ALIBABA GROUP OFFERINGS  

FINANCIALS AND METRICS

QUARTERLY     |     FULL YEAR     |     MOBILE

Note:

1) Non-GAAP EBITDA represents income from operations (which excludes interest and investment income, net, interest expense, other income (loss), 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 an equity-settled donation expense. This financial metric is not a measure of financial performance under U.S. GAAP but is considered by us an important financial measure.

2) Non-GAAP net income represents net income before share-based compensation expenses, amortization, impairment of goodwill and investments, gain 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, equity-settled donation expense and charge for financing-related fees as a result of early repayment of bank borrowings and others. This financial metric is not a measure of financial performance under U.S. GAAP but is considered by us an important financial measure.