MINISO Group Holding Ltd (MNSO) 2024 Q3 法說會逐字稿

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Before we continue, I'd like to refer you to the Safe Harbor Statement in our earnings press release, which also applies to this call because we are going to make forward-looking statements. Please note that we're going to discuss non-IFRS financial measures today, which we have explained and reconciled to the most comparable measures reported under the International Financial Reporting Standard in the company's earnings release and filings with US SEC and Hong Kong Stock Exchange. The currency units in Chinese yuan, unless otherwise stated.

在我們繼續之前，我想請您參閱我們的收益新聞稿中的安全港聲明，該聲明也適用於本次電話會議，因為我們將做出前瞻性聲明。請注意，我們今天將討論非國際財務報告準則的財務指標，我們已對這些指標進行了解釋，並與該公司向美國證券交易委員會和香港證券交易所提交的收益報告和文件中根據國際財務報告準則報告的最具可比性的指標進行了協調。除非另有說明，貨幣單位均為人民幣。

In addition, we have prepared the slide presentation for today's call, which contains financials and operational information. If you are using Zoom meeting, you will be able to see it right now. You can also revisit it on our IR website.

此外，我們也為今天的電話會議準備了幻燈片演示，其中包含財務和營運資訊。如果您正在使用 Zoom 會議，您現在就可以看到它。您也可以在我們的 IR 網站上重新訪問它。

Now I'd like to welcome Mr. Ye to deliver the speech.

下面有請葉先生致詞。

Hello, everyone. Welcome to MINISO Group's earnings conference call for September quarter of 2024. As of September 30, 2024, the group added 859 stores on a net basis, including 324 new MINISO stores in China, 449 in overseas and 86 new TOP TOY stores. Both MINISO overseas and TOP TOY net store addition in the first three quarters has exceeded their respective full year number from last year as MINISO global store network continued to expand. In the first three quarters, the company's revenue increased by 23% YoY to RMB12.28 billion, with average store count increased by 90% with same-store sales growing in a low single digit.

大家好。歡迎參加名創優品集團 2024 年 9 月季度財報電話會議。截至2024年9月30日，集團淨新增門市859家，其中名創優品在中國新增門市324家，海外新增449家，TOP TOY新增門市86家。隨著名創優品全球門市網路的持續擴張，名創優品海外和TOP TOY前三季淨門市數量均超過去年全年。前三季度，公司營收年增23%至122.8億元，平均門市數成長90%，同店銷售額低個位數成長。

The world is changing and global retail industry experiencing major reshuffle. Consumers perception continue to evolve. In this time of the great transformation, China retail sector is facing opportunities for breakthrough. MINISO Group will firmly grab the two trends in the future, maintaining a focus on quality retail and interest-based consumption. The future will be characterized by a consumption model that combines product innovation and the consumer experience.

世界正在發生變化，全球零售業正在經歷大洗牌。消費者的觀念不斷發展。在這個大變革的時代，中國零售業面臨突破的機會。未來，名創優品集團將緊緊抓住這兩個趨勢，並持續聚焦品質零售和興趣消費。未來的消費模式將是產品創新與消費者體驗結合的。

And you can see in September, the company announced the acquisition of the 29.4% stake of Yonghui. Through this ongoing transformation, we aim to excel the quality retail, change traditional supermarket approach and deliver superior product service and consumer experience and investors as we transformed Yonghui store during this period, which should help us better understand our investment rationale.

而你可以看到，9月份，公司宣布收購永輝29.4%的股權。透過這次持續的轉型，我們的目標是超越品質零售，改變傳統超市模式，提供卓越的產品服務和消費者體驗以及投資者，在此期間我們對永輝店進行了改造，這應該有助於我們更理解我們的投資理由。

Moving forward, we will decide, dedicate more efforts to study consumers and understanding the changing consumption trends, maintaining a people-centric approach and returning to retail fundamentals. In the completion of Yonghui stake acquisition, MINISO will encompass three brands, MINISO, TOP TOY, and Yonghui. Those brands complement each other while differentiating in product categories, targeted consumers and price points, gradually being a unique multi-brand metrics in the retail sector. Meanwhile, leveraging MINISO's years of accumulated supply chain resources and product design capacity as a shared platform, we will be able to empower those brands to improve the synergy and operational efficiency.

展望未來，我們將決定，更努力研究消費者，了解消費趨勢的變化，堅持以人為本，回歸零售本源。完成永輝股權收購後，名創優品將旗下擁有名創優品、TOP TOY、永輝三個品牌。這些品牌互相補充，同時在產品類別、目標消費者和價格點上有所差異，逐漸成為零售領域獨特的多品牌指標。同時，利用名創優品多年累積的供應鏈資源和產品設計能力作為共享平台，我們將能夠賦能這些品牌，提高協同效應和營運效率。

We remain focused on the consumer retail industry. We believe by steady fast implementation of our multi-brand and globalization strategy, we will not only strengthen our existing competitive advantage, but also help consumer market to navigate instabilities and diversify operational risks. MINISO core business maintained our commitment for the three major five-year plans from '24 to '28 maintaining a compound annual revenue growth rate of no less than 20% with earnings per share growing faster than revenue.

我們仍然專注於消費零售業。我們相信，透過穩定快速實施多品牌和全球化策略，我們不僅能增強現有的競爭優勢，還能幫助消費市場應對不穩定因素並分散經營風險。名創優品核心業務堅守24年至28年三大五年計畫的承諾，維持營收複合成長率不低於20%，每股盈餘成長快於營收成長速度。

Second, 900 to 1,100 new stores globally each year on a net basis, achieving IP product sales contribution over 50% by '28. The dividend policy of distributing no less than 50% of adjusted net profit annually, continued the dynamic share repurchase, delivering predictable returns to our shareholders.

其次，全球每年淨新增門市900至1,100家，到28年實現IP產品銷售貢獻超過50%。每年分配不低於調整後淨利50%的股利政策，持續動態股回購，為股東帶來可預期的回報。

Coming next, I'm going to share with you MINISO China, MINISO Overseas, and TOP TOY development in the first three quarters of this year. First, MINISO China revenue growth in the first three quarter met the expectation of our five-year plan including both off-store and e-commerce revenue grew by 12.3% with online store grew by 11.8% and e-commerce grew by 90% and 11.8% for online store was probably driven by 40.7% increase in average store count, where same-store sales showed a mid-single-digit decline in first nine months of this year facing the challenging micro consumption environment. We actively developed our auto business, which grew by nearly 80% on YoY basis, helping us to stabilize same-store performance to some extent.

接下來，我將與大家分享名創優品中國、名創優品海外、TOP TOY今年前三季的發展。首先，名創優品中國前三季營收成長率符合五年規劃預期，離線及電商營收均成長12.3%，其中網店成長11.8%，電商成長90%，網路商店成長11.8%可能是由於平均商店數量增加40.7%，而面對充滿挑戰的微觀消費環境，今年前9 個月同店銷售額出現中個位數下降。我們積極發展汽車業務，較去年成長近80%，某種程度上穩定了同店業績。

According to the National Bureau of Statistics, domestic retail sales of the consumables increased by 3.8% in the first nine months of 2024. As an industrial leader, we achieved the growth rate of 12.3%, demonstrating greater resilience of our business. So we feel optimistic about the MINISO's China healthy growth in 2025. In the first three quarters, we added 324 net new stores in China, maintaining a steady expansion pace towards our annual target of 350 to 450 net new stores, 60% of those new stores being in Tier 1 and Tier 2 cities, which tells us we still have significant untapped market for store expansion in China. Same-store sales declined by mid-single-digit number in first three quarters with transaction value showing a slight increase YoY, where transaction volume decreased by single -- mid-single-digit. High-tier city outperformed lower-tier cities in the same-store performance.

