year 2023, primarily due to an increase in revenue from value-added services provided to paying members.
(ii) Segment adjusted EBITA
Taobao and Tmall Group adjusted EBITA increased by
Cloud Intelligence Group
(i) Segment revenue
Revenue from Cloud Intelligence Group was
(ii) Segment adjusted EBITA
Cloud Intelligence Group adjusted EBITA increased by
Alibaba International Digital Commerce Group
(i) Segment revenue
-
International Commerce Retail Business
Revenue from our International commerce retail business in fiscal year 2024 wasRMB81,654 million (US ), an increase of$11,309 million 60% compared toRMB50,933 million in fiscal year 2023. The increase in revenue was primarily due to solid combined order growth of AIDC’s retail businesses, revenue contribution from AliExpress’ Choice as well as improvements in monetization. As certain of our international businesses generate revenue in local currencies while our reporting currency is Renminbi, AIDC’s revenue is affected by exchange rate fluctuations.
-
International Commerce Wholesale Business
Revenue from our International commerce wholesale business in fiscal year 2024 wasRMB20,944 million (US ), an increase of$2,901 million 7% compared toRMB19,573 million in fiscal year 2023. The increase was primarily due to an increase in revenue generated by cross-border related value-added services.
(ii) Segment adjusted EBITA
Alibaba International Digital Commerce Group adjusted EBITA was a loss of
Cainiao Smart Logistics Network Limited
(i) Segment revenue
Revenue from Cainiao Smart Logistics Network Limited was
(ii) Segment adjusted EBITA
Cainiao Smart Logistics Network Limited adjusted EBITA was a profit of
Local Services Group
(i) Segment revenue
Revenue from Local Services Group was
(ii) Segment adjusted EBITA
Local Services Group adjusted EBITA was a loss of
Digital Media and Entertainment Group
(i) Segment revenue
Revenue from Digital Media and Entertainment Group was
(ii) Segment adjusted EBITA
Digital Media and Entertainment Group adjusted EBITA in fiscal year 2024 was a loss of
All Others
(i) Segment revenue
Revenue from All others segment was
(ii) Segment adjusted EBITA
Adjusted EBITA from All others segment in fiscal year 2024 was a loss of
FULL FISCAL YEAR OTHER FINANCIAL RESULTS
Costs and Expenses
The following tables set forth a breakdown of our costs and expenses, share-based compensation expense, and costs and expenses excluding share-based compensation expense by function for the periods indicated:
|
Year ended March 31, |
|
% of
|
|||||||||
|
2023 |
|
2024 |
|
||||||||
|
RMB |
|
% of
|
|
RMB |
|
US$ |
|
% of
|
|
||
|
(in millions, except percentages) |
|||||||||||
Costs and expenses: |
|
|
|
|
|
|
||||||
Cost of revenue |
549,695 |
|
|
|
586,323 |
|
81,205 |
|
|
|
(1)% |
|
Product development expenses |
56,744 |
|
|
|
52,256 |
|
7,237 |
|
|
|
(1)% |
|
Sales and marketing expenses |
103,496 |
|
|
|
115,141 |
|
15,947 |
|
|
|
|
|
General and administrative expenses |
42,183 |
|
|
|
41,985 |
|
5,815 |
|
|
|
|
|
Amortization and impairment of intangible assets |
13,504 |
|
|
|
21,592 |
|
2,990 |
|
|
|
|
|
Impairment of goodwill |
2,714 |
|
|
|
10,521 |
|
1,457 |
|
|
|
|
|
Total costs and expenses |
768,336 |
|
|
|
827,818 |
|
114,651 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share-based compensation expense: |
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenue |
5,710 |
|
|
|
3,012 |
|
417 |
|
|
|
(1)% |
|
Product development expenses |
13,514 |
|
|
|
7,623 |
|
1,056 |
|
|
|
(1)% |
|
Sales and marketing expenses |
3,710 |
|
|
|
2,265 |
|
314 |
|
|
|
|
|
General and administrative expenses |
7,897 |
|
|
|
5,646 |
|
782 |
|
|
|
|
|
Total share-based compensation expense |
30,831 |
|
|
|
18,546 |
|
2,569 |
|
|
|
(2)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Costs and expenses excluding share-based compensation expense: |
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenue |
543,985 |
|
|
|
583,311 |
|
80,788 |
|
|
|
|
|
Product development expenses |
43,230 |
|
|
|
44,633 |
|
6,181 |
|
|
|
|
|
Sales and marketing expenses |
99,786 |
|
|
|
112,876 |
|
15,633 |
|
|
|
|
|
General and administrative expenses |
34,286 |
|
|
|
36,339 |
|
5,033 |
|
|
|
|
|
Amortization and impairment of intangible assets |
13,504 |
|
|
|
21,592 |
|
2,990 |
|
|
|
|
|
Impairment of goodwill |
2,714 |
|
|
|
10,521 |
|
1,457 |
|
|
|
|
|
Total costs and expenses excluding share-based compensation expense |
737,505 |
|
|
|
809,272 |
|
112,082 |
|
|
|
|
|
Cost of revenue – Cost of revenue in fiscal year 2024 was
Product development expenses – Product development expenses in fiscal year 2024 were
Sales and marketing expenses – Sales and marketing expenses in fiscal year 2024 were
