Aurora Mobile Ltd (JG) 2023 Q3 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to the Aurora Mobile Third Quarter 2023 Earnings Conference Call. (Operator Instructions). Please be advised that today's conference is being recorded.

女士們、先生們，感謝大家的支持，歡迎參加 Aurora Mobile 2023 年第三季財報電話會議。 （操作員說明）。請注意，今天的會議正在錄製中。

I would now like to hand the conference over to your host today, Rene Vanguestaine. Thank you. Please go ahead, sir.

現在我想將會議交給今天的東道主雷內·範格斯坦。謝謝。請繼續，先生。

Thank you, Michel. Hello, everyone, and thank you for joining us today. Aurora's earnings release was distributed earlier today and is available on the IR website at ir.jiguang.cn. On the call today are Mr. Shan-Nen Bong, Chief Financial Officer; and Mr. Guangyan Chen, General Manager. (Operator Instructions).

謝謝你，米歇爾。大家好，感謝您今天加入我們。奧羅拉 (Aurora) 的財報已於今天稍早發布，可在投資者關係網站 ir.jiguang.cn 上查閱。今天參加電話會議的是財務長 Shan-Nen Bong 先生；陳光彥先生，總經理。 （操作員說明）。

Before we begin, I'd like to remind you that this conference call contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 as amended and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements are based upon management's current expectations and current market and operating conditions, which are difficult to predict and may cause the company's actual results, performance or achievements to differ materially from those in the forward-looking statements.

在開始之前，我想提醒您，本次電話會議包含經修訂的 1934 年證券交易法第 21E 條含義以及 1995 年美國私人證券訴訟改革法案中定義的前瞻性陳述。前瞻性陳述基於管理層當前的預期以及當前的市場和經營狀況，這些預期很難預測，並可能導致公司的實際結果、績效或成就與前瞻性陳述中的結果有重大差異。

Further information regarding these and other risks, uncertainties and/or factors are included in the company's filings with the U.S. Securities and Exchange Commission. The company does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.

有關這些和其他風險、不確定性和/或因素的更多資​​訊包含在該公司向美國證券交易委員會提交的文件中。除適用法律要求外，本公司不承擔因新資訊、未來事件或其他原因而更新任何前瞻性聲明的義務。

With that, I'd now like to turn the conference over to Mr. Bong. Please go ahead.

現在我想把大會交給奉先生。請繼續。

Thanks, Rene. Good morning, and good evening, everyone. Welcome to Aurora Mobile's 2023 Third Quarter Earnings Release Call. And for all our callers and listeners today, I wanted to let you know that our CEO, Chris, is on business trip at different time zone, plus is not available to attend the call today. And we -- in Chris absence, I should have the privilege to share with you all on the great quarter that we have this quarter. And before I comment on our Q2 results, I would like to remind everyone that the quarterly earnings deck is available on our IR website.

謝謝，雷內。大家早安，晚上好。歡迎參加 Aurora Mobile 2023 年第三季財報發布電話會議。對於今天所有的來電者和聽眾，我想讓你們知道，我們的執行長克里斯正在不同時區出差，因此無法參加今天的電話會議。在克里斯缺席的情況下，我應該有幸與大家分享我們本季的精彩季度。在我評論第二季業績之前，我想提醒大家，季度收益報告可在我們的投資者關係網站上找到。

You may refer to the deck as we proceed with the call today. I refer to this quarter to be a great quarter for a number of reasons. And here, I would like to categorically go through the great things that we have achieved this quarter. Firstly, 2 of our business lines recorded sequential revenue growth in each of the 3 quarters of 2023, where developer subscription revenue grew 15% quarter-over-quarter. Vertical Applications revenue grew 6% quarter-over-quarter driven by Financial Risk Management revenue, which grew 11% quarter-over-quarter.

