大全新能源 (DQ) 2022 Q4 法說會逐字稿

Good day everyone, and welcome to the Daqo New Energy Fourth Quarter and Fiscal Year 2022 Results (inaudible). (Operator Instructions). Please also note today's event is being recorded, and at this time, I would like to turn the conference call over to Kevin He, Investor Relations. Please go ahead.

大家好，歡迎來到大全新能源第四季度和 2022 財年業績（聽不清）。 （操作員說明）。另請注意，今天的活動正在錄製中，此時，我想將電話會議轉交給投資者關係部的 Kevin He。請繼續。

Hello, everyone. I am Kevin He, the Investor Relations of Daqo New Energy. Thank you for joining our conference call today. The company just issued its financial results for the fourth quarter and the fiscal year of 2022, which can be found on our website at www.dqsolar.com. To facilitate today's conference call, we also have prepared a PPT presentation for your reference. You can also find the PPT presentation at our website. Today, attending the conference call, we have Mr Ming Yang, our Chief Financial Officer; and Mr Longgen, our Chief Executive Officer; and myself. So before we begin the formal remarks, I would like to remind you that certain statements on today's call, excluding expected future operational and financial performance, and industry growth are forward-looking statements that are made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statements. Further information regarding these and other risks is included in the reports or documents we have filed with or furnished to the Securities and Exchange Commission. These statements only reflect our current and the preliminary view as of today and may be subject to change. Our ability to achieve these projections is subject to risks and uncertainties. All information provided in today's conference call is as of today, and we undertake no duty to update such information, except as required under applicable law.

大家好。我是大全新能源投資者關係部的Kevin He。感謝您參加我們今天的電話會議。公司剛剛發布了第四季度和 2022 財年的財務業績，可在我們的網站 www.dqsolar.com 上找到。為了方便今天的電話會議，我們還準備了一份PPT演示文稿供大家參考。您也可以在我們的網站上找到 PPT 演示文稿。今天，參加電話會議的有我們的首席財務官楊明先生；以及我們的首席執行官朗根先生；和我自己。因此，在我們開始正式發言之前，我想提醒您，今天電話會議的某些陳述（不包括預期的未來運營和財務業績以及行業增長）是根據美國私人證券的安全港條款作出的前瞻性陳述1995 年訴訟改革法案。這些陳述涉及固有的風險和不確定性。許多因素可能導致實際結果與任何前瞻性陳述中包含的結果存在重大差異。有關這些風險和其他風險的更多信息包含在我們已提交或提供給美國證券交易委員會的報告或文件中。這些陳述僅反映我們截至今天的當前和初步觀點，可能會發生變化。我們實現這些預測的能力受到風險和不確定性的影響。今天的電話會議中提供的所有信息都是截至今天的，除適用法律要求外，我們不承擔更新此類信息的義務。

Also during the call, we will occasionally reference monetary amounts in U.S. dollar terms. Please keep in mind that our functional currency is the Chinese RMB. We offer these translations into U.S. dollars solely for the convenience of the audience. Without further, now I will turn the call to our CEO, Mr Zhang.

同樣在通話期間，我們偶爾會以美元為單位參考貨幣金額。請記住，我們的功能貨幣是人民幣。我們將這些翻譯成美元只是為了方便觀眾。事不宜遲，現在我將把電話轉給我們的首席執行官張先生。

Thank you, Kevin. Good evening, everyone. We are very pleased to report a record results for the year 2022. We would like to thank our entire team for achieving such a strong financial and operational performance. Our annual polysilicon production volume was 133,812 metric tons in 2022, exceeding our guidance of 132,000 metric tons and 54.4% higher than the 86,587 metric tons produced in 2021. Our sales volume was 132,909 metric tons in 2022, 76.4% higher than 75,356 metric tons in 2021. Thanks to the robust demand for solar PV products globally, polysilicon ASPs increased by approximately 50% year-over-year from $21.76 per kg in 2021 to $32.64 per kg in 2022. As one of the most profitable and fastest-growing polysilicon manufacturers in the world, we achieved strong financial results with a revenue of $4.61 billion in 2022, an increase of 175% compared to $1.68 billion in 2021. Gross margin improved to 74% in 2022 from 65.4% in 2021. And net income attributable to our shareholders was $1.86 billion in 2022, an increase of 148.4% compared to $749 million in 2021. We generated approximately $2.47 billion in operating cash flow for the year and ended the year with a very strong balance sheet with $4.65 billion in combined cash, cash equivalents, risk-weighted cash and banking loans with a maturity within 6 months.

謝謝你，凱文。各位晚上好。我們很高興地報告 2022 年創紀錄的業績。我們要感謝我們的整個團隊取得如此強勁的財務和運營業績。我們在 2022 年的多晶矽年產量為 133,812 公噸，超出了我們 132,000 公噸的指導，比 2021 年生產的 86,587 公噸高出 54.4%。我們在 2022 年的銷量為 132,909 公噸，比 2021 年的 75,356 公噸高出 76.4% 2021年，由於全球對太陽能光伏產品的強勁需求，多晶矽平均售價同比增長約50%，從2021年的每公斤21.76美元增至2022年的每公斤32.64美元。作為盈利能力最強、增長最快的多晶矽製造商之一在全球範圍內，我們取得了強勁的財務業績，2022 年的收入為 46.1 億美元，比 2021 年的 16.8 億美元增長了 175%。毛利率從 2021 年的 65.4% 提高到 2022 年的 74%。我們的淨利潤歸屬於我們2022 年的股東為 18.6 億美元，與 2021 年的 7.49 億美元相比增長了 148.4%。我們當年產生了大約 24.7 億美元的運營現金流，並以非常強勁的資產負債表結束了這一年46.5 億美元的現金、現金等價物、風險加權現金和 6 個月內到期的銀行貸款。

For the year of 2022, approximately 99% of our production volume was mono-grade polysilicon. We continue to be one of the world's leading supplier of ultra-high purity N-type mono polysilicon, the foundation for the next-generation N-type solar cell technology.

到 2022 年，我們約 99% 的產量是單級多晶矽。我們仍然是世界領先的超高純度 N 型單晶多晶矽供應商之一，這是下一代 N 型太陽能電池技術的基礎。

Towards the end of 2022, a temporary seasonal slowdown in solar PV market caused the inventory adjustments across the value chain, similar to the year-end of 2021. As a result, the downstream sectors, especially wafer, cell and module manufacturers reduced inventories and significantly lowered the production utilization rate. These led to widespread price decline across the value chain. In February 2023, lower module prices effectively stimulated market demand and downstream production utilization rates quickly ramped up back to normal levels, reducing channel inventory significantly and leading to a meaningful recovery of polysilicon ASPs. Current polysilicon prices of approximately RMB 230-250 per kg, a very healthy and reflects the strong demand for solar modules in the range of RMB 1.7-1.8 per watt.