General and administrative expenses – General and administrative expenses in fiscal year 2024 were
Share-based compensation expense – Total share-based compensation expense included in the cost and expense items above in fiscal year 2024 was
The following table sets forth our analysis of share-based compensation expense for the periods indicated by type of share-based awards:
|
Year ended March 31, |
|
|
|||||||||
|
2023 |
|
2024 |
|
|
|||||||
|
RMB |
|
% of Revenue |
|
RMB |
|
US$ |
|
% of Revenue |
|
YoY %
|
|
|
(in millions, except percentages) |
|||||||||||
By type of awards: |
|
|
|
|
|
|
|
|
|
|
|
|
Alibaba Group share-based awards(1) |
24,900 |
|
|
|
17,974 |
|
2,489 |
|
|
|
(28)% |
|
Ant Group share-based awards(2) |
668 |
|
|
|
(6,691) |
|
(927) |
|
(1)% |
|
N/A |
|
Others(3) |
5,263 |
|
|
|
7,263 |
|
1,007 |
|
|
|
|
|
Total share-based compensation expense |
30,831 |
|
|
|
18,546 |
|
2,569 |
|
|
|
(40)% |
|
____________________ |
||
(1) |
This represents Alibaba Group share-based awards granted to our employees. |
|
(2) |
This represents Ant Group share-based awards granted to our employees, which is subject to mark-to-market accounting treatment. |
|
(3) |
This represents share-based awards of our subsidiaries. |
|
Share-based compensation expense related to Alibaba Group share-based awards decreased in fiscal year 2024 compared to fiscal year 2023. This decrease was primarily due to the general decrease in the average fair market value of the awards granted.
Share-based compensation expense related to Ant Group reflected a reversal of share-based compensation expense of
We expect that our share-based compensation expense will continue to be affected by changes in the fair value of the underlying awards and the quantity of awards we grant in the future.
Amortization and impairment of intangible assets – Amortization and impairment of intangible assets in fiscal year 2024 was
Impairment of goodwill – Impairment of goodwill in fiscal year 2024 was
Income from operations and operating margin
Income from operations in fiscal year 2024 was
Adjusted EBITDA and Adjusted EBITA
Adjusted EBITDA increased
Adjusted EBITA by segment
Adjusted EBITA by segment as well as a reconciliation of income from operations to adjusted EBITA are set forth in the section entitled “Full Fiscal Year Segment Results” above.
Interest and investment income, net
Interest and investment income, net in fiscal year 2024 was a loss of
The above-mentioned gains and losses were excluded from our non-GAAP net income.
Other income, net
Other income, net in fiscal year 2024 was
Income tax expenses
Income tax expenses in fiscal year 2024 were
Share of results of equity method investees
Share of results of equity method investees in fiscal year 2024 was a loss of
|
Year ended March 31, |
|||||
|
2023 |
|
2024 |
|||
|
RMB |
|
RMB |
|
US$ |
|
|
(in millions) |
|||||
Share of profit (loss) of equity method investees |
|
|
|
|||
- Ant Group |
10,294 |
|
7,860 |
|
1,088 |
|
- Others |
(5,481) |
|
(2,154) |
|
(298) |
|
Impairment loss |
(8,310) |
|
(9,895) |
|
(1,371) |
|
Others(1) |
(4,566) |
|
(3,546) |
|
(491) |
|
Total |
(8,063) |
|
(7,735) |
|
(1,072) |
|
____________________ |
||
(1) |
Others mainly include basis differences arising from equity method investees, share-based compensation expense related to share-based awards granted to employees of our equity method investees, as well as gain or loss arising from the deemed disposal of the equity method investees. |
|
We record our share of results of all equity method investees one quarter in arrears. The year-over-year decrease in share of profit of Ant Group reflected a
During the quarter ended September 30, 2023, Ant Group repurchased approximately
For
Net income and Non-GAAP net income
Our net income in fiscal year 2024 was
Excluding share-based compensation expense, revaluation and disposal gains/losses of investments, impairment of goodwill and investments, amortization and impairment of intangible assets and certain other items, non-GAAP net income in fiscal year 2024 was
Net income attributable to ordinary shareholders
Net income attributable to ordinary shareholders in fiscal year 2024, which takes into account the relevant attributions to noncontrolling interests, was
Diluted earnings per ADS/share and non-GAAP diluted earnings per ADS/share
Diluted earnings per ADS in fiscal year 2024 was
Diluted earnings per share in fiscal year 2024 was
A reconciliation of diluted earnings per ADS/share to non-GAAP diluted earnings per ADS/share is included at the end of this results announcement. Each ADS represents eight ordinary shares.
