March Quarter 2024 Results
May 14, 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 ReformAct of 1995. These forward-looking statements can be identified by terminology such as “may,” “will,” “expect,” “anticipate,” “future,” “aim,” “estimate,” “intend,”“seek,” “plan,” “believe,” “potential,” “continue,” “ongoing,” “target,” “guidance,” “is/are likely to” and similar statements. In addition, statements that are nothistorical facts, including statements about Alibaba Group’s new organizational and governance structure, Alibaba’s plan to convert to primary listing in Hong Kong,
Alibaba’s strategies and business plans, Alibaba’s beliefs, expectations and guidance regarding the growth of its business, revenue and return on investments, share
repurchases, the business outlook and quotations from management in this presentation, as well as Alibaba’s strategic and operational plans, are or contain forwardlooking statements. Alibaba may also make forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), inannouncements made on the website of The Stock Exchange of Hong Kong Limited (the “Hong Kong Stock Exchange”), in press releases and other written materials
and in oral statements made by its officers, directors or employees to third parties. Forward-looking statements involve inherent risks and uncertainties. A number offactors could cause actual results to differ materially from those contained in any forward-looking statement. These factors include but are not limited to thefollowing: Alibaba’s corporate structure, including the VIE structure it uses to operate certain businesses in the PRC; Alibaba’s ability to maintain the trusted status ofits ecosystem; Alibaba’s ability to compete, innovate and maintain or grow its revenue or business, including expanding its international and cross-border businesses
and operations and managing a large and complex organization; risks associated with sustained investments in Alibaba’s businesses; fluctuations in general economic
and business conditions in China and globally; uncertainties arising from competition among countries and geopolitical tensions, including protectionist or national
security policies and export control, economic or trade sanctions; risks associated with Alibaba’s acquisitions, investments and alliances; uncertainties and risks
associated with a broad range of complex laws and regulations (including in the areas of data security and privacy protection, anti-monopoly and anti-unfair
competition, content regulation, consumer protection and regulation of Internet platforms) in the PRC and globally; cybersecurity risks; impact of the COVID-19
pandemic; and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks is included in Alibaba’s filings with the
SEC and announcements on the website of the Hong Kong Stock Exchange. All information provided in this presentation is as of the date of this presentation and are
based on assumptions that we believe to be reasonable as of this date, and Alibaba does not undertake any obligation to update any forward-looking statement,
except as required under applicable law.
2

Financial Highlights
Three months ended Mar 31,

Twelve months ended Mar 31,(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
UnallocatedInter-segment elimination
Consolidated revenue

2023
89,88924,742
18,915
18,915
12,3404,989
53,303223,093232(15,125)
208,200

2024
93,21625,59527,44824,557
14,6284,945
51,458
241,847397(20,370)
221,874

YoY%
4%
3%
45%
30%
19%
(1)%
(3)%
8%

Income from operations
Share-based compensation expense
Amortization and impairment of intangible assets
Impairment of goodwill, and others

15,240
7,546
2,494
-

14,765
7,123
2,081
-

Net income
Diluted earnings per share(2)(3)(2)(3)
Diluted earnings per ADS

21,996
1.12
9.00

Non-GAAP Measures
Adjusted EBITA
Non-GAAP net income
Non-GAAP diluted earnings per share(2)(4)
Non-GAAP diluted earnings per ADS(2)(4)

2023
413,206
103,497
70,506
77,51250,24918,444
197,115
930,529866(62,708)
868,687

2024
434,893
106,374
102,598
99,02059,802
21,145
192,331
1,016,163
1,297(76,292)
941,168

YoY%
5%
3%
46%
28%
19%
15%
(2)%
9%

(3)%

100,351
30,831
13,5043,225

113,350
18,546
21,592
11,540

13%

919
0.16
1.30

(96)%
(86)%
(86)%

65,573
3.43
27.46

71,332
3.91
31.24

9%
14%
14%

25,28027,375
1.34

23,96924,418
1.27

147,911
141,379
6.82

165,028
157,479
7.78

10.71

10.14

(5)%
(11)%
(5)%
(5)%

54.56

62.23

12%
11%
14%
14%

7%

8%

Notes: During fiscal year 2024, our segment reporting has been updated to reflect our Reorganization and the reclassification of the revenue of our DingTalk business, which was previously reported under Cloud Intelligence Group, to All others, the purpose of which was toprovide 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 andmonitor 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 consist 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.