國家統計局數據顯示，2024年前9個月，國內消費品零售額成長3.8%。身為業界龍頭，我們實現了12.3%的成長速度，展現了更強的業務韌性。所以我們對名創優品2025年在中國的健康成長感到樂觀。前三季度，我們在中國淨新增門市 324 家，保持穩定擴張步伐，實現全年淨新店 350 至 450 家的目標，其中 60% 的新店位於一二線城市，這告訴我們我們在中國仍有大量尚未開發的門市擴張市場。前三季同店銷售額下降中個位數，交易金額較去年同期小幅成長，其中交易量下降個位數。高線城市的同店表現優於低線城市。

In the near future, we're going to have refined management of our IP-centric product, making sure IP-centric interest-based consumption strategy of our business and continue to further improve the sales efficiency. The IP consumer goods market is a trillion-level market with great potential for MINISO's IP strategy. According to global licensing report, in 2023, the top 10 global IP licenses accounted for nearly 70% of the global IP retail sales where the top 20 licenses represent more than 80% of that, demonstrating a very strong concentration effect. Over the past few years, MINISO has achieved a significant success in IP. We have collaborated with more than 150 IPs globally. We have partnered with 6 of the world's top 10 IP licensors and the 9 of the top 20.

未來，我們將對以IP為中心的產品進行精細化管理，確保業務以IP為中心的興趣消費策略，持續進一步提升銷售效率。IP消費品市場是兆級市場，對於名創優品的IP策略來說潛力巨大。根據《全球許可報告》，2023年，全球前10名的IP許可佔全球IP零售額的近70%，其中前20名的許可佔比超過80%，集中效應非常強。過去幾年，名創優品在智慧財產權領域取得了巨大的成功。我們已與全球 150 多個 IP 合作。我們與全球排名前 10 名的智慧財產權授權者中的 6 家以及排名前 20 名的智慧財產權授權者中的 9 家建立了合作夥伴關係。

Moving forward, we will forge deep bonds with those leading global IP licensors, leveraging our global store network, design capacity and the supply chain advantage to launch new products. We have already begun the deep collaboration with Disney's and Sanrio on the important product innovation category. We also worked with Harry Potter IP, bring new inspirations to MINISO's product design style, accumulating experience in developing new SKU categories, but also continue to stimulate MINISO's potential for future collaboration with more diversified IP skills. We also improved product strength, striving to unlock the potential of interest-based consumption through innovative store formats. The seven-layer store metric strategy announced at our brand upgrading conference on October 29 is being implemented systematically.

展望未來，我們將與全球領先的IP授權商建立深厚的聯繫，利用我們的全球門市網路、設計能力和供應鏈優勢推出新產品。我們已經開始與迪士尼、三麗鷗在重要的產品創新類別上進行深度合作。我們也與哈利波特IP合作，為名創優品的產品設計風格帶來新的靈感，累積開發新SKU品類的經驗，同時也以更多元化的IP技能不斷激發名創優品未來的合作潛力。提升產品力，透過創新門市業態，釋放興趣消費潛力。10月29日品牌升級大會上發表的七層門市指標策略正在系統中實施。

We're going to have the IP generalization and categorize the generalization. The IP land store represent our IP generalization format. In August, our first MINISO LAND opened in Nanjing Road, Tianjin, achieving nearly RMB5 million in sales in its first month, Shanghai IP land store opened in October. So IP products accounted to 70% of the sales during its soft opening months. We hope we not only provide the experience, but also exclusive IT products, enhancing shopping uniqueness.

我們將對 IP 進行概括並對概括進行分類。IP土地儲存代表了我們的IP泛化格式。8月，首家名創優品LAND在天津南京路開業，首月銷售額近500萬元，上海IP Land店於10月開業。因此，IP 產品佔試營運幾個月銷售額的 70%。我們希望不僅提供體驗，還提供專屬的IT產品，增強購物的獨特性。

For category generalization, same-store are our key format. MINISO will develop a series of 800 to 600 category same-stores, focusing on four major categories: plush toys, blind boxes, pads and ACG, targeting young consumers and emerging consumption trends.

對於品類概括，同店是我們的關鍵格式。名創優品將開發800至600個品類同店系列，聚焦毛絨玩具、盲盒、墊子、二次元四大品類，瞄準年輕消費者和新興消費趨勢。

The first same-store that opened in Tape Square in Chongqing in December has become a landmark destination for the fresh toy fans. And you can also see that our sales first scrubbing also continued to be improved. Going forward, MINISO will combine product differentiation with store format differentiation using different store formats to meet consumer variety needs, bring more joy to the global consumers. I mean next, let's talk about overseas business.

12月，首家同店在重慶膠帶廣場開業，成為新玩具迷的地標。而且大家也可以看到我們的銷售第一擦洗也持續提升。未來，名創優品將把產品差異化與業態差異化結合起來，用不同的業態滿足消費者多樣化的需求，為全球消費者帶來更多歡樂。我的意思是接下來我們來談談海外業務。

In the first three quarters of 2024, overseas revenue exceeds RMB4.5 billion, representing YoY growth of 41%. And especially for direct-operated markets grew by 64%. Distributor market increased by 22%. GMV reached RMB9.7 billion in the first three quarters, grew by 31%. The directly operated market showing 56% growth. Distributor market grew by 22% on a comparable basis.

2024年前三季度，海外收入超過人民幣45億元，較去年同期成長41%。尤其是直營市場成長了 64%。分銷商市場成長了22%。前三季GMV達97億元，成長31%。直營市場成長56%。分銷商市場較去年同期成長 22%。

IP strategy continued to have a notable growth. The IP product accounted for over 40% of the overseas market sales in first three quarters, sales revenue growing by nearly 85% on YoY basis. In the first three quarters, we see very good growth. The result is quite impressive, net addition of more than 449 stores. Directly operated markets contributed to 67% of the net new stores, primarily from the United States or Indonesia.

知識產權策略持續顯著成長。IP產品前三季海外市場銷售額佔比超過40%，銷售收入較去年同期成長近85%。前三季我們看到成長非常好。結果相當令人印象深刻，淨增門市超過 449 家。直營市場佔淨新店的 67%，主要來自美國或印尼。

We see the total net new stores for this year will reach 650 to 700, exceeding our previous forecast. Same-store growth in overseas market showed a high single-digit growth number. We are working to keep a flexible store operation model introducing franchise store in direct operated market to -- for leverage expansion. We're deepening the involvement in the distributor markets to better guide the store openings and operations, notably sticking, Italy ranked among the top 20 overseas markets in Europe in 2023. By 2024, we have four major European markets, UK, Italy, France, and Spain, showing rapid development.

我們預計今年淨新店總數將達到 650 至 700 家，超出我們先前的預測。海外市場同店成長呈現較高個位數成長數字。我們正在努力保持靈活的門市營運模式，在直營市場引入加盟店，以實現槓桿擴張。我們正在深化對經銷商市場的參與，以更好地指導開店和運營，特別是義大利將在2023年躋身歐洲前20大海外市場。到2024年，我們擁有英國、義大利、法國、西班牙四大歐洲市場，呈現快速發展態勢。

Those are all because of our deep guidance to the distributors to adjust the inventories and the store operations, improving efficiency and profits. In the near future, we aim to increase consumer stickiness in overseas market through continuous optimization membership system, in-depth consumer research, like Indonesia and the US market, as an example, member consumption contribution grew by 97% and 244%, respectively, significantly outpacing membership growth in both regions. We will further develop by localized product and adapt a store operation strategy to local market, realizing MINISO from China joy to the world.

這些都是因為我們深入指導經銷商調整庫存和門市運營，提高效率和利潤。近期，我們的目標是透過不斷優化會員體系，深入消費者研究，增加海外市場的消費者黏性，以印尼和美國市場為例，會員消費貢獻分別成長97%和244%，大大超過了這兩個區的會員成長速度。我們將進一步本土化產品發展，結合當地市場的門市營運策略，實現名創優品從中國歡樂走向世界。

Regarding the potential US tariff increase risk, we primarily view this as an industry-wide impact. Compared to other retailers, who mainly rely on buyers sourced merchandise, our products are predominantly MINISO private brands. And through our IP collective store model, we maintain differentiation from other retailers, giving us stronger pricing power to offset potential cost increase. Nevertheless, we take the following measures to mitigate potential risks.

