Alibaba Financial Report: Alibaba's revenue in Q4 of fiscal year 2022 was 204.05 billion yuan, and its net profit was 19.8 billion yuan

Alibaba (NYSE: BABA; HK: 09988) recently released its fourth quarter and full-year financial report for fiscal year 2022 ending March 31, 2022 (Note: Alibaba's fiscal year is not synchronized with the calendar year, starting on April 1 of each year and ending on March 31 of the following year). The financial report shows that the company's fourth-quarter revenue was RMB 204.05 billion (approximately US$32.188 billion), a year-on-year increase of 9%.

The net loss attributable to ordinary shareholders was RMB 16.241 billion (approximately US$2.562 billion). Non-GAAP net profit was RMB 19.799 billion (US$3.123 billion), down 24% year-on-year.

In fiscal year 2022, Alibaba's total revenue was RMB 853.062 billion (US$134.567 billion), a year-on-year increase of 19%; net profit attributable to ordinary shareholders was RMB 61.959 billion (US$9.774 billion), a year-on-year decrease of 59%. Excluding non-GAAP items, net profit was RMB 136.388 billion (US$21.515 billion), a year-on-year decrease of 21%.

Fourth quarter results:

Revenue was RMB 204.052 billion (approximately US$32.188 billion), an increase of 9% compared with RMB 187.395 billion in the same period last year.

Revenue from China's commercial retail business was RMB 135.947 billion (approximately US$21.445 billion), an increase of 7% from RMB 127.021 billion in the same period last year.

Revenue from China's commercial wholesale business was RMB 4.383 billion (approximately US$692 million), an increase of 30% from RMB 3.370 billion in the same period last year.

Revenue from international commercial retail business was RMB 9.887 billion (approximately US$1.56 billion), an increase of 4% from RMB 9.496 billion in the same period last year.

Revenue from international commercial wholesale business was RMB 4.448 billion (approximately US$701 million), an increase of 13% from RMB 3.920 billion in the same period last year.

Revenue from local consumer services was RMB 10.445 billion (approximately US$1.647 billion), a year-on-year increase of 29%.

Revenue from Cainiao logistics services was RMB 11.582 billion (approximately US$1.827 billion), a year-on-year increase of 16%.

Revenue from cloud computing business was RMB 18.971 billion (approximately US$2.993 billion), a year-on-year increase of 12%.

Revenue from digital media and entertainment was RMB 8.005 billion (approximately US$1.263 billion), down 1% year-on-year, while revenue from innovation strategy and others was RMB 384 million (approximately US$60 million), down 35% year-on-year.

Cost of revenue was RMB 138.945 billion (US$21.918 billion), accounting for 68% of revenue, while the cost of revenue in the same period last year was RMB 125.454 billion, accounting for 67% of revenue.

Product development expenses were RMB 10.94 billion (US$1.726 billion), accounting for 5% of revenue, while product development expenses in the same period last year were RMB 13.302 billion, accounting for 7% of revenue.

Sales and marketing expenses were RMB 27.20 billion (US$4.291 billion), accounting for 13% of revenue, while sales and marketing expenses in the same period last year were RMB 25.153 billion, accounting for 14% of revenue.

General and administrative expenses were RMB 7.415 billion (approximately US$1.169 billion), accounting for 4% of revenue, while product development expenses in the same period last year were RMB 27.734 billion, accounting for 14% of revenue.

Equity incentive expenses were a net write-back of RMB 3.737 billion (approximately US$590 million), compared with RMB 8.632 billion in the same period last year.

Amortization of intangible assets was RMB 2.831 billion (approximately US$447 million), down 17% from RMB 3.415 billion in the same period last year.

Operating profit was RMB 16.717 billion (approximately US$2.637 billion), accounting for 8% of revenue; while the operating loss in the same period last year was RMB 7.663 billion, accounting for -4% of revenue.

Adjusted EBITDA was RMB 23.373 billion (approximately US$3.687 billion), down 22% from RMB 29.898 billion in the same period of 2021.

Adjusted EBITA was RMB 15.811 billion (approximately US$2.494 billion), down 30% from RMB 22.612 billion in the same period of 2021.

Interest and investment income was a loss of RMB 36.708 billion (approximately US$5.791 billion), compared with interest and investment income of RMB 111 million in the same period last year.

Other income was RMB 1.62 billion (approximately US$323 million), compared with RMB 2.115 billion in the same period last year.

Income tax expenses were RMB 2.079 billion (approximately US$328 million), compared with RMB 7.049 billion in the same period of 2021.

The net loss was RMB 18.357 billion (approximately US$2.996 billion), compared with a net loss of RMB 7.654 billion in the same period last year. Non-GAAP net profit was RMB 19.799 billion (approximately US$3.123 billion), down 24% year-on-year.

The net loss attributable to ordinary shareholders was RMB 16.241 billion (approximately US$2.562 billion), compared with a net loss of RMB 5.479 billion in the same period last year.

The diluted loss per American depositary share was RMB 6.07 (approximately US$0.96), and the diluted loss per ordinary share was RMB 0.76 (approximately US$0.12 or HK$0.94).

Excluding non-GAAP items, diluted earnings per American depositary share were RMB 7.95 (approximately US$1.25) and diluted earnings per ordinary share were RMB 0.99 (approximately US$0.16 or HK$1.22).

Net cash outflow from operating activities was RMB 7.04 billion (approximately US$1.11 billion), compared with an inflow of RMB 24.183 billion (approximately US$3.691 billion) in the same period last year.

The net cash used in investing activities was RMB 87.254 billion (approximately US$13.764 billion), and the net cash used in financing activities was RMB 10.614 billion (approximately US$1.675 billion).