3

Cash Return to Shareholders
Share Repurchase•

During the quarter ended March 31, 2024, we repurchased a total of 524 million ordinary shares (equivalent of 65 million ADSs) for a total of US$4.8 billion. Thesepurchases were made in both the U.S. and Hong Kong markets under our share repurchase program. For the fiscal year ended March 31, 2024, we repurchased a total of
1,249 million ordinary shares (equivalent of 156 million ADSs) for a total of US$12.5 billion.

•

As of March 31, 2024, we had 19,469 million ordinary shares (equivalent of 2,434 million ADSs) outstanding, a net decrease of 520 million ordinary shares during thequarter, or a 2.6% net reduction in our outstanding shares after accounting for shares issued under our equity incentive plan. For the full fiscal year ended March 31,
2024, our share repurchase program resulted in a net decrease of 1,057 million ordinary shares, or a 5.1% net reduction in our outstanding shares after accounting forshares issued under our equity incentive plan.

Repurchase amount (US$Bn)

Jun. 30,
2022
3.5

Three months ended
Sep. 30,
Dec. 31,
2022
2022
2.1
3.3

Mar. 31,2023
1.9

Twelve months ended
Mar. 31,2023
10.9

Jun. 30,
2023
3.1

Three months ended
Sep. 30,
Dec. 31,
2023
2023
1.7
2.9

Mar. 31,2024
4.8

Twelve months ended
Mar. 31,2024
12.5

Shares repurchased (Mn ADSs)

39

24

45

22

130

36

19

37

65

156

Outstanding shares (Mn ADSs)

2,648

2,626

2,585

2,566

2,566

2,549

2,531

2,499

2,434

2,434

Net reduction % in total shares
outstanding

3.9% (2)

5.1%

(1)

Dividends•

Our board of directors has approved a two-part dividend comprised of (i) an annual regular cash dividend for fiscal year 2024 in the amount of US$0.125 per ordinary
share or US$1.00 per ADS, and (ii) a one-time extraordinary cash dividend as a distribution of proceeds from disposition of certain financial investments in the amount of
US$0.0825 per ordinary share or US$0.66 per ADS, in each case payable in U.S. dollars, to holders of ordinary shares and holders of ADSs, as of the close of business onJune 13, 2024, Hong Kong Time and New York Time, respectively. The aggregate amount of the dividend will be approximately US$4.0 billion.

Notes:(1) Net reduction % in total shares outstanding is calculated by comparing the outstanding number of shares at the end of the fiscal year to the outstanding number of shares at the end of the prior fiscal year.
(2) As of March 31, 2022, we had 21,357 million ordinary shares (equivalent of 2,670 million ADSs) outstanding.

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:
Share-based compensation expense
Amortization and impairment of intangible assets(Gain) 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 Mar 31,
2023
2024
YoY% Change YoY
15,24014,765(3)%(475)
10,496(5,702)
N/A(16,198)(1,736)(2,177)
25%
(441)
1,308
2,963
127%
1,655

Twelve months ended Mar 31,
2023
2024
YoY% Change YoY
100,351 113,350
13%
12,999(11,071)(9,964)(10)%
1,107(5,918)(7,947)34%(2,029)
5,823
6,157
6%
334

25,308

9,849

(61)%

(15,459)

