June Quarter 2024 Results
August 15, 20241

Disclaimer
This presentation contains certain financial measures that are not recognized under generally accepted accounting principles in the United States (“GAAP”), including
adjusted EBITDA (including adjusted EBITDA margin), adjusted EBITA (including adjusted EBITA margin), non-GAAP net income, non-GAAP diluted earnings per
share/ADS and free cash flow. For a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP measures, see GAAP to Non-GAAP
Measures Reconciliation, GAAP to Non-GAAP Net Income Attributable to Ordinary Shareholders and the slides presenting revenue and EBITA by segments. This
presentation contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act
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and guidance regarding the growth of its business, revenue and return on investments, share repurchases and the business outlook and quotations from managementin this presentation, are or contain forward-looking statements. Alibaba may also make forward-looking statements in its periodic reports to the U.S. Securities andExchange Commission (the “SEC”), in announcements made on the website of The Stock Exchange of Hong Kong Limited (the “Hong Kong Stock Exchange”), in press
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required under applicable law.
2

Business and Financial Highlights•

Total
Revenue•

RMB 243.2Bn$(US$33.5Bn)•

Adjusted EBITA•RMB 45.0Bn

Taobao and Tmall Group is winning the mindshare of our consumers. This pastquarter, we achieved high-single-digit online GMV growth and double-digit order
growth.
Alibaba Cloud’s overall revenue, excluding Alibaba-consolidated subsidiaries, grew at
6% driven by double-digit public cloud growth and increasing adoption of AI-related
products.
Alibaba International Digital Commerce Group continues to achieve robust revenue
growth driven by rapid order growth in cross-border businesses, especially from
AliExpress’ Choice.
Other businesses are improving their monetization and operating efficiencies, some ofwhich significantly reduced losses year-over-year.

(US$6.2Bn)

Net Cash Position(1)As of Jun 30, 24
RMB 405.7Bn(US$55.8Bn)
Note:(1) Including cash and cash equivalents, short-term investments and other treasury investments less bank borrowings, unsecured senior notes and convertible unsecured senior notes.

3Cash Return to Shareholders
Share Repurchase•

During the quarter ended June 30, 2024, we repurchased a total of 613 million ordinary shares (equivalent to 77 million ADSs) for a total of US$5.8 billion, including the
repurchase of approximately 14.8 million ADSs at US$80.80 per ADS through privately negotiated transactions concurrently with the issuance of our convertible notes
on May 23, 2024. These purchases were made in both the U.S. and Hong Kong markets under our share repurchase program.

•

As of June 30, 2024, we had 19,024 million ordinary shares (equivalent to 2,378 million ADSs) outstanding, a net decrease of 445 million ordinary shares compared toMarch 31, 2024, or a 2.3% net reduction in our outstanding shares after accounting for shares issued under our ESOP.

•The remaining amount of Board authorization for our share repurchase program, which is effective through March 2027, was US$26.1 billion as of June 30, 2024.

Three months ended
Jun. 30,
Sep. 30,
2023
2023
$3.1
$1.7

Sep. 30,2022$2.1

Dec. 31,2022$3.3

Mar. 31,2023$1.9

Shares repurchased (Mn ADSs)

24

45

22

36

Outstanding shares (Mn ADSs)

2,626

2,585

2,566

2,549

Repurchase amount (US$Bn)

Dec. 31,2023$2.9

Mar. 31,2024$4.8

Jun. 30,
2024
$5.8

19

37

65

77

2,531

2,499

2,434

2,378

4

Income Statement: Selected Financials(in RMB Mn, except percentages)
Income from operations
Interest and investment income, net
Interest expense
Other income, net
Income before income tax and share of results ofequity method investees
Income tax expenses
Share of results of equity method investees
Net income
Net income attributable to ordinary shareholders
Adjustments to reconcile net income to non-GAAP net income:Non-cash share-based compensation expense
Amortization and impairment of intangible assets
Provision for the shareholder class action lawsuits
Loss on deemed disposals/disposals/revaluation of investments
Impairment of goodwill and investments, and others
Tax effects(1)Non-GAAP net income
Non-GAAP net income attributable to ordinary shareholders

