Chinese Internet giant Alibaba Group Holding Ltd. in the fourth fiscal quarter showed good financial performance, stating stable business recovery since March after a strong negative impact of the COVID-19 coronavirus pandemic earlier this year.
According to a company press release, its net profit in January-March amounted to 3,162 billion yuan ($447 million), or 1,16 yuan per ADS, compared with 25,83 billion yuan, or 9,84 yuan, for the same period a year earlier. The contraction is largely attributable to investment loss due to falling stock markets.
At the same time, profit excluding one-time factors increased by 11% – to 22,287 billion yuan ($3,148 billion) with 20,056 billion yuan, or 9,2 yuan on ADS versus 8,57 yuan.
Revenue increased by 22% and reached 114,314 billion yuan ($16,1 billion) vs 93,498 billion yuan a year earlier.
analysts, polled by FactSet, on average predicted adjusted profit at the level 6,05 yuan per ADS on revenue in 107,45 billion yuan.
Key e-commerce business revenue increased by 19% – to 93,865 billion yuan, in the field “cloud” technology skyrocketed by more than 58%, reaching 12,217 billion yuan.
Experts assessed the first indicator in 88,12 billion yuan, second – at 11,97 billion yuan.
The annual audience of users of Alibaba retail services in China increased by 15 million people – to 726 million users. In twelve months, the indicator increased by 72 million.
Number of users in China, showing activity at least once a month and accessing services from mobile devices, grew by 22 million for the neighborhood and the 125 million over the year and reached 846 million people.
Alibaba ADS quotes during pre-trading in New York on Friday rise by 0,1%. The market value of the company has remained practically unchanged since the beginning of this year, jumped by 36%.
Alibaba owns China's largest e-commerce platforms, including the most popular one – Taobao. The company brings buyers and sellers together on these platforms, providing them with various services. Alibaba accounts for 80% e-commerce turnover in the country.