Cash and cash equivalents, short-term investments and other treasury investments
As of March 31, 2024, cash and cash equivalents, short-term investments and other treasury investments included in equity securities and other investments on the consolidated balance sheets, were
Net cash provided by operating activities and free cash flow
Net cash provided by operating activities in fiscal year 2024 was
Net cash used in investing activities
During fiscal year 2024, net cash used in investing activities of
Net cash used in financing activities
During fiscal year 2024, net cash used in financing activities of
WEBCAST AND CONFERENCE CALL INFORMATION
Alibaba Group’s management will hold a conference call to discuss the financial results at 7:30 a.m.
All participants must pre-register to join this conference call using the Participant Registration link below:
English: https://s1.c-conf.com/diamondpass/10038090-62edot.html
Chinese: https://s1.c-conf.com/diamondpass/10038092-il07se.html
Upon registration, each participant will receive details for the conference call, including dial-in numbers, conference call passcode and a unique access PIN. To join the conference, please dial the number provided, enter the passcode followed by your PIN, and you will join the conference.
A live webcast of the earnings conference call can be accessed at https://www.alibabagroup.com/en-US/ir-financial-reports-quarterly-results. An archived webcast will be available through the same link following the call. A replay of the conference call will be available for one week from the date of the conference (Dial-in number: +1 855 883 1031; English conference PIN 10038090; Chinese conference PIN 10038092).
Please visit Alibaba Group’s Investor Relations website at https://www.alibabagroup.com/en-US/investor-relations on May 14, 2024 to view the earnings release and accompanying slides prior to the conference call.
ABOUT ALIBABA GROUP
Alibaba Group’s mission is to make it easy to do business anywhere. The company aims to build the future infrastructure of commerce. It envisions that its customers will meet, work and live at Alibaba, and that it will be a good company that lasts for 102 years.
EXCHANGE RATE INFORMATION
This results announcement contains translations of certain Renminbi (“RMB”) amounts into
SAFE HARBOR STATEMENTS
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the
NON-GAAP FINANCIAL MEASURES
To supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, we use the following non-GAAP financial measures: for our consolidated results, adjusted EBITDA (including adjusted EBITDA margin), adjusted EBITA (including adjusted EBITA margin), non-GAAP net income, non-GAAP diluted earnings per share/ADS and free cash flow. For more information on these non-GAAP financial measures, please refer to the table captioned “Reconciliations of Non-GAAP Measures to the Nearest Comparable
We believe that adjusted EBITDA, adjusted EBITA, non-GAAP net income and non-GAAP diluted earnings per share/ADS help identify underlying trends in our business that could otherwise be distorted by the effect of certain income or expenses that we include in income from operations, net income and diluted earnings per share/ADS. We believe that these non-GAAP measures provide useful information about our core operating results, enhance the overall understanding of our past performance and future prospects and allow for greater visibility with respect to key metrics used by our management in its financial and operational decision-making. We present three different income measures, namely adjusted EBITDA, adjusted EBITA and non-GAAP net income in order to provide more information and greater transparency to investors about our operating results.
We consider free cash flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by our business that can be used for strategic corporate transactions, including investing in our new business initiatives, making strategic investments and acquisitions and strengthening our balance sheet.
Adjusted EBITDA, adjusted EBITA, non-GAAP net income, non-GAAP diluted earnings per share/ADS and free cash flow should not be considered in isolation or construed as an alternative to income from operations, net income, diluted earnings per share/ADS, cash flows or any other measure of performance or as an indicator of our operating performance. These non-GAAP financial measures presented here do not have standardized meanings prescribed by
Adjusted EBITDA represents net income before interest and investment income, net, interest expense, other income, net, income tax expenses, share of results of equity method investees, share-based compensation expense, amortization and impairment of intangible assets, depreciation and impairment of property and equipment, and operating lease cost relating to land use rights, impairment of goodwill, and others (including provision in relation to matters outside the ordinary course of business, as well as equity-settled donation expense), which we do not believe are reflective of our core operating performance during the periods presented.