臨近2022年底，太陽能光伏市場暫時季節性放緩，導致整個價值鏈庫存調整，與2021年年底類似。因此，下游行業，特別是矽片、電池和組件製造商減少了庫存和大大降低了生產利用率。這導致整個價值鏈的價格普遍下跌。 2023年2月，較低的組件價格有效刺激了市場需求，下游產能利用率迅速回升至正常水平，渠道庫存大幅減少，多晶矽均價出現明顯回升。目前的多晶矽價格約為每公斤 230-250 元人民幣，非常健康，反映了太陽能組件在每瓦 1.7-1.8 元人民幣範圍內的強勁需求。

Global solar PV installations were approximately 268GW in 2022, a 53% annual increase from approximately 175GW in 2021, growing faster than most had forecasted at the beginning of the year. The increase in polysilicon supply in conjunction with supportive global climate change policies as well as favorable economic conditions driven by grid parity made 2022 one of the industry's fastest-growing years. Meanwhile, solar module price increased from approximately RMB 1.80/watt in Q1 2022 to RMB 2/watt in Q4 2022. Despite higher solid module market pricings that many expected would lead to a slowdown in China's PV installation, the Chinese PV end-market also saw robust growth for the year with installations of 87GW, an increase of 59% compared to 2021. These market conditions suggest that the global PV market demand was actually limited by supply, specifically of polysilicon. Key global trends, including the urgent need to address climate change, the driver for greater energy independence as well as positive economic conditions driven by a grid parity, have led to strong demand momentum for renewable energies, including solar PV. We believe energy transformation is still in its early stage and has opened a huge potential market for solar PV, which is likely to be far beyond expectations. The high-purity polysilicon sector will continue to benefit strongly from these positive developments.

2022 年全球太陽能光伏裝機量約為 268GW，較 2021 年的約 175GW 增長 53%，增長速度快於大多數人年初的預測。多晶矽供應的增加，加上支持性的全球氣候變化政策，以及平價上網推動的有利經濟條件，使 2022 年成為該行業增長最快的年份之一。與此同時，太陽能組件價格從 2022 年第一季度的約人民幣 1.80 元/瓦上漲至 2022 年第四季度的人民幣 2/瓦。儘管許多人預計固體組件市場價格上漲將導致中國光伏安裝放緩，但中國光伏終端市場也全年裝機量強勁增長 87GW，比 2021 年增長 59%。這些市場狀況表明，全球光伏市場需求實際上受到供應限制，尤其是多晶矽。全球主要趨勢，包括應對氣候變化的迫切需要、提高能源獨立性的驅動力以及電網平價驅動的積極經濟條件，導致對可再生能源（包括太陽能光伏）的強勁需求勢頭。我們認為能源轉型仍處於早期階段，並為太陽能光伏打開了巨大的潛在市場，這可能遠超預期。高純度多晶矽行業將繼續從這些積極的發展中受益匪淺。

Daqo New Energy is well-positioned to benefit from the evolving trends and deliver continued growth. The construction of our Phase 5A 100,000 metric tons polysilicon capacity expansion project projects in Inner Mongolia is progressed smoothly. We expect to complete construction and start pilot production in April 2023 and ramp up to full capacity by the end of June 2023. Therefore, we expect to produce approximately 190,000-195,000 metric tons of polysilicon in 2023, 38% to 46% more than in 2022. Furthermore, our Phase 5B project for an additional 100,000 metric polysilicon in Inner Mongolia will start construction in March and is expected to be completed by the end of this year.

大全新能源處於有利地位，可以從不斷變化的趨勢中受益並實現持續增長。內蒙古5A期10萬噸多晶矽擴能項目建設進展順利。我們預計將於2023年4月完成建設並開始試生產，並於2023年6月底全面達產。因此，我們預計2023年多晶矽產量約為190,000-195,000公噸，比2023年增加38%至46%。 2022年，此外，我們在內蒙古新增10萬立方多晶矽的5B期項目將於3月開工建設，預計今年年底完工。

Solar PV will continue to play a critical role in transforming the global energy infrastructure by powering the world with sustainable cost-effective and renewable energy at a pace much faster than thought possible. As a leading player in polysilicon industry, we outperformed most of our peers in terms of unit profitability, cost structure and the product quality in 2022. We believe our forecast are our core competitiveness, solid growth road-map and our strong balance sheet will allow us to benefit from the long-term growth of global solar PV market. For the future outlook and the guidance, we expect to produce approximately 31,000 metric tons to 32,000 metric tons of polysilicon in the first quarter of 2023. And approximately 190,000 metric tons to 195,000 metric tons of polysilicon in the full year of 2023, inclusive of the impact of the Company's annual facility maintenance.

太陽能光伏將以超乎想像的速度為世界提供具有成本效益的可持續可再生能源，從而在全球能源基礎設施轉型中繼續發揮關鍵作用。作為多晶矽行業的領先企業，我們在 2022 年的單位盈利能力、成本結構和產品質量方面優於大多數同行。我們相信我們的預測是我們的核心競爭力、穩健的增長路線圖和我們強大的資產負債表將使我們將受益於全球太陽能光伏市場的長期增長。對於未來展望和指導，我們預計 2023 年第一季度將生產約 31,000 公噸至 32,000 公噸多晶矽。2023 年全年將生產約 190,000 公噸至 195,000 公噸多晶矽，包括公司年度設施維護的影響。

Now I will turn the call to our CFO, Mr. Yang, please.

現在我將把電話轉給我們的首席財務官楊先生。

. Thank you, Longgen, and hello, everyone. Thank you for joining our earnings conference call today. Now I will discuss the company's financial performance for the quarter and for the year. Revenues were $864 million compared to $1.22 million in the third quarter of 2022 and $295.5 million in the fourth quarter of 2021. The decrease in revenue compared to the third quarter of 2022, as Landa mentioned, was primarily due to a decrease in sales volumes mitigated by an increase in average selling price. Gross profit for the quarter was $668.9 million compared to $978.6 million in the third quarter of 2022 and $239.8 million in the fourth quarter of 2021. Gross margin was 77.4% compared to 80.2% in the third quarter of 2022 and 60.6% in the fourth quarter of 2021. The slight decrease in gross profit compared to the third quarter was primarily due to the lower sales volume and higher production costs.

.謝謝龍根，大家好。感謝您參加我們今天的收益電話會議。現在我將討論公司本季度和本年度的財務業績。收入為 8.64 億美元，而 2022 年第三季度為 122 萬美元，2021 年第四季度為 2.955 億美元。正如 Landa 所提到的，與 2022 年第三季度相比收入下降的主要原因是銷量下降有所緩解通過提高平均售價。本季度毛利潤為 6.689 億美元，而 2022 年第三季度為 9.786 億美元，2021 年第四季度為 2.398 億美元。毛利率為 77.4%，而 2022 年第三季度為 80.2%，第四季度為 60.6% 2021年毛利較三季度略有下降，主要是銷量下降及生產成本上升所致。

Selling, general and administrative expense was $44 million compared to $280 million in the third quarter of 2022 and $10.2 million in the fourth quarter of 2021. SG&A expenses during the fourth quarter included $28.4 million in non-cash share-based compensation costs related to the company's share incentive plan, and this is compared to the third quarter cost of $263.4 million in the third quarter of 2022 of non-cash share-based compensation costs.