當我們今天繼續通話時，您可以參考該牌組。我認為本季度是一個偉大的季度，原因有很多。在這裡，我想明確回顧一下我們本季的偉大成就。首先，我們的 2 個業務線在 2023 年的三個季度中每個季度都實現了連續收入增長，其中開發者訂閱收入環比增長 15%。在金融風險管理收入較上季成長 11% 的推動下，垂直應用收入較上季成長 6%。

Secondly, our gross profit in absolute dollar terms also grew in each of the 3 quarters in 2023. Thirdly, we achieved yet another lowest OpEx in history in this quarter. Last but not least, we achieved adjusted EBITDA positive in this quarter. Therefore, this quarter has been great operationally and financially.

其次，我們的毛利（以絕對美元計算）在 2023 年的三個季度中每季都在成長。第三，我們在本季實現了歷史上最低的營運支出。最後但並非最不重要的一點是，我們在本季度實現了調整後 EBITDA 為正值。因此，本季的營運和財務狀況都非常出色。

And next, I'll spend more time to share with you on various aspects of the business. For our total group revenue, we achieved positive growth of 1% quarter-over-quarter. Now let me go through our different revenue stream. Developer Service revenue decreased 10% year-over-year, mainly due to the weakness seen in the value-added service, offset by the 12% growth in subscription services.

接下來我會花更多的時間跟大家分享業務的各個面向。集團總收入環比實現 1% 的正成長。現在讓我介紹一下我們不同的收入來源。開發者服務收入年減 10%，主要是由於增值服務疲軟，但被訂閱服務 12% 的成長所抵銷。

Next is a detailed discussion of each business line. Subscription business revenue was CNY 46.7 million, up 12% year-over-year and 15% quarter-over-quarter. And this was mainly driven by increase in both ARPU and customer numbers year-over-year and quarter-over-quarter. And we are very pleased with the positive trending of this business where the revenue grew in every quarter since Q1 of 2023. As some of the notable new and renewal customers in this quarter include but not limited to CITIC Bank. FAW Volkswagen, FAW Toyota, (inaudible) Bank, (inaudible) Bank, just to name a few. Value-Added Service revenue were CNY 4.9 million, decreased by 58% quarter-over-quarter, which was due to the annual 618 online shopping festival in Q2 where advertisers increased their spending. However, no such event in Q2.

接下來是對各個業務線的詳細討論。訂閱業務收入為人民幣4,670萬元，較去年成長12%，較上季成長15%。這主要是由於 ARPU 和客戶數量同比和環比增長推動的。我們對該業務的積極趨勢感到非常高興，自 2023 年第一季以來每個季度的收入都在增長。本季度一些值得注意的新客戶和續約客戶包括但不限於中信銀行。一汽大眾、一汽豐田、（聽不清楚）銀行、（聽不清楚）銀行，僅舉幾例。增值服務收入為490萬元人民幣，季減58%，主要是因為第二季一年一度的618網購節廣告主加大了支出。然而，第二季度沒有這樣的事件。

Next, let me give you some updates on our overseas product EngageLab. We have hit a few key milestones in this quarter that we are very proud of. Firstly, we now have more than 100 customers signed up to purchase our EngageLab product. Secondly, these customers come from 16 different countries and regions, including Hong Kong and Taiwan. And in this quarter alone, we added 4 new countries where our EngageLab is made available to overseas customers. Thirdly, our cumulative signed contract value of EngageLab has exceeded CNY 10 million since the launch of this product in Q3 of 2022.

接下來我來跟大家介紹一下我們海外產品EngageLab的最新狀況。我們在本季實現了一些令我們感到非常自豪的關鍵里程碑。首先，我們現在有超過 100 位客戶註冊購買我們的 EngageLab 產品。其次，這些客戶來自香港、台灣等16個不同的國家。光是本季度，我們就新增了 4 個國家/地區，向海外客戶提供 EngageLab。第三，EngageLab產品自2022年第三季推出以來，累計簽約金額已超過1,000萬元。

So our going overseas initiative has clearly been a success. From our side, there are a few initiatives we will undertake to further our EngageLab expansion. This includes: one, we will continue to expand our reach inside each of the 16 countries and regions that we are servicing now, we aim to sign up more customers in this country; two, will expand to other new countries and region every quarter. Now let me recap on the EngageLab product we have. Our EngageLab product allows our customers in different countries and regions to engage with their own customers in an effective yet cost-efficient manner. Our one-stop EngageLab customer engagement platform enables our customers to use any of these following messaging channels, be it app push, web push and e-mail service, SMS service or Whatsapp business API. Since its launch in Q3 of 2022, we are very pleased with the progress to date. However, the work is not done. We will continue to improve our the service delivery of EngageLab so that we continue to expand across different continents in the near future.