對於美國潛在的關稅上調風險，我們主要將其視為對全產業的影響。與其他主要依賴買家採購商品的零售商相比，我們的產品主要是名創優品自有品牌。透過我們的IP集體店模式，我們維持了與其他零售商的差異化，使我們擁有更強的定價能力來抵消潛在的成本增加。儘管如此，我們仍採取以下措施來降低潛在風險。

Increasing local sourcing ratio in US market, now about 30% of the products being sourced from overseas supply chain, establishing our backup overseas supply chain. We actively identify alternatives in South Asia, Japan, Korea and within the US, expecting to cover an additional 50% of the US product category. We have the capacity to source over 80% of the products for US market over supply chain.

提高美國市場本地採購比例，目前約30%的產品來自海外供應鏈，建立了我們的海外後備供應鏈。我們積極在南亞、日本、韓國和美國尋找替代品，預計將涵蓋美國產品類別的另外 50%。我們有能力透過供應鏈為美國市場採購 80% 以上的產品。

We optimize our inventory management strategies. Internally, we have a dedicated workforce to regularly assess global trade policy impact on our supply chain and be able to formulate responsive measures. By having a diversified supply chain, we will be able to further improve inventory management, continue to strengthen our global competitiveness.

我們優化庫存管理策略。在內部，我們擁有一支專門的員工隊伍，定期評估全球貿易政策對我們供應鏈的影響，並能夠制定應對措施。透過擁有多元化的供應鏈，我們將能夠進一步改善庫存管理，持續增強我們的全球競爭力。

Let me also talk about the TOP TOY. In first three quarters, TOP TOY revenue grew by 43% on YoY, same-store sales grew by 5%. TOP TOY added 86 new stores, steadily progressing the annual target of 100 stores. In Q3 of 2024, TOP TOY's self-developed products continued to increase. For example, a pilot of TOP TOY shop-in-shop in MINISO's IP Land store in Indonesia opened the first overseas store in Thailand.

我還要談TOP TOY。前三季度，TOP TOY營收年增43%，同店銷售額成長5%。TOP TOY新增門市86家，穩步推進年度100家門市目標。2024年Q3，TOP TOY自主研發產品持續增加。例如，TOP TOY店中店試行在名創優品印尼IP Land店，在泰國開設了第一家海外店。

And because of young and -- demographic structure, rapid economic development, young people become the target consumer of TOP TOYS. We believe by deep dive into the Southeast Asia market, TOP TOY can achieve rapid growth, establish a solid foundation for global expansion. We always believe off-line retail has unlimited potential. Chinese brands has great opportunity ahead. They key is for innovation and returning to the retail fundamentals, focusing on consumer, bring the good service and product to consumer.

而由於年輕化－人口結構、經濟快速發展，年輕人成為TOP TOYS的目標消費者。我們相信，透過深耕東南亞市場，TOP TOY能夠快速成長，為全球擴張奠定堅實的基礎。我們始終相信線下零售潛力無限。中國品牌面臨巨大的機會。他們的關鍵是創新，回歸零售本質，以消費者為中心，把好的服務和產品帶給消費者。

More and more Chinese brands have started to showcase its great advantage. All the brands are running forward, breaking through and advancing. MINISO adhere to the long-term strategy. We are committed to steadily improve our product and service, contributing to the rise of the Chinese brands.

越來越多的中國品牌開始展現其巨大優勢。各個品牌都在奔跑、突破、前進。名創優品堅持長期策略。我們致力於不斷提升產品和服務，為中國品牌的崛起貢獻力量。

That concludes my remarks. Coming next, I will have Eason to present you the financials, please.

我的發言到此結束。接下來，我將請 Eason 向您介紹財務狀況。

Thank you, Mr. Ye. Welcome, everyone, to our meeting. Coming next, let me just go through MINISO Group's financial data in the first nine months of 2024. Please note, unless otherwise stated, all figures are in RMB.

謝謝葉先生。歡迎大家參加我們的會議。下面我就來簡單盤點一下名創優品2024年前九個月的財務數據。請注意，除非另有說明，所有數字均以人民幣為單位。

I will also mention some non-IFRS financial metrics that exclude stock-based compensation expenses. In the first nine months of 2024, our total revenue reached RMB12.28 billion, grew by 23% on YoY basis. According to the forecast of the year, we are progressing towards our target. Average store count increased by 90% with comparable same-store sales grew by a low single-digit number. Revenue from China region reached RMB7.74 billion, grew by 40% on YoY basis.

我也會提到一些不包括股票薪酬費用的非國際財務報告準則財務指標。2024年前9個月，我們的總收入達到人民幣122.8億元，年增23%。根據今年的預測，我們正在朝著我們的目標前進。平均商店數量增加了 90%，而同店可比銷售額則實現了較低的個位數成長。中國區收入達人民幣77.4億元，較去年成長40%。

Within this, MINISO brand China revenue was RMB7.03 billion, grew by 12%. TOP TOY brand revenue was RMB700 million, grew by 43% on YoY basis. Overseas revenue reached RMB4.54 billion, grew by 41%. Within this, revenue from directly operated overseas market was RMB2.45 billion, up by 64%. Distributor market was RMB2.1 billion, up by 22%.

其中，名創優品品牌中國區營收為人民幣70.3億元，成長12%。TOP TOY品牌營收為人民幣7億元，年增43%。海外收入達人民幣45.4億元，成長41%。其中，直營海外市場收入24.5億元，成長64%。分銷市場規模21億元，成長22%。

Taking a look at the revenue structure. In the first nine months, overseas revenue accounted for 37% of our total group revenue, where in the same period of 2023, the number used to be 32%. The contribution from directly upgraded overseas market used to be 50% last year, but now it's already 20%. The change in the revenue structure is the key driver why we have a record high GP margin, which has also resulted in the operating profits being more concentrated to the second half of this year. Regarding the GP margin, in the first nine months of this year, GP margin grew by 3.7 percentage points, reaching 44.1%.

看看收入結構。前九個月，海外收入佔集團總收入的37%，而2023年同期這一數字為32%。去年直接升級的海外市場貢獻率是50%，現在已經達到20%。收入結構的變化是我們毛利率創歷史新高的關鍵驅動因素，這也導致營業利潤更加集中到今年下半年。毛利率方面，今年前9個月，毛利率成長3.7個百分點，達44.1%。

Besides the adjustment in our revenue structure, the improvement also benefited from the IP strategy, which improved the GP margin for all business segments, especially the overseas operations and the TOP TOY GP margin. They all improved by a high single-digit increase. Looking in the near future with more overseas revenue and IP sales, our GP margin will continue to trend up. However, as has been mentioned by Mr. Ye, we will continue to uphold our value for the price to performance product.

除了收入結構的調整外，還得益於IP策略，提高了各業務板塊的毛利率，特別是海外業務和TOP TOY的毛利率。它們都實現了高個位數的成長。展望不久的將來，隨著海外收入和IP銷售的增加，我們的毛利率將繼續呈上升趨勢。然而，正如葉先生所提到的，我們將繼續堅持我們的性價比產品的價值。

In the first nine months of 2024, combining selling and administrative expenses increased by 54% and selling expenses up by 63%, administrative expenses up by 28%. Selling and administrative expenses accounted for 25% of the revenue, 5% higher than the same period of last year. Over 60% of those expenses increase was related to the newly opened directly operated stores. As previously communicated, our current investment in directly operated stores aimed at capturing more sales opportunities to ensure our future business success, particularly in strategic overseas market like the US. At the end of September, we had 422 directly operated stores in overseas markets, double the number from the same period of last year.

2024 年頭 9 個月，銷售和管理費用合計成長 54%，銷售費用成長 63%，管理費用成長 28%。銷售及管理費用佔營收的25%，較去年同期上升5個百分點。其中超過60%的費用成長與新開的直營店有關。正如先前所傳達的，我們目前對直營店的投資旨在捕捉更多銷售機會，以確保我們未來的業務成功，特別是在美國等戰略性海外市場。截至9月底，我們在海外市場擁有422家直營店，較去年同期成長一倍。

In the first nine months of 2024, revenue from directly operated stores grew by 104%. Related to selling and distribution expenses, for example, like rent, depreciation, amortization and personnel costs, grew by 75%. We are implementing effective measures to improve the operational efficiency of those directly operated stores and control the cost. We believe -- with refined operation and strict expenses management, we believe the operating expenses ratio will be stabilized or trending down, and we also expect those new, open directly operated store will unlock great sales potential in the near future.

