--- title: "Understanding the Market | Alibaba-W opened nearly 8% higher, AI revenue will exceed 30 billion by the end of the year, and AI capital expenditure accelerates again" type: "News" locale: "en" url: "https://longbridge.com/en/news/286339974.md" description: "Alibaba-W's stock price opened nearly 8% higher and, as of the time of writing, has risen 7.76% to HKD 143.1, with a transaction volume of HKD 1.28 billion. The latest earnings report shows that for the fourth quarter of fiscal year 2026, revenue was CNY 243.38 billion, a year-on-year increase of 3%; net profit was CNY 25.476 billion, a year-on-year increase of 106%. Revenue from AI-related products reached CNY 8.971 billion, and it is expected that the proportion of AI revenue will exceed 50% in the coming year. Alibaba plans to exceed CNY 380 billion in capital expenditures in the future to meet AI demand" datetime: "2026-05-14T01:34:03.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/286339974.md) - [en](https://longbridge.com/en/news/286339974.md) - [zh-HK](https://longbridge.com/zh-HK/news/286339974.md) --- # Understanding the Market | Alibaba-W opened nearly 8% higher, AI revenue will exceed 30 billion by the end of the year, and AI capital expenditure accelerates again According to the Zhitong Finance APP, Alibaba-W (09988) opened nearly 8% higher and as of the time of writing, it has risen by 7.76%, trading at HKD 143.1 with a transaction volume of HKD 1.28 billion. In terms of news, Alibaba's latest performance data shows that for the fourth quarter of the fiscal year 2026, revenue was CNY 243.38 billion, a year-on-year increase of 3%; net profit was CNY 25.476 billion, a year-on-year increase of 106%. For the quarter ending March 31, 2026, the Cloud Intelligence Group's revenue was CNY 41.626 billion, a year-on-year increase of 38%, with external commercialization revenue accelerating to a year-on-year growth of 40%. In this quarter, revenue from AI-related products reached CNY 8.971 billion, achieving three-digit year-on-year growth for the 11th consecutive quarter, accounting for over 30% of external revenue for the first time. Alibaba executives stated during the earnings call that they expect the proportion of revenue from AI-related products to exceed 50% in the coming year, becoming the main engine for Alibaba Cloud's revenue growth. Eric Wu revealed that there is almost no empty card in Alibaba's servers now. He expects that in the June quarter, the annual recurring revenue (ARR) from AI models and application services, including the Bai Lian MaaS platform, will exceed CNY 10 billion, and by the end of the year, it will surpass CNY 30 billion. Additionally, to meet the huge demand for AI, Alibaba stated that future capital expenditures will exceed the original plan of CNY 380 billion ### Related Stocks - [09988.HK](https://longbridge.com/en/quote/09988.HK.md) - [KBAB.US](https://longbridge.com/en/quote/KBAB.US.md) - [BABO.US](https://longbridge.com/en/quote/BABO.US.md) - [BABX.US](https://longbridge.com/en/quote/BABX.US.md) ## Related News & Research - [Nextech3D.ai Launches Krafty Labs AI Event Marketplace | NEXCF Stock News](https://longbridge.com/en/news/286090006.md) - [Dot Ai Reports First Quarter 2026 Financial Results | DAIC Stock News](https://longbridge.com/en/news/285990697.md) - [](https://longbridge.com/en/news/286300823.md) - [AI coders are carrying half-open laptops through airports, offices, and ice rinks](https://longbridge.com/en/news/286066442.md) - [Golden Web3.0 Daily Report | TON Launches Acton, a Unified Smart Contract Toolchain](https://longbridge.com/en/news/286115692.md)