GDS Holdings Ltd (GDS) 2023 Q4 法說會逐字稿

Hello, ladies and gentlemen. Thank you for standing by for GDS Holdings Limited's fourth quarter and full year 2023 earnings conference call. At this time, all participants are in a listen-only mode. After management's prepared remarks, there will be a question-and-answer session. Today's conference call is being recorded. I'll now turn the call over to your host, Ms. Laura Chen, Head of Investor Relations for the Company. Please go ahead, Laura.

女士們、先生們，大家好。感謝您出席萬國資料控股有限公司 2023 年第四季和全年財報電話會議。此時，所有參與者都處於只聽模式。管理階層準備好發言後，將舉行問答環節。今天的電話會議正在錄音。現在我將電話轉給主持人，公司投資人關係主管 Laura Chen 女士。請繼續，勞拉。

Thank you. Ladies and gentlemen, thank you for standing by for GDS Holdings Limited fourth quarter and the full year 2023 earnings conference call. At this time, all participants -- sorry. Welcome to the fourth quarter and full year 2023 earnings conference call of GDS Holdings Limited. The Company's results were issued via newswire services earlier today and are posted online. A summary presentation, which we will refer to during this conference call, can be viewed and downloaded from our IR website at investors.gds-services.com.

謝謝。女士們、先生們，感謝大家出席萬國數據控股有限公司第四季和 2023 年全年收益電話會議。此時此刻，所有參與者——抱歉。歡迎參加萬國資料控股有限公司第四季和 2023 年全年收益電話會議。該公司的業績今天稍早透過新聞專線服務發布並發佈在網路上。我們將在本次電話會議中參考的摘要簡報可以從我們的投資者關係網站 Investors.gds-services.com 查看和下載。

Leading today's call is Mr. William Huang, GDS Founder, Chairman and CEO, who will provide an overview of our business strategy and performance. Mr. Dan Newman, GDS CFO, will then review the financial and operating results. Ms. Jamie Khoo, our COO, is also available to answer questions.

今天的電話會議由萬國數據創始人、董事長兼執行長黃威廉先生主持，他將概述我們的業務策略和業績。 GDS 財務長 Dan Newman 先生隨後將審查財務和營運績效。我們的營運長 Jamie Khoo 女士也可以回答問題。

Before we continue, please note that today's discussion will contain forward-looking statements made under the Safe Harbor provisions of the US Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. As such, the Company's results may be materially different from the views expressed today. Further information regarding these and other risks and uncertainties is included in the Company's prospectus as filed with the US SEC. The Company does not assume any obligation to update any forward-looking statements except as required under applicable law.

在我們繼續之前，請注意，今天的討論將包含根據 1995 年美國私人證券訴訟改革法案的安全港條款做出的前瞻性陳述。因此，公司的業績可能與今天表達的觀點有重大差異。有關這些以及其他風險和不確定性的更多資訊包含在公司向美國證券交易委員會提交的招股說明書中。除適用法律要求外，本公司不承擔更新任何前瞻性聲明的義務。

Please also note that GDS's earnings press release and this conference call include discussions of unaudited GAAP financial information as well as unaudited, non-GAAP financial measures. GDS's press release contains a reconciliation of the unaudited non-GAAP measures for the unaudited most directly comparable GAAP measures.

另請注意，萬國數據的收益新聞稿和本次電話會議包括對未經審計的 GAAP 財務資訊以及未經審計的非 GAAP 財務指標的討論。 GDS 的新聞稿包含未經審計的非 GAAP 衡量標準與未經審計的最直接可比較 GAAP 衡量標準的調整表。

I will now turn the call over to GDS Founder, Chairman and CEO, William Huang. Please go ahead, William.

現在我將把電話轉給萬國數據創辦人、董事長兼執行長黃威廉。請繼續，威廉。

Thank you. Hello, everyone. This is William. Thank you for joining us on today's call. The number one priority of GDS management is to create value for our shareholders and drive share price recovery. Today, we are delighted to announce the landmark US$587 million equity raise for our international business. This is a big step forward in our strategy to develop and finance GDS International on a standalone basis. The equity raise also highlights how much value we have already created for our shareholders through international expansion.

謝謝。大家好。這是威廉.感謝您參加今天的電話會議。萬國數據管理階層的首要任務是為股東創造價值並推動股價回升。今天，我們很高興地宣佈為我們的國際業務進行具有里程碑意義的 5.87 億美元股權融資。這是我們獨立開發和融資萬國數據國際戰略的一大進步。此次股權融資也凸顯了我們透過國際擴張已經為股東創造了多少價值。

We have been developing our business in China for many years. We are a market leader with over 1.5 gigawatts of capacity in service and under construction. We are confident that we will maintain our competitive position and enjoy further growth, particularly when AI demand takes off.

多年來我們一直在中國發展業務。我們是市場領導者，在役和在建容量超過 1.5 吉瓦。我們有信心保持競爭地位並享受進一步成長，特別是當人工智慧需求起飛時。

We initiated our international business in the past couple of years. Within a short period of time, it has become a second growth engine with over 330 megawatts in service and under construction, equivalent to 20% of what we have in China.

我們在過去幾年啟動了國際業務。短時間內，已成為第二成長引擎，在運和在建裝置容量超過330兆瓦，相當於中國的20%。

GDS China and GDS international are obviously at very different stage of development. We are therefore pursuing distinct strategies for each part of our business.

萬國數據中國和萬國數據國際顯然處於截然不同的發展階段。因此，我們為業務的每個部分奉行獨特的策略。

For China, we have two major financial objectives. Objective number 1 is to grow EBITDA at a steady rate. In 2023, our adjusted EBITDA grew by 9% year on year, all of which was from China.

對中國來說，我們有兩個主要的財務目標。第一個目標是以穩定的速度成長 EBITDA。 2023年，我們調整後的EBITDA年增9%，全部來自中國。

Objective 2 is to de-lever our balance sheet. Our target is to get to below 5 times within three years.

目標 2 是去槓桿化我們的資產負債表。我們的目標是三年內降到5倍以下。

In order to achieve these objectives for China, we are targeting new business which fits our capacity. We are increasing asset utilization by delivering the backlog. We are spending CapEx only where it is needed for customer move-in and we are preparing for asset monetization when the market allows.

為了在中國實現這些目標，我們正在瞄準適合我們能力的新業務。我們透過交付積壓訂單來提高資產利用率。我們僅在客戶入住需要的情況下支出資本支出，並且我們正在為市場允許時的資產貨幣化做好準備。

For international, our ambition is to create an exceptional data center platform which emulates our success in China by leveraging our industry-leading capability, strategic business relationships and scale economics.

