It’s a fun tie-in to be sure that the caterpillar’s line’s echo that of the song, however those lines are taken straight from the Disney version.
The caterpillar asks who Alice is to which she responds, something along the lines of she doesn’t quite know, she’s changed so many times since breakfast. In reference to being 10 feet tall & she then inadvertently insults the caterpillar about his height – saying it’s wretched to be so small. To which the caterpillar says it is a perfectly good height indeed – then Alice gets huffy & says she’s not used to it.
& speaking of the caterpillar, … I wonder why he wasn’t on his mushroom when they left Wonderland. …I’m guessing it’s because he’d gone ahead & turned into a butterfly like in the movie.