Vision - Alibaba

90 Annual Report 2007
Consolidated Cash Flow Statement
For the year ended December 31, 2007
2007 2006
RMB’000 RMB’000
Cash fl ows from operating activities
Profi t before income taxes
Adjustments for:
1,149,444 291,388
Depreciation expense of property and equipment 59,016 54,043
Amortization of lease prepayment 244 —
Share-based compensation expense 152,077 113,904
Loss on disposals of property and equipment 17 483
Interest income (406,307) (23,159)
Exchange losses 61,208 267
Decrease/(Increase) in amounts due from related companies 6,468 (3,348)
(Increase)/Decrease in prepayments, deposits and other receivables (28,176) 35,470
Increase in deferred costs (61,616) (28,054)
Decrease in restricted cash 781 —
Increase in deferred revenue and customer advances 699,496 469,251
Increase/(Decrease) in trade payables 4,185 (5,477)
Decrease in amounts due to related companies (167,944) (67,142)
Increase/(Decrease) in other payables and accruals 122,962 (24,462)
Net cash provided by operating activities 1,591,855 813,164
Income tax paid (182,638) (82,493)
Net cash generated from operating activities 1,409,217 730,671
Cash fl ows from investing activities
Decrease/(Increase) in term deposits with original maturities of
over three months
98,618 (714,000)
Purchase of property and equipment and lease prepayment of
land use rights
(139,812) (96,690)
Proceeds from disposals of property and equipment 342 270
Deemed distributions to equity owners (432,866) —
Interest received
Net cash outfl ow arising from deemed disposals pursuant to
393,718 16,053
the Reorganization (21,947) —
Net cash used in investing activities (101,947) (794,367)