2024年前9個月，直營店營收成長104%。例如，與銷售和分銷相關的費用，如租金、折舊、攤提和人員成本，增加了 75%。我們正在採取有效措施提高直營店的營運效率並控製成本。我們相信，透過精細化營運和嚴格的費用管理，我們相信營業費用率將趨於穩定或呈下降趨勢，我們也預期新開的直營店將在不久的將來釋放出巨大的銷售潛力。

In the first nine months of this year, advertising and promotion expenses grew by 38%, still be 3% of the total revenue, the same as last year. Licensing fee grew by 38%, accelerated compared with H1 of this year. The key reasons because we do have a few IP reserves more and launched a new IP product service. The overall IP sales proportion notably increased, especially in overseas market. Logistics expenses increased by 52%, partially reflecting the higher shipping costs due to international shipping constraints in the first nine months of 2024. However, we have observed a clear trend down in the growth of these expenses.

今年前9個月，廣告及促銷費用成長38%，仍佔總營收的3%，與去年持平。授權費成長38%，較今年上半年加快。關鍵原因是因為我們確實有一些IP儲備比較多，並且推出了新的IP產品服務。整體IP銷售佔比顯著提升，尤其是海外市場。物流費用增加了 52%，部分反映了 2024 年前 9 個月國際航運限制導致的運輸成本上漲。然而，我們觀察到這些費用的成長有明顯的下降趨勢。

Regarding the profitability, in the first nine months of 2024, the adjusted operating profit grew by 60%. And then adjusted operating profit margin was close to 20%. Adjusted net profit margin was RMB1.93 billion, up by 40%. Adjusted net profit margin was 50.7%, and we also maintain a relatively faster growth for our directed sales model

獲利能力方面，2024年前9個月，調整後營業利益成長60%。隨後調整後的營業利益率接近20%。調整後淨利率為人民幣19.3億元，成長40%。調整後淨利率為50.7%，定向銷售模式也維持較快成長

Adjusted EBITDA, earnings before interest, tax, depreciation and amortization, increased by 21% with an adjusted EBITDA margin of 25.3%. Adjusted basic and diluted earnings per ADS increased by 40.1% and 40.2%, respectively. Regarding the working capital, our channel inventory turnover remains efficient. As end of September 2024, 30% of the MINISO's brand inventory was located overseas. One year before, that number used to be 101%.

調整後 EBITDA（息稅折舊攤提前利潤）成長 21%，調整後 EBITDA 利潤率為 25.3%。調整後每股美國存託股基本收益和稀釋後收益分別成長 40.1% 和 40.2%。在營運資金方面，我們的通路庫存週轉保持高效率。截至2024年9月，名創優品30%的品牌庫存位於海外。一年前，這個數字曾經是 101%。

Inventory turnover days was 85 days; China market, 71 days, unchanged on YoY basis. MINISO brand overseas directly operated market turnover was 173 days, used to be 135 days last year. It's because we are advancing the stocking to address potential tariff risks and also accelerated store openings. However, the average inventory level per overseas store decreased on YoY basis. Structurally speaking, inventory aged over 180 days accounted for 12% of our total inventory. Going forward, we will further optimize our overseas inventory management strategy to improve the turnover efficiency, reduce risk.

存貨週轉天數為85天；中國市場，71 天，與去年同期持平。名創優品海外直營市場成交量為173天，去年為135天。這是因為我們正在提前備貨以應對潛在的關稅風險，同時也加快了開店速度。然而，海外門市平均庫存水準較去年同期下降。從結構上看，180天以上庫存佔總庫存的12%。未來，我們將進一步優化海外庫存管理策略，提高週轉效率，並降低風險。

Regarding the capital allocation, we will also maintain a dividend payout ratio of no less than 50% in the coming period. Our capital allocation strategy will also balance rapid business growth with our commitment to delivering stable and predictable returns to our shareholders. By the end of September, we have already distributed cash dividends exceeding RMB600 million. Year-to-date, the company has returned approximately RMB1.6 billion to the shareholders through dividends and share buybacks.

在資本配置方面，未來一段時間我們也將維持不低於50%的股利支付率。我們的資本配置策略也將平衡業務的快速成長與我們為股東提供穩定和可預測回報的承諾。截至9月底，我們已派發現金紅利超6億元。今年迄今，公司已透過股利和股票回購等方式向股東返還約人民幣16億元。

Starting from 2020, we have returned more than RMB3.7 billion to shareholders. In the first nine months of 2024, we generated operating cash flow of RMB2.03 billion; free cash flow, RMB1.47 billion. At the end of 2024, September, we maintained cash reserve of nearly RMB6.3 billion, including RMB1.72 billion in cash and cash equivalents, RMB4.23 billion in wealth management product recorded under other investment and restricted cash on the balance sheet around RMB340 million in deposits. The company's interest-bearing debt ratio remained lower than 1%, leaving ample room for our balance sheet.

2020年至今，我們已向股東回報超過37億元。2024年前9個月，我們產生經營現金流人民幣20.3億元；自由現金流14.7億元。截至 2024 年 9 月末，我們維持現金儲備近 63 億元，其中現金及現金等價物 17.2 億元，其他投資項下理財產品 42.3 億元，表內限制現金存款3.4億元。公司有息負債比率維持在1%以下，資產負債表空間充裕。

Last but not least, I also would like to share with you the latest progress of Yonghui transaction. The Yonghui acquisition requires satisfying the five preconditions to date. The transaction circular has received non-objection confirmation from the Hong Kong Stock Exchange. The Market Supervision and Administration Authority has completed a public notification period for the simplified merger filing. This means we have essentially completed two of the five preconditions. The overall progress is meeting our expectations. We anticipate the transaction will be completed in first half of 2025.

最後，我也想跟大家分享永輝交易的最新進展。收購永輝需要滿足迄今為止的五個先決條件。該交易通函已獲得香港聯交所的無異議確認。市場監督管理部門已完成簡易合併備案公示期。這意味著我們基本上已經完成了五個先決條件中的兩個。整體進展符合我們的預期。我們預計交易將於 2025 年上半年完成。

As previously communicated, after completion, MINISO Group will become the largest shareholder of Yonghui. Going forward, we will take investment by using equity method. We are positive about its future development. The current valuation is quite attractive.

據先前溝通，交易完成後，名創優品將成為永輝第一大股東。未來，我們將採用權益法進行投資。我們對其未來的發展持樂觀態度。目前的估值相當吸引人。

The investment will better leverage both-party supply chain and the channel integration advantage to create more value to Chinese consumers. We expect to finance at least 60% of the investment account through external borrowing, in other words, equals to RMB3.76 billion, allowing us to further optimize our capital structure and improve return on capital while maintaining sufficient cash reserves.

此次投資將更能發揮雙方供應鏈和通路整合優勢，為中國消費者創造更多價值。我們預計至少60%的投資帳戶將透過外部借款融資，即人民幣37.6億元，使我們能夠在保持充足的現金儲備的同時，進一步優化資本結構，提高資本回報率。

So all in all, our performance in the first nine months of 2024, again, demonstrate our strength and resilience of our business model, which also reflect our effective execution and the development potential for the IP strategy. Looking to the future, our full-year targets remain unchanged from the beginning of this year. Revenue growth would be 20% to 30% on YoY basis but adjusted net profit target was RMB2.8 billion.

總而言之，我們2024年前9個月的業績再次證明了我們業務模式的實力和韌性，也體現了我們智慧財產權策略的有效執行和發展潛力。展望未來，我們的全年目標與年初相比沒有改變。營收年增20%至30%，但調整後淨利目標為28億元人民幣。

I'm confident in achieving the full-year tasks. And I have every reason to remain positive about our future business development in 2024. Our financial strategy will continue to keep vigorous growth in budgeting cost of control capital allocation committed to achieving stable profit growth and healthy cash flow.

