The title map is from Visual China

On the first day of November, Ali issued its Q2 performance report for the 2020 fiscal year.

The financial report shows that as of September 30, 2019, Alibaba’s second quarter revenue was RMB 119.02 billion, up 40% from last year’s 85.150 billion yuan; among them, the net profit attributable to ordinary shareholders was RMB 72.54 billion. (about 10.149 billion US dollars), an increase of 262% over the previous year’s 20.30 billion yuan.

The full screen is the word “growth”, then take a closer look at how the transcript that Ali handed over.

E-commerce, always the main force

First of all, Ali’s user bonus is clearly not exhausted. The financial report shows that Alibaba’s mobile monthly mobile (MAU) users in China’s retail market reached 785 million in the quarter, compared with June 2019 (Q1 active users 7.55). Billion) has grown by 30 million; annual active consumers have grown by 19 million to 693 million.

Mobile MAU, which is the number of mobile devices that visited Ali’s APP in the month. A net increase of 30 million in one breath shows that more and more users choose to use mobile devices to enter Ali’s various e-commerce products. Among them, the increase of mobile active users and annual active consumers of Taobao Tmall reached 256 million and 227 million respectively, and a large part of the growth of users came from the sinking market.

The night of Double Eleven is coming soon. Ali has a very optimistic expectation: Tsao, the president of Tmall, who has been practicing double eleven this year, has already spoken. It is expected to participate in Tmall Double on November 11th. 11 users will grow by 100 million.

Under the user dividend, the growth of different businesses in Ali has its own merits.

The core e-commerce business, as the main force of Ali’s making money, did not give a surprise but remained very stable: Alibaba’s core business business revenue for the quarter was 10.12 billion yuan, a year-on-year increase of 40%. There is no slowdown but there is no chain.

In addition to Taobao e-commerce, rookie and other “money-making” businesses, Ali’s core business also includes its “new retail” business, such as box horse, Tmall supermarket, import business and Yintai, etc. Part of the revenue increased by 125% year-on-year, from 15% of total revenue in the same period last year to 15%.

Alibaba Core Business

Ali just spent $2 billion to win the Netease koala, and some analysts believe that koala will strengthen Ali’s cross-border e-commerce business is also one of the factors driving its revenue growth. However, the boots just landed, and what increments koala will bring to Ali, and then look at it later.

In addition to revenue, high profit growth is also a bright spot. There is an explanation in this financial report. The main reason for the increase in profits is that 33% of the shares of Ant Financial is obtained, and the one-time gain is 69.2 billion yuan. “The net profit attributable to ordinary shareholders was 72.54 billion yuan ($10.149 billion) and the net profit was 70.748 billion yuan ($9.898 million), including after obtaining a 33% stake in Ant Financial. A significant one-off gain was recognized. After deducting a one-time increase of 69.2 billion yuan ($9.7 billion) and other parts, non-GAAP net profit was 327.5 billion yuan ($4.582 million), a year-on-year increase of 40%.”

The money earned by e-commerce, so the loss of the other three major businesses (cloud computing, digital entertainment and innovative business) is not so “deserved”.

The other three businesses: “steady” losses

In addition to the big business of e-commerce, cloud meterRevenues from computing, digital entertainment and innovative businesses also had a certain growth rate during the quarter, but losses were still their main theme.

In this quarter, Alibaba Cloud’s revenue was 9.291 billion yuan, a year-on-year increase of 64%, compared with 7.787 billion in the previous quarter, an increase of 19.3%. But as always, the adjusted EBITA’s losses in the quarter have expanded:In the quarter ended September 30, 2019, the cloud-adjusted EBITA lost 521 million yuan. The renminbi ($73 million), and the loss for the same period in 2018 was 232 million yuan.

Be aware that from the Q3 of 2018, the loss of Alibaba Cloud Computing has actually narrowed: Q4 in 2018, EBITA lost 270 million, loss rate 4.1%; in 2019, EBITA lost 100 million, loss The rate is only 2.1%. But this time, the adjusted EBITA loss rate increased from 4% on September 30, 2018 to 6% today. The financial report explained that this was mainly due to its investment in talent and technology infrastructure.