所以我們的出海計畫顯然是成功的。從我們的角度來看，我們將採取一些措施來進一步擴展 EngageLab。這包括：一是我們將繼續擴大我們目前服務的16個國家和地區的覆蓋範圍，我們的目標是在這個國家簽約更多的客戶；二、每季都會擴展到其他新的國家和地區。現在讓我回顧一下我們的 EngageLab 產品。我們的 EngageLab 產品使不同國家和地區的客戶能夠以有效且經濟高效的方式與自己的客戶互動。我們的一站式 EngageLab 客戶參與平台使我們的客戶能夠使用以下任何訊息傳遞管道，無論是應用程式推播、網路推播和電子郵件服務、簡訊服務或 Whatsapp 業務 API。自 2022 年第三季推出以來，我們對迄今為止的進展感到非常滿意。然而，工作還沒有完成。我們將繼續改進 EngageLab 的服務交付，以便在不久的將來繼續擴展到不同的大陸。

Next, I'll go over the revenue for Vertical Application, where it's made up of Financial Risk Management and market intelligence. Vertical Application had another great quarter. Sequentially, the quarterly revenue for Vertical Application has grown in each of the quarter in 2023. In Q3 alone, it grew another 6% quarter-over-quarter, fueled by the strong revenue growth from Financial Risk Management. For Financial Risk Management, revenue grew both year-over-year and quarter-over-quarter. In addition, the revenue recorded sequential growth in each of the 3 quarters in 2023.

接下來，我將回顧垂直應用程式的收入，其中由財務風險管理和市場情報組成。垂直應用程式又迎來了一個出色的季度。隨後，垂直應用的季度收入在 2023 年每個季度都在增長。僅在第三季度，在財務風險管理收入強勁增長的推動下，它就環比增長了 6%。對於財務風險管理，營收年比和季比均有所成長。此外，2023年三個季度的營收均錄得較上季成長。

It was positively impacted by customer number growth of 18% year-over-year and 27% quarter-over-quarter. The addition of new customers' numbers signify that we are gaining more customers and as the things customers are renewing their services because this is important as it pave way for us to achieve revenue growth in the near future. This Q3 customers include, but not limited to (inaudible), (inaudible), (inaudible) and other more licensed financial institution throughout China. As for Market Intelligence, the revenue decreased 4% quarter-over-quarter due to the relatively quiet investment sentiment towards Chinese ADRs. Plus the demand for China-based APP data has also decreased [accordingly].

其受到客戶數量年增 18% 和環比增長 27% 的正面影響。新客戶數量的增加意味著我們正在獲得更多客戶，並且客戶正在更新他們的服務，因為這很重要，因為它為我們在不久的將來實現收入成長鋪平了道路。第三季的客戶包括但不限於（聽不清楚）、（聽不清楚）、（聽不清楚）以及中國各地其他持牌較多的金融機構。至於市場情報，由於對中國 ADR 的投資情緒相對平靜，收入環比下降 4%。另外，對中國APP數據的需求也隨之減少。

Nevertheless, we still managed to sign up some well-known large customers such as Mercedes, (inaudible) (inaudible) and other global hedge funds and overseas investment funds. I'll now go through some of the key expenses and balance sheet items. On to operating expenses, I'm again, we're pleased to share with you that in Q3 2023, we have yet another record low quarterly OpEx at CNY 60 million. The Q OpEx was down 25% year-over-year and 6% quarter-over-quarter. As I mentioned in the previous quarter, maintaining low level of OpEx is of critical importance to us. And this was the main reason why we are able to record lowest quarterly net loss since IPO and return adjusted EBITDA positive in this quarter.