我對完成全年任務充滿信心。我完全有理由對 2024 年我們未來的業務發展保持樂觀。我們的財務策略將繼續保持強勁成長，控制資本配置的預算成本，致力於實現穩定的利潤成長和健康的現金流。

Okay, that's all for the prepared remarks. Moderator, we can now start the Q&A session.

好了，準備好的發言就到這裡了。主持人，現在我們可以開始問答環節了。

(Operator Instructions) Anne Ling.

（操作員指示）安妮凌。

Yes, great. I have a few questions. I'd like to ask about the Q4 outlook. At least now we see that in China, the market was not looking very well. So I'd like to ask you, in Q3 of this year, the performance also see same-store decline. And the growth is only a single-digit number. So how you're going to comment on the Q4 performance? What about the Double 11 sales festival? What the situation may look like? Would you mind to be more elaborative on Q4 updates? And what would be your growth opportunities in China market? That is my first question.

是的，太好了。我有幾個問題。我想問一下第四季的前景。至少現在我們看到在中國，市場看起來不太好。所以我想問一下，今年Q3，同店業績也出現下滑。而且成長僅為個位數。那麼您如何評價第四季的表現？雙11促銷節怎麼樣？情況可能是什麼樣的？您介意更詳細地介紹第四季的更新嗎？你們在中國市場的成長機會是什麼？這是我的第一個問題。

My second question. You did a very good job for overseas business that I'd like to ask you in your direct operated markets, how you're going to comment on the acceleration of the store expansion? For example, in US or in European countries, if there are any measures we're going to take in order to further grow our business in overseas market? I think you have already experienced the Black Friday. Then how you are going to comment on the sales in festival occasions? How it's going to contribute or drive your Q4 performance? Thank you

我的第二個問題。你們在海外業務做得非常好，我想問你們在直營市場上，你們對加快門市擴張有何評價？例如在美國或歐洲國家，我們是否會採取什麼措施來進一步發展我們在海外市場的業務？我想你已經經歷過黑色星期五了。那麼您如何評價節慶期間的銷售情況呢？它將如何貢獻或推動您第四季的業績？謝謝

Okay. Thank you. Thanks for your question. Let me just answer your question for the outlook of Q4. I will ask Mr. Ye to share with you our comments on the US market in 2025.

好的。謝謝。謝謝你的提問。我來回答一下你對第四季前景的疑問。請葉總跟大家分享我們對2025年美國市場的看法。

As has been mentioned by me, we are still very confident in accomplishing the target we set by the beginning of this year. In Q4, we believe our topline growth would be around 25% to 30%, within which the overseas market growth would be 45% to 50% growth, directly operated model going to be 70% to 75%, where for distributor market, it's going to grow by a 20% number, where for toy stores, we're going to have a 50% to 55% growth. Whether in China, the growth would be a low-teens number, including e-commerce.

正如我剛才提到的，我們對完成年初確定的目標還是很有信心的。第四季度，我們認為我們的營收成長將在25%至30%左右，其中海外市場成長將在45%至50%成長，直營模式將在70%至75%，其中經銷商市場將是將會成長20%，而對於玩具店來說，我們將會有50% 到55% 的成長。無論是在中國，成長都將是十幾位數，包括電子商務。

I'd like to emphasize again, even if after having Q3, we see a big pressure for the offline retail business. But I think for MINISO brand in China, we can still have a low-teens growth, which is achievable. That is also our guidance for Q4, where for store expansion in overseas market, altogether, we're going to have 650 to 700 stores. So in Q4, the overseas store expansion net growth will be 200, 250. For TOP TOY and in the previous three quarters, we have 86 new stores.

我想再次強調，即使經過第三季度，我們看到線下零售業務的壓力很大。但我認為對於名創優品品牌在中國來說，我們仍然可以實現低雙位數的成長，這是可以實現的。這也是我們對第四季的指導，海外市場的門市擴張，我們總共將擁有650至700家門市。所以第四季海外門市擴張淨成長將是200、250家。對於TOP TOY來說，在之前的三個季度裡，我們有86家新店。

For the full year, we managed to make it more than 100. What we can say for domestic China, we're going to have around 400 new stores in 2024. So for the full year, we are going to have 700 overseas new stores, 100 TOP TOYS and around 400 MINISO stores in China, altogether 1,200 new stores, where in China, we have on track performance of the store expansion, accelerated store growth in overseas countries.

全年我們的目標是超過 100 個。就中國國內而言，我們預計到 2024 年將開設約 400 家新店。所以全年我們預計海外新店700家，TOP TOYS 100家，中國名創優品約400家店，總共1200家新店，其中在中國，我們的門店擴張表現步入正軌，加快了門市增長。 。

For the profit, as I have already mentioned last year, our net profit target would be RMB2.8 billion, remain unchanged. Net profit will be highest in Q4, where for the guidance, we also would like to keep our net profit margin between 16% to 16.5%. In 2024, according to the guidance, we believe our growth will be accelerated compared with 2024. Our directly operated business is being divided for a while. It can help us to better control the cost and be more capable of the same-store growth.

利潤方面，我去年已經講過，我們的淨利目標是28億元，維持不變。第四季淨利潤將最高，作為指導，我們也希望將淨利潤率保持在 16% 至 16.5% 之間。2024年，根據指引，我們相信我們的成長將比2024年加快。我們的直營業務正在分拆一段時間。它可以幫助我們更好地控製成本，更有能力進行同店成長。

Your next question is regarding US and Europe, right? So Mr. Ye will take over the floor to answer your question.

您的下一個問題是關於美國和歐洲，對吧？那麼請葉先生來回答你的問題。

Okay. What's the question about European market?

好的。歐洲市場有什麼問題？

You know that I heard from your presentation, you hope you can have a better business development in Europe, taking UK as your base camp, right?

您知道我從您的演講中聽到，您希望以英國為大本營，在歐洲有更好的業務發展，對嗎？

Okay. Great.

好的。偉大的。

I'd like to know if there's any progress there.

我想知道這方面是否有任何進展。

Okay. Let's ask Mr. Ye to talk about the US market.

好的。我們請葉先生談談美國市場。

Where for US, the YTD growth is actually a mid-single-digit number, in line with our expectation. And the channel expansion is being accelerated. Those stores going to release great sales potential, especially in Q4, we're going to have more store expansion in US to take care of the best sales season. Well, for this year, in US stores, the OPM will continue to go up, as we have more revenue from US.

對美國來說，年初至今的成長其實是中等個位數，符合我們的預期。且通路拓展正在加速。這些商店將釋放巨大的銷售潛力，特別是在第四季度，我們將在美國進行更多的商店擴張，以應對最佳的銷售季節。嗯，今年，在美國商店，OPM 將繼續上升，因為我們來自美國的收入更多。

And we also adopt measures to improve the operational efficiency of our directly operated stores. We will continue to improve the operating leverage, improving the profit rate. We also organized a local management team control the cost on warehousing logistics, rents, and labor cost.

我們也採取措施提高直營店的營運效率。我們將繼續提高經營槓桿，提高利潤率。我們也組織了本地管理團隊控制倉儲物流、租金和人力成本。

I do believe with refined operation, the operational cost will be stabilized or even trending down. We have very strong confidence for our Q4 US profit and the profit for 2025.

我相信，透過精細化運營，營運成本會趨於穩定甚至下降。我們對美國第四季的利潤和 2025 年的利潤充滿信心。

You have any OPM target, Mr. Ye?

葉先生，您有什麼OPM目標嗎？

We don't have it yet. Well, let's talk about the UK. For UK, the same-store performance growth was 35%. We have already been effectively supporting the distributors to adjust their product and operationals.

