Alibaba Records a Gratifying CNY 153.7 Billion Revenue in 1Q 2020, Up 34% YoY

Consumer Staples Author: Yue Liu Editor: Luke Sheehan Aug 21, 2020 04:20 PM (GMT+8)

E-commerce live broadcast and new retail are becoming the new trends to watch.

Image credit: EqualOcean

On August 20, Alibaba Group announced its first-quarter financial report. The report shows that Alibaba saw revenue of CNY 153.75 billion, a year-on-year increase of 34%. The net profit attributable to ordinary shareholders was CNY 47.59 billion, a year-on-year increase of 2.40%. Core e-commerce accounted for 87%, and cloud computing accounted for 8%.

New retail,  Cloud computing, Cainiao Logistics, Innovative business, Digital media and entertainment business increased by 80%, 59%, 54%, -6% and 9% respectively, indicating that new retail business has become the main driving force.

Local life servicea achieved revenue of CNY 7.10 billion, a year-on-year increase of 15%. however, Ele.me is facing tremendous pressure from Meituan, and its market share has fallen below 30%.

Alibaba International Station handed in a dazzling transcript. Revenue reached CNY 3.20 billion, an increase of 43% YoY. The reason is mainly from the increase in the number of paying members and service income such as cross-border supply chains.

Mobile monthly active users in China's retail market increased to 874 million, an increase of 28 million from March 2020. GMV from Taobao Live continued to grow by more than 100% year-on-year, and merchant live broadcasts accounted for 60% of Taobao Live GMV. 

Following the US ban on Chinese Internet companies, Alibaba replied: "We are closely monitoring the changes in the US government's policies on Chinese companies, tracking and evaluating the possible impact of these changes on Alibaba, and taking new compliance measures accordingly. "