Alibaba Group Holding Ltd. (9988.HK) said it's seen a "steady recovery since March" after the COVID-19 outbreak dampened its business earlier in the year. U.S.-listed shares of the company are up 0.4% in premarket trading Friday. The Chinese e-commerce giant recorded fiscal fourth-quarter net income of RMB3.1 billion ($447 million), or RMB1.16 a share, down from RMB25.8 billion, or RMB9.84 a share, in the year earlier period. Alibaba said that the decline in net income mainly reflected net losses on investment income related to declining. market prices for its equity investments in public companies. On an adjusted basis, Alibaba earned RMB9.20 a share, up from RMB8.57 a share a year prior, while the FactSet consensus had been for RMB6.05 a share. The company posted revenue of RMB114.3 billion, up from RMB93.5 billion a year earlier, while analysts were expecting RMB107.5 billion. "Although the pandemic negatively impacted most of our domestic core commerce businesses starting in late January, we have seen a steady recovery since March," Chief Financial Officer Maggie Wu said in a release. Alibaba said that the number of annual average customers on its China retail marketplaces hit 726 million in the quarter, up 15 million from the 12-month period that ended in December. For the full fiscal year, which ended in March, Alibaba saw RMB7.1 trillion in gross merchandise volume across its "digital economy." For the new fiscal year, the company expects over RMB650 billion in revenue, while analysts were modeling RMB659 billion. Alibaba shares have lost 0.2% over the past three months as the KraneShares CSI China Internet ETF (KWEB) has added 0.8% and as the S&P 500 has lost 12%.
-Emily Bary; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
May 22, 2020 07:28 ET (11:28 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.