對於國際而言，我們的目標是利用我們領先業界的能力、策略性業務關係和規模經濟，創建一個卓越的資料中心平台，並效仿我們在中國的成功經驗。

In 2022 we set up a new international holding company headquartered in Singapore. It acts as the vehicle for all our assets and operations outside of Mainland China. We have assembled a standalone management team and today we announced that Jamie Khoo, our very capable COO, will transfer to become the CEO of GDS International.

2022 年，我們成立了一家新的國際控股公司，總部位於新加坡。它是我們在中國大陸以外的所有資產和業務的載體。我們已經組建了一個獨立的管理團隊，今天我們宣布，我們非常有能力的營運長 Jamie Khoo 將調任萬國數據的執行長。

As we started to expand overseas, we focused initially on two region hub markets, Hong Kong and Singapore-Johor-Batam, which is the hub for Southeast Asia. These two markets rank in the top 10 data center markets globally. We correctly anticipated where demand will flow. We secured the right resource and executed it well. As a result, we quickly established a market-leading presence in both places. We have secured over 200 megawatts of commitment and reservations from global, as well as China, customers. As of today, we already have over 70 megawatts in service and revenue-generating.

當我們開始向海外擴張時，我們最初專注於兩個區域樞紐市場，即香港和新加坡-柔佛-巴淡島（東南亞的樞紐）。這兩個市場均躋身全球前10大數據中心市場之列。我們正確地預測了需求的流向。我們獲得了正確的資源並很好地執行了它。結果，我們很快就在這兩個地方建立了市場領先地位。我們已從全球以及中國客戶那裡獲得了超過 200 兆瓦的承諾和預訂。截至今天，我們已經擁有超過 70 兆瓦的服務和創收能力。

We see tremendous opportunities for growth in these markets. We are very well placed with our proven track record, development pipeline and time to market. To build on this success, we are actively evaluating several new markets and expect to make further commitments in the near future.

我們看到這些市場的巨大成長機會。我們擁有良好的業績記錄、開發通路和上市時間。為了在這一成功的基礎上再接再厲，我們正在積極評估幾個新市場，並期望在不久的將來做出進一步的承諾。

Now, let's review our performance in more detail. In 2023, we won 68,000 square meters of new customer commitment. 50,000 square meters came from, which was similar to the prior year and nearly 20,000 square meters, or 30% of the total bookings, came from international.

現在，讓我們更詳細地回顧一下我們的表現。 2023年，我們贏得了68,000平方公尺的新客戶承諾。來自國際的預訂量為 50,000 平方米，與上年持平，其中近 20,000 平方米（佔總預訂量的 30%）來自國際。

During 4Q23, we won two large orders in China and one for international. Both of the China orders fit our strategy of matching commitments with capacity and have move-in periods of less than two years. The international order was from a global cloud service provider for the whole of our Hong Kong 2 project. As a result, our first two projects in Hong Kong are effectively sold out with long-term binding commitments.

2023 年第 4 季度，我們贏得了兩份中國大訂單和一份國際訂單。這兩筆中國訂單都符合我們將承諾與產能相符的策略，入住期都不到兩年。國際訂單來自一家全球雲端服務供應商，負責我們整個香港 2 專案。因此，我們在香港的前兩個項目實際上已經售罄，並做出了長期約束性承諾。

Looking forward, the demand outlook in China has not yet picked up noticeably. AI demand is coming but it will take more time. Meanwhile, our sales pipeline in Southeast Asia is very strong. We expect significant new bookings for both of our campuses in Johor in the near future. AI is undoubtedly a big factor driving demand in this market.

展望未來，中國的需求前景尚未明顯改善。人工智慧需求即將到來，但還需要更多時間。同時，我們在東南亞的銷售管道非常強大。我們預計在不久的將來我們柔佛州的兩個校區都會有大量的新預訂。人工智慧無疑是推動這個市場需求的一大因素。

In 2023, the gross move-in was around 69,000 square meters, 20% higher than in 2022. China move-in was around 56,000 square meters, which once again was similar to the prior year. On top of this, there was a first-time contribution from international of 12,000 square meters as one data center in Hong Kong and three data centers in Johor came into service and started ramping up.

2023年，入駐總面積約69,000平方米，較2022年成長20%。除此之外，國際上首次貢獻了12,000平方公尺的資料中心，位於香港的一個資料中心和位於柔佛州的三個資料中心投入使用並開始擴大規模。

In 2023, we brought around 57,000 square meters of new capacity into service across seven data centers, four in China and three international. By the end of the year, these seven (corrected by company after the call) data centers had an overall utilization rate of 77%, which is consistent with our target for faster move-in and higher utilization.

2023 年，我們在七個資料中心（其中四個在中國，三個在國際）新增了約 57,000 平方公尺的容量。截至年底，這7個（經公司通報後更正）資料中心整體利用率為77%，與我們更快遷入、更高利用率的目標一致。

During 2024, we expect to bring about 81,000 square meters into service, driven by delivery commitments to customers. The overall commitment rate for this capacity is 92% and the move-in schedule is confirmed.

在對客戶的交付承諾的推動下，我們預計 2024 年將有約 81,000 平方米投入使用。此產能整體承諾率為92%，入駐時間表已確定。

I will now pass on to Dan for the financial and operating review.

我現在將把財務和營運審查交給 Dan。

Thank you, William. Turning to slide 17. We just announced today that our wholly owned subsidiary, DigitalLand Holdings, which we refer to for now as GDS International, or GDSI, has entered into definitive agreements with certain institutional private equity investors for the new issue of $587 million of series A convertible preferred shares.

謝謝你，威廉。轉向幻燈片 17。股。

This first external equity capital raise for GDS International demonstrates our ability to access dedicated financing for our international business without further funding from GDS Holdings.

萬國數據的首次外部股權融資表明我們有能力在無需萬國數據控股進一步提供資金的情況下為我們的國際業務獲得專門融資。

The series A subscription price implies a pre-money equity valuation for GDS International of $750 million. In terms of our share price, this is equivalent to approximately $3.92 per GDS Holdings ADS. The implied post-money enterprise valuation of GDSI, including forecast net debt of around $935 million as at the end of 2024, is around US$2.3 billion. This is equivalent to around 24 times GDSI's forecast adjusted EBITDA for the full year 2025.