我們還沒有。好吧，我們來談談英國。英國的同店業績成長了 35%。我們已經有效地支援經銷商調整他們的產品和營運。

We have already improved interior decorations of the UK stores, optimizing the consumer experience. And we also have some very popular IP products and SQL, and the APS has been greatly improved. And at the same time, attachment rate has been further improved. That is for UK market.

我們已經改善了英國門市的室內裝飾，優化了消費者體驗。而且我們還有一些非常流行的IP產品和SQL，APS也有了很大的提升。同時，附著率也進一步提高。那是針對英國市場的。

Wei Xiaopo, Citi.

韋小坡，花旗銀行。

I just have one question. That is a question I'd like to direct to Mr. Ye. Yonghui is indeed a transaction that has been spotlighted by the whole capital market. And especially, there are some transactions regarding the super-hyper business.

我只有一個問題。這是我想向葉先生提出的問題。永輝確實是一筆受到整個資本市場關注的交易。尤其是，有一些關於超超業務的交易。

And the announcement has been made for one to two months. I know you're also making research. In your opening remarks, you already shared with us some of the strategies of your operation. Would you like to elaborate on some executables? How are you going to improve the performance of Yonghui? Is there any concrete measures you have in place?

而且這個公告已經發布了一到兩個月了。我知道你也在做研究。在您的開場白中，您已經與我們分享了您的一些營運策略。您想詳細說明一些可執行檔嗎？您將如何提升永輝的業績？你們有什麼具體措施嗎？

A few points I can share with you, actually four points. First of all, the both sides, Yonghui and MINISO team have already started to talk and engage each other, and we also have a MINISO team to help Yonghui to further optimize their procurement cost. This is the first thing.

我可以跟大家分享幾點，其實是四點。首先，雙方、永輝和名創優良團隊已經開始對話和接觸，我們也有名創優團隊幫助永輝進一步優化他們的採購成本。這是第一件事。

The second thing, MINISO is supporting Yonghui to build a self-owned brand, improving the contribution from the cellphone brands to improve their GP margin. As I mentioned, in the near future, for super-hyper, the most important thing is to have a self-developed product. For example, like a Costco and Sam's Club, they all have great contribution from the self-made product. So that's the reason we're supporting Yonghui of building their self-brand product.

第二，名創優品支持永輝打造自主品牌，提升手機品牌毛利率的貢獻度。正如我所提到的，在不久的將來，對於超超來說，最重要的是擁有自主研發的產品。例如Costco、山姆會員店，他們的自製產品都有很大的貢獻。這就是我們支持永輝打造自有品牌產品的原因。

The third one is to optimize the product and service of the store, improving store operational efficiency to reduce the cost, for improving the human efficiency. After three months, we hope that we can improve the labor efficiency. This is indeed what we hope to make sure that each of the improvement a store need to make positive profit. If the pilot store can make a very good performance improvement, then we can ask the landlord of providing a concession on the rent.

第三是優化門市的產品服務，提高門市營運效率降低成本，提高人效。三個月後，我們希望能提高勞動效率。這確實是我們希望確保商店的每項改進都需要獲得正利潤的原因。如果試點店能夠做出很好的業績提升，那麼我們可以要求房東在租金上給予一定的優惠。

Nowadays, for the store, the highest cost is still the labor cost. So that's the reason we're going to follow the professional service to further improve the professional service efficiency. After two to three months, we can schedule more new people to new stores, improving the operational store -- efficiency of the store by having the skilled labor force.

如今，對門市來說，最高的成本仍然是人工成本。所以我們要遵守專業服務，進一步提升專業服務效率。兩到三個月後，我們可以安排更多的新人到新店，透過擁有熟練的勞動力來提高店面的營運效率——店面的效率。

Fourth point, resources concentration and also adjusting the store metrics. Just to keep -- shut down those profit losing stores, we'd like to stick to the high-quality development, only work on those well-performed stores, keeping an eye on the primary resources, the best primary location to open stores.

第四點，資源集中以及門市指標的調整。只是為了保留－關掉那些虧本的店，我們要堅持高品質發展，只做那些業績好的店，盯住原生資源，盯住最好的開店首選地段。

So for Yonghui, in the near future, or the adjusted store need to make positive money, we don't need so many numbers of the stores. Here now, for Yonghui, they have 790 stores. We're going to close those financially losing stores. For those, ones with severe financial losses, they're going to be turned off. We're going to keep an eye on those best performing Yonghui stores.

所以對於永輝來說，在不久的將來，或者調整後的門市需要獲利，我們不需要那麼多的門市。現在，永輝百貨擁有 790 家門市。我們將關閉那些陷入財務虧損的商店。對於那些遭受嚴重經濟損失的人來說，他們將被關閉。我們將關注那些表現最好的永輝門市。

Even if we have less stores, but the performance of each store has been further improved in the near future. If we only keep 400, 500 stores, if the efficiency has been good, then even the total output is better than the 100 low-performing stores. So I think those are the four measures we have regarding the procurement cost, labor efficiency, the metrics of the store to further improve Yonghui's future performance.

即使我們的門市較少，但近期每家店的業績都得到了進一步的提升。如果我們只保留400、500家店，如果效率一直不錯的話，那麼連總產量都比100家業績不好的店好。所以我認為這就是我們在採購成本、勞動效率、門市指標方面採取的四項措施，以進一步改善永輝未來的績效。

Mr. Ye, can I just summarize in this way? Both teams are already talking to each other. So financially speaking, right after the completion, the transaction has been completed, we're going to see the immediate performance of Yonghui on your balance sheet, right?

葉先生，我可以這樣總結一下嗎？兩支球隊已經在互相交談。所以從財務上來說，交易完成後，我們馬上就會在你的資產負債表上看到永輝的業績，對吧？

We have to complete the transaction, then to show you the performance. We're still in the early stage, and there are some transitional arrangements. You know that, especially for procurement for brands, it takes time for both parties to talk to each other. It's still time-consuming. We're still in the early stage, preliminary discussions, business alignment and the communication.

我們必須完成交易，然後向您展示業績。我們還處於早期階段，有一些過渡安排。要知道，尤其是品牌採購，雙方需要時間溝通。還是很花時間的。我們還處於早期階段，初步討論、業務協調和溝通。

We foresee in H1 of 2025, we will be able to complete this transaction. The sooner the better, then both parties will be able to have material cooperation on business.

我們預計在 2025 年上半年，我們將能夠完成這筆交易。越早越好，雙方就能在業務上進行實質合作。

Okay, great. Thank you, guys.

好的，太好了。謝謝你們，夥計們。

Next question coming from Goldman Sachs.

下一個問題來自高盛。

Thank you. Thanks for giving me the opportunity to raise a question. I'm (inaudible) from Goldman Sachs. I have two questions to you.

謝謝。感謝您給我機會提出問題。我（聽不清楚）來自高盛。我有兩個問題想問你。

The first question is regarding same-store performance in China. From Q4 to now, what will be the overall trend? What about the overall trend in 2025? You mentioned the channel is going to be a greater driver. Last month, when you had the brand strategy upgrading conference, you mentioned you're going to have the brand metrics and the store metrics. How you're going to see its future growth?

第一個問題是關於中國同店業績。從Q4到現在，整體趨勢會怎麼樣？2025年整體趨勢如何？您提到通路將成為更大的推動力。上個月，當您舉辦品牌策略升級會議時，您提到您將擁有品牌指標和商店指標。您如何看待其未來的成長？

The second part is regarding IP. What is the contribution from Harry Potter IP recently? In overseas and domestic markets, what would be your key IP in next year in your pipeline? And what would be your key strategy? Thank you.

第二部分是關於智慧財產權。哈利波特IP最近有何貢獻？在海外和國內市場，明年你們在研的重點IP有哪些？您的關鍵策略是什麼？謝謝。

Let me help to respond to the first question regarding the same-store performance. I will ask Mr. Ye to respond to your second question. For same-store performance, the overall trend because we used to have a high baseline in Q3 of 2023, in 2023, in the summer holiday, there's very strong demand for travel and the popular sales of Barbie IP.

