Alibaba Group has released its financial results for the fourth quarter and the full fiscal year 2026. The company reported Q4 revenue of RMB 243.38 billion, representing a year-over-year increase of 3%. Excluding revenue from disposed businesses such as Sun Art Retail and Intime, revenue on a comparable basis would have grown by 11%. Net profit for the quarter stood at RMB 25.476 billion. For the full fiscal year 2026, revenue reached RMB 1,023.67 billion, also up 3% year-over-year, with an annual net profit of RMB 105.904 billion.
The financial report indicates that Alibaba Cloud's external commercial revenue accelerated, growing by 40%. Revenue from AI-related products accounted for over 30% of this total for the first time, establishing it as a new growth engine. Quarterly revenue from AI-related products reached RMB 8.971 billion, with annualized revenue surpassing RMB 35.8 billion. Core commerce customer management revenue (CMR) grew by 8% on a comparable basis, while instant retail revenue demonstrated robust growth of 57%.
Alibaba Group CEO Eddie Wu stated, "Alibaba's full-stack AI technology investment has officially moved beyond the initial incubation phase and entered a positive cycle of scaled commercial returns. This quarter, we achieved accelerated breakthroughs across the model, cloud infrastructure, and application layers. The growth rate of Alibaba Cloud's external commercial revenue accelerated to 40%, with AI-related revenue accounting for 30%. At the AI model layer, the Qwen large model demonstrates leading capabilities in reasoning, programming, and more. Simultaneously, we have introduced video generation and world models to enrich our multimodal model portfolio. At the AI application layer, we see immense potential for AI agents—we have launched several enterprise-grade agents covering scenarios like office work and programming. The consumer-facing Qwen App has fully integrated e-commerce service capabilities, further deepening the synergy between AI applications and our broad consumption ecosystem."
Revenue from AI-related products this quarter reached RMB 8.971 billion, marking the eleventh consecutive quarter of triple-digit year-over-year growth. The annualized revenue for AI-related products exceeded RMB 35.8 billion.
At the model layer, the Qwen large model showcases leading positions in reasoning, programming, and agent tasks. The company has also enriched its multimodal model matrix, including the world model HappyOyster and the video generation model HappyHorse.
At the chip layer, T-Head's self-developed GPU chips have achieved mass production and widespread industrial application. Over 60% of the computing power now serves external commercial clients, covering key sectors such as internet, finance, and autonomous driving.
With the advent of the autonomous AI agent era and a surge in enterprise AI application demand leading to a sharp increase in token consumption, Alibaba has elevated the organizational priority of Model-as-a-Service (MaaS). It has established the Alibaba Token Hub (ATH) business group to strengthen strategic coordination among model development, MaaS, and AI application businesses. In March 2026, the customer base for the MaaS platform Bailian grew eightfold year-over-year.
At the application layer, Alibaba continues to advance in both AI for business (to B) and consumer (to C) domains. For business scenarios, it has launched various enterprise service products covering intelligent office work and AI coding. The consumer-facing Qwen App has fully integrated with Taobao and Tmall's e-commerce service capabilities, becoming China's first all-in-one personal assistant connecting life, work, and learning scenarios.
This quarter, core commerce CMR grew by 8% on a comparable basis. On the consumer side, Taobao and Tmall have been more comprehensively integrated with the Qwen App to meet diverse user needs. Furthermore, the Taobao App introduced the Qwen AI Shopping Assistant, providing end-to-end services throughout the shopping journey, including product discovery, pre-sales support, order management, and after-sales service. For merchants, Wukong integrates advanced intelligent capabilities into merchant workflows to enhance operational efficiency.
Instant retail revenue saw strong growth of 57%, with the market size remaining stable. This quarter, both unit economics and average order value for instant retail showed sequential improvement.
Concurrently, Alibaba announced the distribution of its fiscal year 2026 annual regular cash dividend, with a total amount of approximately $2.5 billion.