銷售、一般和行政費用為 4,400 萬美元，而 2022 年第三季度為 2.8 億美元，2021 年第四季度為 1,020 萬美元。第四季度的 SG&A 費用包括 2,840 萬美元的與公司的股權激勵計劃，與 2022 年第三季度非現金股權激勵成本的 2.634 億美元相比。

Research and development expense for the quarter was $2.7 million compared to $2.5 million in the third quarter of 2022 and $1.3 million in the fourth quarter of 2021. The R&D expenses vary from period to period and reflect R&D activities that take place during the quarter. And currently, most of our R&D expense primarily are N-type technology research as well as (inaudible) to reduce production costs.

本季度的研發費用為 270 萬美元，而 2022 年第三季度為 250 萬美元，2021 年第四季度為 130 萬美元。研發費用因時期而異，反映了本季度發生的研發活動。目前，我們的大部分研發費用主要是 N 型技術研究以及（聽不清）降低生產成本。

Income from operations was $623 million compared to $693 million in the third quarter of 2022 and $228 million in the fourth quarter of 2021. Operating margin was 72% compared to 56.8% in the third quarter of 2022 and 57.7% in the fourth quarter of 2021. As a result of the above, net income attributable to Daqo New Energy Corp. shareholders was $372.9 million compared to $223.4 million in the third quarter of 2022 and $141.3 million in the fourth quarter of 2021.

營業收入為 6.23 億美元，而 2022 年第三季度為 6.93 億美元，2021 年第四季度為 2.28 億美元。營業利潤率為 72%，而 2022 年第三季度為 56.8%，2021 年第四季度為 57.7% . 由於上述原因，歸屬於大全新能源公司股東的淨利潤為 3.729 億美元，而 2022 年第三季度為 2.234 億美元，2021 年第四季度為 1.413 億美元。

Earnings per basic ADS was $4.78 compared to $4.28 in the third quarter of 2022 or $1.90 in the fourth quarter of 2021.

每份基本 ADS 的收益為 4.78 美元，而 2022 年第三季度為 4.28 美元，2021 年第四季度為 1.90 美元。

Adjusted net income attributable to Daqo New Energy shareholders, excluding non-cash share-based compensation costs was $403.3 million compared to $590.4 million in the third quarter of 2022 and $143.6 million in the fourth quarter of 2021. Adjusted earnings per basic ADS was $5.17 compared to $7.81 in the third quarter of 2022 and $1.93 in the fourth quarter of 2021.

調整後歸屬於大全新能源股東的淨利潤（不包括非現金股權補償成本）為 4.033 億美元，而 2022 年第三季度為 5.904 億美元，2021 年第四季度為 1.436 億美元。調整後每份基本 ADS 收益為 5.17 美元，相比之下到 2022 年第三季度為 7.81 美元，到 2021 年第四季度為 1.93 美元。

EBITDA for the quarter was $648.5 million compared to $720 million in the third quarter of 2022 and $251.1 million in the fourth quarter of 2021. EBITDA margin was 75% compared to 59% in the third quarter of 2022 and 63.5% in the fourth quarter of 2021.

本季度的 EBITDA 為 6.485 億美元，而 2022 年第三季度為 7.20 億美元，2021 年第四季度為 2.511 億美元。EBITDA 利潤率為 75%，而 2022 年第三季度為 59%，2022 年第四季度為 63.5% 2021.

Now for review of our full year 2022 results. Revenue for the year 2022 were $4.6 million compared to $1.68 million in 2021. The increase was due to higher costs within average selling prices as well as significantly higher sales volume. Gross profit was $3.4 million compared to $1.1 million in 2021. Gross margin for the year was 74% compared to 65.4% in 2021. The increase in gross profit was due to higher sales volume and higher selling prices.

現在回顧我們的 2022 年全年業績。 2022 年的收入為 460 萬美元，而 2021 年為 168 萬美元。增長的原因是平均售價中的成本增加以及銷量顯著增加。毛利潤為 340 萬美元，而 2021 年為 110 萬美元。全年毛利率為 74%，而 2021 年為 65.4%。毛利潤的增長是由於銷量增加和售價上漲。

SG&A expenses for the year was $354.1 million compared to $39.9 million in 2021. The increase of SG&A expenses for 2022 compared to 2021 was primarily due to our non-cash share-based compensation costs related to our share incentive plan, which was $299 million for 2022 compared to $8.4 million in 2021. R&D expenses were $10 million compared to $6.5 million in 2021.

該年度的 SG&A 費用為 3.541 億美元，而 2021 年為 3990 萬美元。與 2021 年相比，2022 年的 SG&A 費用增加主要是由於與我們的股權激勵計劃相關的非現金股份補償成本，為 2.99 億美元2022 年相比 2021 年為 840 萬美元。研發費用為 1000 萬美元，而 2021 年為 650 萬美元。

Income from operations for the year was $3.04 million compared to $1.05 million in 2021. Operating margin was 66% compared to 62.6% in 2021.

全年運營收入為 304 萬美元，而 2021 年為 105 萬美元。營業利潤率為 66%，而 2021 年為 62.6%。

Interest income for the year was $14.5 million compared to $20.5 million in net interest expense in 2021. The increase in interest income was (inaudible) due to our cash balance.

本年度的利息收入為 1,450 萬美元，而 2021 年的淨利息支出為 2,050 萬美元。利息收入的增加（聽不清）是由於我們的現金餘額。

Income tax expense for the year was $537 million compared to $170 million in 2021.

與 2021 年的 1.7 億美元相比，當年的所得稅費用為 5.37 億美元。

The net income attributable to Daqo New Energy shareholders for the year was $1.86 million compared to $748.9 million in 2021.

全年歸屬於大全新能源股東的淨收入為 186 萬美元，而 2021 年為 7.489 億美元。

Earnings per basic ADS for the year was $24.61 compared to $10.14 in 2021.

本年度每份基本 ADS 的收益為 24.61 美元，而 2021 年為 10.14 美元。

Adjusted net income attributable to Daqo New Energy shareholders was $2.16 million compared to $759 million in 2021.

調整後歸屬於大全新能源股東的淨利潤為 216 萬美元，而 2021 年為 7.59 億美元。

Adjusted earnings per basic ADS was $28.50 per share compared to $10.28 in 2021.

調整後每股基本 ADS 收益為每股 28.50 美元，而 2021 年為 10.28 美元。

EBITDA for the year was $3.15 million compared to $1.13 million in 2021. EBITDA margin for the year was 68.4% compared to 67.5% in 2021.

本年度的 EBITDA 為 315 萬美元，而 2021 年為 113 萬美元。本年度的 EBITDA 利潤率為 68.4%，而 2021 年為 67.5%。

And now on the company's financial conditions. As of December 31, 2022, the company had $3.52 million in cash, cash equivalents and restricted cash compared to $3.05 million as of September 30, 2022, and $724 million as of December 31, 2021. And as of December 31, 2022, a bank note receivable balance, which can be ideally redeemed for cash was $1.1 million compared to $1.57 million as of September 30, 2022, and $366 million at December 31, 2021. The bank notes typically was mature in about 6 months' time.