我來回答第一個問題，關於同店業績的問題。我請葉先生回答你的第二個問題。對於同店業績來說，整體趨勢是因為我們以前在2023年Q3有一個很高的基線，2023年暑假的時候，旅遊需求非常旺盛，芭比IP的銷售也很火爆。

So in the first three quarters, indeed, the same-store sales has been pressured. ASP saw a slight increase, but the traffic has been reducing for 6%. Take a look at Q4 and still traffic being the key source of the pressure. According to our monitoring, our same-store performance is even better than other peers in the same industry. We'll look into the future.

所以前三季度，同店銷售確實受到了壓力。ASP 略有上升，但流量卻減少了 6%。看看第四季度，流量仍然是壓力的主要來源。根據我們的監測，我們的同店業績甚至優於同業其他同業。我們將展望未來。

As I have already shared with you, in the next five years, our revenue growth target already built the uncertainties of the macro environment and the uncertainties of the offline retail store into our forecast. In the near future, if consumption has been trending enough, we're going to be benefited for a higher growth. But even if the macro environment has not been improved a lot, our business model will still be full of resilience. We still have many other drivers to grow our same-store performance. We will continue to optimize our operationals and to further improve our target achieving performance.

正如我已經與大家分享的，未來五年我們的營收成長目標已經將宏觀環境的不確定性和離線零售店的不確定性納入了我們的預測中。在不久的將來，如果消費趨勢夠好，我們將受益於更高的成長。但即使宏觀環境沒有太大改善，我們的商業模式仍然充滿韌性。我們還有許多其他驅動力來提高同店業績。我們將繼續優化我們的營運並進一步提高我們的目標實現績效。

First of all, we're going to have refined management on IP allocation. For this year, in the higher-tier city, the same-store performance is better than the lower-tier cities. A big difference is because in higher-tier city, the ASP see a mid-single-digit number improvement compared with last year because there are more IP allocation in higher-tier cities. So IP-based strategy and interest-based consumption be a key driver for our future performance. In the near future, we'll make IP product allocation more refined and more tagged placing IP product to those stores with interest-based consumption continue to improve the sales efficiency.

首先，我們要對IP分配進行精細化管理。今年，在一線城市，同店業績優於低線城市。一個很大的差異是，在一線城市，由於一線城市有更多的 IP 分配，ASP 與去年相比出現了中個位數的成長。因此，基於IP的策略和基於興趣的消費將成為我們未來業績的關鍵驅動力。近期，我們將把IP產品配置更加精細、標籤化，將IP產品投放到興趣消費的門市，持續提升銷售效率。

My second point, that is regarding the key categories we have, especially recently, we keep an eye on the millet economy. We take ACG as very important categories to go for. We see the great momentum of ACG. We're working with some very strong ACG IP in dedicated store and have ACG in spatial areas. For example, we have Identity V Halloween series in October of this year, with great positive feedback.

我的第二點，就是關於我們重點品類，特別是最近我們關注小米經濟。我們把二次元當作非常重要的品類去追求。我們看到了ACG的巨大動能。我們正在與一些非常強大的二次元IP在專賣店合作，並且在太空領域擁有二次元。例如我們今年10月推出的《第五人格》萬聖節系列，得到了很好的正面回饋。

The selling rate for Shanghai number one store reached 93% in Q3 of 2024, and we have 300 new stores with ACG dedicated for space. The sales of the ACG product increased by 50% on months -- quarter over quarter. And in December, we're going to have ACG dedicated space of more than 100 square meters in Yonghui store in Chengdu providing the large number of popular ACG IPs and check-in installations.

2024年第三季度，上海第一店的銷售率達到93%，我們有300家新店，ACG專門用於空間。ACG 產品的銷售額較上季成長了 50%。12月，我們將在成都永輝店設立100多平方公尺的ACG專用空間，提供大量熱門ACG IP和簽到安裝。

Regarding the IP reserves, we have already worked with some Japanese Manga IP for licensing cooperation. And in the near future, we're going to have more derivatives, merchandise by having the odd commissions and also the derivative creatives to create differentiated products. The flash stores and also same-stores, this very interesting place will also be provided to improve interactive experience. We're also going to work with Bandai to launch more genuine Japanese gaming peripherals and merchandise to provide a very immersive ACG experience to more users.

在IP儲備方面，我們已經和一些日本漫畫IP進行了授權合作。在不久的將來，我們將會有更多的衍生性商品、透過零星佣金產生的商品，以及創造差異化產品的衍生創意。快閃店和同店，這個非常有趣的地方也會提供，以提高互動體驗。我們也將與萬代合作推出更多正版日本遊戲週邊和商品，為更多用戶提供非常身臨其境的二次元體驗。

But let me just tell you, talent is a key. In a frontier city representing city culture in China, we do have a seasoned IP operational team with great talent to solidify our bases there. Same-store performance has always been grown by O2O contribution. We say our O2O business was still developing very fast. In Q -- past three quarters, it was growing by 80%. With our brand power, we will continue to strengthen that. We're going to reach more customers through the omnichannel rather than from the offline stores for sales. That can also help us to improve the same-store performance.

但我要告訴你，天賦是關鍵。在中國這樣一個代表城市文化的前沿城市，我們確實擁有一支經驗豐富、人才濟濟的IP營運團隊，可以夯實我們的根基。同店業績的成長始終仰賴O2O的貢獻。我們說我們的O2O業務發展還是很快的。在過去的三個季度裡，這一數字成長了 80%。憑藉我們的品牌力量，我們將繼續加強這一點。我們將透過全通路接觸更多的客戶，而不是透過線下商店進行銷售。這也可以幫助我們提升同店業績。

Mr. Ye please help to respond to the second question regarding Harry Potter.

請葉先生幫忙回答關於哈利波特的第二個問題。

Harry Potter co-branded product is our first pilot to have the omnichannel presence, which has already made some sales record in overseas market, very great response from the China market. But it seems that our inventory has been more efficient in overseas market. It actually helped to further improve our Q4 sales in overseas countries. In Indonesia, and we also continue to launch the IP. Its single month sales is already more than RMB30.85 million by leveraging a reported IP, which again take the new historical record.

哈利波特聯名產品是我們第一個嘗試全通路佈局的產品，在海外市場已經取得了一定的銷售記錄，在中國市場反應非常好。但看來我們的庫存在海外市場效率更高。這實際上有助於進一步提高我們第四季在海外國家的銷售額。在印度尼西亞，我們也不斷推出IP。憑藉已報道的IP，其單月銷售額已超過3085萬元，再次刷新歷史紀錄。

Harry Potter IP product sales accounted for 85% in MINISO land stores for 95%. And in Hong Kong, seven days of the Harry Potter IP-related product has already been more than HKD5 million. A single-day sales accounted for HKD850,000 or even in one month, the fresh store sales is already more than HKD12 million, where in Malaysia, a 30 square meter flash store, a single day's sales is RMB430,000. US is about to enter the Black Friday shopping season. We do see IP-rated products registered very good growth.

哈利波特IP產品銷售量佔85%，名創優品陸地門市佔95%。而在香港，哈利波特IP相關產品的7天銷售量已超過500萬港元。單日銷售額達85萬港元，甚至一個月的時間，生鮮店銷售額已超過1200萬港元，其中在馬來西亞，一家30平方米的快閃店，單日銷售額為43萬元人民幣。美國即將進入黑色星期五購物季。我們確實看到 IP 等級產品取得了非常好的成長。

We're going to have a more classic IP in our pipeline and ready to be launched next year. Besides Harry Potter, we also have IP resources. We have 150 IPs in our pipeline in the reserve. In the near future, you're going to see more IP product to emerge in the market. Now the cooperation is still in a confidential stage. When time comes, we're going to make the announcement. Overly speaking, for IP strategy, we work horizontally and vertically, we leverage more IP to improve the IP co-branded success. We're also vertically to improve the IP operation to further expand the revenue. Thank you.

我們將有一個更經典的 IP 在我們的管道中，並準備在明年推出。除了哈利波特，我們還有IP資源。我們在儲備中擁有 150 個 IP。在不久的將來，您將會看到更多的IP產品出現在市場上。目前合作仍處於保密階段。到時候我們會宣布這一消息。總的來說，對於IP策略，我們橫向和縱向工作，我們利用更多的IP來提高IP聯名的成功率。我們也縱向完善IP運營，進一步擴大收入。謝謝。

Next question coming from UBS.