89,185

101,596

14%

12,411(3,758)446
21,996
23,516(5,722)(3,208)
919
3,270

52%
N/A
(96)%
(86)%

(1,964)(3,654)(21,077)(20,246)(15,549)(8,063)65,57372,509(22,529)(7,735)71,332
79,741

45%
(4)%
9%
10%

(6,980)
328
5,759
7,232

7,546
2,494
(11,804)
7,290
(147)
27,37527,985

7,123
2,081
4,994
10,657(1,356)
24,41825,343

(6)%
(17)%
N/A
46%
822%
(11)%
(9)%

(423)
(413)
16,7983,367(1,209)(2,957)(2,642)30,831
13,504
13,857
24,862(7,248)141,379
144,029

18,546
21,592
21,65933,679(9,329)157,479
158,587

(40)%
60%
56%
35%
29%
11%
10%

(12,285)
8,088
7,802
8,817
(2,081)
16,10014,558Note:(1) Tax effects primarily comprise tax effects relating to 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 and construction inprogress relating to office campuses)
Purchase of intangible assets (excluding those acquired through acquisitions)
Changes in the buyer protection fund deposits
Free cash flow
Net cash outflow relating to capital expenditure
Net cash inflow (outflow) 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
Net cash position

Three months ended Mar 31,
2023
2024
RMB Mn
RMB Mn31,401
23,340USD Mn3,233

Twelve months ended Mar 31,
2023
2024
RMB Mn
RMB Mn199,752
182,593

USD Mn25,289(2,513)
3,379
32,267(10,174)
2,195
15,361(1,410)304
2,127(30,373)(22)
2,306
171,663(27,579)
(842)
2,038
156,210(3,820)(116)
282
21,635(3,478)
1,478(12,611)(11,153)(328)(34,014)(1,545)(45)(4,711)(34,330)(840)(74,746)(32,087)
2,961(88,745)(4,444)410(12,291)

As of Mar 31,
2024
RMB Mn248,125
262,955
106,150
617,230

USD Mn34,36536,41914,701
85,485(68,435)(102,341)
446,454(9,478)(14,174)
61,833As of Mar 31,
2023
RMB Mn193,086
326,492
40,736560,314(59,489)(101,865)
398,960

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

6

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

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

Twelve months ended

Three months ended% of Revenue

Twelve months ended% of Revenue

66%

67%

62%

62%

5%

5%

5%

5%

137,588

147,207543,985

583,311

10,942

12,04843,23044,633

Mar 31, 2023

Mar 31, 2024

Mar 31, 2023

Mar 31, 2024

Mar 31, 2023

Mar 31, 2024

Mar 31, 2023

Mar 31, 2024

Sales & Marketing Expenses (excluding SBC)

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

Three months ended

Twelve months ended% of Revenue

Twelve months ended% of Revenue

12%

13%

12%

12%

5%

4%

4%

4%

24,07328,091

99,786112,876

10,317

10,55934,28636,339Mar 31, 2023

Mar 31, 2024

Mar 31, 2023

Mar 31, 2024

Mar 31, 2023

Mar 31, 2024

Mar 31, 2023

Mar 31, 2024

7

Segment Results: Quarter ended March 31(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

93,216
4%
38,501(540)(1)%

25,595
3%
1,432
445
45%

Taobao andTmall Group

Cloud
IntelligenceGroup89,88939,041

24,742
987

Alibaba
International Cainiao Smart
Digital
Logistics
Commerce
Network
Group
Limited27,44845%(4,085)(1,914)(88)%

24,55730%(1,342)(1,023)(321)%

Alibaba
International Cainiao Smart
Digital
Logistics
Commerce
Network
Group
Limited18,915(2,171)

18,915(319)

Three months ended Mar 31, 2024
Digital Media
Local
and
Services Entertainment
Group
Group

14,62819%(3,198)
865
21%

4,945
(1)%
(884)
245
22%

All Others(1) Total segments Unallocated (2)51,458(3)%(2,818)
(963)
(52)%

241,8478%
27,606(2,885)(9)%Inter-segment
elimination

Consolidated

397(20,370)

