To Understand These Five Points, You Can Understand Why Ali Q1 Quarterly Newspaper Is So Cattle.

After two months,

The group's top management team again tells the latest business developments to global investors. They bring the strongest quarterly earnings report since the listing in the US. The business matrix of the group's round change operations is beginning to show its power, and Alibaba other than GMV is speaking with results.

It is learned that on the night of August 11, 2016, Alibaba (NYSE:BABA) released its first quarter financial results for the 2017 fiscal year ending June 30, 2016.

Data show that revenue was 32 billion 154 million yuan (US $4 billion 838 million), an increase of 59% over the same period last year.

The total retail trade volume (GMV) contributed by China's retail platform was 837 billion yuan (US $126 billion), up 24% over the same period last year.

In the quarter, Alibaba Group continued to maintain strong growth, and both revenue and GMV growth exceeded investment market expectations.

It is worth mentioning that this is the strongest single growth season in revenue growth since Alibaba group was launched in September 2014, which outperformed Wall Street analysts' expectations.

In addition, there are four other highlights in the earnings report: digital media and new entertainment business matrix. Taobao has gradually become a social life platform, mobile users have more than non mobile users and YunOs, Gao De, nail and other innovative businesses.

Highlight 1: revenue growth is coming to a new high

Before the Alibaba released its earnings report, Wall Street investment bank raised the target price of Alibaba.

Among them, Morgan Stanley gave Alibaba stock a target price of 130.6 US dollars. It is expected that Alibaba GMV will reach 821 billion yuan in the quarter and revenue will increase to 30 billion 300 million yuan, which is higher than the average of international large companies such as Thomson Reuters and Bloomberg.

However, the performance of Alibaba after the official announcement - 32 billion 154 million yuan in revenue and 837 billion yuan in China's retail platform GMV - still exceeds the expectations of all international investment banks including Morgan Stanley.

It is worth noting that this will be the last Alibaba to disclose GMV data in the quarterly report, which will be pformed into an annual report in the annual report.

Ma Yun, chairman of the board of directors of Alibaba group, made the statement that "GMV has never been our core indicator and the commercial infrastructure is."

Alibaba will upgrade its business form through continuous self pformation, and there is no reference to the business form that builds business infrastructure, enabling businesses and enterprises.

UBS, a European investment bank, mentioned in the research report that this change is of significance to Alibaba. Alibaba will gradually weaken the importance of GMV data, and the value of empowering merchants will be the focus of future.

Ali hopes that this value display and analysis mode can be explored and amended together with global investors. As for Ali's goal, Ma Yun has said: "by 2020, Ali will achieve 6 trillion yuan GMV, and more importantly, we need to create one hundred million job opportunities to help 10 million profitable enterprises."

The biggest adjustment of Ali's quarterly report is to present its performance in the form of business matrix, which is divided into four business matrices: China's retail platform, cloud computing, digital media and entertainment, and innovation projects and other businesses.

Zhang Yong, chief executive of Alibaba group, said: "Alibaba group performed well this quarter.

Our performance shows the size and influence of the group ecosystem, because we are constantly strengthening our competitive edge in core business, cloud computing, digital media and entertainment.

The acceleration of income growth also reflects the deep value orientation we bring to our customers.

Ali cloud performance is particularly eye-catching in the four business matrix, and has continued to grow rapidly in the quarter after continuous multi quarter three digit growth.

Earnings data show that cloud computing revenue in the quarter reached 1 billion 243 million yuan, an increase of 156% over the same period in 2015, mainly benefiting from the continued rise in the number of paid customers, up 119% to 577 thousand compared to the same period last year.

The first single row of digital media and entertainment business has attracted the attention of foreign investment banks, especially Ali, who combed the entertainment strategy in the quarter and completed the acquisition of Youku potatoes in early April this year.

During the quarter, the business revenue increased from 812 million yuan in the same period last year to 3 billion 135 million yuan.

UC global expansion is ideal.

According to StatCounter, a website traffic monitoring agency, UC browser is the first independent browser in India and Indonesia, the top three mobile browser in the world.

