Alibaba reports mixed results amid strategic investments

Alibaba Group Holding Limited announced its interim results for the six months ended September 30, 2025, with consolidated revenue reaching 495,447 million yuan, a 3% increase year-over-year. Despite this growth, income from operations decreased by 43% to 40,353 million yuan, and net income attributable to ordinary shareholders declined by 6% to 64,106 million yuan. Adjusted EBITDA also saw a 36% decrease to 62,991 million yuan, primarily attributed to investments in quick commerce, user experiences, and technology.

The company's strategic realignments impacted segment performance. Alibaba China E-commerce Group’s revenue increased by 12% to 272,650 million yuan, while its adjusted EBITA decreased by 47% to 48,886 million yuan. Cloud Intelligence Group reported a 30% revenue increase to 73,222 million yuan, and its adjusted EBITA grew by 31% to 6,558 million yuan. Alibaba International Digital Commerce Group’s adjusted EBITA turned profitable at 103 million yuan from a loss in the prior period, driven by improved operating efficiency.

Net cash provided by operating activities for the six months decreased by 53% to 30,771 million yuan, with free cash flow showing an outflow of 40,655 million yuan. This was largely due to increased cloud infrastructure expenditure and quick commerce investments. The company repurchased 73 million shares on the NYSE for $1.0 bn during the reporting period.