BABA Earnings Prediction
The chart below shows how BABA performed 10 days before and after its earnings report, based on data from the past quarters. Typically, BABA sees a -5.42% change in stock price 10 days leading up to the earnings, and a -0.94% change 10 days following the report. On the earnings day itself, the stock moves by +1.59%. This data can give you a slight idea of what to expect for the next quarter's release.
BABA Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
38.97B
8.15%
18.03%
Gross Margin
41.25%
19.95%
7.42%
Operating Margin
16.91%
41.98%
16.30%
Net Margin
16.57%
302.18%
-9.99%
EPS
0.35
250.00%
9.37%
No Data Available
BABA Earnings Analysis
Alibaba Group Holding Ltd Corporation (BABA.N) Earnings Conference Call
Positive
Earnings Per Share Beat: Alibaba Group Holding Limited reported an EPS of $2.93, exceeding expectations of $2.67, indicating strong financial performance.
Revenue Growth Excluding Subsidiaries: Overall revenue, excluding Alibaba consolidated subsidiaries, grew 11% year-over-year, showcasing solid growth across the company.
Sustained Triple-Digit AI Growth: AI-related product revenue maintained triple-digit year-over-year growth for the sixth consecutive quarter, reflecting the success of their AI strategy.
Cloud Revenue Growth: The Cloud Intelligence Group's revenue grew 13%, driven by strong demand for public cloud products, highlighting the momentum in their cloud business.
Customer Management Revenue Growth: Taobao and Tmall saw a 9% year-over-year growth in customer management revenue, driven by increased online GMV and improved monetization strategies.
User Growth and Engagement: The number of 88VIP members reached 49 million, demonstrating strong user growth and engagement within their core consumer group.
First Quarter Profitability: AIDC is expected to achieve its first quarter of profitability in the next fiscal year, indicating positive future performance.
First Quarter Profitability: AMAP achieved profitability for the first time this quarter, showcasing improved operational efficiency.
Strategic Asset Divestment: Alibaba's strategic divestment of non-core assets and share buybacks reflect a focus on enhancing operational efficiency and shareholder value.
Strong Net Cash Position: The company maintains a strong net cash position of RMB 378.5 billion ($51.9 billion), providing confidence for future investments in cloud and AI infrastructure.
Negative
Free Cash Flow Decline: Free cash flow decreased 31% to RMB 39 billion, attributed to increased expenditure on cloud infrastructure investments.
Logistics Segment Challenges: Revenue from Cainiao decreased by 1% and its adjusted EBITDA decreased by 76%, indicating challenges in the logistics segment.
Adjusted EBITDA Loss: AIDC's adjusted EBITDA was a loss of RMB 5 billion, worsening from a loss of RMB 3.1 billion in the same quarter last year, highlighting ongoing financial struggles in this area.
Profitability Pressure from Investments: Despite overall revenue growth, the increase in investments in e-commerce businesses has put pressure on profitability, with adjusted EBITDA growth only at 4%.
Profitability Challenges in Retail: The company is facing challenges in maintaining profitability in its international commerce retail business, despite a revenue increase of 36%.
Logistics Network Restructuring: The ongoing restructuring of Cainiao and its focus on building a global smart logistics network may lead to short-term operational inefficiencies.
BABA FAQs
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BABA Earning Call Sentiment
Alibaba Group Holding Limited (NYSE:BABA) Q3 2025 Earnings Call Transcript
BABA.N
-2.19%Positive
The earnings call reveals strong financial metrics, such as a significant GAAP Net Income increase and robust revenue growth across multiple segments, including cloud and international commerce. Despite a decrease in free cash flow, the guidance remains optimistic with expectations of breakeven in loss-making businesses. The Q&A highlights strategic investments in AI and cloud, with a focus on future monetization. The ongoing share repurchase program further supports a positive outlook. Overall, the factors indicate a likely positive stock price movement in the short term.