儘管如此，我們還是成功簽約了一些知名大客戶，如梅賽德斯、（聽不清楚）（聽不清楚）以及其他全球對沖基金和海外投資基金。我現在將介紹一些關鍵費用和資產負債表項目。關於營運支出，我再次很高興與您分享，2023 年第三季度，我們的季度營運支出再次創下歷史新低，為 6000 萬元人民幣。 Q OpEx 年減 25%，季減 6%。正如我在上一季提到的，保持較低的營運支出水準對我們至關重要。這也是我們能夠創下自 IPO 以來最低季度淨虧損且本季調整後 EBITDA 為正值的主要原因。

Let's now go to the individual OpEx category. In particular, R&D expenses decreased 14% year-over-year to CNY 32.8 million, mainly due to the lower headcount that reduced salary cost and associated compensation and a decrease in server depreciation expenses due to our own growing cloud initiatives. Selling and marketing expenses decreased by 10% year-over-year to CNY 21.8 million, mainly due to the decrease in salary costs resulted from head count reduction as we further make adjustment to operate at the optimal level.

現在讓我們進入單獨的營運支出類別。特別是，研發費用年減14%至3,280萬元人民幣，主要是由於人員數量減少導致工資成本和相關薪酬減少，以及我們自身不斷發展的雲端計畫導致伺服器折舊費用減少。銷售及行銷費用年減10%至2,180萬元，主要是由於我們進一步調整以達到最佳營運水平，人員減少導致工資成本下降。

G&A expenses decreased by 69% year-over-year to CNY 5.4 million. This was mainly due to the onetime gain on disposal of fixed assets recognized in this quarter. Even if this one-off item is excluded, the G&A expenses still decreased by 37%, mainly due to the overall continuous effort to streamline expenses across the board. As I mentioned earlier, as a result of our focus to drive OpEx at optimal level, the adjusted EBITDA has recorded a positive CNY 4.5 million in this quarter. In plain English, it simply means that the group is making more than it is spending with surplus to keep in this quarter. And this is a great result for which I'm very proud of that what the team has done throughout the organization from a frontline sales team who have been going all out to acquire new customer and sign up new contracts, to the support team and the back office will diligently control our expenses.

一般及行政費用較去年同期下降 69% 至 540 萬元。這主要是由於本季確認的一次性固定資產處置收益所致。即使剔除這項一次性項目，G&A 費用仍下降了 37%，主要得益於整體持續努力全面精簡費用。正如我之前提到的，由於我們專注於將營運支出推向最佳水平，調整後的 EBITDA 在本季度錄得 450 萬元人民幣的正值。簡單來說，這只是意味著該集團本季的收入超過了支出，並且有盈餘。這是一個偉大的成果，我對團隊在整個組織中所做的一切感到非常自豪，從全力以赴獲取新客戶並簽訂新合約的一線銷售團隊，到支援團隊和後台將努力控制我們的開支。

Next on to the balance sheet. I'll share 2 very important KPIs that we closely monitor. We continue to maintain a healthy AR turnover lease at 40 days, and this is relatively consistent year-over-year and quarter-over-quarter. We pride ourselves in achieving such a low AR turnover this comparing to the peers in the same industry. Secondly, One of the key financial KPIs for tracking the performance of SaaS companies is the total deferred revenue, which represents cash collected in advance from customer for future contract performance, which continued to be a high balance of CNY 130.6 million. And this is the seventh consecutive quarter where our deferred revenue balance has exceeded CNY 130 million. And both our onshore and overseas customers are continuing to purchase and renew our services. More importantly, we are collecting cash in advance from customers.