221,874
7%23,969(1,311)(5)%(2,900)
1,464

(737)
110

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

Consolidated(15,125)(847)

208,200
25,280Three months ended Mar 31, 2023
Digital Media
Local
and
Services Entertainment
Group
Group

12,340(4,063)

4,989(1,129)53,303(1,855)223,093
30,491

232(4,364)

Notes: During fiscal year 2024, our segment reporting has been updated to reflect our Reorganization and the reclassification of 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 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 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Segment Results: Twelve months ended March 31(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
IntelligenceGroup434,8935%
194,827
5,687
3%

106,374
3%
6,121
2,020
49%

Taobao andTmall Group

Cloud
IntelligenceGroup413,206
189,140

103,497
4,101

Alibaba
International Cainiao Smart
Digital
Logistics
Commerce
Network
Group
Limited102,598
46%(8,035)(3,091)(63)%

99,020
28%
1,402
1,793
N/A

Alibaba
International Cainiao Smart
Digital
Logistics
Commerce
Network
Group
Limited

70,506(4,944)77,512(391)

Twelve months ended Mar 31, 2024
Digital Media
Local
and
Services Entertainment
Group
Group

59,802
19%(9,812)
3,336
25%

21,14515%(1,539)1,250
45%

All Others(1) Total segments Unallocated (2)192,331(2)%(9,160)228
2%1,016,163
9%
173,804
11,223
7%

Inter-segment
elimination

Consolidated

1,297(76,292)

941,1688%
165,028
17,11712%(6,190)5,953(2,586)(59)

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

Consolidated(62,708)(2,527)

868,687
147,911

Twelve months ended Mar 31, 2023
Digital Media
Local
and
Services Entertainment
Group
Group

50,249(13,148)

18,444(2,789)197,115(9,388)930,529
162,581866(12,143)

Notes: During fiscal year 2024, our segment reporting has been updated to reflect our Reorganization and the reclassification of 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 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 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.

9

Taobao and Tmall Group
XianyuChina Commerce Retail Revenue

Business Highlights•••

Under our strategy to put users first and develop systems for brands, merchants andindustrial belt manufacturers to operate with high efficiency on our platform, we aim
to provide a shopping experience that satisfies all aspects of consumption needs withquality products and services at attractive prices. We are increasing strategic
investment in areas such as price competitive product supplies, customer service,membership program benefits and technology, aiming to enhance user experience,
which resulted in improved consumer retention and higher purchase frequency.
Our strategy of price-competitiveness and focus on user experience is yielding results.
During the quarter, we achieved double-digit online GMV and order growth yearover-year, driven by strong increase in the number of purchasers and purchasefrequency.
Importantly, the number of 88VIP members increased by double digits year-over-year,
surpassing 35 million during the quarter. We will continue to increase the subscriptionof 88VIP membership among our premium shoppers by improving customer service
and enhancing program benefits.

(in RMB Mn, except percentages)

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

Three months ended Mar 31,
2023
2024
YoY %

60,54525,212
4,132
89,88939,041

63,574
24,690
4,952
93,21638,501

5%
(2)%
20%
4%
(1)%

Twelve months ended Mar 31,
2023
2024
YoY %

291,541
103,811
17,854413,206
189,140

304,009110,405
20,479434,893
194,827

4%
6%
15%
5%
3%

•

Revenue from our China commerce retail business in the quarter ended March 31,
2024 was RMB88,264 million (US$12,224 million), an increase of 3% compared to
RMB85,757 million in the same quarter of 2023.

•

Customer management revenue increased by 5% year-over-year, primarily due toa double-digit year-over-year growth in online GMV, excluding unpaid orders,
partly offset by a decline in overall take rate. The overall take rate decreased yearover-year primarily due to the increase in online GMV mainly coming from Taobao
merchants and the introduction of new models that currently have low
monetization rates.