Three months ended June 30,
2023
2024
YoY% Change YoY
42,49035,989(15)%(6,501)(5,898)(1,478)(75)%
4,420(1,784)(2,188)
23%
(404)
1,364
257
(81)%
(1,107)36,17232,580(10)%(3,592)(6,022)2,850
33,00034,332(10,063)
1,505
24,022
24,269

67%
(47)%
(27)%
(29)%

(4,041)(1,345)(8,978)(10,063)(1,629)
2,479
9,038
4,269
(2,235)44,92244,803

4,109
1,792
3,145
4,581
4,311
(1,269)40,691
40,314

N/A
(28)%
N/A
(49)%
1%
(43)%
(9)%
(10)%

5,738
(687)
3,145
(4,457)42966(4,231)(4,489)Note:(1) Tax effects primarily comprise tax effects relating to non-cash share-based compensation expense, amortization and impairment of intangible assets and certain gains and losses from investments, and others.

5Cash Flow & Balance Sheet: Selected Financials

Cash Flow
Net cash provided by operating activities
Less:
Purchase of property and equipment (excluding land use rights andconstruction in progress relating to office campuses)
Changes in the buyer protection fund deposits
Free cash flow
Net cash outflow relating to capital expenditure
Net cash inflow from investment and acquisition activities(1)Share Repurchase

Balance Sheet
Cash and cash equivalents
Short-term investments
Other treasury investments
Cash balance
Less:
Current and non-current bank borrowings
Current and non-current unsecured senior notes
Non-current convertible unsecured senior notes
Net cash position

Three months ended June 30,
2023
2024
RMB Mn
RMB Mn45,30633,636USD Mn4,628(6,007)(210)
39,089(11,939)(4,325)
17,372(1,643)
(595)
2,390

(6,927)
2,656(22,151)(12,094)727(42,695)(1,664)100(5,875)

As of June 30,
2024
RMB Mn219,167
176,030
218,481613,678

USD Mn30,15824,22330,06484,445(69,198)(102,917)(35,822)405,741(9,522)(14,162)(4,929)55,832As of March 31,
2024
RMB Mn248,125
262,955
106,150
617,230(68,435)(102,341)
446,454

Note:(1) Net cash inflow from investment and acquisition activities represent cash inflow from disposal of investments, net of cash outflow for investment and acquisition activities.

6Cost of Revenue and Operating Expenses
Cost of Revenue (excluding SBC)

Product Development Expenses (excluding SBC)(RMB Mn)(RMB Mn)Three months ended

Three months ended% of Revenue% of Revenue

60.9%

59.8%

4.6%

4.8%

142,654

145,520

10,707

11,570June 30, 2023

June 30, 2024

June 30, 2023

June 30, 2024

Sales & Marketing Expenses (excluding SBC)

General & Administrative Expenses (excluding SBC)(RMB Mn)(RMB Mn)Three months ended

Three months ended% of Revenue% of Revenue

11.6%

13.3%

3.5%

4.9%

27,17232,297

8,252

11,937

June 30, 2023

June 30, 2024

June 30, 2023

June 30, 2024

7

Segment Results: Quarter ended June 30(in RMB Mn, except percentages)
Revenue
Revenue YoY%
Adjusted EBITA
Adjusted EBITA YoY Change
Adjusted EBITA YoY%(3)(in RMB Mn)
Revenue
Adjusted EBITA

Taobao andTmall Group

Cloud
IntelligenceGroup

113,373(1)%
48,810(509)(1)%

26,549
6%
2,337
1,421
155%

Taobao andTmall Group

Cloud
IntelligenceGroup

114,953
49,31925,065916

Alibaba
International Cainiao Smart
Digital
Logistics
Commerce
Network
Group
Limited29,29332%(3,706)(3,286)(782)%

