Alibaba Group’s revenues up 9% in June Quarter

Hong Kong, 20th August: Last week, Alibaba Group, China’s largest e-commerce company, announced its results for the quarter ended 30th June 2026. The company recorded revenues of US$40 billion, an increase of 9% year-on-year. However, the company’s profit posted a decrease of 75% over the same quarter in 2025, down to US$1.5 billion. Alibaba attributed the decline to the decrease in come from operations, decrease in net gains from disposal of investments, and the decrease in net gain from mark-to-market changes of the equity investment. Diluted earnings per share in the quarter were RMB 0.46 (US$0.07).

The new Alibaba E-commerce Group, including its B2B business, presents its revenues in four segments: China E-commerce, China Quick Commerce, International E-commerce, and Global Wholesale, reflecting the company’s strategic focus on unlocking significant synergies across its domestic and cross-border e-commerce businesses. The Alibaba E-commerce Group generated revenues of US$30 billion, a year-on-year 4% increase. The Global Wholesale segment recorded revenues of US$2.05 billion in the quarter, up 7% from the same quarter last year.

For the whole company, the Alibaba Group reported revenue growth was due to AI monetization and Cloud revenues growth.

Eddie Wu, Chief Executive Officer of Alibaba Group, said, “We delivered a strong quarter, driven by the improving commercialization of our full‑stack AI capabilities. Alibaba Cloud’s external revenue growth accelerated to 45%, with AI-related product revenue delivering triple-digit growth for the twelfth consecutive quarter. We recently launched frontier language, coding, video, audio, image and music models, all delivering top-tier performance. We introduced QwenWork, an AI workforce agent that unleashes enterprise productivity and capabilities. With our full‑stack AI strategy, we have put Alibaba in a superior position to capture the substantial growth of demand for artificial intelligence and AI compute.”

Separately, the Alibaba Group announced the pricing of its HK$80 billion placing of 710,000,000 newly issued ordinary shares of the company (Placement Shares) to non-U.S. persons outside the United States, at a placing price of HK$112.70 per Placement Share, which is expected to close on 26th August 2026, subject to customary closing conditions.