Disclaimer
This presentation contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,”
“expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “potential,” “continue,” “ongoing,” “targets” and
similar statements. Among other things, statements that are not historical facts, including statements about Alibaba’s beliefs and
expectations, the business outlook and quotations from management in this presentation, as well as Alibaba’s strategic and
operational plans, are or contain forward-looking statements. Alibaba may also make written or oral forward-looking statements in
its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), 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 of factors could cause actual results to differ materially from those contained in any forward-looking
statement, including but not limited to the following: Alibaba’s goals and strategies; Alibaba’s future business development;
Alibaba’s ability to maintain the trusted status of its ecosystem, reputation and brand; Alibaba’s ability to retain or increase
engagement of buyers, sellers and other participants in its ecosystem and enable new offerings; Alibaba’s ability to successfully
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engagement of buyers, sellers and other participants in its ecosystem and enable new offerings; Alibaba’s ability to successfully
monetize traffic on its mobile platform; risks associated with limitation or restriction of services provided by Alipay; risks associated
with increased investments in Alibaba’s business; risks associated with acquisitions; privacy and regulatory concerns; competition;
security breaches; the continued growth of the e-commerce market in China and globally; and fluctuations in general economic
and business conditions in China and globally 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. 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.
This presentation contains certain financial measures that are not recognized under generally accepted accounting principles in the
United States (“GAAP”), including Non-GAAP EBITDA, Non-GAAP net income 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 Reconciliation.
40%YoY GMV
Growth
March Quarter 2015 Highlights
350MMAnnual
Active Buyers (2)
45%YoY Revenue
Growth
4
289MMMobile MAUs (3)
US$ 49BnMobile GMV (1)
51% of China
Commerce Retail GMV
Note: Unless otherwise indicated, all figures above are for the three months ended March 31, 2015(1) Assumes 1 US$ = 6.1990RMB(2) For the twelve months ended March 31, 2015(3) For the month ended March 31, 2015; based on the aggregate mobile MAUs of apps that contribute GMV on our China retail marketplaces
40%Mobile Revenue as a %
of China Commerce
Retail Revenue
183176
293
219
529
430
501
556
787
600
Quarterly GMV (China Commerce Retail)
GMV
(RMB Bn)
53% 46%YoY
Growth 65% 64% 45%65% 40%49%49%
223257 275
346295
342380
494
381
71
8899
183
135
159
176
294
345374
430
Mar 31,
2013
Jun 30,
2013
Sep 30,
2013
Dec 31,
2013
Mar 31,
2014
Jun 30,
2014
Sep 30,
2014
Dec 31,
2014
Mar 31,
2015
Taobao Marketplace Tmall
5
For 3M
ended
Active Buyers & Mobile MAUs
255279
307334
350
(In Millions)
Annual Active Buyers Mobile MAUs
163
188
217
265289
(In Millions)
Mar 31,
2014
Jun 30,
2014
Sep 30,
2014
Dec 31,
2014
Mar 31,
2015For 12M
ended
163
Mar 31,
2014
Jun 30,
2014
Sep 30,
2014
Dec 31,
2014
Mar 31,
2015
For 1M
ended
6
Mobile GMV & Revenue Contribution
15%
20%
27%
33% 36%
42%
51%
19%
29% 30%
40%
(RMB Bn)
Quarterly Mobile GMV, Mobile Revenue and Mobile Penetration (China Commerce Retail)
(%)
7
32 41 55104 118
164199
327 304
11% 12% 15%
2% 3% 4%7%
12%
Mar 31,
2013
Jun 30,
2013
Sep 30,
2013
Dec 31,
2013
Mar 31,
2014
Jun 30,
2014
Sep 30,
2014
Dec 31,
2014
Mar 31,
2015
Mobile GMV
Mobile GMV as a % of Total GMV
Mobile Revenue as a % of China Commerce Retail Revenue
For 3M
ended
289MMMobile MAUs (2)
US$394BnAnnual GMV (1)
Fiscal Year 2015 Highlights
350MMAnnual
Active Buyers
9
US$12.3BnTotal Revenue (1)
45%YoY Revenue
Growth
US$7.8BnNon-GAAP
Free Cash Flow (1)
Note: Unless otherwise indicated, all figures above are for the twelve months ended March 31, 2015(1) Assumes 1 US$ = 6.1990RMB(2) For the month ended March 31, 2015; based on the aggregate mobile MAUs of apps that contribute GMV on our China retail marketplaces
Fiscal Year 2015 Strategic Highlights
46% YoY Annual GMV growth
Significant
Expansion of
350 mm Annual Active Buyers
High retention & growth of merchants
95 mm Net Adds
10
Expansion of
Ecosystem
High retention & growth of merchants
Fast growing categories:
Category Expansion
► Dietary Supplement
► Household Products
Digital entertainment
Healthcare
Local services e.g.
