Alibaba has released financial results for its Q4 2019 ended June 30, 2019 showing a strong quarter for turnover growth. The company’s total revenue increased by 42% year-on-year to CNY* 114,924m. Income from operations increased by 204% year-on-year to CNY24,375m.
The increase was mainly driven by the robust revenue growth of Alibaba’s China commerce retail business, achieving 40% year-on-year growth. Other factors included the consolidation in May 2018 of the start-up for local deliveries Ele.me and Alibaba Cloud.
China core commerce retail business segment’s revenues totalled CNY75,601m, a 40% year-on-year increase, on the back of strong growth in Alibaba’s China retail marketplace.
Revenues in the China commerce wholesale business totalled CNY2,992m, an increase of 33% year-on-year (2018: CNY2,250m). The increase was primarily due to an increase in the average revenue from paying members on 1688.com, Alibaba’s domestic wholesale marketplace.
Revenue from the international commerce retail business was CNY5,567m, a 29% year-on-year increase (2018: CNY4,316m) The increase was primarily due to the consolidation of Trendyol, one of the main e-commerce platforms in Turkey, and an increase in revenue from AliExpress.
Revenues from Cainiao logistics services, representing revenue from the domestic and international one-stop-shop logistics services and supply chain management solutions provided by Cainiao Network, after elimination of inter-company transactions, totalled CNY5,005m, a year-on-year increase of 50% (2018: CNY3,327m), mainly due to the increase in the volume of orders fulfilled.
“Alibaba had a great quarter, expanding our user base to 674m annual active consumers, demonstrating our superior user experience,” said Daniel Zhang, Chief Executive Officer of Alibaba Group. “We will continue to expand our customer base, increase operating efficiency and deliver robust growth. With strong cash flow from our core commerce business, we will continue to invest in technology and bring digital transformation to millions of businesses globally.”
Source: Alibaba Group
*$=CNY6.87 /€=CNY7.82