26,811
16%
618
(259)
(30)%

Alibaba
International Cainiao Smart
Digital
Logistics
Commerce
Network
Group
Limited22,123(420)

23,164877

Three months ended June 30, 2024
Digital Media
Local
and
Services Entertainment
Group
Group

16,229
12%
(386)
1,596
81%

5,581
4%
(103)
(166)
N/A

All others(1) Total segments Unallocated (2)47,0013%(1,263)470
27%

264,837
6%
46,307(733)(2)%

Inter-segment
elimination

Consolidated

419(22,020)

243,2364%
45,035
(336)
(1)%

(871)
592

(401)
(195)

All others(1) Total segments Unallocated (2)Inter-segment
elimination

Consolidated(17,027)(206)

234,156
45,371Three months ended June 30, 2023
Digital Media
Local
and
Services Entertainment
Group
Group

14,450(1,982)

5,381
63

45,798(1,733)250,934
47,040249(1,463)

Notes: Starting from the quarter ended September 30, 2023, we reclassified the results of our DingTalk business, which was previously reported under Cloud Intelligence Group, to All others, the purpose of which was to provide DingTalk withgreater autonomy to promote innovation and enhance competitiveness. Our CODM started to review information under this new reporting structure and segment reporting has been updated to conform to this change as well as the way wemanage and monitor segment performance. Comparative figures were reclassified to conform to this presentation.
(1) All others include Sun Art, Freshippo, Alibaba Health, Lingxi Games, Intime, Intelligent Information Platform (which mainly consists of UCWeb and Quark businesses), Fliggy, DingTalk (previously reported under Cloud Intelligence Groupsegment) and other businesses.
(2) Unallocated primarily relates to certain costs incurred by corporate functions and other miscellaneous items that are not allocated to individual segments.
(3) For a more intuitive presentation, widening of loss in YoY% is shown in terms of negative growth rate, and narrowing of loss in YoY% is shown in terms of positive growth rate.

8

Taobao and Tmall Group
XianyuBusiness Highlights•

China Commerce Retail Revenue

We improved matching of products with user needs and conversion of user traffic topurchases through investments in technology such as recommendation and matchingalgorithms, as well as increasing price-competitive offerings through diversification of
suppliers. In April, we launched our new AI-powered platform-wide marketing tool,
Quanzhantui, which features automated bidding, optimized targeting andperformance dashboard visualization. This new product aims at increasing merchants’marketing spending and improving their marketing efficiency, and we have observed
steady increase in merchant adoption.

•

During the quarter, we achieved high-single-digit online GMV growth and double-digit
order growth year-over-year, driven by increase in the number of purchasers andpurchase frequency. In particular, we had a successful 6.18 Shopping Festival, which
delivered strong online GMV growth year-over-year, as we implemented user-friendly
promotion mechanisms and increased mindshare for being a comprehensive andprice-competitive shopping destination.

•

The number of 88VIP members continued to increase by double-digits year-over-year,
surpassing 42 million during the quarter. We aim to enlarge our pool of premium
shoppers by continuing increasing the subscription of 88VIP membership andenhancing their purchase willingness through improved benefits and services.

(in RMB Mn, except percentages)

Three months ended June 30,
2023
2024
YoY %

Customer management
Direct sales and others
China commerce wholesale
Revenue
Adj. EBITA

79,661 80,115
30,167 27,306
5,125
5,952
114,953 113,373
49,319 48,810

1%
(9)%
16%
(1)%
(1)%

•

Revenue from our China commerce retail business in the quarter ended June 30, 2024
was RMB107,421 million (US$14,782 million), a decrease of 2% compared to
RMB109,828 million in the same quarter of 2023 due to the 9% decrease in direct sales
revenue described below.