現在關於公司的財務狀況。截至 2022 年 12 月 31 日，公司擁有現金、現金等價物和受限制現金 352 萬美元，截至 2022 年 9 月 30 日為 305 萬美元，截至 2021 年 12 月 31 日為 7.24 億美元。截至 2022 年 12 月 31 日，理想情況下可以兌換成現金的應收銀行票據余額為 110 萬美元，而截至 2022 年 9 月 30 日為 157 萬美元，截至 2021 年 12 月 31 日為 3.66 億美元。銀行票據通常在 6 個月左右到期。

And now on to the company's cash flow. For the 12 months ended December 31, 2022, net cash provided by operating activities was $2.46 million compared to $639 million in the same period of 2022. The increase was primarily due to higher revenue and higher gross margin. And for the 12 months ended December 31, 2022, net cash used in investing activities was $1 billion compared to $782 million in the same period of 2021. Net cash used in investing activities in 2022 was primarily related to total capital expenditures on the company's 100,000 metric tons polysilicon project in Baotou City, Inner Mongolia. And for the 12 months ended December 31, 2022, net cash provided by financing activities was $1.47 billion compared to $736 million in the same period of 2021.

現在談談公司的現金流。截至 2022 年 12 月 31 日止的 12 個月，經營活動提供的現金淨額為 246 萬美元，而 2022 年同期為 6.39 億美元。增加的主要原因是收入增加和毛利率增加。截至 2022 年 12 月 31 日的 12 個月，投資活動使用的現金淨額為 10 億美元，而 2021 年同期為 7.82 億美元。2022 年投資活動使用的現金淨額主要與公司 100,000 美元的總資本支出有關內蒙古包頭市噸多晶矽項目。截至 2022 年 12 月 31 日止的 12 個月，融資活動提供的現金淨額為 14.7 億美元，而 2021 年同期為 7.36 億美元。

The net cost provided by finance activities in 2022 was primarily related to net proceeds of $1.6 billion from our Xinjiang Daqo’s private offerings in China's Asia market.

2022 年財務活動產生的淨成本主要與新疆大全在中國亞洲市場私募的 16 億美元淨收益有關。

And that concludes our prepared remarks. And now we will open the call for questions from the audience.

我們準備好的發言到此結束。現在我們將開始聽眾提問。

(Operator Instructions) our first question today comes from Philip Shen from ROTH MKM. Please go ahead with your question.

（操作員說明）我們今天的第一個問題來自 ROTH MKM 的 Philip Shen。請繼續你的問題。

Hi everyone, thanks for taking my questions. I wanted to start off with your latest (inaudible) on pricing. So specifically, I think you talked about this module prices stabilizing polysilicon prices. How do you expect polysilicon price trend by quarter for the rest of the year?

大家好，感謝您提出我的問題。我想從你們最新的（聽不清）定價開始。所以具體來說，我想你談到了這個模塊價格穩定多晶矽價格。您如何看待今年餘下時間各季度的多晶矽價格走勢？

Thank you, Philip. I think since the last year, December, that's every year, I think since the year 2020 and because all of these Thanksgiving holiday, the New Year, plus Chinese New Year, so the downstream of (inaudible), I think producer every year reduce their utility capacity, utilization rates, we call. So last year, the same thing happened. (inaudible) because Chinese New Year very close too. So basically, in last year December, we did not sell any silicon (inaudible). The reason is because I think the (inaudible) the utilization of (inaudible) down to, I think, some to 0, even 10% and clean all inventory. So basically then, Chinese New Year coming, I think, early February. So January, we also did not sell anything. So February, we are starting. At the end of last year, we have inventory (inaudible) tons, so we believe I think given guidance, I think right now, the price come back from last year December of almost as low as like RMB 120 per kg. Right now it comes back to normal is around back at RMB 210 to RMB 250 per kg. So we sold, I think, more than 10,000 tons in February as the price is higher. So we will continue selling. So we believe, I think in Q1, the selling price should be about RMB 220. The reason is because I think in the second quarter of this year is not too much new players come in, so it is not too much new output come out. So we think we will continue to digest our inventory come to normal. So my forecast, I think before the end of June, the selling price should be about RMB 210, even higher to RMB 250. For the Q3, I think the only new capacity has come from our Mongolia Phase 1 come out, but the market demand has continued to go up. So we believe, I think we can keep silicon price between RMB 150 to RMB 200. Q4, definitely, I think now the picture is not clear, it's like crystal ball. So the silicon price may be will go down to RMB 120. So overall, this year, we're still thinking it's very profitable for Daqo.

謝謝你，菲利普。我認為自去年 12 月以來，每年都是如此，我認為自 2020 年以來，由於所有這些感恩節假期、新年和農曆新年，所以（聽不清）的下游，我認為生產商每年都在減少他們的效用能力，利用率，我們稱之為。所以去年，同樣的事情發生了。 （聽不清）因為農曆新年也快到了。所以基本上，在去年 12 月，我們沒有出售任何矽（聽不清）。原因是因為我認為（聽不清）（聽不清）的利用率下降到 0，甚至 10%，並清理所有庫存。所以基本上，中國新年即將到來，我想，二月初。所以一月份，我們也沒有賣出任何東西。所以二月，我們開始了。去年年底，我們有庫存（聽不清）噸，所以我們相信我認為在指導下，我認為現在，價格從去年 12 月開始回落，幾乎低至每公斤 120 元人民幣。現在恢復正常，在每公斤210-250元左右。所以我認為，由於價格較高，我們在 2 月份賣出了 10,000 多噸。所以我們會繼續銷售。所以我們認為，我認為在第一季度，售價應該在 220 元左右。原因是因為我認為今年第二季度沒有太多新玩家進來，所以也沒有太多新產出出來.所以我們認為我們將繼續消化我們的庫存以恢復正常。所以我的預測，我認為在6月底之前，售價應該在210元左右，甚至更高到250元。對於Q3，我認為唯一的新產能來自我們的蒙古一期，但市場需求持續上升。所以我們相信，我認為我們可以將矽價格保持在 150 元到 200 元之間。 Q4，當然，我認為現在的情況還不清晰，就像水晶球一樣。所以矽價可能會跌到 120 元人民幣。所以總體而言，今年，我們仍然認為大全的利潤很高。

Second is, we do not think that the model price will continue to go down because we see that high-performance model like (inaudible) model, even today in China, we can sell it around RMB 2/watt. And overseas, of course, depending on different regions, I think the original contract like (inaudible) almost 80% overseas their fixed price. So it's very profitable. And yes, may be the module price will go down in Q4 this year. But that matter is, let's say, if the module price is $1.70/W, they can support polysilicon price above $200, so the only thing is the gross margin allocation between silicon wafer, cell and module. But we believe silicon segment still is a very, I think, capital-intensive investment, a long-term constructing period still is challenge, yes. And I think may be next year then, I think now only silicon may be oversupplied than demand, but also wafer sell modules the same. So it may be come back, you see the lower module price will stimulate the whole market to come back. So I think it is still a key (inaudible).