Adjusted EBITA represents net income before interest and investment income, net, interest expense, other income, net, income tax expenses, share of results of equity method investees, share-based compensation expense, amortization and impairment of intangible assets, impairment of goodwill, and others (including provision in relation to matters outside the ordinary course of business, as well as equity-settled donation expense), which we do not believe are reflective of our core operating performance during the periods presented.
Non-GAAP net income represents net income before share-based compensation expense, amortization and impairment of intangible assets, gain or loss on deemed disposals/disposals/revaluation of investments, impairment of goodwill and investments, and others (including provision in relation to matters outside the ordinary course of business, as well as equity-settled donation expense), and adjustments for the tax effects.
Non-GAAP diluted earnings per share represents non-GAAP net income attributable to ordinary shareholders divided by the weighted average number of outstanding ordinary shares for computing non-GAAP diluted earnings per share on a diluted basis. Non-GAAP diluted earnings per ADS represents non-GAAP diluted earnings per share after adjusting for the ordinary share-to-ADS ratio.
Free cash flow represents net cash provided by operating activities as presented in our consolidated cash flow statement less purchases of property and equipment (excluding acquisition of land use rights and construction in progress relating to office campuses) and intangible assets (excluding those acquired through acquisitions), as well as adjustments to exclude from net cash provided by operating activities the buyer protection fund deposits from merchants on our marketplaces. We deduct certain items of cash flows from investing activities in order to provide greater transparency into cash flow from our revenue-generating business operations. We exclude “acquisition of land use rights and construction in progress relating to office campuses” because the office campuses are used by us for corporate and administrative purposes and are not directly related to our revenue-generating business operations. We also exclude buyer protection fund deposits from merchants on our marketplaces because these deposits are restricted for the purpose of compensating buyers for claims against merchants.
The table captioned “Reconciliations of Non-GAAP Measures to the Nearest Comparable
ALIBABA GROUP HOLDING LIMITED |
||||||||||||
UNAUDITED CONSOLIDATED INCOME STATEMENTS |
||||||||||||
|
Three months ended March 31, |
|
Year ended March 31, |
|||||||||
|
2023 |
|
2024 |
|
2023 |
|
2024 |
|||||
|
RMB |
|
RMB |
|
US$ |
|
RMB |
|
RMB |
|
US$ |
|
|
(in millions, except per share data) |
|
(in millions, except per share data) |
|||||||||
Revenue |
208,200 |
221,874 |
30,729 |
868,687 |
941,168 |
130,350 |
||||||
Cost of revenue |
(138,823) |
(148,098) |
(20,511) |
(549,695) |
(586,323) |
(81,205) |
||||||
Product development expenses |
(13,880) |
(14,085) |
(1,951) |
(56,744) |
(52,256) |
(7,237) |
||||||
Sales and marketing expenses |
(24,931) |
(28,826) |
(3,992) |
(103,496) |
(115,141) |
(15,947) |
||||||
General and administrative expenses |
(12,832) |
(14,019) |
(1,942) |
(42,183) |
(41,985) |
(5,815) |
||||||
Amortization and impairment of intangible assets |
(2,494) |
(2,081) |
(288) |
(13,504) |
(21,592) |
(2,990) |
||||||
Impairment of goodwill |
— |
— |
— |
(2,714) |
(10,521) |
(1,457) |
||||||
|
|
|
|
|
|
|
||||||
Income from operations |
15,240 |
14,765 |
2,045 |
100,351 |
113,350 |
15,699 |
||||||