► Car Accessories
► Furniture & Decoration
More than 8.6Bn packages generated on
our China retail marketplaces
Note: Unless otherwise indicated, all figures above are for the twelve months ended March 31, 2015
Fiscal Year 2015 Strategic Highlights
Mobile: Unrivaled LeadershipMobile: Unrivaled Leadership
11
US$160 bnAnnual Mobile GMV (2)
289 mm MAU (1)
126 mm Net Adds
Mobile Taobao App
No. 1 e-commerce app
in China
Note: Unless otherwise indicated, all figures above are for the twelve months ended March 31, 2015(1) For the month ended March 31, 2015; based on the aggregate mobile MAUs of apps that contribute GMV on our China retail marketplaces(2) Assumes 1 US$ = 6.1990RMB
Fiscal Year 2015 Strategic Highlights
Investment in Data & Cloud TechnologiesInvestment in Data & Cloud Technologies
12
Technology
improvements increased
infrastructure efficiency
Start-up Government Enterprise
No. 1 cloud services
provider in China (1)Expanded and diversified
customer base
Note: (1) Source: IDC Report
Fiscal Year 2015 Strategic Highlights
Pioneered Cross Border EPioneered Cross Border E--commercecommerce
• Captured Tmall Global customer mindshare as source of quality products
• Attracted major global brands & retailers to the platform
• Established cross border ecosystem infrastructure
13
Fiscal Year 2015 Strategic Highlights
Strategic M&A, Investment and AlliancesStrategic M&A, Investment and Alliances
Entertainment
Ecosystem
Content
Huayi Brothers Enlight Media
Ecommerce & Logistics
Mobile
MeizuUC Web Sina Weibo
14
Distribution
Youku TudouWasu
O2O / Travel
KuaidiAutoNavi
Shiji Information Intime
Healthcare
RRS Singapore Post
Fiscal Year 2015 Financial Highlights
In millions unless otherwise stated
FY2014 FY2015
YoYRMB RMB US$
Total Revenue 52,504 76,204 12,293 45%
Mobile Revenue 2,905 17,840 2,878 514%
Mobile Revenue as a % of China Commerce Retail Revenue 7% 30%
Non-GAAP EBITDA 30,731 40,753 6,574 33%
16
Note: Unless otherwise indicated, all figures above are for the twelve months ended March 31(1) Assumes 1 US$ = 6.1990 RMB
Non-GAAP EBITDA 30,731 40,753 6,574 33%
Non-GAAP EBITDA Margin 59% 53%
Non-GAAP Net Income 28,274 34,981 5,643 24%
Non-GAAP Diluted EPS 12.09 13.97 2.25 16%
Free Cash Flow 32,269 48,121 7,763 49%
430 600
27%
51%
Mar 31, 2014 Mar 31, 2015
GMV Mobile GMV as a % of Total GMV
March Quarter 2015 Financial Highlights GMV and Mobile Penetration
+40%
(RMB Bn)
12.0
17.4
Mar 31, 2014 Mar 31, 2015
+45%
Revenue
(RMB Bn)(%)
17
Non-GAAP EBITDA (1) and Margin(RMB Bn)
6.7 7.7
Mar 31, 2014 Mar 31, 2015
Non-GAAP Net Income (2) and Margin
(RMB Bn)
Margin 55% 44%
Note: For the three months ended on the respective dates (1) Non-GAAP EBITDA represents income from operations (which excludes interest and investment income, net, interest expense, other income, net, income tax expenses and share of
results of equity investees) before certain non-cash expenses, consisting of share-based compensation expense, amortization and depreciation that we do not believe are reflective of its core operating performance during the periods presented.
(2) Non-GAAP net income represents net income before share-based compensation expense, amortization, impairment of goodwill, intangible assets and investments, gain (loss) on deemed disposals/disposals/revaluation of investments and amortization of excess value receivable arising from the restructuring of commercial arrangements with Ant Financial.