A 輪認購價意味著萬國數據的投資前股權估值為 7.5 億美元。就我們的股價而言，這相當於每股 GDS Holdings ADS 約 3.92 美元。 GDSI 的隱含投後企業估值（包括截至 2024 年底約 9.35 億美元的預測淨債務）約為 23 億美元。這相當於 GDSI 預測的 2025 年全年調整後 EBITDA 的 24 倍左右。

As mentioned by William, GDS International currently has over 330 megawatts of data center capacity in service or under construction across strategic locations in Hong Kong, Singapore, Johor, Malaysia, and Batam, Indonesia. The total development cost for this portfolio is around $2.5 billion, out of which approximately 40% has been incurred up to the end of 2023.

正如 William 所提到的，萬國資料目前在香港、新加坡、馬來西亞柔佛州和印尼巴淡島的戰略地點擁有超過 330 兆瓦的正在使用或正在建造的資料中心容量。該產品組合的總開發成本約為 25 億美元，其中約 40% 已在 2023 年底前支出。

As of the end of last year, GDSH had provided a total of around $595 million of intercompany funding to GDSI, comprising $411 million of paid-up share capital and $184 million of shareholder loans and other payables, which will be repaid immediately out of the proceeds of the Series A new issue. This will benefit GDSH in terms of higher liquidity.

截至去年底，GDSH 已向 GDSI 提供了總計約 5.95 億美元的公司間融資，其中包括 4.11 億美元的實收股本和 1.84 億美元的股東貸款和其他應付款項，這些資金將立即從 GDSI 中償還。 A系列新發行的收益。這將有利於 GDSH 提高流動性。

On a pro forma basis, including $411 million of permanent equity from GDSH and $587 million from the Series A, GDSI will have total paid up share capital of approximately US$1 billion. As a result, GDSI will be sufficiently well capitalized with equity to complete the development of its current 330 megawatt portfolio.

以預計計算，包括 GDSH 的 4.11 億美元永久股本和 A 輪融資的 5.87 億美元，GDSI 的實收股本總額約為 10 億美元。因此，GDSI 將擁有充足的資本和股權來完成其目前 330 兆瓦投資組合的開發。

Post-closing, GDSH will own approximately 56.1% of GDSI in the form of ordinary shares and the remaining 43.9% equity will be held in the form of Series A shares by investors, including Hillhouse, Rava Partners, Boyu, Princeville Capital, and Tekne Capital.

交易完成後，GDSH將以普通股形式持有GDSI約56.1%的股權，其餘43.9%的股權將以A系列股票的形式由投資者持有，包括Hillhouse、Rava Partners、Boyu、Princeville Capital和Tekne首都。

GDSH and certain investors will have the right to appoint directors to the Board of GDSI, proportionate with their ownership. William will continue in his role as Chairman of the Board of GDSI, as well as Chairman and CEO of GDSH.

GDSH 和某些投資者將有權根據其所有權比例任命 GDSI 董事會董事。 William 將繼續擔任 GDSI 董事會主席以及 GDSH 董事長兼執行長。

Other key deal terms, including lock-up, QIPO, and liquidation preference, amongst others, can be found in the transaction documents which we will file with the SEC.

其他關鍵交易條款，包括禁售、QIPO 和清算優先權等，可在我們將向 SEC 提交的交易文件中找到。

With this capital raising, it starts to make sense for us to look at GDS business in two parts. As we go through the financials, I will highlight selected numbers for international on a standalone basis and for GDS Holdings excluding international.

透過此次融資，我們將 GDS 業務分為兩部分開始變得有意義。當我們查看財務數據時，我將重點介紹國際的獨立數據以及萬國數據控股（不包括國際）的選定數據。

Turning to slide 18. For 2023, revenue increased by 6.8% and adjusted EBITDA increased by 8.8% year on year. In 4Q23, revenue increased by 6.3% and adjusted EBITDA increased by 5.7% year on year.

轉向幻燈片 18。2023 年，營收年增 6.8%，調整後 EBITDA 年成長 8.8%。 23 年第 4 季度，營收年增 6.3%，調整後 EBITDA 年成長 5.7%。

For the full year 2023, international had negative adjusted EBITDA of around RMB100 million. The year-on-year growth rate for GDS Holdings excluding international would have been 2 percentage points higher than the consolidated number. International recorded positive adjusted EBITA for the first time in 4Q23.

2023年全年，國際調整後的負EBITDA約為1億元。萬國資料控股（不包括國際業務）的年成長率將比綜合數字高出 2 個百分點。國際航空在 2023 年第四季首次錄得正調整 EBITA。

Turning to slide 19. I will discuss the two main drivers of revenue growth, namely area utilized and MSR. For 2023, net additional area utilized was 48,000 square meters. The annual net add was slightly less than 2022 as a result of higher churn. Nonetheless, total area utilized at year-end was 13% higher than at the end of the prior year.

轉向投影片 19。 2023 年，淨新增使用面積為 48,000 平方公尺。由於流失率較高，年度淨增量略低於 2022 年。儘管如此，年末總使用面積仍比上年末高出 13%。

During 4Q23, we achieved net additional area utilized of 20,000 square meters, which is the highest level for many quarters. This was mainly due to ramp up of our first two data centers in Johor and a minimal level of churn.

2023 年第 4 季度，我們實現淨新增使用面積 20,000 平方米，這是多個季度的最高水準。這主要是由於我們在柔佛州的前兩個資料中心的擴建和最低程度的客戶流失。

For 2024, we expect net additional area utilized to be higher than last year's 48,000, with steady growth in China and increased contribution from international.

到 2024 年，隨著中國的穩定成長和國際貢獻的增加，我們預計淨新增利用面積將高於去年的 48,000 平方米。

Turning to the MSR metric. Over the course of 2023, comparing 4Q to 4Q, MSR decreased by 5%. For 2024, we expect MSR in China to decrease by around 3%, which shows it is bottoming out. The MSR for International is currently higher than for China. Hence, on a consolidated basis, we expect MSR to remain at around current levels.

轉向 MSR 指標。 2023 年第四季與第四季相比，MSR 下降了 5%。 2024年，我們預計中國的MSR將下降3%左右，這表明它正在觸底反彈。目前國際的 MSR 高於中國。因此，綜合來看，我們預計 MSR 將保持在目前水準左右。

Turing to slides 22 and 23. For 2023 our consolidated, adjusted EBITDA margin was 46.4%, which was slightly higher than for 2022, despite the fact that power tariffs in China increased again during last year.

轉向幻燈片 22 和 23。2023 年，我們的綜合調整後 EBITDA 利潤率為 46.4%，略高於 2022 年，儘管去年中國的電價再次上漲。

For 2024, the midpoint of our guidance range implies a consolidated adjusted EBITDA margin of 43.7%, which is a more than 2 percentage point drop compared with 2023. The margin for GDS Holdings, excluding International, should be similar to 2023. The expected drop in the coming year is therefore mainly due to International growth drag.

