Segment information (Tables)

12 Months Ended

Mar. 31, 2017

Schedule of each segment's revenue, income from operations and adjusted EBITA

The following tables present the summary of each segment's revenue, income from operations and adjusted earnings before interest, taxes and amortization ("Adjusted EBITA") which is considered as a segment operating performance measure, for the years ended March 31, 2015, 2016 and 2017:

	Year ended March 31, 2015
	Core commerce			Cloud computing			Digital media and entertainment			Innovation initiatives and others			Total segments		Unallocated (i)			Consolidated
	(in millions of RMB, except percentages)
Revenue		69,536			1,271			2,191			3,206			76,204		—			76,204
Income (Loss) from operations		40,194			(1,923	)		(2,993	)		(5,549	)		29,729		(6,594	)		23,135
Add: share-based compensation expense		4,391			813			425			3,460			9,089		3,939			13,028
Add: amortization of intangible assets		279			20			1,107			472			1,878		211			2,089
Add: impairment of goodwill		—			—			—			—			—		175			175

Adjusted EBITA (ii)		44,864			(1,090	)		(1,461	)		(1,617	)		40,696		(2,269	)


Adjusted EBITA margin		65	%		(86	)%		(67	)%		(50	)%

	Year ended March 31, 2016
	Core commerce			Cloud computing			Digital media and entertainment			Innovation initiatives and others			Total segments		Unallocated (i)			Consolidated
	(in millions of RMB, except percentages)
Revenue		92,335			3,019			3,972			1,817			101,143		—			101,143
Income (Loss) from operations		51,153			(2,605	)		(4,112	)		(7,216	)		37,220		(8,118	)		29,102
Add: share-based compensation expense		6,224			1,349			981			3,092			11,646		4,436			16,082
Add: amortization of intangible assets		659			4			1,321			657			2,641		290			2,931
Add: impairment of goodwill		—			—			—			—			—		455			455

Adjusted EBITA (ii)		58,036			(1,252	)		(1,810	)		(3,467	)		51,507		(2,937	)


Adjusted EBITA margin		63	%		(41	)%		(46	)%		(191	)%

	Year ended March 31, 2017
	Core commerce			Cloud computing			Digital media and entertainment			Innovation initiatives and others			Total segments		Unallocated (i)			Consolidated
	(in millions of RMB, except percentages)
Revenue		133,880			6,663			14,733			2,997			158,273		—			158,273
Income (Loss) from operations		74,180			(1,681	)		(9,882	)		(6,798	)		55,819		(7,764	)		48,055
Add: share-based compensation expense		5,994			1,201			1,454			3,017			11,666		4,329			15,995
Add: amortization of intangible assets		2,258			4			1,886			656			4,804		318			5,122

Adjusted EBITA (ii)		82,432			(476	)		(6,542	)		(3,125	)		72,289		(3,117	)


Adjusted EBITA margin		62	%		(7	)%		(44	)%		(104	)%

Schedule of reconciliation from the adjusted EBITA to the consolidated net income

The following table presents the reconciliation from the Adjusted EBITA to the consolidated net income for the years ended March 31, 2015, 2016 and 2017:

	Year ended March 31,
	2015			2016			2017
	(in millions of RMB)
Total Segments Adjusted EBITA		40,696			51,507			72,289
Unallocated (i)		(2,269	)		(2,937	)		(3,117	)
Share-based compensation expense		(13,028	)		(16,082	)		(15,995	)
Amortization of intangible assets		(2,089	)		(2,931	)		(5,122	)
Impairment of goodwill		(175	)		(455	)		—

Consolidated income from operations		23,135			29,102			48,055
Interest and investment income, net		9,455			52,254			8,559
Interest expenses		(2,750	)		(1,946	)		(2,671	)
Other income, net		2,486			2,058			6,086
Income tax expenses		(6,416	)		(8,449	)		(13,776	)
Share of results of equity investees		(1,590	)		(1,730	)		(5,027	)

Consolidated net income		24,320			71,289			41,226

Schedule of depreciation and amortization expenses of property and equipment and land use rights by segment

The following table presents the total depreciation and amortization expenses of property and equipment and land use rights by segment for the years ended March 31, 2015, 2016 and 2017:

	Year ended March 31,
	2015		2016		2017
	(in millions of RMB)
Core commerce		1,177		1,696		2,124
Cloud computing		596		1,116		1,438
Digital media and entertainment		132		316		752
Innovation initiatives and others		166		333		407
Unallocated (i)		255		309		563

Total depreciation and amortization expenses of property and equipment and land use rights		2,326		3,770		5,284


(i)	Unallocated expenses are primarily related to corporate administrative costs and other miscellaneous items that are not allocated to individual segments.
(ii)	Adjusted EBITA represents net income before (i) interest and investment income, net, other income, net, interest expense, income tax expenses and share of results of equity investees, and (ii) certain non-cash expenses, consisting of share-based compensation expense, amortization of intangible assets and impairment of goodwill, which are not reflective of the Company's core operating performance.