•

Direct sales and others revenue under China commerce retail business in thequarter ended March 31, 2024 was RMB24,690 million (US$3,419 million), a
decrease of 2% compared to RMB25,212 million in the same quarter of 2023.

China Commerce Wholesale Revenue•

Revenue from our China commerce wholesale business in the quarter ended
March 31, 2024 was RMB4,952 million (US$686 million), an increase of 20%
compared to RMB4,132 million in the same quarter of 2023, primarily due to anincrease in revenue from value-added services provided to paying members.

Segment Adjusted EBITA•

Taobao and Tmall Group adjusted EBITA was RMB38,501 million (US$5,332
million) in the quarter ended March 31, 2024, compared to RMB39,041 million
in the same quarter of 2023, primarily due to the increase in investment in user
experience (which resulted in improved consumer retention and higher
purchase frequency) and technology infrastructure, partly offset by the increase
in revenue from customer management service.

10

Cloud Intelligence Group
Segment Revenue

Business Highlights•

We are committed to our strategy of focusing on high quality revenues from increasing
public cloud adoption while reducing low-margin project-based contracts. During thequarter, our core public cloud offerings, which include products such as elastic
compute, database and AI products, recorded double-digit year-over-year growth inrevenue. Overall revenue excluding Alibaba-consolidated subsidiaries decreasedslightly year-over-year as we transition away from low-margin project-based revenues.
We expect the strong revenue growth in public cloud and AI-related products willoffset the impact of the roll-off of project-based revenues.

•

The cost benefits from our infrastructure scale and advanced technologies enabled us
to reduce prices across more than 100 public cloud products this quarter. Our goal is toenhance cost efficiency for our customers and boost public cloud adoption in China. In
April 2024, we extended these price reductions to our overseas public cloud offerings,
further improving our competitiveness in global markets.

•

During this quarter, AI-related revenue experienced accelerated growth and continued
to record triple-digit growth year-over-year. AI-related revenue was generated fromvarious sectors including foundational model companies, Internet companies, as wellas customers from industries such as financial services and automotive.

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

Revenue from Cloud Intelligence Group was RMB25,595 million (US$3,545
million) in the quarter ended March 31, 2024, an increase of 3% compared to
RMB24,742 million in the same quarter of 2023.

Segment Adjusted EBITA•

Cloud Intelligence Group adjusted EBITA increased by 45% to RMB1,432 million(US$198 million) in the quarter ended March 31, 2024, compared to RMB987
million in the same quarter of 2023, primarily due to improving product mix
through our focus on public cloud and operating efficiency.

Three months ended Mar 31,
2023
2024
YoY %

Twelve months ended Mar 31,
2023
2024
YoY %

24,742987

103,497 106,374
4,101
6,121

25,595
1,432

3%
45%

3%
49%
11

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

•

•

•

For the quarter ended March 31, 2024, revenue from AIDC grew 45% year-over-year to
RMB27,448 million (US$3,802 million), and the combined orders of AIDC’s marketplaces
grew 20% year-over-year. The strong performance was driven by growth of AIDC’s crossborder businesses, in particular growth contributed by the Choice business on AliExpress.
We are committing more resources to cross-border e-commerce because of the clear
customer value proposition of price competitiveness and timely delivery to consumers
around the world. To further expand our geographic footprint and deliver differentiatedservices to a broader customer base, we increased investments in our cross-border
initiatives this quarter.
During the quarter, AliExpress continued to deliver robust year-over-year order growth,
driven by Choice, which provides price competitiveness and high delivery speed tocustomers. Synergies between AliExpress and the cross-border logistics operations ofCainiao have further strengthened AliExpress’ competitiveness with both the 5-day and
10-day delivery completion rates doubling year-over-year. We increased our investment
in key markets to enhance customer experience, expand consumer base and strengthen
our market position. Choice represented around 70% of AliExpress’ total orders in April
2024.
During the quarter, Trendyol continued its double-digit order growth. While maintaining
its leading e-commerce position in Türkiye, Trendyol has further expanded its crossborder business in the Gulf region. Since the launch of Trendyol’s cross-border initiatives,
we increased our investment in customer experience by expanding merchandise
categories as well as providing speedy and reliable delivery. As a result, Trendyol has
become one of the most downloaded e-commerce apps in the Gulf region during thequarter.
Lazada continued to focus on improving its operating efficiency. With further increased
monetization and optimized operations, Lazada’s loss per order narrowed significantly
year-over-year during the quarter.