•

Customer management revenue increased by 1% year-over-year, primarily due to ahigh-single-digit year-over-year growth in online GMV, partly offset by a decline in takerate. The year-over-year decrease in take rate was primarily due to increasing proportionof GMV generated from new models that currently have lower monetization rates.

•

Direct sales and others revenue under China commerce retail business in the quarter
ended June 30, 2024 was RMB27,306 million (US$3,758 million), a decrease of 9%compared to RMB30,167 million in the same quarter of 2023, primarily attributable tothe decline in sales of consumer electronics and appliances due to our planned reductionof certain direct sales businesses, partly offset by the increase in sales of groceries.

China Commerce Wholesale Revenue•

Revenue from our China commerce wholesale business in the quarter ended June30, 2024 was RMB5,952 million (US$819 million), an increase of 16% compared to
RMB5,125 million in the same quarter of 2023, primarily due to an increase in revenue
from value-added services provided to paying members.

Segment Adjusted EBITA•

Taobao and Tmall Group adjusted EBITA decreased by 1% to RMB48,810
million (US$6,716 million) in the quarter ended June 30, 2024, compared to
RMB49,319 million in the same quarter of 2023, primarily due to the increase
in investments in user experience (which resulted in enhanced consumer
retention and increased purchase frequency) and technology infrastructure,
partly offset by the narrowing losses in certain businesses.

9Cloud Intelligence Group
Business Highlights•

During this quarter, overall revenue excluding Alibaba-consolidated subsidiaries grew over
6% year-over-year, driven by double-digit public cloud growth and increasing adoption of
AI-related products. AI-related product revenue continued to grow at triple-digits yearover-year. We will continue to invest in customers and technology, particularly in AI
infrastructure, to increase cloud adoption for AI and maintain our market leadership.

•

Alibaba Cloud has gained notable recognition as the cloud service provider of choice in
China for AI training and applications. According to the recently released 2024 Gartner®
"Magic Quadrant™ for Data Science and Machine Learning Platforms" report, Alibaba
Cloud has been mentioned as the only Asia-based cloud service provider among global
players.

•

Our ongoing commitment to open-source development has led to widespread recognitionof our Qwen 2.0 series of large language models among global developers. Qwen 2.0
demonstrates substantial performance improvements across areas such as reasoning, code
generation and mathematics, while enhancing safety features and expanding to support 27
languages. The number of paying users using Alibaba Cloud's AI platform (百炼) increasedby over 200% quarter-over-quarter.

•

During the Paris 2024 Olympics, Alibaba Cloud’s technology, which enables remote video
production and transmission through cloud infrastructure, overtook satellite as the primarymeans of broadcast for the first time in Olympics history. Two-thirds of national
broadcasters used live signals transmitted by Alibaba Cloud in real-time around the world,
reaching billions of viewers. Alibaba Cloud also hosted more than 11,000 hours of Olympic
Broadcasting Services-produced games related video content used by the broadcasters.
Additionally, this is the first Olympic Games to extensively use AI, with Alibaba Cloud’s AI
technology deployed in 14 Olympic venues to generate high-fidelity 360-degree replays inreal-time.

Segment Revenue•

Revenue from Cloud Intelligence Group was RMB26,549 million (US$3,653
million) in the quarter ended June 30, 2024, an increase of 6% compared to
RMB25,065 million in the same quarter of 2023. Overall revenue excluding
Alibaba-consolidated subsidiaries increased by 6% year-over-year, mainly driven
by the double-digit revenue growth of public cloud products including AIrelated products, partly offset by the decrease in non-public cloud revenue as
we transition away from the low-margin project-based revenues to focus on
high-quality revenues.

Segment Adjusted EBITA•

Cloud Intelligence Group adjusted EBITA increased by 155% to RMB2,337 million(US$322 million) in the quarter ended June 30, 2024, compared to RMB916
million in the same quarter of 2023, primarily due to improving product mix
through our focus on public cloud adoption and operating efficiency, partly offset
by the increasing investments in customers and technology.