接下來是資產負債表。我將分享我們密切監控的 2 個非常重要的 KPI。我們繼續保持 40 天的健康 AR 週轉率租賃，這與去年同期和季度環比相對一致。與同行業的同行相比，我們為 AR 營業額如此之低而感到自豪。其次，追蹤SaaS公司業績的關鍵財務KPI之一是遞延收入總額，即為未來合約履行而向客戶預收的現金，其餘額持續保持在1.306億元人民幣的高位。這是我們的遞延收入餘額連續第七個季度超過1.3億元。我們的境內和海外客戶都在繼續購買和續訂我們的服務。更重要的是，我們正在提前向客戶收取現金。

Next, total assets were at CNY 359.5 million as of September 30, 2023. This includes cash and cash equivalents of CNY 98.4 million accounts receivable of CNY 31.3 million, prepayments and other current assets at CNY 23.7 million. Fixed assets of CNY 1.9 million, long-term investment CNY 134.9 million, Goodwill at CNY 37.8 million and intangible assets of CNY 19.5 million. Total current liabilities were CNY 233.2 million as of September 30, 2023. This includes short-term loan of CNY 5 million, accounts receivable of CNY 20.2 million. Current operating liability of CNY 6.4 million, deferred revenue of CNY 130.6 million, accrued liabilities of CNY 71 million.

其次，截至 2023 年 9 月 30 日，總資產為 3.595 億元。其中包括現金和現金等價物 9,840 萬元人民幣、應收帳款 3,130 萬元人民幣、預付款項和其他流動資產 2,370 萬元人民幣。固定資產190萬元，長期投資13490萬元，商譽3780萬元，無形資產1950萬元。截至2023年9月30日，流動負債總額為2.332億元人民幣，其中短期貸款500萬元人民幣，應收帳款2,020萬元人民幣。目前經營負債為人民幣640萬元，遞延收入為人民幣1.306億元，應計負債為人民幣7,100萬元。

Next, allow me to take 1 minute to recap 4 key achievements that we have had in this quarter that I would like that all of you to take away from this earnings call today. In this quarter: one, our Developer Service subscription and Financial Risk Management businesses recorded 3 consecutive revenue growth; two, we have more than 100 Engage less paying customer from 16 countries and region around the globe with cumulative signed contract value exceeded CNY 10 million; three, we have the highest quarterly gross profit and lowest quarterly OpEx in 2023; four, we have turned adjusted EBITDA positive.

接下來，請容許我花 1 分鐘時間回顧我們在本季取得的 4 項關鍵成就，我希望大家能夠從今天的財報電話會議中獲得這些成就。本季：一是開發者服務訂閱和金融風險管理業務收入連續3年成長；二、我們擁有來自全球16個國家地區的100多家付費客戶，累計簽訂合約金額超過1,000萬元；三、2023年我們的季度毛利最高，季度營運支出最低；第四，我們已將調整後的 EBITDA 轉為正值。

Lastly, before I conclude, I'll give a quick update on our share repurchase plan. In the quarter ended September 30, 2023, we have repurchased 854,000 ADS. Cumulatively, we have repurchased a total of 2.69 million ADS since the start of our program.

最後，在結束之前，我將快速介紹我們的股票回購計畫。截至2023年9月30日的季度，我們回購了854,000股ADS。自計劃啟動以來，我們已累積回購了 269 萬股 A​​DS。

And this concludes management's prepared remarks. We'll be happy to take questions now. Operator, please proceed.

管理層準備好的演講到此結束。我們現在很樂意回答問題。接線員，請繼續。

(Operator Instructions) Our first question comes from Calvin Wong with Spica Capital.

（操作員說明）我們的第一個問題來自 Spica Capital 的 Calvin Wong。

I would like to ask few, if I may. First of all, congrats on your great Q3 results, it seems that the positive adjusted EBITDA has come earlier than we have discussed last quarter. So appreciate the management can share more how this is achieved and whether we will continue to see positive adjusted EBITDA going forward. And second question is about EngageLab business. It is great to see that you have signed up more than 100 overseas customers with more than CNY 10 million contract value within the year. So with this, I would like to hear from the management how do you go about expanding this EngageLab business outside of China? And how you managed to make such enroll in overseas markets. So 2 questions. One on adjusted EBITDA and, two, EngageLab business.