International Commerce Retail Revenue•

Revenue from our International commerce retail business in the quarter ended
March 31, 2024 was RMB22,278 million (US$3,086 million), an increase of 56%
compared to RMB14,247 million in the same quarter of 2023. The increase inrevenue was primarily due to the solid combined order growth of AIDC’s retailbusinesses, revenue contribution from AliExpress’ Choice, as well as
improvements in monetization.

International Commerce Wholesale Revenue•

Revenue from our International commerce wholesale business in the quarter
ended March 31, 2024 was RMB5,170 million (US$716 million), an increase of
11% compared to RMB4,668 million in the same quarter of 2023. The increase
was primarily due to an increase in revenue generated by cross-border related
value-added services.

Segment Adjusted EBITA•

Alibaba International Digital Commerce Group adjusted EBITA was a loss of
RMB4,085 million (US$566 million) in the quarter ended March 31, 2024,
compared to a loss of RMB2,171 million in the same quarter of 2023. Lossincreased year-over-year primarily because of increased investment inbusinesses including AliExpress’ Choice and Trendyol’s cross-border business,
partly offset by improvements in monetization.
(in RMB Mn, except percentages)

Three months ended Mar 31, Twelve months ended Mar 31,
2023
2024
YoY %
2023
2024
YoY %

International commerce retailInternational commerce wholesale
Revenue
Adj. EBITA

14,247 22,278
4,668
5,170
18,915 27,448(2,171) (4,085)

56%
11%
45%
(88)%

50,933
19,57370,506(4,944)81,65420,944
102,598(8,035)

60%
7%
46%
(63)%

12

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

Segment Revenue•

For the quarter ended March 31, 2024, revenue from Cainiao grew 30% yearover-year to RMB24,557 million (US$3,401 million), primarily driven by revenue
from cross-border fulfillment services supporting AliExpress.

•

In March, Cainiao withdrew its initial public offering on the Hong Kong Stock
Exchange in order to align its business to better realize strategic synergies with
our e-commerce businesses. This will enable Cainiao to work more closely with
AliExpress to strengthen its comprehensive end-to-end cross-border delivery
capabilities. During the quarter, Cainiao extended its premium delivery (i.e., fiveto ten-day delivery) to four additional countries, bringing the total coverage to
14 countries.

••

Segment Adjusted EBITA•

Cainiao will continue to execute its strategy of building a global smart logistics
network, leveraging its e-commerce insights and proprietary technology to
optimize efficiency in first-mile pick-up, line haul, customs clearance, sortation,and last-mile delivery.

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

Three months ended Mar 31,
2023
2024
YoY %

18,915(319)

24,557(1,342)

Revenue from Cainiao Smart Logistics Network Limited was RMB24,557 million(US$3,401 million) in the quarter ended March 31, 2024, an increase of 30%
compared to RMB18,915 million in the same quarter of 2023, primarily contributedby the increase in revenue from cross-border fulfillment services.

30%(321)%

Cainiao Smart Logistics Network Limited adjusted EBITA was a loss of RMB1,342
million (US$186 million) in the quarter ended March 31, 2024, compared to a lossof RMB319 million in the same quarter of 2023, primarily due to retention
incentives granted to Cainiao employees in connection with the withdrawal of its
initial public offering.

