Alibaba’s revenue has continued to grow across its commerce and cloud computing businesses despite the economic slowdown in China.

Its yearly results show a 51 per cent growth in revenue to US$56.15 billion, this figure excludes the costs of consolidating acquired businesses in which the revenue would’ve grown by 39 per cent. Its quarterly revenue also grew by 51 per cent.

Income from operations came in at US$8.5 billion and its adjusted EBITDA rose 15 per cent to US$18.1 billion.

The company’s annual active consumers on its China retail marketplaces reached 654 million, an increase of 102 million from the 12-month period.

Daniel Zhang, Chief Executive Officer of Alibaba Group said, “More and more, Alibaba is becoming synonymous with everyday consumption in China, growing our base to 654 million annual active consumers and extending our penetration in less-developed cities.

“Our cloud and data technology and tremendous traction in New Retail have enabled us to continuously transform the way businesses operate in China and other emerging markets, which will contribute to our long-term growth.”

Alibaba attributes its revenue growth to three key factors, effective user acquisition and penetration into less developed cities; solid revenue growth of China retail marketplaces reflecting higher user engagement driving improving click-through rate and better purchase conversion; and expansion of its total addressable market by investing in local consumer services and new retail businesses that captured additional consumer wallet share and improved user loyalty.

For its cloud computing division, full year revenue came in at US$3.6 billion, an increase of 84 per cent, this was primarily driven by a growth in average spending per customer.

Maggie Wu, Chief Financial Officer of Alibaba Group said, “We delivered another strong quarter and excellent fiscal year, led by fiscal year revenue growth of 51 per cent as well as robust user growth and engagement across our ecosystem. Excluding the effects of consolidating acquired businesses, revenue would have increased by 39 per cent year-over-year.

“Over the years, our steady profit growth and cash flow have enabled us to strengthen our core business, invest in new businesses and create unique value for our customers.

“These investments have expanded our total addressable market and positioned us well for long-term growth. Looking ahead to fiscal 2020, we expect revenue to be over RMB500 billion, reflecting our confidence and positive momentum going forward.”

The company predicts its revenue growth will slump by 33 per cent over the next fiscal year.

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