(in RMB Mn, except percentages)
Revenue
Adj. EBITA

Three months ended June 30,
2023
2024
YoY %

25,065916

26,549
2,337

6%
155%
10

Alibaba International Digital Commerce Group (“AIDC”)
Business Highlights••

International Commerce Retail Revenue

For the quarter ended June 30, 2024, revenue from AIDC grew 32% year-over-year to
RMB29,293 million (US$4,031 million). The strong performance was driven by growth of crossborder businesses, in particular the Choice business on AliExpress. During this quarter, ourAliExpress and Trendyol platforms stepped up investments in initiatives to increase mindsharein select markets in Europe and the Gulf region. In addition, we continued our efforts toimprove efficiency of our operations and investment.

•

The AliExpress platform expanded its supplier base and now includes local merchants to enrich
its product offerings and better meet the needs of local consumers. During the quarter,
AliExpress and Magazine Luiza (“Magalu”), a leading retailer in Brazil, entered into a
partnership in which Magalu will open and operate a storefront on AliExpress and vice versa.
In addition, during this quarter, the unit economics of the Choice business improved
significantly on a sequential basis.

•

Revenue from our International commerce retail business in the quarter ended
June 30, 2024 was RMB23,691 million (US$3,260 million), an increase of 38%
compared to RMB17,138 million in the same quarter of 2023, primarily driven byorder growth from AliExpress’ Choice, as well as improvements in monetization.

International Commerce Wholesale Revenue
Revenue from our International commerce wholesale business in the quarter
ended June 30, 2024 was RMB5,602 million (US$771 million), an increase of 12%
compared to RMB4,985 million in the same quarter of 2023, primarily due to anincrease in revenue generated by cross-border-related value-added services.

Segment Adjusted EBITA(in RMB Mn, except percentages)

International commerce retailInternational commerce wholesale
Revenue
Adj. EBITA

Three months ended June 30,
2023
2024
YoY %

17,138 23,691
38%
4,985
5,602
12%
22,123 29,29332%(420) (3,706) (782)%•

Alibaba International Digital Commerce Group adjusted EBITA was a loss of
RMB3,706 million (US$510 million) in the quarter ended June 30, 2024,
compared to a loss of RMB420 million in the same quarter of 2023, primarily due
to the increase in investments in AliExpress and Trendyol’s cross-borderbusinesses, partly offset by Lazada’s significant reduction in operating loss from
improvements in its monetization and operating efficiency.

11

Cainiao Smart Logistics Network Limited (“Cainiao”)
Business Highlights

Segment Revenue•

For the quarter ended June 30, 2024, revenue from Cainiao grew 16% yearover-year to RMB26,811 million (US$3,689 million), primarily driven by increase
in revenue from cross-border fulfillment solutions.

•

We continue to drive synergies between Cainiao and our cross-border ecommerce business, as Cainiao executes its strategy to strengthen its end-toend capabilities through developing a highly-digitalized global logistics network.

•

Revenue from Cainiao Smart Logistics Network Limited was RMB26,811 million(US$3,689 million) in the quarter ended June 30, 2024, an increase of 16%
compared to RMB23,164 million in the same quarter of 2023, primarily driven by
the increase in revenue from cross-border fulfillment solutions.

Segment Adjusted EBITA(in RMB Mn, except percentages)
Revenue
Adj. EBITA

Three months ended June 30,
2023
2024
YoY %

23,164877

26,811
618

16%
(30)%

•

Cainiao Smart Logistics Network Limited adjusted EBITA decreased by 30% to
RMB618 million (US$85 million) in the quarter ended June 30, 2024, compared to
RMB877 million in the same quarter of 2023, primarily due to increased
investments in cross-border fulfillment solutions, partly offset by improved
operating efficiency.