Highlight three: Taobao becomes a social commerce platform

The third highlight of this quarterly report is that Taobao is showing a new vitality of pformation. It is no longer limited to shopping, but a social business platform that people can not get away from.

According to the information disclosed in the earnings report, the participation of Taobao users is high. In June, Taobao mobile apps (APP) active users opened up Taobao app in an average of 7 times a day, and more than 20 million comments were published by Taobao users every day. Community interaction became more frequent. "Ask everyone" became an increasingly popular community experience function in the Taobao evaluation system, contributing to about 2 million user interaction in June.

They love the original personalized new brand, and can be seen from the charm of Taobao's creation Festival.

Zhang Yong pointed out that with the help of social, social and intelligent data driven personalized services on the platform, we have changed the way of interaction between 434 million active users on our platform, and gradually realized the vision of "living in the Alibaba" (Live@Alibaba).

We are ready for strong and high-quality growth in the future.

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Highlights four: mobile terminal liquidity rate first exceeded non mobile terminals

The Alibaba group's chief financial officer, Wu Wei, was encouraged by the promotion of Alibaba's liquidity in the mobile market. "We achieved an important milestone in the quarter, that is, the liquidity rate of mobile terminals is higher than that of non mobile terminals for the first time, which means that our strategy to embrace Mobile has been successful, and the group has always maintained a leading edge in mobile business."

In the quarter, the mobile terminal conversion rate of China's retail platform reached 2.80%. It was the first time since the mobile terminal began to liquidate in the fourth quarter of fiscal 2013, the first time it exceeded the non mobile terminal liquidity rate; in June, the number of mobile monthly active users reached 427 million, representing a net increase of 17 million compared with March, an increase of 39% over the same period.

Whether from the global number of users or mobile liquidation rate, Alibaba continues to expand the leading edge of the world's first mobile e-commerce platform.

Beyond all doubt,

Liquidation rate is one of the important indicators for international investment banks to give valuations to listed electricity supplier enterprises.

UBS pointed out in its performance forecast research report that I believe Ali's liquidity rate will continue to improve.

The US capital Citibank, which has just raised the target price of Alibaba to US $104, pointed out in the research report that the Bank forecast Ali mobile terminal liquidity rate of 2.58%, and Ali's performance exceeded expectations.

Highlight five: innovation business emerging

As the world's largest third party retail platform, Alibaba is no longer a simple electric business company, but a technological company that has grown to provide "hydropower coal" infrastructure for businesses.

The long-term strategic goal set by Alibaba group is to serve 10 million of global profitable enterprises and 2 billion consumers.

In the quarterly report of Ali, one of the most important aspects is innovation. As Ma Yun pointed out at the global investor day conference in June 14th this year, "everything that Ali does, every business is for long-term consideration rather than immediate interests.

Today, the establishment of Taobao, Tmall and Alipay business is gratifying, and these businesses have been laid out many years ago.

Ali's business varies, but it takes ten years to make strategic decisions.

This quarterly report reveals that Ali is innovating in YunOS operating system, high moral map, nail and nail.

Continue to make progress.

Among them, YunOS and SAIC cooperated to launch the first Internet car. The two sides aim to pform the vehicle into an intelligent life platform that uses seamless data, Internet and cloud computing.

In other investment businesses, the Alibaba group and the ant gold clothing joint venture company, providing the local life service companies' word of mouth, paid 31 billion yuan through Alipay settlement in the quarter, an increase of 48% over the previous quarter.

The degree of globalization of ant financial services has been further enhanced.

In the quarter, Paytm, the India third party payment company invested by ants and gold clothing, ranks among the fourth largest "wallet" in the world. The number of users has now reached 135 million. It has increased by more than 5 times compared with its early start in 2015, and has provided services for India users to pfer accounts, pay tuition fees, pay for water and electricity, and pay for gas stations and a large number of offline merchants. This has made India users unable to reach traditional financial institutions enjoy equal financial services.

The Alibaba group associated rookie network handled 42 million packages per day at the end of June, involving more than 1 million 700 thousand courier and warehousing staff and 180 thousand express stations involved in rookie network logistics partners.