Sou Hu Cai Jing·2025-07-09 10:52Financing Plan - Alibaba recently announced a financing plan to issue zero-coupon exchangeable bonds totaling approximately HKD 12 billion, maturing in 2032, to support cloud infrastructure and international business development [3][4] - The company plans to use the net proceeds from the bond issuance for general corporate purposes, including investments in cloud infrastructure and international business [4] Financial Performance - In the fiscal year 2025, Alibaba reported revenue growth of 6% to RMB 996.35 billion, with net profit increasing by 62.62% to RMB 1,301.09 billion, although growth rates have slowed compared to previous years [9][12] - The core business, Taobao Group, faced revenue stagnation, with growth rates of -3.89%, 5.25%, and 3.43% over the last three years [10][12] - International digital commerce showed strong performance with a revenue increase of 29% to RMB 1,323 billion, but it remains unprofitable with an adjusted EBITA loss of RMB 151.37 billion [14][16] Debt and Cash Flow - Alibaba's debt-to-asset ratio has been on the rise, reaching 39.58% in the fiscal year 2025, while cash and cash equivalents decreased to RMB 145.49 billion [8] - Operating cash flow has also declined over the past three years, from RMB 1,977.52 billion to RMB 1,635.09 billion [8] Management Changes - Significant changes in Alibaba's partnership structure occurred, with nine partners, including Zhang Yong and Dai Shan, exiting their roles, while Jiang Fan was promoted to CEO of Alibaba's e-commerce division [18][20] - The total number of partners decreased from 26 to 17, indicating a shift in management dynamics [18][20] Strategic Initiatives - To combat stagnation, Alibaba announced a plan to provide RMB 50 billion in direct subsidies to consumers and merchants over the next 12 months, aiming to boost sales and market competitiveness [23]