Interest and investment income, net |
10,496 |
(5,702) |
(790) |
(11,071) |
(9,964) |
(1,380) |
||||||
Interest expense |
(1,736) |
(2,177) |
(301) |
(5,918) |
(7,947) |
(1,101) |
||||||
Other income, net |
1,308 |
2,963 |
410 |
5,823 |
6,157 |
853 |
||||||
|
|
|
|
|
|
|
||||||
Income before income tax and share of results of equity method investees |
25,308 |
9,849 |
1,364 |
89,185 |
101,596 |
14,071 |
||||||
Income tax expenses |
(3,758) |
(5,722) |
(793) |
(15,549) |
(22,529) |
(3,120) |
||||||
Share of results of equity method investees |
446 |
(3,208) |
(444) |
(8,063) |
(7,735) |
(1,072) |
||||||
|
|
|
|
|
|
|
||||||
Net income |
21,996 |
919 |
127 |
65,573 |
71,332 |
9,879 |
||||||
Net loss attributable to noncontrolling interests |
1,648 |
2,446 |
339 |
7,210 |
8,677 |
1,202 |
||||||
|
|
|
|
|
|
|
||||||
Net income attributable to Alibaba Group Holding Limited |
23,644 |
3,365 |
466 |
72,783 |
80,009 |
11,081 |
||||||
|
|
|
|
|
|
|
||||||
Accretion of mezzanine equity |
(128) |
(95) |
(13) |
(274) |
(268) |
(37) |
||||||
|
|
|
|
|
|
|
||||||
Net income attributable to ordinary shareholders |
23,516 |
3,270 |
453 |
72,509 |
79,741 |
11,044 |
||||||
|
|
|
|
|
|
|
||||||
Earnings per share attributable to ordinary shareholders(1) |
|
|
|
|
|
|
||||||
Basic |
1.14 |
0.17 |
0.02 |
3.46 |
3.95 |
0.55 |
||||||
Diluted |
1.12 |
0.16 |
0.02 |
3.43 |
3.91 |
0.54 |
||||||
|
|
|
|
|
|
|
||||||
Earnings per ADS attributable to ordinary shareholders(1) |
|
|
|
|
|
|
||||||
Basic |
9.11 |
1.32 |
0.18 |
27.65 |
31.61 |
4.38 |
||||||
Diluted |
9.00 |
1.30 |
0.18 |
27.46 |
31.24 |
4.33 |
||||||
|
|
|
|
|
|
|
||||||
Weighted average number of shares used in calculating earnings per ordinary share (million shares)(1) |
|
|
|
|
|
|
||||||
Basic |
20,651 |
19,763 |
|
20,980 |
20,182 |
|
||||||
Diluted |
20,882 |
19,980 |
|
21,114 |
20,359 |
|
||||||
____________________ |
||
(1) |
Each ADS represents eight ordinary shares. |
|
ALIBABA GROUP HOLDING LIMITED |
||||||
UNAUDITED CONSOLIDATED BALANCE SHEETS |
||||||
|
As of March 31, |
|
As of March 31, |
|||
|
2023 |
|
2024 |
|||
|
RMB |
|
RMB |
|
US$ |
|
|
(in millions) |
|||||
Assets |
|
|
|
|||
Current assets: |
|
|
|
|||
Cash and cash equivalents |
193,086 |
|
248,125 |
|
34,365 |
|
Short-term investments |
326,492 |
|
262,955 |
|
36,419 |
|
Restricted cash and escrow receivables |
36,424 |
|
38,299 |
|
5,304 |
|
Equity securities and other investments |
4,892 |
|
59,949 |
|
8,303 |
|
Prepayments, receivables and other assets |
137,072 |
|
143,536 |
|
19,879 |
|
Total current assets |
697,966 |
|
752,864 |
|
104,270 |
|
|
||||||
Equity securities and other investments |
245,737 |
|
220,942 |
|
30,600 |
|
Prepayments, receivables and other assets |
110,926 |
|
116,102 |
|
16,080 |
|
Investment in equity method investees |
207,380 |
|
203,131 |
|
28,133 |
|
Property and equipment, net |
176,031 |
|
185,161 |
|
25,645 |
|
Intangible assets, net |
46,913 |
|
26,950 |
|
3,733 |
|
Goodwill |
268,091 |
|
259,679 |
|
35,965 |
|
Total assets |
1,753,044 |
|
1,764,829 |
|
244,426 |
|
|
|
|
|
|
|
|
Liabilities, Mezzanine Equity and Shareholders’ Equity |
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
Current bank borrowings |
7,466 |
|
12,749 |
|
1,766 |
|
Current unsecured senior notes |
4,800 |
|
16,252 |
|
2,251 |
|
Income tax payable |
12,543 |
|
9,068 |
|
1,256 |
|
Accrued expenses, accounts payable and other liabilities |
275,950 |
|
297,883 |
|
41,256 |
|
Merchant deposits |
13,297 |
|
12,737 |
|
1,764 |
|
Deferred revenue and customer advances |
71,295 |
|
72,818 |
|
10,085 |
|
Total current liabilities |
385,351 |
|
421,507 |
|
58,378 |
|
ALIBABA GROUP HOLDING LIMITED |
||||||
