Yahoo 2014 Annual Report Download - page 124

The following table presents Alibaba Group’s U.S. GAAP financial information, as derived from the
Alibaba Group financial statements (in thousands):
Twelve Months Ended September 30,
2012 2013 2014(1)
Operating data:
Revenue $4,082,838 $6,734,978 $7,584,932
Gross profit(2) $2,764,314 $4,983,444 $5,592,862
Income from operations(2) $ 687,632 $3,236,733 $3,437,766
Net income $ 536,050 $2,847,139 $4,309,405
Net income attributable to ordinary shareholders of
Alibaba Group Holding Limited $ 484,511 $2,809,429 $4,260,067
September 30,
2013
June 30,
2014
Balance sheet data:
Current assets $7,994,731 $14,225,068
Long-term assets $5,959,835 $11,973,248
Current liabilities $4,838,510 $ 7,318,619
Long-term liabilities $5,319,113 $ 8,828,663
Convertible preferred shares and other mezzanine equity $1,688,889 $ 1,699,714
Noncontrolling interests $ 92,127 $ 747,364
(1) Data is for the nine months ended June 30, 2014.
(2) For the twelve months ended September 30, 2013, certain amounts have been reclassified to
conform to the current period presentation with no effect on previously reported net income or
stockholders’ equity.
From the date of its acquisition of its interest in Alibaba Group through the date of the Alibaba Group
IPO, the Company has recorded, in retained earnings, cumulative earnings in equity interests, net of
tax, of $1,078 million and $1,691 million as of December 31, 2013 and 2014, respectively.
Initial Repurchase by Alibaba Group. On September 18, 2012 (the “Repurchase Closing Date”),
Alibaba Group repurchased 523 million of the 1,047 million ordinary shares of Alibaba Group
(“Alibaba Group shares”) owned by the Company (the “Initial Repurchase”). The Initial Repurchase
was made pursuant to the terms of the Share Repurchase and Preference Share Sale Agreement
entered into by Yahoo! Inc., Alibaba Group and Yahoo! Hong Kong Holdings Limited (“YHK”), a
wholly owned subsidiary of the Company, on May 20, 2012 (as amended on September 11,
2012, October 14, 2013 and July 14, 2014). Yahoo received $13.54 per Alibaba Group share, or
approximately $7.1 billion in total consideration, for the 523 million Alibaba Group shares sold to
Alibaba Group. Approximately $6.3 billion of the consideration was received in cash and $800 million
was received in Alibaba Group Preference Shares, which Alibaba Group redeemed on May 16, 2013.
During the six months ended June 30, 2013, the Company received cash dividends from Alibaba
Group of $58 million related to the Alibaba Group Preference Shares. The Company recorded a pre-
tax gain of approximately $4.6 billion for the year ended December 31, 2012.
On May 16, 2013, the Company received $846 million in cash from Alibaba Group to redeem the
Alibaba Group Preference Shares. The cash received represented the redemption value, which
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