Alibaba Group Holding Ltd (NYSE: BABA) stock rose over 3.8% on May 4th, 2018 (as of 2:35 PM GMT-4; Source: Google finance) on a decent fourth quarter of 2017 performance.
During the March 2018 quarter, the group reported a solid performance with Total revenue rising 61% on a year-over-year basis to RMB 62 billion. Revenue from core commerce surged 62% on a year-over-year basis. Mobile MAU on their China retail marketplaces reached 617 million during March, which is a rise of 37 million as compared to the December quarter.
The group achieved a new milestone with a total GMV of US$768 billion for this past fiscal year, and on track to reach US$1 trillion GMV by fiscal 2020. They continue to invest in new user acquisition while expand their consumer wallet share through category expansion of physical products, digital contents, and local services. They continue to invest and further extend the considerable gains while achieved B2C market leadership.
The group intends to leverage China’s commitment to import US$8 trillion worth of goods in the next few years on their platform. They are working with producers and merchants to offer best products directly to consumers in China and across the world. They continue to scale New Retail formats that they have been incubating, like Hema. The group’s cloud computing business delivered an outstanding performance with Alibaba Cloud Revenue rising 103% on a year-over-year basis boosted by the better paying customers and subscription of higher value added products. The acquisition of C-SKY Microsystems are leading Chinese supplier of embedded CPU cores along with their earlier investment in this sector. Revenue for their international retail business surged 94% on a year-over-year basis. Their cross-border import business, Tmall Global, delivered a 113% year-over-year rise in GMV boosted by top selling categories of beauty, baby and maternity, and house supplements.
For fiscal year of 2018 their Overall, revenues rose 58% on a year-over-year basis while Taobao and Tmall GMV accelerated the growth from the 22% growth last year to 28% growth this year. The group’s New Retail strategy is showing positive results driven by in-house innovations as well as expanded into two new cities in China and added 13 new Hema stores, bringing the total store locations to 37.