UNAUDITED CONSOLIDATED BALANCE SHEETS (CONTINUED) |
||||||
|
As of March 31, |
|
As of March 31, |
|||
|
2023 |
|
2024 |
|||
|
RMB |
|
RMB |
|
US$ |
|
|
(in millions) |
|||||
|
|
|
|
|||
Deferred revenue |
3,560 |
|
4,069 |
|
564 |
|
Deferred tax liabilities |
61,745 |
|
53,012 |
|
7,342 |
|
Non-current bank borrowings |
52,023 |
|
55,686 |
|
7,712 |
|
Non-current unsecured senior notes |
97,065 |
|
86,089 |
|
11,923 |
|
Other liabilities |
30,379 |
|
31,867 |
|
4,414 |
|
Total liabilities |
630,123 |
|
652,230 |
|
90,333 |
|
|
|
|
|
|
|
|
Commitments and contingencies |
|
|
|
|
|
|
|
|
|
|
|
||
Mezzanine equity |
9,858 |
|
10,728 |
|
1,486 |
|
|
|
|
|
|
||
Shareholders’ equity: |
|
|
|
|
|
|
Ordinary shares |
1 |
|
1 |
|
— |
|
Additional paid-in capital |
416,880 |
|
397,999 |
|
55,122 |
|
Treasury shares at cost |
(28,763) |
|
(27,684) |
|
(3,834) |
|
Subscription receivables |
(49) |
|
— |
|
— |
|
Statutory reserves |
12,977 |
|
14,733 |
|
2,040 |
|
Accumulated other comprehensive (loss) income |
(10,417) |
|
3,598 |
|
498 |
|
Retained earnings |
599,028 |
|
597,897 |
|
82,809 |
|
|
|
|
|
|
|
|
Total shareholders’ equity |
989,657 |
|
986,544 |
|
136,635 |
|
Noncontrolling interests |
123,406 |
|
115,327 |
|
15,972 |
|
|
|
|
|
|
|
|
Total equity |
1,113,063 |
|
1,101,871 |
|
152,607 |
|
|
|
|
|
|
||
Total liabilities, mezzanine equity and equity |
1,753,044 |
|
1,764,829 |
|
244,426 |
|
ALIBABA GROUP HOLDING LIMITED |
||||||||||||
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS |
||||||||||||
|
Three months ended March 31, |
|
Year ended March 31, |
|||||||||
|
2023 |
|
2024 |
|
2023 |
|
2024 |
|||||
|
RMB |
|
RMB |
|
US$ |
|
RMB |
|
RMB |
|
US$ |
|
|
(in millions) |
|
(in millions) |
|||||||||
|
|
|
|
|
|
|
||||||
Net cash provided by operating activities |
31,401 |
23,340 |
3,233 |
199,752 |
182,593 |
25,289 |
||||||
Net cash (used in) provided by investing activities |
(26,808) |
20,267 |
2,807 |
(135,506) |
(21,824) |
(3,023) |
||||||
Net cash used in financing activities |
(9,319) |
(54,012) |
(7,481) |
(65,619) |
(108,244) |
(14,992) |
||||||
Effect of exchange rate changes on cash and cash equivalents, restricted cash and escrow receivables |
(1,201) |
1,900 |
263 |
3,530 |
4,389 |
608 |
||||||
|
|
|
|
|
|
|
||||||
(Decrease) Increase in cash and cash equivalents, restricted cash and escrow receivables |
(5,927) |
(8,505) |
(1,178) |
2,157 |
56,914 |
7,882 |
||||||
Cash and cash equivalents, restricted cash and escrow receivables at beginning of period |
235,437 |
294,929 |
40,847 |
227,353 |
229,510 |
31,787 |
||||||
|
|
|
|
|
|
|
||||||
Cash and cash equivalents, restricted cash and escrow receivables at end of period |
229,510 |
286,424 |
39,669 |
229,510 |
286,424 |
39,669 |
||||||
ALIBABA GROUP HOLDING LIMITED |
||||||||||||
RECONCILIATIONS OF NON-GAAP MEASURES TO THE NEAREST COMPARABLE |
||||||||||||
The table below sets forth a reconciliation of our net income to adjusted EBITA and adjusted EBITDA for the periods indicated: |
||||||||||||
|
|
|
||||||||||
|
Three months ended March 31, |
|
Year ended March 31, |
|||||||||
|
2023 |
|
2024 |
|
2023 |
|
2024 |
|||||
|
RMB |
|
RMB |
|
US$ |
|
RMB |
|
RMB |
|
US$ |
|
|
(in millions) |
|
(in millions) |
|||||||||
Net income |
21,996 |
|
919 |
|
127 |
|
65,573 |
|
71,332 |
|
9,879 |
|
Adjustments to reconcile net income to adjusted EBITA and adjusted EBITDA: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest and investment income, net |
(10,496) |
|
5,702 |
|
790 |
|
11,071 |
|
9,964 |
|
1,380 |
|
Interest expense |
1,736 |
|
2,177 |
|
301 |
|
5,918 |
|
7,947 |
|
1,101 |
|
Other income, net |
(1,308) |
|
(2,963) |
|
(410) |
|
(5,823) |
|
(6,157) |
|
(853) |