6.9 8.6
Mar 31, 2014 Mar 31, 2015
Margin 57% 49%
2.52% 2.77% 2.61%
3.53%
2.63%
3.03%
2.54%
3.23%
2.63% 3.05%
Quarterly Monetization Rate Trends
Quarterly Monetization Rate (China Commerce Retail)
(%)
Non-mobile
monetization
rate(1)
We manage the business for growth in GMV and active buyers, not for monetization rate
• Blended monetization rate is stable Y/Y
• Mobile monetization rate is higher Y/Y
• Blended monetization rate is lower sequentially due to business seasonality
0.47% 0.58% 0.61%
1.12% 0.98%
1.49%
1.87% 1.96% 1.73%
2.52% 2.54% 2.63%
2.30%2.51%
2.31%
3.05%
2.18%
2.52%2.30%
2.70%
2.17%
Mar 31,
2013
Jun 30,
2013
Sep 30,
2013
Dec 31,
2013
Mar 31,
2014
Jun 30,
2014
Sep 30,
2014
Dec 31,
2014
Mar 31,
2015
Mobile Monetization Rate Non-mobile Monetization Rate Blended Monetization Rate
18
Notes:
(1) Derived from China commerce retail non-mobile revenue / non-mobile GMV
(2) Derived from China commerce retail mobile revenue / mobile GMV
Mobile
monetization
rate(2)
rate(1)
Blended
monetization
rate
For 3M
ended
75%5%
2%
7%2%
9%
China Commerce Retail
Cloud
Computing
and Internet
InfrastructureInternational
Commerce Wholesale
International
Commerce Retail
China Commerce
Wholesale
(1)
Quarterly RevenueRevenue Breakdown by BusinessTotal Revenue
(% of Total Revenue)(RMB Bn)
Others
12.0
15.8 16.8
26.2
17.4
39% 42%53%
19%
82%
19
For 3M ended Mar 31, 2015(1) Other revenue mainly represents interest income generated from micro loans and revenue
generated by UCWeb and AutoNavi. The restructuring of our relationship with Ant Financial
completed in the March 2015 quarter, upon which we no longer consolidate revenue generated
by the SME loan business in our financial results.
Mar 31,
2014
Jun 30,
2014
Sep 30,
2014
Dec 31,
2014
Mar 31,
2015For 3M
ended
Revenue Growth of Major Businesses(YoY Growth % )
1 2 3 4 5
1. China Commerce Retail
2. China Commerce Wholesale
3. International Commerce Retail
4. International Commerce Wholesale
5. Cloud Computing and Internet Infrastructure
Quarterly Margin Trends
Non-GAAP Net Income (2) and MarginNon-GAAP EBITDA (1) and Margin (RMB Bn) (RMB Bn)
• We don’t manage to a margin target
• Lower Y/Y non-GAAP EBITDA margin was due to:
• Consolidation of acquired businesses (mainly UCWeb, AutoNavi) with lower margins
• Investment in initiatives such as mobile OS, cloud computing, local services and digital entertainment
• We will continue to invest in new and existing businesses to drive long-term growth in GMV, new active buyers, revenue and profit
49%57% 44%55%Margin Margin58% 50%
6.7
13.1
7.7
Mar 31, 2014 Dec 31, 2014 Mar 31, 2015
6.9
15.1
8.6
Mar 31, 2014 Dec 31, 2014 Mar 31, 2015
20
Note: For the three months ended on the respective dates (1) Non-GAAP EBITDA represents income from operations (which excludes interest and investment income, net, interest expense, other income, net, income tax expenses and share of
results of equity investees) before certain non-cash expenses, consisting of share-based compensation expense, amortization, depreciation and impairment of goodwill and intangible assets that we do not believe are reflective of its core operating performance during the periods presented.
(2) Non-GAAP net income represents net income before share-based compensation expense, amortization, impairment of goodwill, intangible assets and investments, gain (loss) on deemed disposals/disposals/revaluation of investments, amortization of excess value receivable arising from the restructuring of commercial arrangements with Ant Financial, and one-time expense items consisting of the expenses relating to the sale of shares by existing shareholders in our initial public offering and charge for financing-related fees as a result of early repayment of bank borrowings.
