Alibaba: Consolidated Revenue Growth Will Be Much Higher In FY2027

Despite the Q4 revenue miss, BABA's transition from traditional e-commerce to AI and quick commerce continues and is expected to reach a key inflection point in FY2027. Weak 1.2% YoY growth in CMR revenue during Q4 was driven by accounting changes; adjusted revenue would have grown 8% YoY. The disposals of Sun Art and Intime continued to weigh on BABA's year-over-year total revenue growth, but there will be no major impact in FY2027.