|
Income tax expenses |
3,758 |
|
5,722 |
|
793 |
|
15,549 |
|
22,529 |
|
3,120 |
|
Share of results of equity method investees |
(446) |
|
3,208 |
|
444 |
|
8,063 |
|
7,735 |
|
1,072 |
|
Income from operations |
15,240 |
|
14,765 |
|
2,045 |
|
100,351 |
|
113,350 |
|
15,699 |
|
Share-based compensation expense |
7,546 |
|
7,123 |
|
987 |
|
30,831 |
|
18,546 |
|
2,569 |
|
Amortization and impairment of intangible assets |
2,494 |
|
2,081 |
|
288 |
|
13,504 |
|
21,592 |
|
2,990 |
|
Impairment of goodwill, and others |
— |
|
— |
|
— |
|
3,225 |
|
11,540 |
|
1,598 |
|
Adjusted EBITA |
25,280 |
|
23,969 |
|
3,320 |
|
147,911 |
|
165,028 |
|
22,856 |
|
Depreciation and impairment of property and equipment, and operating lease cost relating to land use rights |
6,843 |
|
6,838 |
|
947 |
|
27,799 |
|
26,640 |
|
3,690 |
|
Adjusted EBITDA |
32,123 |
|
30,807 |
|
4,267 |
|
175,710 |
|
191,668 |
|
26,546 |
|
ALIBABA GROUP HOLDING LIMITED |
||||||||||||
RECONCILIATIONS OF NON-GAAP MEASURES TO THE NEAREST COMPARABLE |
||||||||||||
The table below sets forth a reconciliation of our net income to non-GAAP net income for the periods indicated: |
||||||||||||
|
||||||||||||
|
Three months ended March 31, |
|
Year ended March 31, |
|||||||||
|
2023 |
|
2024 |
|
2023 |
|
2024 |
|||||
|
RMB |
|
RMB |
|
US$ |
|
RMB |
|
RMB |
|
US$ |
|
|
(in millions) |
|
(in millions) |
|||||||||
|
|
|
|
|
|
|
||||||
Net income |
21,996 |
919 |
127 |
65,573 |
71,332 |
9,879 |
||||||
Adjustments to reconcile net income to non-GAAP net income: |
|
|
|
|
|
|
||||||
Share-based compensation expense |
7,546 |
7,123 |
987 |
30,831 |
18,546 |
2,569 |
||||||
Amortization and impairment of intangible assets |
2,494 |
2,081 |
288 |
13,504 |
21,592 |
2,990 |
||||||
(Gain) Loss on deemed disposals/disposals/ revaluation of investments |
(11,804) |
4,994 |
692 |
13,857 |
21,659 |
3,000 |
||||||
Impairment of goodwill and investments, and others |
7,290 |
10,657 |
1,476 |
24,862 |
33,679 |
4,664 |
||||||
Tax effects (1) |
(147) |
(1,356) |
(188) |
(7,248) |
(9,329) |
(1,291) |
||||||
|
|
|
|
|
|
|
||||||
Non-GAAP net income |
27,375 |
24,418 |
3,382 |
141,379 |
157,479 |
21,811 |
||||||
____________________ |
||
(1) |
Tax effects primarily comprise tax effects relating to share-based compensation expense, amortization and impairment of intangible assets and certain gains and losses from investments, and others. |
|
ALIBABA GROUP HOLDING LIMITED |
||||||||||||
RECONCILIATIONS OF NON-GAAP MEASURES TO THE NEAREST COMPARABLE |
||||||||||||
The table below sets forth a reconciliation of our diluted earnings per share/ADS to non-GAAP diluted earnings per share/ADS for the periods indicated: |
||||||||||||
|
||||||||||||
|
Three months ended March 31, |
|
Year ended March 31, |
|||||||||
|
2023 |
|
2024 |
|
2023 |
|
2024 |
|||||
|
RMB |
|
RMB |
|
US$ |
|
RMB |
|
RMB |
|
US$ |
|
|
(in millions, except per share data) |
|
(in millions, except per share data) |
|||||||||
|
|
|
|
|
|
|
||||||
Net income attributable to ordinary shareholders – basic |
23,516 |
|
3,270 |
|
453 |
|
72,509 |
|
79,741 |
|
11,044 |
|
Dilution effect on earnings arising from share-based awards operated by equity method investees and subsidiaries |
(29) |
|
(15) |
|
(2) |
|
(38) |
|
(228) |
|
(32) |
|
Net income attributable to ordinary shareholders – diluted |
23,487 |
|
3,255 |
|
451 |
|
72,471 |
|
79,513 |
|
11,012 |
|
Non-GAAP adjustments to net income attributable to ordinary shareholders(1) |
4,469 |
|
22,073 |
|
3,057 |
|
71,520 |
|
78,846 |
|
10,920 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP net income attributable to ordinary shareholders for computing non-GAAP diluted earnings per share/ADS |