對於2024 年，我們指引範圍的中點意味著綜合調整後EBITDA 利潤率為43.7%，與2023 年相比下降了2 個百分點以上。 。

Turing to slide 24. In 2023 our China CapEx totaled RMB3.5 billion. We have brought China CapEx down significantly from historic levels and we are only spending where it is necessary to generate growth.

請參閱投影片 24。2023 年，我們的中國資本支出總額為 35 億元。我們已將中國的資本支出從歷史水準大幅降低，並且我們只在有必要促進成長的地方進行支出。

In 2024, as William mentioned, we plan to bring a further 58,000 square meters of new capacity into service in China, most of which is committed to customers with firm move in schedules.

正如 William 所提到的，我們計劃在 2024 年在中國再投入 58,000 平方米的新產能，其中大部分致力於服務進度穩定的客戶。

Meanwhile, our CapEx guidance for China in 2024 is only RMB2.5 billion. The very low implied CapEx per square meter is because we have already incurred a substantial part of the development cost. What is left is cost to complete. This pattern will continue over the next few years, giving us the ability to grow in China with relatively low incremental CapEx.

同時，我們對中國 2024 年的資本支出指導僅 25 億元。每平方公尺隱含資本支出非常低，因為我們已經承擔了很大一部分開發成本。剩下的就是完成的成本。這種模式將在未來幾年持續下去，使我們能夠以相對較低的增量資本支出在中國實現成長。

In 2023 our International CapEx was around RMB2.8 billion. Our current backlog for International stands at over 130 megawatts of committed and reserved capacity, a large part of which is yet to be built. Our CapEx guidance for International in 2024 is RMB4 billion, which is largely driven by fixed delivery commitments to customers.

2023 年，我們的國際資本支出約為 28 億元。我們目前國際專案的積壓已承諾和預留容量超過 130 兆瓦，其中很大一部分尚未建造。我們對 2024 年國際業務的資本支出指導為 40 億元人民幣，這主要是由對客戶的固定交付承諾推動的。

On slide 25. In 2023 GDS Holdings, excluding International, had negative cash flow before financing of just over RMB1 billion. Our objective is to maintain positive cash flow before financing on an organic basis. We have already been positive in some quarters and for 2024 as a whole, we expect to be close to breakeven.

在投影片 25 上。我們的目標是在有機融資之前保持正現金流。我們在某些​​季度已經取得了積極的進展，預計 2024 年全年將接近收支平衡。

In 2023, International on a standalone basis had negative cash flow before financing of over RMB3 billion. In 2024 we forecast negative RMB4 billion, which can be fully financed by the equity raise and project debt.

2023年，國際單獨融資前現金流為負，超過30億元。 2024 年，我們預計負 40 億元人民幣，可透過股權融資和專案債務全額融資。

Looking at our leverage on slides 26 and 27. At the end of 2023, our consolidated net debt to last quarter annualized adjusted EBITDA multiple was 8.5 times. Excluding International and pro forma for the repayment of shareholder loans, the multiple was 7.5 times.

看看投影片 26 和 27 上的槓桿率。不包括國際和預計償還股東貸款的情況，該倍數為7.5倍。

Turing to slide 28. During 2024 we have RMB2.3 billion of project loan amortization for China. We expect to generate an equivalent amount of new financing cash flow as a result of the repayment of shareholder loans from GDSI to GDSH and drawdown under existing facilities to finance around 50% of China incremental CapEx.

請參閱投影片 28。2024 年，我們為中國提供的專案貸款攤提為 23 億元。我們預計，透過償還 GDSI 向 GDSH 的股東貸款以及根據現有貸款提取資金，將產生同等金額的新融資現金流，為中國增量資本支出的 50% 左右提供資金。

Turning to slide 29. Before I talk about guidance, I would like to flag the impairment loss of long-lived assets of around RMB3 billion, which we recorded during 4Q23. We are required to test for impairment whenever events or changes in circumstance indicate that the carrying amount of long-lived assets may not be recoverable. The impairment loss was mainly associated with data centers located in properties which we leased for a fixed term and a few data centers which we plan to consolidate.

轉向幻燈片 29。每當事件或情況變化顯示長期資產的帳面金額可能無法收回時，我們就需要進行減損測試。減損損失主要與位於我們定期租賃的物業中的資料中心以及我們計劃整合的一些資料中心有關。

Turing now to guidance. For the full year 2024 we expect total revenues to be between RMB11.34 billion to RMB11.76 billion, implying a year-on-year increase of between approximately 13.9% to 18.1%. We expect adjusted EBITDA to be between RMB4.95 billion to RMB5.15 billion, implying a year-on-year increase of between approximately 7% to 11.4%.

現在轉向指導。我們預計2024年全年總收入將在人民幣113.4億元至人民幣117.6億元之間，意味著年增約13.9%至18.1%。我們預計調整後 EBITDA 為人民幣 49.5 億元至 51.5 億元，年增約 7%至 11.4%。

On its standalone basis, we expect International to contribute around RMB100 million to RMB150 million of adjusted EBITDA in 2024.

就其獨立基礎而言，我們預計國際將在 2024 年貢獻約 1 億元至 1.5 億元調整後 EBITDA。

As I mentioned earlier, we expect total CapEx of around RMB6.5 billion for the full year. Comprising RMB2.5 billion for China and RMB4 billion to International.

正如我之前提到的，我們預計全年資本支出總額約為 65 億元人民幣。其中中國25億元人民幣，國際40億元。

I'd now like to open the call to questions. Operator, please.

我現在想開始提問。接線員，請說。

Thank you. We will now begin the question-and-answer session. (Operator Instructions). For the benefit of all participants on today's call, please limit yourself to one question. If you have more questions, please re-enter the queue. One moment for the first question.

謝謝。我們現在開始問答環節。 （操作員說明）。為了今天電話會議所有參與者的利益，請只回答一個問題。如果您還有其他問題，請重新進入佇列。第一個問題請稍等一下。

Our first question comes from the line of Frank Louthan from Raymond James. Please go ahead.

我們的第一個問題來自雷蒙德詹姆斯 (Raymond James) 的弗蘭克勞森 (Frank Louthan)。請繼續。

Great, thank you. Just really quickly. When can we expect to see some more full breakouts of the International business? That would be the first thing.