其次，我們不認為模型價格會繼續下降，因為我們看到像（聽不清）模型這樣的高性能模型，即使在今天在中國，我們也可以賣到 2 元/瓦左右。當然，在海外，根據不同的地區，我認為原始合同（聽不清）幾乎 80% 是海外的固定價格。所以是非常有利可圖的。是的，今年第四季度模塊價格可能會下降。但問題是，如果組件價格為 1.70 美元/W，他們可以支持 200 美元以上的多晶矽價格，所以唯一的問題是矽片、電池和組件之間的毛利率分配。但我們認為矽業務仍然是一個非常資本密集型投資，長期建設期仍然是挑戰，是的。而且我認為可能是明年，我認為現在只有矽可能供過於求，而且晶圓銷售模塊也一樣。所以它可能會回來，你看較低的組件價格會刺激整個市場回來。所以我認為它仍然是一個關鍵（聽不清）。

So what I can say is this year, we still think polysilicon is very profitable, and we will continue to make money.

所以我能說的是今年，我們仍然認為多晶矽非常有利可圖，我們將繼續賺錢。

Great. That's really helpful. You mentioned you did not sell any poly in December or January and you said you sold 10,000 tons in February. So you are producing 10,000 at least a month. Are you saying that incrementally you sold another 10,000? And also, do you still have any of that excess inventory left over? Or have you already sold at all in the month of February?

偉大的。這真的很有幫助。你提到你在 12 月或 1 月沒有出售任何多晶矽，你說你在 2 月出售了 10,000 噸。所以你至少一個月生產 10,000 個。你是說你又賣了 10,000 個？而且，你還有剩餘的庫存嗎？還是您在 2 月份就已經賣出了？

Basically, I think for the Q1, we have given guidance. I think we, I think, sell the new production for the Q1. So end of the Q1, we may be still have inventory around 10,000 tons, around about, okay. But, yes, we saw what I would do, I think, produce still at a stable price, very high price about let me be like around $220 per kg. I would say in February we sold more than 10,000. I'm not to saying 10,000, more than 10,000. So for March, we were selling more than 20,000 tons.

基本上，我認為對於第一季度，我們已經給出了指導。我認為我們銷售第一季度的新產品。所以在第一季度末，我們可能仍有 10,000 噸左右的庫存，大約，好吧。但是，是的，我們看到了我會做的事情，我想，仍然以穩定的價格生產，非常高的價格讓我大概在每公斤 220 美元左右。我會說在 2 月份我們售出了超過 10,000 個。我不是說 10,000，超過 10,000。所以在 3 月份，我們的銷量超過 20,000 噸。

Very good. (inaudible) to your bookings. I think on the last call, you were 90% booked for 2023. You cannot really move much more than that. I was wondering if you can talk through what you were contracted for 2023 and perhaps even for 2024. And then I will have one more final follow-up.

非常好。 （聽不清）您的預訂。我想在最後一次電話會議上，你已經預訂了 2023 年的 90%。你真的不能移動更多。我想知道你是否可以談談你在 2023 年甚至 2024 年的合同。然後我將進行最後一次跟進。

You mean the long-term contract? I think for this year, our planning is, given guidance, is 190,000 tons to 195,000 tons right? I think for long-term contracts, we almost cover more than 90%. So I think we continue, I think, working with the clients to sign long-term contract. So majority, I think, for 2023, more than 90%, for 2024 we right now is more than -- if we did not have any -- not considered any capacity expansion, I think we cover at least, I think, the next year, 70%. I think the year 2025 will cover more than 65%. But the long-term contract is a roll-over.

你是說長期合同？我認為今年，我們的計劃是，在指導下，是 190,000 噸到 195,000 噸，對嗎？我認為對於長期合同，我們幾乎覆蓋了 90% 以上。所以我認為我們會繼續與客戶合作以簽訂長期合同。所以我認為，到 2023 年，超過 90%，到 2024 年，我們現在超過 - 如果我們沒有 - 沒有考慮任何產能擴張，我認為我們至少涵蓋了下一個年，70%。我認為2025年將覆蓋65%以上。但是長期合同是展期的。

Great. Okay. And then the final question I have was on your cost structure. Q4 was a little bit higher. Just curious you share how you expect your cost structure to trend by quarter this year?

偉大的。好的。然後我的最後一個問題是關於你的成本結構。第四季度略高。只是好奇，您分享了您預計今年每個季度的成本結構趨勢如何？

Okay. Hello Shen, it is Ming. So the increase in cost structure for Q4 compared to Q3 was primarily due to increase in raw material costs, particularly the market cost for silicon metal as well as increase in electricity rates. So I think as you know, (inaudible) investors are aware that China actually probably did see increase in electricity rates across all of China, including areas like (inaudible) as well as Inner Mongolia and Xinjiang as well. And so all the cost increase has been fully reflected in our updated cost structure for Q4. So in terms of our cost trend, we do expect overall our cost structure for the first half of 2023 should be similar to our Q4 costs. While after we ramp up our Inner Mongolia facility, we expect our costs to trend down. I think based on our latest internal estimate, we do think, for example, our cost in Q4 for 2023 should be about 5% plus lower than, for example, our first half cost, assuming the same electricity (inaudible) metal cost.

好的。沉你好，我是明。因此，與第三季度相比，第四季度成本結構的增加主要是由於原材料成本的增加，特別是金屬矽的市場成本以及電費的增加。所以我認為，正如你所知，（聽不清）投資者意識到中國實際上可能確實看到了整個中國的電價上漲，包括（聽不清）以及內蒙古和新疆等地區。因此，所有成本增加都已充分反映在我們更新的第四季度成本結構中。因此，就我們的成本趨勢而言，我們確實預計 2023 年上半年的整體成本結構應該與我們的第四季度成本相似。在我們擴大內蒙古工廠後，我們預計我們的成本會下降。我認為根據我們最新的內部估計，我們確實認為，例如，假設電力（聽不清）金屬成本相同，我們在 2023 年第四季度的成本應該比我們上半年的成本低 5% 左右。

Great. Okay. Thanks very much.

偉大的。好的。非常感謝。

Next question comes from Leo Ho from (inaudible) Capital Markets. Please go ahead with your question.

下一個問題來自（聽不清）資本市場的 Leo Ho。請繼續你的問題。

Thanks management. First of all, congrats on the solid set of 2022 result and also we deeply appreciate for your encouraging production target for 2023. My first question is on cost. We noticed that there has been some power shortage in Hunan recently. How do you expect it to (inaudible) metal price? And also, do you expect there will be cost-driven polysilicon price hike? This is my first question.

感謝管理。首先，祝賀 2022 年取得了堅實的成果，我們也非常感謝你們令人鼓舞的 2023 年生產目標。我的第一個問題是關於成本的。我們注意到最近湖南出現了一些電力短缺的情況。您如何看待（聽不清）金屬價格？另外，您是否預計會出現成本驅動的多晶矽價格上漲？這是我的第一個問題。

Okay. So actually, interestingly, second middle cost in Q4 of last year was substantially higher than Q3 of last year, I think, primarily due to higher energy costs within China. And silicon metal price briefly declined in January of this year, and now it's a little bit on the rising trend, but we have not really seen any significant increase of silicon metal cost due to the issue with Hunan. That is what we are seeing currently. So as a result, we do think our Q1 cost should be relatively stable compared to our Q4 call.