12

Local Services Group

Ele.meAmap

Business Highlights•

Segment Revenue

For the quarter ended June 30, 2024, revenue from Local Services Group grewby 12% year-over-year to RMB16,229 million (US$2,233 million), driven by order
growth of both Amap and Ele.me, as well as revenue growth from marketing
services. For this quarter, Local Services Group’s losses narrowed significantly
on a year-over-year basis due to improving operating efficiency and increasing
scale.

(in RMB Mn, except percentages)
Revenue
Adj. EBITA

Three months ended June 30,
2023
2024
YoY %

14,450(1,982)

16,229
(386)

12%
81%

•

Revenue from Local Services Group was RMB16,229 million (US$2,233 million) in
the quarter ended June 30, 2024, an increase of 12% compared to RMB14,450
million in the same quarter of 2023, driven by the order growth of both Amap andEle.me, as well as revenue growth from marketing services.

Segment Adjusted EBITA•

Local Services Group adjusted EBITA was a loss of RMB386 million (US$53 million)in the quarter ended June 30, 2024, compared to a loss of RMB1,982 million in thesame quarter of 2023, primarily due to improving operating efficiency andincreasing scale.

13

Digital Media and Entertainment Group

Youku

Segment Revenue

Business Highlights•

During the quarter ended June 30, 2024, revenue of Digital Media andEntertainment Group was RMB5,581 million (US$768 million), an increase of 4%
year-over-year, primarily driven by GMV and revenue growth of its online
ticketing platform for live events.

(in RMB Mn, except percentages)

Revenue
Adj. EBITA

Three months ended June 30,
2023
2024
YoY %

5,381
63

5,581
(103)

4%
N/A

•

Revenue from Digital Media and Entertainment Group was RMB5,581
million (US$768 million) in the quarter ended June 30, 2024, an increase of
4% compared to RMB5,381 million in the same quarter of 2023.

Segment Adjusted EBITA•

Digital Media and Entertainment Group adjusted EBITA in the quarter ended
June 30, 2024 was a loss of RMB103 million (US$14 million), compared to a
profit of RMB63 million in the same quarter of 2023.

14

All Others
Segment Revenue•

Segment Adjusted EBITA

Revenue from All others segment was RMB47,001 million (US$6,468 million)in the quarter ended June 30, 2024, an increase of 3% compared to
RMB45,798 million in the same quarter of 2023, primarily due to the increase
in revenue from Freshippo, Alibaba Health and Intelligent Information
Platform, partly offset by the decrease in revenue from Lingxi Games and Sun
Art.

(in RMB Mn, except percentages)

Three months ended June 30,
2023
2024
YoY %

Revenue
Adj. EBITA

45,798(1,733)47,001(1,263)•Adjusted EBITA from All others segment in the quarter ended June 30, 2024 wasa loss of RMB1,263 million (US$174 million), compared to a loss of RMB1,733
million in the same quarter of 2023, primarily due to improved operating resultsfrom Sun Art, Freshippo, Alibaba Health and Lingxi Games, partly offset byincreased investment in technology businesses.

3%
27%

15

Appendix

16

Financial Highlights
Three months ended June 30,(in RMB Mn, except per share data and percentages)
Taobao and Tmall Group
Cloud Intelligence Group
Alibaba International Digital Commerce Group
Cainiao Smart Logistics Network Limited
Local Services Group
Digital Media and Entertainment GroupAll others(1)Total segment revenue
Unallocated2023
114,953
25,065
22,12323,164
14,4505,381
45,798250,934
249

2024
113,373
26,54929,293
26,811
16,2295,581
47,001
264,837419

Inter-segment elimination
Consolidated revenue(17,027)
234,156(22,020)
243,236

Income from operations
Non-cash share-based compensation expense
Amortization and impairment of intangible assets
Impairment of goodwill
Provision for the shareholder class action lawsuits

42,490(1,629)
2,479
2,031
-

35,989
4,109
1,792
3,145

(15)%

Net income

33,00024,022

1.66

1.24

(27)%
(26)%

Diluted earnings per ADS (2)(3)

