Asia300

Alibaba Group Holding Ltd.

China

  • 1m
  • 3m
  • 6m
  • 1y
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  • 5y
Dec 12, 2017
Prev close: 174.64
Dec 12, 2017
Market cap:
Market cap(USD):
446,360.92M
446,360.92M
Shares: 2,555.89M

Currency in USD

Company profile

Market(Ticker): NYS(BABA)
Sector:
Industry:
Retail Trade
Internet Retail
Full time employees: 50,097

Business summary

Alibaba Group Holding Ltd. engages in providing online and mobile marketplaces in retail and wholesale trade. It operates through the following segments: Core Commerce, Cloud Computing, Digital Media and Entertainment, and Innovation Initiatives and Others. The Core Commerce segment comprises platforms operating in retail and wholesale. The Cloud Computing segment consists of Alibaba Cloud, which offers elastic computing, database, storage and content delivery network, large scale computing, security, management and application, big data analytics, a machine learning platform, and other services provide for enterprises of different sizes across various industries. The Digital Media and Entertainment segment includes the Youko Tudou and UCWeb media properties. The Innovation Initiatives and Others segment involves in the YunOS, AutoNavi, DingTalk, and other businesses. The company was founded by Chung Tsai and Yun Ma on June 28, 1999 and is headquartered in Hangzhou, China.

Company background

Alibaba Group, set up in 1999, is China's largest electronic commerce company. Its head office is in Hangzhou, Zhejiang Province. Having grown into an enterprise handling a wide variety of businesses ranging from cloud services and finance to media, besides e-commerce, the company listed on the New York Stock Exchange last year.

Founder Jack Ma, who first used the Internet in the U.S. in the mid-1990s, created in 1999 a website to support e-commerce. His company had initially focused on business-to-business transactions, before opening the Taobao online shopping site for individual users in 2003.

Thanks to the rapid spread of the Internet and expanding consumer spending in China, the users of Taobao soared at a fast pace. Today, Taobao.com for consumer-to-consumer deals and Tmall for business-to-consumer are two pillars of Alibaba's operations. The number of annual active buyers on Alibaba sites has reached 350 million.

Increasingly, more online shoppers are shifting to smartphones. Alibaba is been pushing ahead with efforts to attract smartphone users primarily by improving the convenience of the AliPay online payment system. As a result, the mobile monthly active users of its sites have reached close to 300 million in number. The company intends to enhance its financial business with Alipay at the center as well as to step up its cloud, information technology and big data businesses.

The company raised around $20 billion through its initial public offering in New York in 2014. It is acquiring other companies with the money raised. In August this year, Alibaba bought the majority of new shares issued by China's second biggest retailer, Suning Commerce Group, for 28.3 billion yuan, becoming the second largest shareholder in Suning. In China, Tencent and other local rivals are reinforcing strategies to erode Alibaba's dominance in e-commerce.

After failing to pass university entrance exams twice, Jack Ma once gave up going higher education and worked as a driver. A self-made man, he enjoys strong popularity among Chinese.

In the news

Financial highlights

Mar 2017

  • Local currency
  • US Dollar
Revenue 23,521.83M
Gross profit 14,047.89M
Operating income 7,261.50M
Income before tax 8,921.24M
Net income 6,490.78M
EBITDA 9,369.61M
Diluted EPS 2.52
Dividends per share --
Total assets 73,547.54M
Total liabilities 26,508.45M
Total equity 40,897.00M
Operating cash flow 11,937.69M

Currency in USD

Revenue 23,521.83M
Gross profit 14,047.89M
Operating income 7,261.50M
Income before tax 8,921.24M
Net income 6,490.78M
EBITDA 9,369.61M
Diluted EPS 2.52
Dividends per share --
Total assets 73,547.54M
Total liabilities 26,508.45M
Total equity 40,897.00M
Operating cash flow 11,937.69M

Currency in USD

Valuation measures

Mar 2017

PER 41.41
ROA 9.99%
ROE 17.41%
Operating margin 30.87%
Profit margin 27.59%

Key executive

  • Chief Executive Officer & Director: Yong Zhang
  • President & Director: John Michael Evans
  • Chief Financial Officer: Wei Wu
  • Chief Technology Officer: Jian Feng Zhang
  • Vice President: Qin Zhang

Share holders

  • T. Rowe Price Associates, Inc.(2.0%)
  • Baillie Gifford & Co.(1.7%)
  • BlackRock Fund Advisors(1.3%)
  • Temasek Holdings Pte Ltd. (Investment Management)(1.3%)
  • SSgA Funds Management, Inc.(1.2%)
  • Capital Research & Management Co. (Global Investors)(1.2%)
  • HSBC Global Asset Management (UK) Ltd.(1.1%)
  • Fidelity Management & Research Co.(1.0%)
  • Capital Research & Management Co. (World Investors)(0.7%)
  • Jennison Associates LLC(0.7%)

Address

  • Website: http://www.alibabagroup.com
  • Address: 969 West Wen Yi Road, Yu Hang District, Hangzhou, 311121, China
  • Phone: +86.571.8502.2088

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