Quarterly Cost Trends
Cost of Revenue (Pre-SBC)
2.9
6.1 5.1
24% 23%
29%
Mar 31, 2014 Dec 31, 2014 Mar 31, 2015
Product Development Expenses (Pre-SBC)
1.0 1.8 1.4
8% 7% 8%
Mar 31, 2014 Dec 31, 2014 Mar 31, 2015
(% of revenue)(RMB Bn) (% of revenue)(RMB Bn)
0.4 1.2 1.1
3% 5% 6%
Mar 31, 2014 Dec 31, 2014 Mar 31, 2015
21
Mar 31, 2014 Dec 31, 2014 Mar 31, 2015
Sales & Marketing Expenses (Pre-SBC)
1.2 2.6 1.9
10% 10% 11%
Mar 31, 2014 Dec 31, 2014 Mar 31, 2015
General & Administrative Expenses (Pre-SBC)(% of revenue)(RMB Bn) (% of revenue)(RMB Bn)
Free Cash Flow
Free Cash Flow (1)
(%)(RMB Bn)
48.1
61% 63%
• We enjoy strong cash flow based on our significant earnings and our capital efficient marketplace business model.
• This robust cash flow provides us with the flexibility and confidence to invest in new initiatives to add new users, improve engagement and customer experience and expand our ecosystem.
2.3
5.7 19%
33%
Mar 31, 2014 Mar 31, 2015
Free Cash Flow
22
Note: (1) Free cash flow represents net cash provided by operating activities as presented in Alibaba Group’s consolidated cash flow statement less purchases of property and equipment and
intangible assets (excluding acquisition of land use rights and construction in progress) and adjusted for changes in loan receivables relating to micro loans of its SME loan business.
32.3
48.1
FY2014 FY2015
% of Revenue
+143%
+49%
For 3M ended
Capital Expenditures and Cash
1.5 1.5
5%
4%
Capital Expenditures(RMB Bn) (% )
130.7 122.3
23.7 14.1
Cash, Cash Equivalents and
Short-term Investments(RMB Bn)
23
0.2
1.2
0.7 0.2
0.3 0.8
0.4
2%
Mar 31, 2014 Dec 31, 2014 Mar 31, 2015
Non-real Estate CAPEX
Acquisitions of Land Use Rights and
Construction in Progress
Non-real Estate CAPEX as a % of Revenue
43.6
33.0
107.0 108.2
10.6
As of Mar 31,
2014
As of Dec 31,
2014
As of Mar 31,
2015
Cash and Cash Equivalents
Short-term Investments
Note: Unless otherwise indicated, all figures in the above charts are for the three months ended on the respective dates
GAAP to Non-GAAP ReconciliationFor the Three Months Ended
RMB MM Mar 31, 2014 Dec 31, 2014 Mar 31, 2015
Non-GAAP EBITDA
Income from operations 5,451 9,347 2,599
Add: Share based compensation expense 925 4,313 4,632
Add: Amortization of intangible assets 118 614 643
Add: Depreciation and amortization of property and equipment and land use rights 392 654 709
Add: Impairment of goodwill and intangible assets - 175 -
Non-GAAP EBITDA 6,886 15,103 8,583
Non-GAAP net income
Net income 5,661 5,983 2,869
Add: Share based compensation expense 925 4,313 4,632
Add: Amortization of intangible assets 118 614 643
Add: Impairment of goodwill, intangible assets and investments 39 1,032 -
24
Add: Impairment of goodwill, intangible assets and investments 39 1,032 -
Add: (Gain) loss on deemed disposals /disposals/revaluation of investments (72) 241 (468)
Add: Amortization of excess value receivable arising from the restructuring of
commercial arrangements with Ant Financial - 66 65
Add: Expenses relating to the sale of shares by existing shareholders in initial public
offering - 36 -
Add: One-time charge for financing-related fees as a result of early repayment of
bank borrowings - 830 -
Non-GAAP net income 6,671 13,115 7,741
Free cash flow
Net cash provided by operating activities 1,800 19,408 5,767
Less: Purchase of property, equipment and intangible assets
(excluding land use rights and construction in progress)(275) (1,222) (700)
Add: Changes in loan receivables, net 808 4,738 598
Free cash flow 2,333 22,924 5,665
FY2016 Strategic Priorities
Expand and upgrade existing platform
services
• Emphasis on quality growth
• Consumer acquisition and user experience
• Mobile, rural
• Empower merchants to better serve consumers
on mobile
• Local services
• Cloud computing to extend services to broader base
Develop new business initiatives
• Cloud computing to extend services to broader base
of 3rd party customers
• Cross border
• Affiliate marketing network
• Mobile Internet services
• Entertainment
People development • Culture, organization and leadership
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