Alibaba Investor Relations

Alibaba Group Announces Fiscal 2023 Third Quarter Results

Financial Highlights

Alibaba Group Holding Limited (NYSE: BABA) today announced its financial results for the fiscal 2023 third quarter ended December 31, 2022.

Revenue for the quarter was RMB247,760 million (US$35,921 million), an increase of 2% year-over-year.

Net income was RMB46,816 million (US$6,800 million), a decrease of 64% year-over-year.

Adjusted Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) was RMB76,335 million (US$11,171 million), a decrease of 19% year-over-year.

Diluted earnings per share (EPS) was RMB6.15 (US$0.89), a decrease of 64% year-over-year.

Adjusted diluted EPS was RMB10.06 (US$1.47), a decrease of 16% year-over-year.

Business Highlights

Alibaba's core commerce business continued to grow, with gross merchandise volume (GMV) increasing by 3% year-over-year to RMB3.804 trillion (US$552.9 billion).

The company's cloud computing business, Alibaba Cloud, continued to expand, with revenue increasing by 3% year-over-year to RMB26,119 million (US$3,797 million).

Alibaba's digital media and entertainment business, Alibaba Digital Media and Entertainment, saw revenue increase by 1% year-over-year to RMB10,482 million (US$1,526 million).

The company's financial technology business, Ant Group, continued to grow, with revenue increasing by 4% year-over-year to RMB18,715 million (US$2,725 million).

Outlook

Alibaba expects to deliver mid-single-digit revenue growth for the fiscal year 2024.

The company expects to continue to invest in its core commerce business, cloud computing, digital media and entertainment, and financial technology businesses.

Conclusion

Alibaba's fiscal 2023 third quarter results were mixed, with revenue growth slowing but profitability declining sharply. The company's core commerce business continues to grow, but the company faces challenges in its cloud computing and digital media and entertainment businesses.

Alibaba's outlook for the fiscal year 2024 is cautious, with the company expecting mid-single-digit revenue growth. The company's ability to execute on its growth plans will be key to its long-term success.