BABA(HK:09988) EBSCN·2024-09-05 06:03Investment Rating - The report maintains a "Buy" rating for the company [6][8]. Core Insights - The company plans to introduce WeChat Pay capabilities on its Taobao and Tmall platforms to enhance consumer shopping experiences, aligning with the trend of interconnectivity in the internet ecosystem [19][20]. - The introduction of a 0.6% basic software service fee on confirmed transactions from September 1, 2024, is expected to boost the company's revenue and profit while facilitating the smooth implementation of WeChat Pay [1][19]. - The company has seen a recovery in GMV growth and is expected to accelerate its inclusion in the Hang Seng Stock Connect Index [20]. Financial Summary - Revenue projections for FY2023 to FY2027 are as follows: - FY2023: 868.7 billion - FY2024: 941.2 billion - FY2025E: 1,017.3 billion - FY2026E: 1,089.1 billion - FY2027E: 1,159.5 billion - Revenue growth rates are projected at: - FY2023: 1.83% - FY2024: 8.34% - FY2025E: 8.09% - FY2026E: 7.06% - FY2027E: 6.46% [7][23]. - Net profit attributable to ordinary shareholders is forecasted as follows: - FY2023: 72.5 billion - FY2024: 79.7 billion - FY2025E: 85.4 billion - FY2026E: 90.7 billion - FY2027E: 94.6 billion - The net profit growth rates are projected at: - FY2023: 16.92% - FY2024: 9.93% - FY2025E: 6.80% - FY2026E: 6.15% - FY2027E: 4.26% [7][23].