如果可以的話，我想問幾個。首先，恭喜你們第三季的出色業績，看起來正調整後的 EBITDA 比我們上季討論的要早。因此，感謝管理層能夠更多地分享這是如何實現的，以及我們未來是否會繼續看到積極的調整後 EBITDA。第二個問題是關於EngageLab業務。很高興看到你們一年內簽約海外客戶超過100家，合約超過1000萬元。因此，我想聽聽管理階層的意見，你們如何將EngageLab業務拓展到中國以外的地區？以及你們是如何成功進入海外市場的。所以有2個問題。一是調整後的 EBITDA，二是 EngageLab 業務。

Sure. Calvin, thanks for your question. Okay. Yes, you are right. We are very pleased to turn adjusted EBITDA positive in this quarter earlier than we have expected. In a very high summary level, it's a combination of where we drive the high-margin revenue business. We grew the gross profit and we tightly control the OpEx. I can elaborate more. So on the revenue front, as I touched on earlier in the ER call, both our Developer Subscription business and Vertical Application business recorded consecutive revenue growth in each quarter of 2023. .

當然。卡爾文，謝謝你的問題。好的。是的你是對的。我們很高興在本季度比我們預期更早實現調整後 EBITDA 為正值。從高度概括的角度來看，它是我們推動高利潤收入業務的組合。我們增加了毛利，並嚴格控制了營運支出。我可以詳細說明一下。因此，在收入方面，正如我之前在 ER 電話會議中提到的那樣，我們的開發者訂閱業務和垂直應用程式業務在 2023 年每個季度都實現了連續收入成長。

And these are the high-margin business with gross margin in the range of 75% to 80%. And the Developer Service Subscription business are doing well, where we recorded both ARPU and customers growth quarter-over-quarter. And in particular, in this quarter, we completed a number of private cloud projects, which helped on the revenue growth. And similarly, for Financial Risk Management, we also had ARPU and revenue growth sequentially. And with the growth of this high-margin business, as a result, our gross profit grew as a result. So as for OpEx, we have another historical low OpEx at $60 million in Q3.

這些都是高利潤業務，毛利率在75%到80%之間。開發者服務訂閱業務表現良好，我們記錄了 ARPU 和客戶的​​季度環比成長。特別是在本季度，我們完成了多個私有雲項目，這有助於收入的成長。同樣，對於財務風險管理，我們的 ARPU 和營收也持續成長。隨著這項高利潤業務的成長，我們的毛利也隨之成長。至於營運支出，第三季營運支出又創下歷史新低，為 6,000 萬美元。

So with the growth in revenue, and we managed to reduce the OpEx and eventually, the number just turned out to be a positive adjusted EBITA. And on the question for Q4 and beyond, I guess, typically, we don't give any guidance on adjusted EBITDA.

因此，隨著收入的成長，我們設法降低了營運支出，最終，這個數字變成了正調整後的息稅折舊攤提前利潤。關於第四季度及以後的問題，我想，通常我們不會就調整後的 EBITDA 提供任何指導。

At this stage, all I can say is we are working hard on growing our high-margin revenue and continue to control our OpEx. So this will answer to the first question. And the second question is EngageLab. Yes, it seems like EngageLab has attracted our attention. If I remember correctly, you asked this question last quarter as well.

在這個階段，我只能說我們正在努力增加高利潤收入並繼續控制我們的營運支出。所以這將回答第一個問題。第二個問題是EngageLab。是的，看來EngageLab已經吸引了我們的注意。如果我沒記錯的話，你上季也問過這個問題。

Again, we are very pleased on the progress to date. I guess looking back the most important decision that we have made is more than a year ago, we decided to venture overseas. And of course, it was not smooth selling in day 1 and the road been rough, but has been rewarding. If you remember, we started the business in Q3 of 2022 with 0 customers and 0 contract value, and we have done pretty well since then.

