Alibaba net profit was 8 billion 685 million yuan, down 41% compared with the same period.
The title is from visual China.
Titanium Media News | Aug. 23 News: Alibaba Group announced today the first quarter of fiscal year 2019 (2018.4.1-2018.6.30) results. In the first quarter, Alibaba’s revenue was 80.922 billion yuan, up 61% from a year earlier, while Alibaba’s net profit was 8.685 billion yuan ($1.313 billion), down 41%.
Among them, the core business revenue reached 69 billion 188 million yuan, an increase of 61%. The adjusted EBITA (profit before interest and tax amortization) was $26.502 billion, and the adjusted EBITA for core e-commerce business was $32.797 billion, an increase of 22% over the same period of last year. The adjusted EBITA profit margin for the core e-commerce business was 47%, which remained stable year-on-year, regardless of the merger of rookie networks and starvation (mid-May 2018), as well as investments in new retail businesses and Lazada.
In the first quarter of fiscal year 2009, Ant Gold completed a new round of financing, valued at more than $150 billion, up 150% from the previous $60 billion. Due to the significant increase in the valuation of ants’ gold clothing, the fair value of the ant’s gold service equity award has increased. According to the financial report, the non-cash expenditure of equity incentives granted to employees reached 11.18 billion yuan and the total expenditure of equity incentives reached 16.4 billion yuan.
In the first quarter of fiscal year 2019, Alibaba’s core business revenue reached 69 billion 188 million yuan, an increase of 61% over the same period last year. Revenue in the new retail business (China Retail – Others), with imports, box-and-horse fresh food and Yintai department stores at its core, grew by more than 340%. In this quarter, Tianmao’s physical commodity GMV grew 34% year-on-year, exceeding the 29.3% growth rate of online retail sales in January-July this year.
In terms of Taobao content ecology, Taobao’s monthly live users grew more than 100% year-on-year this year.
In the new retail space, Alibaba and Golden Ant completed a wholly owned acquisition of the company for $9.5 billion this quarter. The results also revealed that Alibaba has set up a holding company that will be the flagship of local life services, holding two businesses, Mohe, and has received more than $3 billion in investment commitments, and will form closer synergies between takeaway services and word-of-mouth shoppers.
In the international retail business sector, revenue for the quarter was $4.316 billion, up 64% from a year earlier. The growth was driven by the growth of Lazada, a Southeast Asian e-commerce platform, and Ali Express, a global retail market platform, as well as the global logistics and payment infrastructure built by rookie networks and ant suits.
Logistics and mobile payment
This quarter, the first of the six major global eHubs have been launched in Hangzhou, Hong Kong, Kuala Lumpur, Dubai, Moscow and Liege (Belgium), and the construction of these backbone nodes will be launched one after another. At the Hong Kong International Airport, newbies are investing about $1.5 billion with China Airlines and Yuantong Express to build a digital logistics center. The landmark project will become an important logistics hub in Guangdong, Hong Kong and Macao.
In addition to building infrastructure, rookie is also using technology to enhance the efficiency of intelligent logistics backbone network. In Kuala Lumpur’s ehub, the rookie system links directly to Malaysian Customs, upgrading offline manual declarations to online declarations, and 99.9% of online pre-declaration packages are cleared in seconds, reducing customs clearance time by nearly 10 million hours per month for SMEs.
At the end of May, Alibaba and Rookie bought about 10% of China Express with an investment of $1.38 billion. This is the third traditional express company Ali has acquired after Yuantong Express and Best Express, and the two sides are exploring new retail and industry digital upgrading.
In terms of mobile payment, Alipay global payment worldwide service has covered more than 200 countries and regions, and has served more than 870 million users worldwide.
In addition, the ant gold clothing has launched the “local version of Alipay” in 9 countries and regions along the route, including India, South Korea, Pakistan, Bangladesh, Thailand, Philippines, Indonesia, Malaysia and China Hongkong.
Technological breakthroughs in ant gold clothing continued this quarter, with patents filed for block chains ranking first in the world. On June 25, Ant Gold came on line with the world’s first block-chain-based e-wallet cross-border remittance service. Hong Kong Alipay HK and Philippine licensed e-wallet GCash launched the service in Hong Kong and the Philippines respectively.
Technology and talent input
In the field of technology, Ali continued to increase investment in cutting-edge technologies such as AI, cloud computing, quantum computing, large data technology, chips and other research and development. This quarter, Ali cloud revenue of 4 billion 698 million yuan, smart speakers Tmall elves sold 5 million units.
In 2017, Alibaba announced the establishment of the Damo Institute, and announced that in the next three years Alibaba will invest more than 100 billion yuan in technology research and development. The first batch of research areas announced by the Alibaba Damo Academy include quantum computing, machine learning, basic algorithms, network security, visual computing, natural language processing, human-computer natural interaction, chip technology, etc., covering machine intelligence, intelligent networking, financial technology and other industrial areas.
At present, Alibaba has nine national 1000 plan scientists, dozens of well-known overseas university life-long professors. Top scientists in quantum computing, such as Shi Yaoyun and Mario Segger, and world-class experts in machine learning and computer vision, Wang Gang, have joined Alibaba in recent years.
As of August 2018, Alibaba and ant gold clothing Engineers (technical products post staff) accounted for 51% of the total number of employees, including top academic qualifications, 46% of master’s degree engineers, 4% of doctorate and postdoctoral students, and none of whom had ever been to university. “More than a thousand engineers,” such as Alipay engineer Xu. The technical team helped create the “local version of Alipay” in 9 countries and regions.
In order to retain talents, Ali has invested more and more in employee equity awards. It is noteworthy that the non-cash expenditure on equity incentives granted to employees has reached 11.18 billion yuan due to the substantial increase in the valuation of gold clothing for ants, and the expenditure on equity incentives for employees has reached a record high of 16.378 billion yuan. According to statistics, since the listing, the cumulative value of Alibaba’s equity Award for employees has exceeded 80 billion.
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