Twelve months ended Mar 31,
2023
2024
YoY %

77,512(391)

99,020
1,402

28%
N/A

13

Local Services Group

Ele.meAmap

Business Highlights•

Segment Revenue

For the quarter ended March 31, 2024, revenue from Local Services Group grewby 19% year-over-year to RMB14,628 million (US$2,026 million), driven by both
Ele.me and Amap. During this quarter, the number of Ele.me orders grewstrongly year-over-year, resulting from increasing transacting users andpurchase frequency. Amap’s business grew rapidly during this quarter,
benefiting from mobility services and “To-Destination” services. For thisquarter, Local Services Group’s losses continued to narrow year-over-year due
to improving business scale and efficiency.

•

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

Three months ended Mar 31,
2023
2024
YoY %

12,340(4,063)

14,628(3,198)

Revenue from Local Services Group was RMB14,628 million (US$2,026 million) in
the quarter ended March 31, 2024, an increase of 19% compared to RMB12,340
million in the same quarter of 2023, primarily due to the order growth of Ele.me
and Amap.

19%
21%

Local Services Group adjusted EBITA was a loss of RMB3,198 million (US$443
million) in the quarter ended March 31, 2024, compared to a loss of RMB4,063
million in the same quarter of 2023, primarily due to the continued narrowing ofloss from our “To-Home” business driven by Ele.me’s improved unit economics andincreasing business scale.

Twelve months ended Mar 31,
2023
2024
YoY %

50,249(13,148)

59,802(9,812)

19%
25%

14

Digital Media and Entertainment Group

Youku

Segment Revenue

Business Highlights••

During the quarter ended March 31, 2024, revenue of Digital Media andEntertainment Group was RMB4,945 million (US$685 million), a decrease of 1%
year-over-year due to a modest decline in Youku’s revenue. Alibaba Pictures’movie business revenue grew, while revenue of its online ticketing platform forlive events, Damai, grew rapidly year-over-year.

Revenue from Digital Media and Entertainment Group was RMB4,945
million (US$685 million) in the quarter ended March 31, 2024, a decrease of
1% compared to RMB4,989 million in the same quarter of 2023.

Segment Adjusted EBITA•(in RMB Mn, except percentages)

Three months ended Mar 31,
2023
2024
YoY %

Revenue
Adj. EBITA

4,989(1,129)

4,945
(884)

(1)%
22%

Digital Media and Entertainment Group adjusted EBITA in the quarter ended
March 31, 2024 was a loss of RMB884 million (US$122 million), compared toa loss of RMB1,129 million in the same quarter of 2023. Loss reduced yearover-year primarily due to the reduced loss of Youku.

Twelve months ended Mar 31,
2023
2024
YoY %

18,444(2,789)21,145(1,539)

15%
45%

15

All Others

Quark

Segment Revenue•

Segment Adjusted EBITA

Revenue from All others segment was RMB51,458 million (US$7,126 million)in the quarter ended March 31, 2024, a decrease of 3% compared to
RMB53,303 million in the same quarter of 2023, mainly due to the decrease inrevenue from Sun Art and Alibaba Health, partly offset by the increase inrevenue from Freshippo. The decrease in revenue from Sun Art was mainly
driven by the scale-down of supply chain business and decrease in basket size.

•(in RMB Mn, except percentages)

Three months ended Mar 31,
2023
2024
YoY %

Revenue
Adj. EBITA

53,303(1,855)51,458(2,818)

(3)%
(52)%

Adjusted EBITA from All others segment in the quarter ended March 31, 2024
was a loss of RMB2,818 million (US$390 million), compared to a loss of RMB1,855
million in the same quarter of 2023, primarily due to the increased loss from
Freshippo and the decrease in profitability of Lingxi Games.

