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08-18
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Alibaba Cloud External Revenue Hits 22-Quarter High, But GAAP Profit Drops ~75%?
Alibaba's FY27 Q1: revenue of 268.95bn yuan, +9% and a hair above the 268.52bn consensus. Profit needs two lenses β€” adjusted net profit βˆ’38% to 20.72bn, GAAP net profit βˆ’75%; quoting only the adjusted figure understates the erosion. Capex +75% to 67.68bn, nearly all AI infrastructure, and the return is visible: cloud external revenue +45%, a 22-quarter high, AI product revenue in triple digits for 12 straight quarters, AI cloud annualizing near 49.5bn. The U.S. listing rose 1.26% on the print. Re-rate on cloud, wait for capex to peak, or watch margins next quarter?
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