好的。所以實際上，有趣的是，去年第四季度的第二中間成本大大高於去年第三季度，我認為這主要是由於中國能源成本較高。而金屬矽價格在今年1月曾短暫下跌，目前略有上漲趨勢，但我們並未真正看到湖南問題導致金屬矽成本大幅上漲。這就是我們目前所看到的。因此，我們確實認為與我們的 Q4 通話相比，我們的 Q1 成本應該相對穩定。

My second question is, request a little bit color on the inventory level (inaudible) segment.

我的第二個問題是，在庫存水平（聽不清）部分請求一點顏色。

Inventory level for polysilicon?

多晶矽庫存水平？

Yes.

是的。

I think China, as you know that, every month our production output is around (inaudible). And for the inventory, as we cannot calculate everyone. But I think the end of last year, the inventory is around less than 50,000 tons. The reason is because Tongwei (inaudible) continue to vertically integrated. And also I think just the same the material outside to do the (inaudible) and then (inaudible) continue to produce sales. So right now, because I think the market come back to normal, I think Tongwei (inaudible) I think the inventory (inaudible). So if you ask me, by the end of Q1, how much inventory is there, I think it should be less than 50,000 tons.

我認為中國，正如你所知，每個月我們的產量都在左右（聽不清）。對於庫存，我們無法計算每個人。但我認為去年底，庫存在5萬噸左右。原因是因為通威（聽不清）繼續垂直整合。而且我認為與外面的材料一樣（聽不清），然後（聽不清）繼續生產銷售。所以現在，因為我認為市場恢復正常，我認為通威（聽不清）我認為庫存（聽不清）。所以如果你問我，一季度末，庫存有多少，我覺得應該在5萬噸以下。

My third question is on technological demand. We noticed that one of our peers is announcing some (inaudible) continuous (inaudible) the first quarter of this year. How do you expect the competitiveness of advanced cement method that we use in comparison with the FBR granular silicon that they propose.

第三個問題是技術需求。我們注意到我們的一個同行宣布今年第一季度有一些（聽不清）連續（聽不清）。與他們提出的FBR顆粒矽相比，您如何看待我們使用的先進水泥方法的競爭力。

Okay. So I believe your question is, for example, granular silicon right? the FBR process versus our same traditional cement process right?

好的。所以我相信您的問題是，例如，顆粒矽，對嗎？ FBR 工藝與我們相同的傳統水泥工藝對嗎？

Yes.

是的。

Okay. So I will take it from 2 perspectives, okay? So I think one is really from a quality perspective. Okay, the FBR process because it has much higher contamination of both hydrogen and also because of the use of graphite stack for heating, so a lot higher carbon contamination as well as because of the high surface area compared to the intrinsic area of a much higher surplus metal contamination. So if you compare the quality of the advanced cement process, especially in the high-purity suppliers like us compared to a typical FBR type of process, our purity is about 100 times higher, okay. So a lot of our purities are now on the parts per billion (inaudible) parts per trillion level right.

好的。所以我會從兩個角度來看，好嗎？所以我認為一個是真正從質量的角度來看。好吧，FBR 工藝因為它具有更高的氫污染，也因為使用石墨堆疊進行加熱，所以碳污染更高，並且因為與本徵面積相比高得多的表面積多餘的金屬污染。所以如果你比較先進水泥工藝的質量，特別是像我們這樣的高純度供應商與典型的 FBR 類型的工藝相比，我們的純度大約高 100 倍，好吧。所以我們的很多純度現在都在十億分之一（聽不清）萬億分之一的水平上。

So from a purity perspective, I think if you look at what is happening in the market is that our customers will use our product as their primary use of silicon and FBR only generally used to the mix because. So I think FBR, you know as the market grows, I think it does have a relatively more limited addressable market. And then in terms of cost structure, I think even ideally, you are talking about may be saving in 20-30 kW of electricity, you are talking about RMB 6-8 per kilogram of cost reduction. But what we are seeing in the market is the FBR generally offers between RMB 15-20 or more in cost discount or price discount. So I think that is fully reflected in that kind of environment.

所以從純度的角度來看，我認為如果你看看市場上正在發生的事情，我們的客戶將使用我們的產品作為他們的主要用途，因為矽和 FBR 通常只用於混合。所以我認為 FBR，你知道隨著市場的增長，我認為它確實有一個相對有限的可尋址市場。然後在成本結構上，我覺得再理想的情況下，你說的可能是節省20-30千瓦的電，你說的是每公斤成本降低6-8元。但我們在市場上看到的是，FBR一般提供15-20元或更多的成本折扣或價格折扣。所以我認為這充分體現在那種環境中。

My last question, and I will jump back to the queue. Can you share with us the price premium of N-type polysilicon over P-type polysilicon right now, either in like absolute terms or in percentage terms? And where do you expect to (inaudible)?

我的最後一個問題，我會跳回到隊列中。您能否與我們分享目前 N 型多晶矽相對於 P 型多晶矽的價格溢價，無論是絕對值還是百分比值？你希望去哪裡（聽不清）？

I think right now, the N-type and the P-type price, I think, is not too much different and the reason is because the selling price is high (inaudible) every selling like last year $32. Right now RMB is around RMB 220, RMB 230. So the N-type may be RMB 3/kg higher. But I think the silicon price back to normal and then as the demand continue for high purity of N-type, I think the difference will become larger. So when silicon price go down, let us say, 100, I think P-type will be more than RMB 10/kg difference. That means may be $1 to $2 difference is there.

我認為現在，N 型和 P 型的價格，我認為，並沒有太大的不同，原因是因為售價很高（聽不清），像去年一樣每次銷售 32 美元。現在人民幣在220元左右，230元左右。所以N型可能會高出3元/公斤。但我認為矽價回歸正常，然後隨著對高純度 N 型的需求持續，我認為差異會變大。所以當矽價下降的時候，比方說，100，我認為P型將超過10元/公斤的差異。這意味著可能存在 1 美元到 2 美元的差異。

That is clear. Thank you so much.

這很清楚。太感謝了。

Next question comes from Alan Lau from Jefferies. Please (inaudible) with your questions.

下一個問題來自 Jefferies 的 Alan Lau。請（聽不清）提出您的問題。

Congratulations to the (inaudible) result and also thanks a lot for taking my question. So my first question is about the progress of your Inner Mongolia expansion. It is supposed to be completed in April right, and take 3 months to ramp up, is it correct? And I would like to know, you have also mentioned in Q2, there is not much supply addition. So I would like to know if you may share with us more color on those because there are a lot of peers or new players scheduled to have their plants to be completed in 2Q.

祝賀（聽不清）結果，也非常感謝您提出我的問題。所以我的第一個問題是關於你們在內蒙古擴張的進展情況。應該是4月份完成吧，需要3個月的時間來ramp up，對嗎？我想知道，您在第二季度也提到過，供應量增加不多。所以我想知道您是否可以與我們分享更多關於這些的顏色，因為有很多同行或新玩家計劃在第二季度完成他們的工廠。

I think Mongolia, I think Phase I, we call 5A, we are planning, to put into (inaudible) April this year. We believe we can full capacity running, I think, in May of this year. So these were adding for this year more capacity to our total guidance. So the given guidance of 190,000 to 195,000. So it is, we are already calculating around 60,000 tons this year, may be adding to our total guidance. For the Phase 2, I think we already announced that we are starting design. And for this month, we are also starting field work. So we are planning to early, may be end of this year or early next year, starting to trial production. So that will help us, I think, next year’s capacity. In total together, I think in Mongolia, it is 200,000 tons that is for N-type. For the P-type, we will may be produce a little more, may be 5% to 10% more. So the Mongolia capacity, I think besides that 200,000 metric tons of polysilicon, we also in (inaudible) silicon metal because I think we are waiting for the (inaudible) supply approved. We believe may be by the end of this year or next year, I think 150,000 or 200,000 metric tons were put into production.