Twelve months ended Mar 31,
2023
2024
YoY %

197,115 192,331(9,388) (9,160)

(2)%
2%

16

Appendix

17

Revenue Breakdown
Three months ended Mar 31,

Twelve months ended Mar 31,(in RMB Mn, except percentages)
Taobao and Tmall Group
China commerce retail- Customer management

2023
89,88985,75760,5452024
93,216
88,26463,5742023
413,206
395,352
291,5412024
434,893
414,414304,009

YoY%
5%
5%
4%

- Direct sales and others(1)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

25,212
4,132
24,742
18,915
14,247
4,668
18,915
12,3404,989
53,303223,093232(15,125)
208,200

24,6904,952
25,59527,44822,2785,170
24,557
14,6284,945
51,458
241,847397(20,370)
221,874

103,811
17,854103,497
70,50650,933
19,57377,51250,24918,444
197,115
930,529866(62,708)
868,687

110,405
20,479106,374
102,598
81,65420,944
99,02059,802
21,145
192,331
1,016,163
1,297(76,292)
941,168

6%
15%
3%
46%
60%
7%
28%
19%
15%
(2)%
9%

YoY%
4%
3%
5%
(2)%
20%
3%
45%
56%
11%
30%
19%
(1)%
(3)%
8%

7%

8%

Notes: During fiscal year 2024, our segment reporting has been updated to reflect our Reorganization and the reclassification of the revenue of our DingTalk business, which was previously reported under Cloud Intelligence Group, toAll 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) 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 consist 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
Share-based compensation expense
Amortization and impairment of intangible assets
Impairment of goodwill, and others
Adjusted EBITA
Depreciation and impairment of property and equipment,
and operating 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:
Share-based compensation expense
Amortization and impairment of intangible assets(Gain) 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)
Purchase of intangible assets (excluding those acquired through acquisitions)
Changes in the buyer protection fund deposits
Free cash flow

Three months ended Mar 31,
2024
2023
RMB Mn
RMN Mn
USD Mn15,24014,765
2,045
7,546
7,123
987
2,494
2,081
288
25,28023,9693,320

Twelve months ended Mar 31,
2024
2023
RMB Mn
RMB Mn
USD Mn100,351
113,350
15,69930,831
18,5462,569
13,504
21,592
2,990
3,225
11,5401,598
147,911
165,028
22,856

6,843

6,838

947

27,79926,6403,690

32,12330,807

4,267

175,710

191,668

26,54621,996919

127

65,573

71,332

9,879

7,546
2,494
(11,804)
7,290
(147)
27,375

7,123
2,081
4,994
10,657(1,356)
24,418

987
288
692
1,476
(188)
3,382

30,831
13,504
13,857
24,862(7,248)141,379

18,546
21,592
21,65933,679(9,329)157,479

2,569
2,990
3,000
4,664
(1,291)
21,811

31,401

23,3403,233

199,752

182,593

25,289(2,513)(10,174)(1,410)(30,373)(27,579)(3,820)3,379
32,267

2,195
15,361

304
2,127

(22)
2,306
171,663

(842)
2,038
156,210(116)
282
21,635Note:(1) Tax effects primarily comprise tax effects relating to 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 share-based awards operated byequity method investees and subsidiaries
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 Mar 31,
2023
2024
RMB
RMB
USD
23,516
3,270
453

Twelve months ended Mar 31,
2023
2024
RMB
RMB
USD
72,50979,741
11,044

(29)

(15)

(2)

(38)

(228)

(32)

23,487
4,469

3,255
22,073451
3,057

72,471
71,52079,51378,846

11,012
10,92027,95625,3283,508

143,991

158,359

21,932

20,882

19,98021,114

20,359Diluted earnings per share(2)(3)

1.12

0.16

0.02

3.43

3.91

0.54

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

1.34

1.27

0.18

6.82

7.78

1.08

Diluted earnings per ADS(2)(3)

9.00

1.30

0.18

27.46

31.24

4.33

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

10.71

10.14

1.40

54.56

62.23

8.62

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