太好了，謝謝。真的很快。我們什麼時候才能看到國際事業更全面的突破？這是第一件事。

Then secondly, if you can characterize the move-in schedule of the international customers relative to what you've seen historically in China and how quickly we could expect to see those customers billing inside those new developments. Thank you.

其次，您是否可以根據您在中國歷史上看到的情況來描述國際客戶的入住時間表，以及我們預計如何快速地看到這些客戶在這些新開發項目中計費。謝謝。

This is Dan. Today we've started to provide a breakout of the CapEx and of the leverage where there is clearly a significant difference looking at GDS Holdings consolidated or GDS Holdings in two parts.

這是丹.今天，我們開始提供資本支出和槓桿率的突破，其中 GDS Holdings 合併或 GDS Holdings 的兩部分顯然存在顯著差異。

I did verbally give the numbers for EBITDA. I said that last year International had negative EBITDA of RMB100 million for the full year and this year we expect a positive EBITDA of RMB100 million to RMB150 million. It's not yet material, that material, in the context of GDS Holdings numbers. So we don't propose to report segment financials. But as we move through this year the materiality increases, we will certainly consider that.

我確實口頭給了 EBITDA 的數字。我說去年國際全年EBITDA為負1億元人民幣，今年我們預期EBITDA為正1億元至1.5億元。就萬國資料控股公司的資料而言，這還不是實質的。因此，我們不建議報告分部財務狀況。但隨著今年重要性的增加，我們肯定會考慮這一點。

Did you want to comment about move-in?

您想對入住發表評論嗎？

Move-in compared with China, right. I think what we see the international move-in is better than what we have in China. In general, I think the people all want time to market more faster than other region. So it's very good and the general revenue more - more faster than China.

與中國相比，對吧。我認為我們看到的國際遷入比我們在中國的情況要好。總的來說，我認為人們都希望比其他地區更快的上市時間。所以這非常好，整體收入比中國更快。

Okay great, thank you.

好的，太好了，謝謝。

Thank you for the question. One moment for the next question. Our next question comes from Eunice Liu from Goldman Sachs. Please go ahead.

謝謝你的提問。請稍等一下，回答下一個問題。我們的下一個問題來自高盛的 Eunice Liu。請繼續。

Thank you, management, for taking my questions. This is Eunice asking question on behalf of Timothy Zhao. My question is has Company seen a fast ramp up of the AI-related demand, especially for GDS International?

謝謝管理層回答我的問題。這是 Eunice 代表 Timothy Zhao 問問題。我的問題是，公司是否看到人工智慧相關需求的快速成長，尤其是萬國數據？

Also, another question is what takes - to take to achieve the high end of your guidance in terms of revenue guidance for next year? Thank you.

此外，另一個問題是如何實現明年收入指導的高端？謝謝。

Yes, I think in the international business, of course I think, yes. Actually, we don't know what our customer move-in because they are all very confidential. So based on our current - the product profile, I think we do have - see some high density rapid requirement.

是的，我認為在國際業務中，我當然認為，是的。事實上，我們不知道我們的客戶搬進來什麼，因為他們都是非常保密的。因此，根據我們目前的產品概況，我認為我們確實看到了一些高密度快速需求。

Plus, I think the international requirement demand is very varied. Because including a lot of the internet company OTT and also traditional GPU cloud as well. So it's mixed. I think that we do see maybe AI type demands is already there, yes.

另外，我認為國際需求是多元的。因為包含很多網路公司OTT，也包括傳統的GPU雲端。所以它是混合的。我認為我們確實看到人工智慧類型的需求可能已經存在，是的。

To the question about how do we achieve the high end of our guidance. So we've split the guidance into two parts. For China, we're expecting a standalone adjusted EBITDA growth rate of around mid-single digits. This is consistent with the run rate that we've seen over the past couple of years in terms of quarterly move in and the trend in MSRs and EBITDA margins. We've forecast assuming that current market conditions continue through this year. Maybe next year, I think the outlook could be more positive in 2025.

關於我們如何實現指導的高端問題。因此，我們將指南分為兩部分。對於中國，我們預期獨立調整後 EBITDA 成長率約為中個位數。這與我們在過去幾年中看到的季度運行率以及 MSR 和 EBITDA 利潤率的趨勢是一致的。我們的預測是假設當前的市場狀況持續到今年。也許明年，我認為 2025 年的前景可能會更加樂觀。

For the International part of business, clearly the turnaround from negative RMB100 million to RMB100 million to RMB150 million positive is quite significant and that elevates the growth rates.

對於國際業務來說，顯然，從負1億元到1億元到正1.5億元的轉變是相當顯著的，這提高了成長率。

For International, we're forecasting bottom up based on the time scheduled for individual data centers to enter service and the customer contracts associated with those data centers, which have a fixed move in schedule. So we base the forecast largely on what are the terms of those contracts.

對於國際，我們根據各個資料中心投入服務的預定時間以及與這些資料中心相關的客戶合約進行自下而上的預測，這些資料中心有固定的時間表。因此，我們的預測主要基於這些合約的條款。

The International business is very dynamic. It's at an early stage, albeit it's already achieved significant scale. But typically for a business at this stage of development, there could be a wider range of outcomes just because things are moving so fast.

國際業務非常活躍。儘管它已經達到了相當大的規模，但仍處於早期階段。但通常對於處於這個發展階段的企業來說，僅僅因為事情進展得如此之快，可能會產生更廣泛的結果。

So I think there's - yes, there is potential upside in the International business as it - as more data centers come into service.

因此，我認為，是的，隨著更多資料中心投入使用，國際業務存在潛在的上升空間。

Thank you for the questions. Our next questions will come from the line of Yang Liu from Morgan Stanley. Please go ahead.

謝謝你的提問。我們的下一個問題將來自摩根士丹利的楊劉。請繼續。

Thanks for the opportunity. I have three questions. First, in terms of the overall international revenue contribution, could management elaborate or break down in the current guidance for 2024 the international revenue contribution?

感謝您提供的機會。我有三個問題。首先，就整體國際收入貢獻而言，管理階層是否可以在目前的2024年指導中詳細說明或細分國際收入貢獻？

The second question is, I made some comparison versus your disclosure at the end of the third quarter last year. You had a 372-megawatt data center pipeline in the overseas market, and now it has increased dramatically just in one quarter. Could management update us in terms of the pipeline development? Where is the new pipeline? What will be the potential timeline to deliver that or what will be the type of business, hyperscaler or retail business, etc.? That is for the incremental overseas pipeline.