13.30

9.89

(26)%

Non-GAAP Measures
Adjusted EBITA
Non-GAAP net income

45,371
44,92245,03540,691

Non-GAAP diluted earnings per share(2)(4)
Non-GAAP diluted earnings per ADS (2)(4)

2.17
17.37

2.05
16.44

(1)%
(9)%
(5)%
(5)%

Diluted earnings per share(2)(3)

YoY%
(1)%
6%
32%
16%
12%
4%
3%
6%

4%

Notes: Starting from the quarter ended September 30, 2023, we reclassified the revenue of our DingTalk business, which was previously reported under Cloud Intelligence Group, to All others, the purpose of which was to provide DingTalk with greater autonomy to promote
innovation and enhance competitiveness. Our CODM started to review information under this new reporting structure and segment reporting has been updated to conform to this change as well as the way we manage and monitor segment performance. Comparative figures
were reclassified to conform to this presentation.
(1)
All others include Sun Art, Freshippo, Alibaba Health, Lingxi Games, Intime, Intelligent Information Platform (which mainly consists of UCWeb and Quark businesses), Fliggy, DingTalk (previously reported under Cloud Intelligence Group segment) and other businesses.
The majority of revenue within All others consists of direct sales revenue, which is recorded on a gross basis.
(2)
Each ADS represents eight ordinary shares.
(3)
Diluted earnings per share is derived from dividing net income attributable to ordinary shareholders by the weighted average number of outstanding ordinary shares, on a diluted basis. Diluted earnings per ADS is derived from the diluted earnings per share after
adjusting for the ordinary share-to-ADS ratio.
(4)
Non-GAAP diluted earnings per share is derived from dividing non-GAAP net income attributable to ordinary shareholders by the weighted average number of outstanding ordinary shares for computing non-GAAP diluted earnings per share, on a diluted basis. NonGAAP diluted earnings per ADS is derived from the non-GAAP diluted earnings per share after adjusting for the ordinary share-to-ADS ratio.

17

Revenue Breakdown
Three months ended June 30,(in RMB Mn, except percentages)
Taobao and Tmall Group
China commerce retail- Customer management(1)- Direct sales and others
China commerce wholesale
Cloud Intelligence Group
Alibaba International Digital Commerce GroupInternational commerce retailInternational commerce wholesale
Cainiao Smart Logistics Network Limited
Local Services Group
Digital Media and Entertainment GroupAll others(2)Total segment revenue
UnallocatedInter-segment elimination
Consolidated revenue

2023
114,953
109,828
79,661

2024
113,373
107,42180,115

YoY%
(1)%
(2)%
1%

30,167
5,125
25,065
22,123
17,138
4,985
23,164
14,4505,381
45,798250,934249(17,027)
234,156

27,306
5,952
26,54929,293
23,691
5,602
26,811
16,2295,581
47,001
264,837419(22,020)
243,236

(9)%
16%
6%
32%
38%
12%
16%
12%
4%
3%
6%

4%

Notes: Starting from the quarter ended September 30, 2023, we reclassified the revenue of our DingTalk business, which was previously reported under Cloud Intelligence Group, to All others, the purpose of which was to provide
DingTalk with greater autonomy to promote innovation and enhance competitiveness. Our CODM started to review information under this new reporting structure and segment reporting has been updated to conform to this change aswell as the way we manage and monitor segment performance. Comparative figures were reclassified to conform to this presentation.
(1) Direct sales and others revenue under Taobao and Tmall Group primarily represents Tmall Supermarket, Tmall Global and other direct sales businesses, where revenue and cost of inventory are recorded on a gross basis.
(2) All others include Sun Art, Freshippo, Alibaba Health, Lingxi Games, Intime, Intelligent Information Platform (which mainly consists of UCWeb and Quark businesses), Fliggy, DingTalk (previously reported under Cloud Intelligence
Group segment) and other businesses. The majority of revenue within All others consists of direct sales revenue, which is recorded on a gross basis.