我認為蒙古，我認為第一階段，我們稱之為 5A，我們計劃在今年 4 月投入（聽不清）。我認為，我們相信我們可以在今年 5 月滿負荷運行。因此，這些為今年的總體指導增加了更多的能力。所以給出了19萬到19.5萬的指導。因此，我們今年已經計算出約 60,000 噸，可能會增加我們的總指導量。對於第 2 階段，我想我們已經宣布我們正在開始設計。這個月，我們也開始實地工作。所以我們計劃提早，可能今年年底或者明年年初，開始試生產。我認為，這將有助於我們明年的產能。總的來說，我認為在蒙古，N 型是 200,000 噸。對於P型，我們可能會多生產一點，可能多5%到10%。所以蒙古產能，我認為除了 200,000 公噸多晶矽之外，我們還在（聽不清）金屬矽中，因為我認為我們正在等待（聽不清）供應批准。我們相信可能到今年年底或明年，我認為將有 150,000 或 200,000 公噸投入生產。

Then meanwhile, the semiconductor, I think at 1,500 tons in the Phase 5A, we are starting may be production of semiconductor in September of this year. So this is our total planning for Mongolia.

然後與此同時，半導體，我認為在 5A 階段的 1,500 噸，我們可能會在今年 9 月開始生產半導體。所以這就是我們對蒙古的總體規劃。

Thank you. Some of your peers like (inaudible) or other players because they are supposed to have their plants completed in 1Q and 2Q. So do you think that will add to (inaudible) prices to drop?

謝謝。你的一些同行喜歡（聽不清）或其他玩家，因為他們應該在 1Q 和 2Q 完成他們的工廠。那麼你認為這會增加（聽不清）價格下降嗎？

We will not comment all peers, especially those of newcomer right? So we will not do any comments. But as you will see, as the timing continue going up, we believe, I think, I think for newcomers, some challenge is there, both in product quality and on-time scheduled delivery, et cetera. So we are not going to comment on all peers.

我們不會評論所有同行，尤其是那些新人吧？所以我們不會做任何評論。但是正如您將看到的那樣，隨著時間的推移，我們相信，我認為，對於新來者來說，在產品質量和準時交貨等方面存在一些挑戰。所以我們不會對所有同行發表評論。

So would like to check on the dividend ratio because the company has posted an excellent result in (inaudible) and also the company has also announced the $700 million of buyback (inaudible) level. So I wonder if it implies what level of dividend ratio in order for the U.S. ADR to have the required amount of cash to carry out the buyback?

所以想檢查股息率，因為公司在（聽不清）中公佈了出色的結果，而且公司還宣布了 7 億美元的回購（聽不清）水平。所以我想知道這是否意味著什麼水平的股息率才能使美國 ADR 擁有所需數量的現金來進行回購？

Basically, I think next month, the Asia company, we have a shareholders meeting. And at that time, we will announce the dividends declared. But I cannot give you a detailed figure. But as we already announced, we will buyback basically, I think a U.S. company owns the Asia 73%. And we buy back $700 million. So you can easily do calculations, we believe which should be between 35-40% our net profit was distributed as a dividend.

基本上，我認為下個月，亞洲公司，我們將召開股東大會。屆時，我們將公佈已宣派的股息。但我不能給你一個詳細的數字。但正如我們已經宣布的那樣，我們基本上會回購，我認為一家美國公司擁有亞洲 73% 的股份。我們回購了 7 億美元。所以你可以很容易地計算，我們認為我們的淨利潤應該在 35-40% 之間作為股息分配。

Clear yes. And my last question on the PCAOB (inaudible). How do you see that like? And will this be a positive catalyst to the company?

清楚是的。我關於 PCAOB 的最後一個問題（聽不清）。你怎麼看這樣的？這會成為公司的積極催化劑嗎？

I think the 4 bigger firms, I think, (inaudible) already passed, basically of course the report still is not on the website PCAOB verified. But I think they are already starting, I think, at Deloitte and PwC right now. I think the Chinese government is very corporative. And we are also very open as a public company. I do not think any challenge so far. I think hopefully, the PCAOB can go forward, they are regularly inspecting for their numbers. So we believe the bigger 4 firms in China and the branches will be okay.

我認為 4 家更大的公司，我認為，（聽不清）已經通過了，基本上當然報告仍然沒有在 PCAOB 網站上得到驗證。但我認為他們現在已經在德勤和普華永道開始了。我認為中國政府非常團結。作為一家上市公司，我們也非常開放。到目前為止，我認為沒有任何挑戰。我希望 PCAOB 可以繼續前進，他們會定期檢查他們的數字。所以我們相信中國較大的 4 家公司和分支機構會沒事的。

Thank you (inaudible).

謝謝（聽不清）。

Our next question comes from Gary Zhou from Credit Suisse.

我們的下一個問題來自瑞士信貸的 Gary Zhou。

Hello management, thank you for taking my question. So just a two (inaudible) follow-up on the share buyback program. So firstly, I want to ask in terms of your timing. So when do we expect to receive the dividends from (inaudible) subsidiary? And secondly, for buyback. So is it possible that we would consider to do some small buyback before receiving the share dividends. Or is it probably going to be after we receive (inaudible) dividends from the share. And lastly, because I did a simple calculation, so USD700 million, that is almost 20% of our current market cap and were probably even bigger in terms of our (inaudible). So just wondering, does this (inaudible) get the funding and the (inaudible) could get little bit relatively aggressive.

管理層您好，感謝您提出我的問題。因此，只有兩次（聽不清）跟進股票回購計劃。所以首先，我想問一下你的時間安排。那麼我們什麼時候可以收到（聽不清）子公司的股息？其次，用於回購。那麼我們是否有可能考慮在收到股票股息之前進行一些小額回購。或者可能是在我們從股票中收到（聽不清）股息之後。最後，因為我做了一個簡單的計算，所以 7 億美元，這幾乎是我們當前市值的 20%，而且就我們的（聽不清）而言可能更大。所以只是想知道，這（聽不清）是否獲得資金並且（聽不清）可能會變得相對激進一點。

Gary, let me answer the first question, and then Ming answer the second question, okay? Basically, we cannot complain anything in the market right. Market is always correct. So right now, our stock price, we also cannot do anything, but we know this is (inaudible) equity value. So we just finished USD 140 million. Basically is used (inaudible) I think, Daqo New Energy (inaudible) 100% subsidiaries in Chongqing. The money deposited to China Merchant Bank, then we got the loan, I think, is around USD 140 million. So yes, if this window opens, we will buyback, the amount is around $140 million. Then we already declared the dividend next month -- that will be the $700 million, then you take (inaudible) million away, you have like $560 million left. That is for the next window. That means May and June, the window open, we will buyback.