第二個問題，我和你們去年三季末揭露的情況做了一些比較。你們在海外市場有372兆瓦的資料中心管道，現在只要一個季度就大幅成長了。管理階層能否向我們介紹管道開發的最新情況？新管道在哪裡？交付該服務的潛在時間表是什麼，或者業務類型是什麼、超大規模或零售業務等？那是增量海外管道。

The third question is regarding the additional sales for 2024. Do you think that the total sales or area booked in 2024, if there is any chance to see a turnaround? Or from the megawatt perspective, there could be a turnaround? Thank you.

第三個問題是關於2024年的額外銷售。或者從兆瓦的角度來看，可能會出現轉機？謝謝。

I'll take the first question. Hi, Yang. It's Dan here. We provided revenue guidance for the full year of RMB11.34 to RMB11.76 billion. We expect the revenue of international standalone to be about RMB1.1 billion, plus or minus, as I explained in answering the previous question.

我來回答第一個問題。嗨，楊。這裡是丹。我們預計全年收入指引為人民幣 11.34 至 117.6 億元。正如我在回答上一個問題時所解釋的那樣，我們預計國際獨立業務的收入約為人民幣11億元上下。

I think the pipeline is very strong in general. I see the orders from all over the world, global, and also, we see a lot of pipelines from China as well. This shows the international business has a huge momentum, a very big momentum. In fact, the current - a lot of customer ask us for deliver as much and as fast as possible. This is the overall demand profile.

我認為總的來說，管道非常強大。我看到來自世界各地的訂單，而且，我們也看到很多來自中國的管道。這說明國際業務有一個巨大的動力，一個非常大的動力。事實上，目前許多客戶要求我們盡可能多、盡可能快速地交貨。這是整體需求概況。

On the other hand, I think the customer type, as I just mentioned, varies. There's a lot of local tech companies, a lot of global tech companies and also a lot of e-commerce companies as well. So it's not only from China. What we have been seeing is from globally. So I think this led us to feel very, very excited, so I think the international business will grow very, very faster than what we expect.

另一方面，正如我剛才提到的，我認為客戶類型是不同的。這裡有很多本土科技公司、很多全球科技公司，還有很多電子商務公司。所以它不僅來自中國。我們所看到的是全球範圍內的情況。所以我認為這讓我們感到非常非常興奮，所以我認為國際業務的成長速度將比我們預期的非常非常快。

I think Yang Liu was also asking about your bookings, expectation of bookings.

我想楊柳也是在問你的預訂狀況，對預訂的期望。

We don't want to set up - because every quarter is change, frankly speaking. So I think to maintain the last two years' average level, which means 50 megawatts per year, is our base. But based on our current pipeline, we can maybe go to a very high number, maybe double, something like that, but we don't want to set up too high expectations on that.

我們不想成立——因為坦白說，每個季度都在變化。所以我認為維持過去兩年的平均水平，即每年 50 兆瓦，是我們的基礎。但根據我們目前的管道，我們也許可以達到一個非常高的數字，也許是兩倍之類的，但我們不想對此設定太高的期望。

But 50 megawatts is our base in international markets. Of course, as I just mentioned, this is just the southeast Asia market. We also look very closely for other new markets like north Asia and European markets as well.

但50兆瓦是我們在國際市場上的基礎。當然，正如我剛才提到的，這只是東南亞市場。我們也密切關注其他新市場，例如北亞和歐洲市場。

Yang Liu, I just want to check - your question about increasing pipeline, if you were referring to the secured development pipeline. The reason why that has gone up very significantly is because, at our established campus that we refer to as NTP, we acquired additional land and secured additional power. At the same time, we have established a second campus in Johor called KTP, where we have started construction, around 20 megawatts, but we plan in a single phase to go around 100 megawatts, and we also look forward to obtaining some commitments for that site in the next few quarters.

楊劉，我只是想檢查一下 - 如果您指的是安全開發管道，那麼您關於增加管道的問題。之所以大幅增加，是因為在我們已建立的園區（我們稱之為 NTP）中，我們獲得了額外的土地並獲得了額外的電力。同時，我們在柔佛州建立了第二個園區，名為KTP，我們已經開始建設，大約20兆瓦，但我們計劃單期大約100兆瓦，我們也期待獲得一些承諾。幾季推出。

Got it. Thank you.

知道了。謝謝。

Thank you for the questions. Our next questions come from Daley Li from Bank of America Securities. Please go ahead.

謝謝你的提問。我們的下一個問題來自美國銀行證券公司的 Daley Li。請繼續。

Hi, management. Thanks for taking my question. I have two questions. The first one involves the China data center business. Could management share some of the demand trend for the - our clients, maybe for public cloud providers and the internet companies, and some financial companies, how the demand trend? And right now the government is publishing more policy to support the AI data center etc. How do we see the competition?

嗨，管理層。感謝您提出我的問題。我有兩個問題。第一個涉及中國資料中心業務。管理階層能否分享一些我們的客戶的需求趨勢，也許是公有雲供應商和網路公司，以及一些金融公司的需求趨勢如何？目前政府正在推出更多政策支援人工智慧資料中心等，我們如何看待競爭？

My second question is about the overseas business. Congratulations on this recent fund raising. How do we see future - financial channel in the overseas market as we try to develop more business after two to three years in terms of financing channel. Thank you.

我的第二個問題是關於海外業務的。祝賀最近的資金籌集。未來我們如何看待海外市場的金融管道，在融資管道方面，我們將在兩到三年後嘗試開發更多的業務。謝謝。

I'll take your first question. In China, I think we do see some signal that AI demand's increasing, but based on current chip supply issues, the demand is not - the demand actually is already there but not fulfilled by the chips. So what we can tell is that the chips supply in terms of a new version of the NVIDIA like H20 and also some China chip supply profile, what we can see is maybe the end of this year or early next year, China data center demand will recover in a significant way. What I think is this year still you can see a lot of this demand frying right now, but actually every people are waiting for the chips. So in impact to our data center real demand, I would say it will start from next year.

我來回答你的第一個問題。在中國，我認為我們確實看到了一些人工智慧需求增加的訊號，但根據目前的晶片供應問題，需求並沒有增加——需求實際上已經存在，但晶片無法滿足。所以我們可以知道的是，像H20這樣的新版本的NVIDIA晶片供應以及一些中國晶片供應情況，我們可以看到可能是今年年底或明年初，中國資料中心的需求將會增加以顯著的方式恢復。我認為今年你仍然可以看到很多這種需求，但實際上每個人都在等待晶片。因此，為了影響我們資料中心的實際需求，我想說將從明年開始。

Your question about financing requirements and options for international - the rationale behind the capital raising which we announced today is to ensure that we have adequate equity capital for the existing portfolio which is in service and under construction. But we are moving forward rapidly, and the requirement for additional capital will depend on how the business plan evolves. We will take a view as new opportunities come up and new commitments are made.

