Alibaba Reveals September 2025 Quarter and Interim Six-Month Results

Bassyonni

ago 2 hours

Alibaba Reveals September 2025 Quarter and Interim Six-Month Results

Alibaba Group Holding Limited has announced its financial results for the quarter and the six months ending September 30, 2025. The company noted significant growth in its AI technologies and cloud services while also making substantial investments in quick commerce and other user experience enhancements.

Financial Performance Summary for September 2025 Quarter

For the quarter, Alibaba reported:

Revenue of RMB 247.8 billion (US$ 34.8 billion), a 5% increase year-over-year.
Excluding revenue from disposed businesses, like Sun Art and Intime, revenue on a like-for-like basis grew by 15% year-over-year.
Income from operations decreased by 85% to RMB 5.4 billion (US$ 754 million).
Adjusted EBITA fell by 78% to RMB 9.1 billion (US$ 1.3 billion).
Net income attributable to ordinary shareholders was RMB 21.0 billion (US$ 2.9 billion).
Non-GAAP diluted earnings per ADS were RMB 4.36 (US$ 0.61), reflecting a 71% year-over-year decline.

Six-Month Financial Overview

For the six months ending September 30, 2025, the following financial data was reported:

Revenue amounted to RMB 495.5 billion (US$ 69.6 billion), with a year-over-year increase of 3%.
Adjusted EBITA decreased by 44% to RMB 47.9 billion (US$ 6.7 billion).
Net income for the period was RMB 63.0 billion (US$ 8.8 billion), a 7% decrease compared to the previous year.
Free cash flow showed an outflow of RMB 40.7 billion (US$ 5.7 billion), significantly down from the prior year’s inflow.

Strategic Investments

Eddie Wu, CEO of Alibaba Group, emphasized the company’s focus on long-term strategic investments in AI and cloud infrastructure. Profit reinvestment has led to fluctuating near-term profitability, but core businesses are maintaining robust growth.

Highlights from Core Business Segments

Cloud Intelligence Group revenue rose by 34% year-over-year to RMB 39.8 billion (US$ 5.6 billion).
AI-related product revenue continued strong momentum with triple-digit growth for the ninth consecutive quarter, driven by increased enterprise adoption.
The quick commerce segment saw revenues grow by 60% due to the rollout of “Taobao Instant Commerce.”

Market and Operational Efficiency

Alibaba is focused on achieving scale in quick commerce while enhancing user experiences through logistics efficiencies and increased customer retention rates. The customer management revenue grew by 10% year-over-year, reflecting successful initiatives during the 11.11 Global Shopping Festival.

Employment and Future Outlook

As of September 30, 2025, Alibaba employed approximately 126,661 individuals, compared to 123,711 in the preceding quarter. The company aims to sustain its momentum in the AI cloud market, where it holds a leading 35.8% share as of the latest reports.

Alibaba’s management will further discuss these results during a conference call scheduled for November 25, 2025.