BABA(HK:09988)2025-05-15 09:59Financial Performance - For the fiscal year ending March 31, 2025, Alibaba Group reported total revenue of RMB 996.35 billion (USD 137.30 billion), representing a year-over-year growth of 6%[6]. - The group's overall revenue for the quarter was RMB 236.45 billion (USD 32.58 billion), with a year-over-year increase of 7%[7]. - Operating profit for the quarter reached RMB 28.47 billion (USD 3.92 billion), showing a significant year-over-year growth of 93%[7]. - Net profit attributable to ordinary shareholders was RMB 12.38 billion (USD 1.71 billion), with a remarkable year-over-year increase of 1203%[7]. - The adjusted EBITA for the quarter grew by 36% to RMB 32.62 billion (USD 4.49 billion), driven by revenue growth and improved operational efficiency[7]. - Operating profit reached RMB 140.91 billion (USD 19.42 billion), a year-on-year increase of 24% due to reduced impairment of intangible assets and goodwill, decreased non-cash equity incentive expenses, and increased adjusted EBITA[10]. - Net profit attributable to ordinary shareholders was RMB 129.47 billion (USD 17.84 billion), a year-on-year increase of 77%, primarily driven by changes in the market value of equity investments and increased operating profit[10]. - Adjusted EBITA grew by 5% year-on-year to RMB 173.07 billion (USD 23.85 billion), attributed to revenue growth and improved operational efficiency[10]. - The total revenue for the fiscal year 2025 was RMB 996,347 million (USD 137,300 million), a 6% increase from RMB 941,168 million in fiscal year 2024[71]. - Operating profit for the fiscal year 2025 was RMB 140,905 million (USD 19,417 million), reflecting a 24% increase from RMB 113,350 million in fiscal year 2024[69]. - Net profit attributable to ordinary shareholders for the fiscal year 2025 was RMB 129,470 million (USD 17,841 million), a 62% increase from RMB 79,741 million in fiscal year 2024[69]. Cash Flow and Investments - Cash flow from operating activities for the quarter was RMB 27.52 billion (USD 3.79 billion), an 18% increase compared to the same period last year[7]. - The net cash flow from operating activities for the three months ended March 31, 2025, was RMB 27,520 million (USD 3,792 million), an 18% increase from RMB 23,340 million in the same period of 2024[65]. - Free cash flow for the three months ended March 31, 2025, was RMB 3,743 million (USD 516 million), a 76% decrease compared to RMB 15,361 million in the same period of 2024, primarily due to increased cloud infrastructure spending[65]. - Net cash flow from operating activities for the fiscal year 2025 was RMB 163,509 million (USD 22,532 million), a decrease of 10% from RMB 182,593 million in fiscal year 2024[113]. - The net cash used in investing activities for fiscal year 2025 was RMB 185,415 million (USD 25,551 million), reflecting significant capital expenditures[114]. Shareholder Returns - Alibaba Group repurchased shares worth USD 11.9 billion in fiscal year 2025, reducing the number of outstanding shares by 5.1%[5]. - The board approved a total dividend of USD 4.6 billion for the year, reflecting the commitment to enhance shareholder returns[5]. - The board approved a total dividend of USD 0.25 per ordinary share or USD 2.00 per American Depositary Share, amounting to approximately USD 4.6 billion[19]. Segment Performance - The cloud intelligence group's revenue growth accelerated to 18% for the quarter, with AI-related product revenue achieving triple-digit growth for seven consecutive quarters[5]. - AIDC revenue increased by 22% year-on-year to RMB 33.58 billion (USD 4.63 billion), driven by strong performance in cross-border business[11]. - Cloud Intelligence Group revenue was RMB 30.13 billion (USD 4.15 billion), an 18% year-on-year increase, with AI-related product revenue showing triple-digit growth for seven consecutive quarters[12]. - Cainiao Group revenue decreased by 12% year-on-year to RMB 21.57 billion (USD 2.97 billion), reflecting further integration of logistics services in e-commerce[14]. - Local Life Group revenue grew by 10% year-on-year to RMB 16.13 billion (USD 2.22 billion), driven by order growth from Gaode and Ele.me[15]. - The international retail business segment revenue increased by 33% to RMB 108,465 million (USD 14,947 million) in fiscal year 2025[71]. - The revenue from China's retail business for fiscal year 2025 was RMB 425,526 million (USD 58,639 million), representing a 3% growth compared to RMB 414,414 million in 2024[75]. Cost Management - Operating costs for the three months ended March 31, 2025, were RMB 145,626 million ($20,068 million), accounting for 61.6% of revenue, down from 66.7% in the same period of 2024, due to reduced scale of low-margin direct operations[46]. - Sales and marketing expenses for the three months ended March 31, 2025, were RMB 36,179 million ($4,985 million), accounting for 15.3% of revenue, up from 13.0% in the same period of 2024, primarily due to increased investment in e-commerce business[47]. - General and administrative expenses for the three months ended March 31, 2025, were RMB 10,331 million (USD 1,423 million), accounting for 4.4% of revenue, down from RMB 14,019 million (6.3%) in the same period of 2024[48]. - Stock-based compensation expenses decreased by 52% from RMB 7,123 million (USD 1,000 million) in 2024 to RMB 3,435 million (USD 473 million) in 2025[49]. Employee and Corporate Governance - The company had a total of 124,320 employees as of March 31, 2025, down from 194,320 employees as of December 31, 2024, primarily due to the sale of Gao Xin Retail[68]. - The company has established a comprehensive learning and training program to support employee growth and long-term career development[158]. - The company has complied with all applicable corporate governance codes since the major listing conversion effective date of August 28, 2024[163]. Future Outlook - The company plans to continue investing in user experience and technology to drive future growth despite increased costs in these areas[22]. - The company aims to build future business infrastructure and envisions becoming a company that lasts for 102 years[119]. - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[128]. Audit and Financial Reporting - The audit committee has reviewed the unaudited consolidated performance for the financial year ending March 31, 2025[165]. - The independent auditor, PwC, is currently conducting the audit work for the annual report[165]. - The unaudited financial information disclosed is preliminary and subject to change[165]. - The audit work does not constitute an assurance engagement, and no opinion or assurance has been provided by the auditors[165]. - The company emphasizes the importance of accurate financial reporting and internal controls[165].