我們再次對迄今為止的進展感到非常高興。我想回顧我們所做的最重要的決定是一年多前，我們決定去海外創業。當然，第一天的銷售並不順利，道路也很崎嶇，但還是有回報的。如果你還記得的話，我們在 2022 年第三季開始這項業務，當時客戶數為 0，合約價值為 0，從那時起我們就做得相當不錯。

And as to how we do the business overseas, I can share a little. Firstly, we invested in overseas infrastructure so that customers in overseas have the peace of mind on their data storage in the countries of their choosing, which means that whether you're in Southeast Asia, whether you're in Europe or Australia, we have the right set of combination of infrastructure for you or for our customers.

至於我們在海外是如何開展業務的，我可以分享一些。首先，我們投資了海外的基礎設施，讓海外的客戶可以安心地將資料儲存在他們選擇的國家，這意味著無論你在東南亞，無論你在歐洲還是澳大利亞，我們都有適合您或我們的客戶的一組正確的基礎設施組合。

And secondly, we work closely with the Chinese companies venturing and expanding overseas. And this group of customers are important because they are the one that we are providing services onshore. So they will always select us as their vendor of choice when they are overseas because they know who we are, we worked with them before, and we're confident with our service delivery.

其次，我們與在海外冒險和擴張的中國企業密切合作。這群客戶很重要，因為他們是我們在岸上提供服務的客戶。因此，當他們在海外時，他們總是會選擇我們作為他們的首選供應商，因為他們知道我們是誰，我們以前與他們合作過，我們對我們的服務交付充滿信心。

And thirdly, we also engage quality ISV, which is the independent software vendors in overseas market, too. And this ISV arrangement works perfectly for us for a couple of reasons: one, this ISV are well connected in their respective domestic market with many existing customers that they can help to sell our product; and two, as we present in different overseas market reduced our need to invest to set up offices, hire local sales team in the respective countries; and thirdly, to this ISV, it also help us -- save us to deal with individual customers on contract and negotiation on pricing, on cash collection, which save us on administrative burden. I guess in short, EngageLab overseas services -- or business is important for us, and it represents a new growth engine for us, which is less reliant on the Chinese mainland economic environment to a last degree. So it acts as a good buffer for us to continue on the revenue growth plan regardless of the situation onshore. So Calvin, I hope I answered your question.

第三，我們也聘請了優質的ISV，也就是海外市場的獨立軟體供應商。這種 ISV 安排非常適合我們，原因如下：第一，該 ISV 在各自的國內市場與許多現有客戶有良好的聯繫，他們可以幫助銷售我們的產品；第二，由於我們在不同的海外市場減少了我們在各自國家投資設立辦事處、聘請當地銷售團隊的需要；第三，對於這個ISV來說，它也幫助我們——節省了我們與個人客戶打交道、定價談判、現金收款的時間，從而減輕了我們的管理負擔。我想簡而言之，EngageLab海外服務——或者說業務對我們來說很重要，它代表了我們新的成長引擎，最大限度地減少了對中國大陸經濟環境的依賴。因此，無論陸上情況如何，它都可以為我們繼續執行收入成長計劃提供良好的緩衝。所以卡爾文，我希望我回答了你的問題。

(Operator Instructions) There are no further questions at this time. I'd like to turn the call back over to Rene for any closing remarks.

（操作員說明） 目前沒有其他問題。我想將電話轉回給雷內，讓他發表結束語。

Thank you, everyone, for joining our call tonight. If you have any further questions and comments, please don't hesitate to reach out to the IR team. This concludes the call. Have a good night. Thank you.

謝謝大家今晚加入我們的電話會議。如果您還有任何其他問題和意見，請隨時聯絡 IR 團隊。通話就此結束。祝你晚安。謝謝。

Thank you for participating. This does conclude the program, and you may now disconnect. Everyone, have a great day.

感謝您的參與。這確實結束了程序，您現在可以斷開連接。大家，祝你有美好的一天。