Gary，讓我回答第一個問題，然後 Ming 回答第二個問題，好嗎？基本上，我們不能抱怨市場上的任何事情。市場永遠是正確的。所以現在，我們的股價，我們也無能為力，但我們知道這是（聽不清）股權價值。所以我們剛剛完成了 1.4 億美元。基本上是用（聽不清）我想，大全新能源（聽不清）100%在重慶的子公司。存入招商銀行的錢，然後我們得到貸款，我想大約是1.4億美元。所以是的，如果這個窗口打開，我們將回購，金額約為 1.4 億美元。然後我們已經在下個月宣布了股息——這將是 7 億美元，然後你拿走（聽不清）100 萬美元，你還剩下 5.6 億美元。這是下一個窗口。這意味著 5 月和 6 月，窗口打開，我們將回購。

So basically, I only can tell you that with 2 windows, we are going to execute our stock buyback program. We will really do that.

所以基本上，我只能告訴你，有 2 個窗口，我們將執行我們的股票回購計劃。我們真的會那樣做。

Mean, you owe a second time.

意思是，你欠了第二次。

Yes. So like Longgen has mentioned, right? So I think both our board and our management team believe our current share price in the U.S. is extremely undervalued. It is trading at a huge discount, whether it is to the company's cash level or our equity value or our future potential earnings? I think we announced our results for 2022 to see our cash generation. Our current cash balance on hand, while I think you forecast in your expectations of poly pricing for this year, right, given that it is still around USD 30/kg today in the market, where we will continue to generate significant cash flow for this year and likely for future periods because we are the lowest cost producer in the world effectively. We have some of the highest quality, especially when N-type products are likely becoming the mainstream module for the next year or so and where we are going to be one of the primary supplier of N-type poly as well. So we do believe now is really a good opportunity for the company to be a very active in terms of our share buyback program.

是的。所以就像 Longgen 提到的那樣，對嗎？所以我認為我們的董事會和管理團隊都認為我們目前在美國的股價被極度低估。無論是相對於公司的現金水平、我們的股權價值還是我們未來的潛在收益，它都以巨大的折扣進行交易？我認為我們公佈了 2022 年的業績，以了解我們的現金生成情況。我們目前手頭的現金餘額，雖然我認為您預測了今年對多晶矽定價的預期，但鑑於目前市場價格仍約為 30 美元/公斤，我們將繼續為此產生大量現金流年並且可能在未來時期，因為我們實際上是世界上成本最低的生產商。我們擁有一些最高質量的產品，尤其是當 N 型產品可能成為未來一年左右的主流模塊時，我們也將成為 N 型多晶矽的主要供應商之一。因此，我們確實相信現在確實是公司在我們的股票回購計劃方面非常活躍的好機會。

So I think in terms -- your comment in terms of the market cap, while it does look like it is a fairly high percentage, I think it is because home market cap is externally low compared to our cash flow generation and also the capital that we have.

所以我認為 - 你對市值的評論，雖然它看起來確實是一個相當高的百分比，但我認為這是因為與我們的現金流量產生和資本相比，國內市值在外部較低我們有。

Yes. Thank you all the management. Simply just a very quick question on the future capacity expansions. So we consider our study, the kind of a possibility to expand in other countries outside China. So if we go in the future if we see kind of more kind of trade restrictions.

是的。謝謝大家的管理。只是關於未來容量擴展的一個非常快速的問題。所以我們考慮我們的研究，在中國以外的其他國家擴展的可能性。因此，如果我們將來看到更多種類的貿易限制。

Yes. We always research all the situation, including the overseas capacity, especially I think the global market, the module price, also the regional critical (inaudible) et cetera. So yes, the reason that we go to obviously, we have to consider the local business practice, all the resources and the people, the talent and so on. So definitely, if any opportunities, we will do the study, and where (inaudible).

是的。我們一直在研究所有情況，包括海外產能，尤其是我認為全球市場、組件價格，以及區域關鍵（聽不清）等等。所以，是的，我們去的原因顯然是，我們必須考慮當地的商業慣例、所有資源和人員、人才等。所以肯定地，如果有機會，我們將進行研究，以及在哪裡（聽不清）。

Thank you. (inaudible).

謝謝。 （聽不清）。

Our next question comes from Alan Hon from JPMorgan. Please get on with your question.

我們的下一個問題來自摩根大通的 Alan Hon。請繼續你的問題。

Congrations on the (inaudible) results. I have just one question on your CapEx. Can you share with us like what is the CapEx commitment for Phase 5A and Phase 5B? How much is already spent and how many expected to spend this year?

祝賀（聽不清）結果。關於您的資本支出，我只有一個問題。您能否與我們分享一下 5A 和 5B 階段的資本支出承諾是什麼？今年已經花費了多少，預計將花費多少？

Okay. So I have the numbers in R&D first, and I will kind of translate to U.S. dollars. So the CapEx for 5A total CapEx is around RMB 9.5 billion or so. And then for 5B total CapEx is expected to be around RMB 9 billion. So I guess, 5A is around USD 1.4 billion and then 5B is around USD 1.3 billion or so. And then actually for the full year of 2022, we spent approximately $1.3 billion in CapEx. Most of it is related to Inner Mongolia private 5A, but some of it was also the (inaudible).

好的。所以我首先有研發方面的數字，然後我會轉換成美元。因此，5A 總資本支出的資本支出約為 95 億元人民幣左右。然後 5B 的總資本支出預計約為 90 億元人民幣。所以我猜，5A 大約是 14 億美元，然後 5B 大約是 13 億美元左右。然後實際上在 2022 年全年，我們在資本支出上花費了大約 13 億美元。其中大部分與內蒙古私立 5A 有關，但也有一些是（聽不清）。

In terms of CapEx for 2023, I think for the full year, we were expecting roughly $1.2 billion of CapEx. For the quarter, it was roughly $900 million to a $1 billion is for (inaudible) Inner Mongolia and around $300 million is for the remaining payments for our Phase 5A Inner Mongolia.

就 2023 年的資本支出而言，我認為對於全年，我們預計資本支出約為 12 億美元。本季度，（聽不清）內蒙古的費用約為 9 億美元至 10 億美元，內蒙古 5A 階段的剩餘付款約為 3 億美元。

Got it. Thanks very much.

知道了。非常感謝。

Ladies and gentlemen, at this time, we will end today's question and answer session. I would like to turn the floor back over to Kevin for any closing remarks.

女士們先生們，到此，我們將結束今天的問答環節。我想將發言權轉回給凱文，讓他發表任何結束語。

Thank you everyone again for participating in today's conference call. Should you have any further questions, please do not hesitate to contact us. Thank you, and bye-bye.

再次感謝大家參加今天的電話會議。如果您有任何其他問題，請隨時與我們聯繫。謝謝，再見。

Ladies and gentlemen, that does conclude today's conference call. We do thank you for joining. You may now disconnect your lines.

女士們，先生們，今天的電話會議到此結束。我們非常感謝您的加入。您現在可以斷開線路。