18

GAAP to Non-GAAP Measures Reconciliation

Adjusted EBITA and Adjusted EBITDA
Income from operations
Non-cash share-based compensation expense
Amortization and impairment of intangible assets
Impairment of goodwill
Provision for the shareholder class action lawsuits
Adjusted EBITA
Depreciation and impairment of property and equipment, andoperating lease cost relating to land use rights
Adjusted EBITDA
Non-GAAP net income
Net income
Adjustments to reconcile net income to non-GAAP net income:Non-cash share-based compensation expense
Amortization and impairment of intangible assets
Provision for the shareholder class action lawsuits
Loss on deemed disposals/disposals/revaluation of investments
Impairment of goodwill and investments, and others
Tax effects(1)Non-GAAP net income
Non-GAAP Free cash flow
Net cash provided by operating activities
Less:
Purchase of property and equipment (excluding land use rights and construction inprogress relating to office campuses)
Changes in the buyer protection fund deposits
Free cash flow

Three months ended June 30,
2024
2023
RMB Mn
RMB Mn
USD Mn42,49035,9894,952(1,629)
4,109
565
2,479
1,792
247
2,031
3,145
433
45,37145,035
6,197
6,681

6,126

843

52,052

51,161

7,040

33,00024,022

3,306(1,629)
2,479
9,038
4,269
(2,235)

4,109
1,792
3,145
4,581
4,311
(1,269)

565
247
433
630
593
(175)

44,922

40,691

5,599

45,30633,6364,628(6,007)(11,939)(1,643)(210)
39,089(4,325)
17,372

(595)
2,390

Note:
(1) Tax effects primarily comprise tax effects relating to non-cash share-based compensation expense, amortization and impairment of intangible assets and certain gains and losses from investments, and others.

19

GAAP to Non-GAAP Net Income Attributable to Ordinary Shareholders(in Mn, except per share data)
Net income attributable to ordinary shareholders – basic
Dilution effect on earnings arising from non-cash share-based awards operated byequity method investees and subsidiaries
Adjustments for interest expense attributable to convertible
unsecured senior notes
Net income attributable to ordinary shareholders – diluted
Non-GAAP adjustments to net income attributable to ordinary shareholders(1)Non-GAAP net income attributable to ordinary shareholders forcomputing non-GAAP diluted earnings per share/ADS

Three months ended June 30,
2023
2024
RMB
RMB
USD
34,332
24,269
3,340
(68)

(75)

(10)

-

26

4

34,264
10,471

24,22016,045

3,334
2,207

44,73540,265

5,541

20,60819,595

Diluted earnings per share(2)(3)

1.66

1.24

0.17

Non-GAAP diluted earnings per share(2)(4)

2.17

2.05

0.28

Diluted earnings per ADS(2)(3)

13.30

9.89

1.36

Non-GAAP diluted earnings per ADS(2)(4)

17.37

16.44

2.26

Weighted average number of shares on a diluted basis for computing non-GAAP(2)diluted earnings per share/ADS (million shares)

Notes:(1) See the table above for the reconciliation of net income to non-GAAP net income for more information of these non-GAAP adjustments.
(2) Each ADS represents eight ordinary shares.
(3) Diluted earnings per share is derived from dividing net income attributable to ordinary shareholders by the weighted average number of outstanding ordinary shares, on a diluted basis. Diluted earnings per ADS is derived
from the diluted earnings per share after adjusting for the ordinary share-to-ADS ratio.
(4) Non-GAAP diluted earnings per share is derived from dividing non-GAAP net income attributable to ordinary shareholders by the weighted average number of outstanding ordinary shares for computing non-GAAP diluted
earnings per share, on a diluted basis. Non-GAAP diluted earnings per ADS is derived from the non-GAAP diluted earnings per share after adjusting for the ordinary share-to-ADS ratio.

2021