Alibaba Group Announces December Quarter 2024 Results

Alibaba Group Holding Limited (NYSE: BABA and HKEX: 9988 (HKD Counter) and 89988 (RMB Counter), "Alibaba" or "Alibaba Group"), the leading online Chinese marketplace, has announced its unaudited financial results for the quarter ended December 31, 2024. The company will report its earnings before the U.S. market opens on Thursday, February 20, 2025, and will hold a conference call to discuss the financial results at 7:30 a.m. U.S. Eastern Time (8:30 p.m. Hong Kong Time) the same day.

Alibaba Group's mission is to make it easy to do business anywhere, aiming to build the future infrastructure of commerce. The company envisions that its customers will meet, work, and live at Alibaba, and that it will be a good company that lasts for 102 years. The company's annual revenue for the fiscal year 2024 was 1,019.26 billion yuan, an increase of 8.30% from the previous year. Its net income for the fiscal year 2024 was 64.06 billion yuan, an increase of 105.02% from the previous year.



Alibaba Group's revenue growth trajectory over the past decade has been characterized by consistent expansion, with a few notable trends. From 2014 to 2024, the company's annual revenue has grown significantly, from 52.504 million yuan to 941.168 million yuan. This represents a compound annual growth rate (CAGR) of approximately 35% over the decade. The company's revenue is primarily generated from its Chinese-based e-commerce segment, which contributed 582.73 billion yuan to the company's total revenue in 2023, accounting for 65% of the company's overall revenue.



Alibaba Group's net income has also shown consistent growth over the past few years. In 2023, the company's net income amounted to 65.57 billion yuan, increasing from over 47 billion yuan in the previous year. This growth can be attributed to the company's expanding user base and increasing revenue. The company's monetization model relies heavily on online marketing services, including P2P marketing services, display marketing, and promoted selling, as well as commissions on transactions and storefront fees.

Alibaba Group's international commerce retail segment has experienced significant growth, contributing to the company's overall revenue. The key drivers for this segment include the company's expansion into new markets, growth in cross-border e-commerce, and investment in localization. However, the segment also faces challenges, such as regulatory restrictions, competition, and the volatility of the Chinese economy.

Alibaba Group's quarterly consolidated revenue from Q1 2018 to Q1 2024 shows seasonality, with Q1 (January to March) and Q4 (October to December) typically being the strongest quarters due to the Singles' Day shopping festival and the holiday season. The company's quarterly earnings have shown fluctuations, reflecting its response to market conditions and regulatory changes.

Alibaba Group's annual segment revenue distribution for 2023 and 2024 shows the company's focus on its core e-commerce platforms, with Chinese retail marketplaces accounting for the majority of the company's revenue. The company's cloud computing segment, Alibaba Cloud, has also shown significant growth, contributing to the company's overall revenue.



In conclusion, Alibaba Group's financial results for the quarter ended December 31, 2024, reflect the company's consistent growth and expansion over the past decade. The company's focus on its core e-commerce platforms, international expansion, and investment in localization have driven its revenue growth. As the company continues to navigate the challenges and opportunities in the global e-commerce market, investors should closely monitor its financial performance and strategic initiatives.