您關於國際融資要求和選擇的問題 - 我們今天宣布的融資背後的理由是確保我們有足夠的股本用於正在使用和建設中的現有投資組合。但我們正在快速前進，額外資本的需求將取決於業務計劃的發展。我們將隨著新機會的出現和新承諾的出現而採取新的看法。

We have spoken before about a strategy of limiting the amount of capital which GDS Holdings allocates to international. We've allocated US$411 million. Now we're starting to leverage our equity investment with external equity at a premium valuation. This first Series A capital raising has required us to establish GDS International on a standalone basis and put in place the governance and all the aspects of intercompany relationship and so on which is quite a challenge. After having done this deal, and with the investor group who is now partnering with us, I think GDS International is very well placed to do further capital raisings, and that could either be at a country level, as we've done already in Indonesia with our joint venture with INA, or it could be at the international HoldCo level.

我們之前曾談到限制萬國資料向國際資本配置的策略。我們已撥款 4.11 億美元。現在，我們開始以溢價估值利用我們的股權投資與外部股權。首輪A輪融資要求我們獨立成立萬國數據，並落實治理和公司間關係等各個層面，這是相當大的挑戰。完成這筆交易後，以及現在與我們合作的投資者團體，我認為萬國數據非常有能力進行進一步的融資，這可以是在國家層面，就像我們在印尼所做的那樣我們與INA 的合資企業，也可能是國際控股公司的水平。

Thank you, management.

謝謝你，管理階層。

Thank you for the question. Our next question comes from Robert Chew from JP Morgan. Please go ahead.

謝謝你的提問。我們的下一個問題來自摩根大通的羅伯特·週。請繼續。

Thanks, Dan. Thanks, William. I'm asking on behalf of Gokul, so I have two parts of my question. The first one is on the competitive landscape and the IRR. Can you help us understand what the IRR looks like for the international business, given we have seen many - the regional players or local players or Chinese players competing in this market?

謝謝，丹。謝謝，威廉。我代表 Gokul 提問，所以我的問題分為兩部分。第一個是關於競爭格局和內部報酬率。鑑於我們已經看到了許多區域企業、本地企業或中國企業在這個市場上競爭，您能否幫助我們了解國際業務的 IRR 是什麼樣的？

Secondly, I think you guided the international business revenue contribution for this year will be probably 9% or 10%. You mentioned that you are considering to expand beyond this southeast Asia market, probably Europe or north Asia. How should we think about the revenue contribution from international business in three to five years' time?

其次，我認為您指導今年國際業務的收入貢獻可能是9%或10%。您提到您正在考慮擴展到東南亞市場之外，可能是歐洲或北亞。如何看待三、五年後國際業務的收入貢獻？

Thanks, Robert. First of all, for the IRRs, we have undertaken projects in Hong Kong and in Johor and in Batam. Each market has a different cost of capital, but if we look at it in a very general way, the IRRs have been within the range that we target historically, unlevered post-tax IRRs of not less than 10% up to IRRs in the low teens, which currently compares quite favorably with what is achievable in China at the current stage in the cycle.

謝謝，羅伯特。首先，就IRR而言，我們在香港、柔佛州和巴淡島進行了專案。每個市場都有不同的資本成本，但如果我們以非常普遍的方式看待它，IRR 一直在我們歷史目標範圍內，無槓桿稅後 IRR 不低於 10%，最高 IRR 處於較低水平與中國現階段可實現的目標相比，這一數字相當有利。

For the contribution of international, without giving out forecasts, I think we talked before about hitting 15% of consolidated revenue or adjusted EBITDA within three years. I think that is definitely achievable. It may be higher than that.

對於國際業務的貢獻，在沒有給出預測的情況下，我想我們之前談到過三年內達到合併收入的15%或調整後的EBITDA。我認為這絕對是可以實現的。它可能比這個更高。

Thank you.

謝謝。

Thank you for the questions. One moment for the next question. The next question comes from the line of Bora Lee from RBC Capital Markets. Please go ahead.

謝謝你的提問。請稍等一下，回答下一個問題。下一個問題來自加拿大皇家銀行資本市場 (RBC Capital Markets) 的博拉李 (Bora Lee)。請繼續。

Thank you. Hi, this is Bora on for Jon Atkin. I believe William had mentioned GDS expects to enter additional markets. Can you elaborate on how you're thinking about the markets or regions and would you like to expand on the timeframe you had in mind?

謝謝。大家好，我是喬恩‧阿特金 (Jon Atkin) 的博拉 (Bora)。我相信威廉曾提到萬國數據希望進入更多市場。您能否詳細說明您對市場或地區的看法，以及您是否希望擴大您所設想的時間範圍？

Secondarily, any update on the Singapore development? Thank you.

其次，新加坡的發展有何最新進展？謝謝。

I think our strategy is, first of all, I think we see the tremendous growth in Southeast Asia and the whole Asia Pacific, which is the market we are very familiar with. I think the first step, we will still focus on the Southeast Asia to get the - maintain the market-leading position, right? So I think this is our first priority.

我認為我們的策略是，首先，我認為我們看到東南亞和整個亞太地區的巨大成長，這是我們非常熟悉的市場。我認為第一步，我們仍然會專注於東南亞來獲得——保持市場領先地位，對吧？所以我認為這是我們的首要任務。

In the meanwhile, we already started to develop the Japan market for a while and I think we are - maybe in the near future, maybe we can announce some progress. So I think the Japan market, Korea market also very attractive, it's the top market - data center (corrected by company after the call) market in the world and we see the demand.

同時，我們已經開始開發日本市場一段時間了，我認為我們 - 也許在不久的將來，也許我們可以宣布一些進展。所以我認為日本市場、韓國市場也非常有吸引力，它是世界上最頂級的市場——資料中心（由公司在調用後更正）市場，我們看到了需求。

So in general, we follow up the big market, we will also follow up the high growth market in the future. But as I've just mentioned, we do have seen some opportunity in Europe as well, but it would - this is another future target market, but of course including Middle East.

所以總的來說，我們跟進大市場，未來也會跟進高成長的市場。但正如我剛才提到的，我們確實在歐洲也看到了一些機會，但它將是另一個未來的目標市場，但當然包括中東。

Singapore, yes, we target to deliver the - launch the data center by the end of 2026, so that's our timeframe and we made some progress. We have a couple shortlisted, we already tried to do the final decision to choose in the site. So I think we will tell the investors once we make a final decision.