27,956 |
|
25,328 |
|
3,508 |
|
143,991 |
|
158,359 |
|
21,932 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average number of shares on a diluted basis for computing non-GAAP diluted earnings per share/ADS (million shares)(2) |
20,882 |
|
19,980 |
|
|
|
21,114 |
|
20,359 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share(2)(3) |
1.12 |
|
0.16 |
|
0.02 |
|
3.43 |
|
3.91 |
|
0.54 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP diluted earnings per share(2)(4) |
1.34 |
|
1.27 |
|
0.18 |
|
6.82 |
|
7.78 |
|
1.08 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per ADS(2)(3) |
9.00 |
|
1.30 |
|
0.18 |
|
27.46 |
|
31.24 |
|
4.33 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP diluted earnings per ADS(2)(4) |
10.71 |
|
10.14 |
|
1.40 |
|
54.56 |
|
62.23 |
|
8.62 |
|
____________________ |
||
(1) |
See the table above for the reconciliation of net income to non-GAAP net income for more information of these non-GAAP adjustments. |
|
(2) |
Each ADS represents eight ordinary shares. |
|
(3) |
Diluted earnings per share is derived from dividing net income attributable to ordinary shareholders by the weighted average number of outstanding ordinary shares, on a diluted basis. Diluted earnings per ADS is derived from the diluted earnings per share after adjusting for the ordinary share-to-ADS ratio. |
|
(4) |
Non-GAAP diluted earnings per share is derived from dividing non-GAAP net income attributable to ordinary shareholders by the weighted average number of outstanding ordinary shares for computing non-GAAP diluted earnings per share, on a diluted basis. Non-GAAP diluted earnings per ADS is derived from the non-GAAP diluted earnings per share after adjusting for the ordinary share-to-ADS ratio. |
|
ALIBABA GROUP HOLDING LIMITED |
||||||||||||
RECONCILIATIONS OF NON-GAAP MEASURES TO THE NEAREST COMPARABLE |
||||||||||||
|
||||||||||||
The table below sets forth a reconciliation of net cash provided by operating activities to free cash flow for the periods indicated: |
||||||||||||
|
|
|
|
|
|
|
||||||
|
Three months ended March 31, |
|
Year ended March 31, |
|||||||||
|
2023 |
|
2024 |
|
2023 |
|
2024 |
|||||
|
RMB |
|
RMB |
|
US$ |
|
RMB |
|
RMB |
|
US$ |
|
|
(in millions) |
|
(in millions) |
|||||||||
Net cash provided by operating activities |
31,401 |
23,340 |
3,233 |
199,752 |
182,593 |
25,289 |
||||||
Less: Purchase of property and equipment (excluding land use rights and construction in progress relating to office campuses) |
(2,513) |
(10,174) |
(1,410) |
(30,373) |
(27,579) |
(3,820) |
||||||
Less: Purchase of intangible assets (excluding those acquired through acquisitions) |
— |
— |
— |
(22) |
(842) |
(116) |
||||||
Less: Changes in the buyer protection fund deposits |
3,379 |
2,195 |
304 |
2,306 |
2,038 |
282 |
||||||
|
|
|
|
|
|
|
||||||
Free cash flow |
32,267 |
15,361 |
2,127 |
171,663 |
156,210 |
21,635 |
||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20240513641121/en/
Investor Relations Contact
Rob Lin
Head of Investor Relations
Alibaba Group Holding Limited
investor@alibaba-inc.com
Media Contacts
Cathy Yan
cathy.yan@alibaba-inc.com
Ivy Ke
ivy.ke@alibaba-inc.com
Source: Alibaba Group Holding Limited
FAQ
What was Alibaba's revenue for the March quarter 2024?
How much did Alibaba's net income decrease in Q1 2024?
What was Alibaba's fiscal year 2024 revenue growth?
How much did Alibaba repurchase in shares during fiscal year 2024?
What was the approved dividend for Alibaba in fiscal year 2024?
How did Alibaba's free cash flow perform in Q1 2024?
What sectors contributed to Alibaba's revenue growth?
What was the impact of investments on Alibaba's Q1 2024 results?