But the good news is that Bloomberg has statistics, Amazon and Microsoft reported the same period of financial reports that their cloud computing revenue growth was 35% and 59% respectively. That is to say, in 3A (Amazon AWS, Microsoft Azure, Alibaba Cloud), Alibaba Cloud’s growth is the highest. If you want to find a reason to be forgiven for Ali Yun’s loss, then you can only say that Alibaba’s loss is not a loss, it is investing in the future.

Although Aliyun’s losses can be temporarily pressed, Ali’s digital entertainment business is another way of saying it.

Because of losses, the industry once did not lack the voice of Ali to divest the digital entertainment business. Ali’s digital entertainment business mainly includes Youku Tudou and UC browser. The loss of Q4 before interest and tax amortization in 2018 was 6.03 billion, and the loss rate was 93%. In 2018, the total annual loss was 15.56 billion. That is, the growth rate of revenue was less than 20%, and the loss rate was as high as 90%. However, before the 2019 fiscal year Q1, the loss before interest and tax amortization was 2.28 billion, and the loss rate narrowed to 40%, but the revenue growth rate was only 7.6%, which was lower than the growth rate of Ali’s “big market”.

In the quarter, digital entertainment business revenue growth has increased: digital media entertainment business revenue of 7.296 billion yuan, an increase of 23%. But the loss is still: as of the September 30, 2019 quarter, the digital media and entertainment sector adjusted the EBITA loss to 2.207 billion yuan ($309 million), adjusted EBThe ITA loss rate is 30%, which is mainly due to Youku’s investment in content.

The loss of digital entertainment sector has not been expanded, and it is always good news.

Finally, the innovative business segment and other business revenues including Gaode Navigation, YunOS and Ant Financial Services were 1.210 billion yuan, a year-on-year increase of 14%. As of the September 30, 2019 quarter, the innovation plan and other partially adjusted EBITA losses were 1.917 billion yuan ($268 million), compared with a loss of 1.241 billion yuan in the same period last year. The financial report explained that the increase in adjusted EBITA losses was mainly due to our research and innovation and investment in other business plans.

In terms of cost, in general, the quarterly revenue for the quarter ended September 30, 2019 was 65.546 billion yuan ($9.17 billion), accounting for 55% of total revenue (compared to 46.786 billion yuan in the same period last year). Among them, the product development cost for the quarter was 10.938 billion yuan ($1.53 billion), accounting for 9% of total revenue; the sales and marketing expenses for the quarter were 11.196 billion yuan ($1.679 billion), accounting for total revenue. 10%.

In addition, interesting things, has been mentioned by Jiang Fan at the press conference nine times of “new consumption”, which has already appeared in Ali’s interpretation of the financial report.

If the new retail is an interpretation of the digitization of the “people’s yard”, then the concept of “new consumption” is higher than the new retail, including the life cycle of the entire commodity and the change in the overall lifestyle of the consumer. . Based on this new concept, Tmall released a new digital system in September. It is understood that the brand’s development time can be shortened from two years to six months for the “internal demand” of Alila’s consumption and entertainment.

According to the pre-sale phase data disclosed by Tmall, as of October 31, the number of brands with a turnover of 100 million yuan has reached 64, and the number has doubled compared with last year. Brand live broadcasts have also doubled year-on-year. Beauty, apparel, food, home, digital home appliances, autos and other industries have joined, and the number of open-selling businesses in the beauty industry, which has repeatedly set a record for live sales, has grown by more than 200% year-on-year.

Alibaba Group Chairman and CEO Zhang Yong also released a small goal, “At the end of FY 2024, we hope to serve more than 1 billion annual active consumers and help our merchants get more than 10 trillion yuan in annual transactions. Amount.”

This quarter’s data is really not a thrill. However, the double eleven has come, really need to take a breath of the big test in ten days.