新加坡，是的，我們的目標是在 2026 年底之前推出資料中心，所以這就是我們的時間表，我們取得了一些進展。我們有幾個入圍名單，我們已經嘗試在網站上做出最終的選擇決定。所以我想一旦我們做出最終決定，我們就會告訴投資者。

Thank you.

謝謝。

Thank you for the question. One moment for the next question. For our next questions we have Sara Wang from UBS. Please go ahead.

謝謝你的提問。請稍等一下，回答下一個問題。我們有來自瑞銀的 Sara Wang 回答我們的下一個問題。請繼續。

Thank you for the opportunity, I have two questions. First one is on China business, so what's the trend of MSR or churn rate when you renew contracts with existing customers, say over the past two quarters? Then how should we think about the trend going forward?

謝謝你給我這個機會，我有兩個問題。第一個是中國業務，那麼當你與現有客戶續約時，例如過去兩個季度，MSR 或客戶流失率的趨勢是什麼？那我們該如何看待未來的趨勢呢？

Second question is still on AI, so maybe for both China and international projects, because AI requires higher density racks or even more advanced cooling methodology. So is there any difference between maybe high density power racks in terms of revenue or margin profile compared to maybe cloud demand we have seen previously? Thank you.

第二個問題仍然是關於人工智慧，所以也許對於中國和國際項目來說都是如此，因為人工智慧需要更高密度的機架甚至更先進的冷卻方法。那麼，與我們之前看到的雲端需求相比，高密度電源架在收入或利潤狀況方面是否有任何差異？謝謝。

I'll answer the first question maybe, William.

也許我會回答第一個問題，威廉。

Yes, I think in general, I think the current AI - of course, the AI will - definitely in the future will be the main driver to drive the data center demand. This is what is happening in US, what's happening in Europe and also the Southeast Asia and Japan market already, but it's just a start.

是的，我認為總的來說，我認為目前的人工智慧——當然，人工智慧將來肯定會成為推動資料中心需求的主要驅動力。這就是美國正在發生的事情，歐洲以及東南亞和日本市場已經發生的事情，但這只是一個開始。

In terms of the difference, I think the AI guys need more big - big capacity. Historically when we talk to cloud guys demand, if we use the single deal size, let's say internets always ask for 10 megawatts, 20 megawatts as the maximum and the cloud guys normally ask for, let's say, 30 megawatts, 40 megawatts. But now what we can see, that the deal profile's a total difference, a lot of our customers ask for 100 megawatts or 200 megawatts per campus. So that means they need more power capacity in one site, so this is one difference.

就差異而言，我認為人工智慧人員需要更大的能力。從歷史上看，當我們與雲端專家討論需求時，如果我們使用單筆交易規模，假設網路總是要求最大 10 兆瓦、20 兆瓦，而雲端專家通常要求 30 兆瓦、40 兆瓦。但現在我們可以看到，交易概況完全不同，我們的許多客戶要求每個園區 100 兆瓦或 200 兆瓦。這意味著他們需要在一個站點提供更多的電力容量，所以這是一個區別。

Second of all, of course, I think in general average power density goes very high, so we are well prepared for that.

其次，當然，我認為總體而言平均功率密度非常高，因此我們為此做好了充分準備。

In terms of cooling, I think everybody knows once you get the - if you want to get the level of your product like per rack, above 20 kw per rack, it's better to start to use - try to start to use the liquid cooling, right? So in terms of technology, we are very familiar of the liquid cooling, because five years ago we started to use the liquid cooling solution in China. So I think we are well prepared for catchup the AI demand in the future, whatever size - in terms of size, capacity of the size, or power density or cooling technology. We are all good at that.

在冷卻方面，我想每個人都知道一旦你得到了 - 如果你想獲得像每個機架那樣的產品水平，每個機架超過20千瓦，最好開始使用 - 嘗試開始使用液體冷卻，正確的？所以在技術方面，我們對液冷非常熟悉，因為五年前我們就開始在中國使用液冷解決方案。因此，我認為我們已經做好了充分準備，可以趕上未來的人工智慧需求，無論規模如何——無論是尺寸、尺寸容量、功率密度還是冷卻技術。我們都很擅長這一點。

Sara, your question about MSR, I always answer it in the same way, saying MSR can be affected by a number of different factors. It's not just a reflection of change in market pricing, it's also dependent on location and type of data center. Rather than talk about pricing on renewals, I always give some guidance or direction on the trends in MSR.

Sara，你關於MSR的問題，我總是以同樣的方式回答它，說MSR會受到許多不同因素的影響。這不僅反映了市場定價的變化，還取決於資料中心的位置和類型。我不會談論續訂定價，而是總是就 MSR 的趨勢提供一些指導或方向。

I mentioned during the prepared remarks, over the past four quarters, that 4Q22 to 4Q23, the MSR decreased by 5%. Over the next four quarters, that's 4Q23 to 4Q24, we expect the MSR to decrease by 3%. Most of that decrease is due to delivery of the backlog. A smaller part is due to lower pricing on renewals.

我在準備好的發言中提到，在過去的四個季度中，22 年第 4 季到 23 年第 4 季度，MSR 下降了 5%。在接下來的四個季度，即 2023 年第 4 季至 24 年第 4 季度，我們預計 MSR 將下降 3%。減少的大部分是由於積壓訂單的交付。較小部分是由於續訂價格較低。

But if you were to look further forward beyond 2024 to 2025, MSR is bottoming out, which means that as you project further into the future, our revenue growth will be mainly driven by the increase in that additional area utilized with MSR decrease becoming less and then becoming flat.

但如果你進一步展望2024 年至2025 年，MSR 正在觸底，這意味著，隨著你對未來的進一步預測，我們的收入增長將主要由所利用的額外面積的增加推動，而MSR 的減少將變得越來越少，然後變得平坦。

Got it, thank you.

明白了，謝謝。

Thank you for the questions. We have come to the end of the Q&A session. I would like to now turn the call back over to the Company for closing remarks.

謝謝你的提問。我們的問答環節已經結束了。我現在想將電話轉回公司進行總結發言。

Thank you once again for joining us today. If you have further questions, please feel free to contact GDS Investor Relations with the contact information on our website and the Piacente financial communications. Bye, see you next time.

再次感謝您今天加入我們。如果您還有其他疑問，請隨時透過我們網站上的聯絡資訊和 Piacente 財務通訊聯絡 GDS 投資者關係部。再見，下次見。

This concludes this conference call. You may now disconnect your lines. Thank you.

本次電話會議到此結束。現在您可以斷開線路。謝謝。