下一個問題來自瑞銀。

My name is Samuel Wang from UBS. I have a question to you regarding TOP TOY overseas business. 2024 is the first year for TOP TOY to go for international expansion, you also have the TOP TOY store in Thailand. And you can notice, in Southeast Asia, the (inaudible) very popular. What about your operationals of TOP TOY in overseas market? What would be the future strategies you may have?

我叫 Samuel Wang，來自瑞銀集團。我有一個關於TOP TOY海外業務的問題想問您。 2024年是TOP TOY國際化擴張的元年，泰國也有TOP TOY專賣店。您可以注意到，在東南亞，（聽不清楚）非常受歡迎。TOP TOY在海外市場的營運狀況如何？您未來可能採取哪些策略？

That is a question regarding TOP TOY. I have another question. You mentioned about the horizontal and vertical corporation for IP. I'd like to ask a follow-up question. In your media press, you mentioned you're going to have the flagship toys and pack products, if there are any more details you can share with us.

這是一個關於TOP TOY的問題。我還有一個問題。您提到了知識產權的橫向和縱向公司。我想問一個後續問題。在你們的媒體報導中，你們提到你們將推出旗艦玩具和包裝產品，如果有更多細節可以與我們分享。

The third question, that is O2O business. This is indeed a very popular topic in the industry. You invested a few in the O2O in Q3. So what about the product profitability of O2O? What about this future prospects?

第三個問題，O2O業務。這確實是業界非常熱門的話題。您在第三季投資了一些O2O。那麼O2O的產品獲利能力又如何呢？這個未來前景如何？

Thank you, Samuel. Let me just try to answer the first two questions. The third question will be taken by Mr. Ye. Regarding TOP TOY international expansion, first of all, maybe one point has been not mentioned in our presentation.

謝謝你，塞繆爾。讓我試著回答前兩個問題。第三個問題由葉先生回答。關於TOP TOY的國際擴張，首先，可能有一點我們的演講中沒有提到。

For TOP TOY, the business, the trend is looking very good. I mentioned the top line growth, 43%, but it is worth mentioning it was making positive profit for four consecutive quarters. In the near future, TOP TOY is going to take a very prudent attitude. We're going to improve profitability, optimize product structure, improve the margin and the goal for international expansion. TOP TOY has a store-in-store in the Indonesia IP land.

對於 TOP TOY 業務來說，趨勢看起來非常好。我提到了營收成長 43%，但值得一提的是，它已經連續四個季度實現正利潤。未來一段時間，TOP TOY將會採取非常謹慎的態度。我們將提高獲利能力、優化產品結構、提高利潤率和國際化擴張的目標。TOP TOY在印尼IP樂園設有店中店。

And in Singapore, we also have some dedicated shelf for TOP TOY. Its first store has been opened in Thailand. In Southeast Asia market, the demographic is pretty young, economy is doing very well and with ever increasing consumption power, all those advantages takes TOP TOY as the first global expansion of having Southeast Asia market. I do believe with the Southeast Asia market further improvement, and TOP TOY is going to register a big growth to lay a solid foundation for global international development. As you mentioned about the plush and also the pad product, the same as ACG, they are also going to be the key categories we will keep an eye on for 2025.

在新加坡，我們也有一些專門存放 TOP TOY 的貨架。它的第一家商店已在泰國開業。東南亞市場，人口年輕化，經濟發展良好，消費能力不斷增強，這些優勢使得TOP TOY成為首個全球拓展東南亞市場的國家。相信隨著東南亞市場的進一步完善，TOP TOY一定會取得長足的成長，為全球國際化發展奠定堅實的基礎。正如您所提到的毛絨產品和墊子產品，與ACG一樣，它們也將是我們2025年重點關注的類別。

MINISO, and especially TOP TOY, have some exclusively licensed product with Sanrio. We did two patch of the product with very good sales results. The third question will be responded by Mr. Ye regarding Meituan warehouse store.

名創優品，尤其是 TOP TOY，擁有一些與三麗鷗獨家授權的產品。我們做了兩批該產品，銷售成績非常好。第三個問題，關於美團倉店，葉先生回答。

Meituan warehouse store is still in the fast development stage. It's a strategic department for our retail business. 24/7 warehouse stores can stand -- make us stand out in the differentiated development. It's very different from the Walmart or from Costco. You know that we have more faster consumables along with 40% of the daily necessaries and other fresh foods.

美團倉儲店仍處於快速發展階段。這是我們零售業務的策略部門。 24/7倉儲式門市能夠屹立不倒－使我們在差異化發展中脫穎而出。它與沃爾瑪或好市多有很大不同。你知道我們有更多更快的消耗品以及40%的生活必需品和其他生鮮食品。

Well, for Meituan, many of the stores are the white label grocery stores, so product quality has been inconsistent. So somewhat we would like to work with Meituan fresh purchase as a very good partners to work with to further improve the brand power. We're going to leverage our very strong supply chain and product power to continue to improve differentiations between the 24 superstores and regular stores to have a very refined product allocation.

那麼對美團來說，很多店都是白標雜貨店，所以產品品質一直不穩定。所以我們有點想和美團生鮮作為一個非常好的合作夥伴一起合作，進一步提升品牌力。我們將利用我們非常強大的供應鏈和產品力，繼續提高24家超市和普通商店的差異化，進行非常精細的產品配置。

We also continue to improve the transportation network, regular stores being located in the shopping malls, which is going to limit the business hours. But the superstore or the warehouse store by Meituan going to be a great complementary. So we will be able to realize the incremental growth.

我們也不斷地改善交通網絡，正規的商店都設在商場裡，這會限制營業時間。但美團的超市或倉儲店將是一個很好的補充。這樣我們就能夠實現增量成長。

Till now, Meituan warehouse store, its profitability and ROI also demonstrated our belief, and we're going to have more announcements when the business model will be more stable in the near future.

到目前為止，美團倉儲店的獲利能力和投資回報率也證明了我們的信念，當商業模式在不久的將來更加穩定時，我們將會有更多的公告。

Lucy Yu.

於露西.

I'm Lucy from Bank of America. I have two questions to you, Eason. You mentioned in Q4, in China, the expected growth would be a low-teens, still be accelerated compared with the mid and the high single-digit number in Q3 of this year. Do you believe you're going to have more growth on ASP or more traffic compared with Q3 of this year?

我是美國銀行的露西。我有兩個問題想問你，伊森。您在第四季度提到，在中國，預期成長將是低雙位數，但與今年第三季的中高個位數數字相比仍然有所加速。您認為與今年第三季相比，您的 ASP 或流量會有更多成長嗎？

My second question is regarding 2025. You mentioned growth would be faster than 2024. Is it revenue growth or profit growth or both?

我的第二個問題是關於2025年的。您提到成長將快於 2024 年。是營收成長還是利潤成長，還是兩者兼具？

The third question, for store expansion. If we take a look at 2024, store expansion in line with expectation in China, but overseas market go beyond your expectation. In the next two to three years, for that 900 to 1,100 store expansion plan, are you going to have more in overseas countries, but tend to be more conservative in China? Thank you.

第三個問題，店鋪擴張。如果我們看2024年，中國的門市擴張符合預期，但海外市場超出了你的預期。未來兩到三年，900到1100家門市的擴張計劃，是否會在海外增加更多，但在中國會比較保守？謝謝。

Thank you, Lucy. Q4 of this year or should I see in H2 of this year, the offline retail has been greatly challenged in China. Why should I say so? The reason is because in China, the full year would be a low-teens growth and high-teens in H1 and in H2 of this year, in Q3 and Q4. For the full year, we believe the growth would be a low-teens growth.

謝謝你，露西。今年第四季或今年下半年，中國的線下零售受到了極大的挑戰。我為什麼要這麼說呢？原因是在中國，全年將是低雙位數成長，而今年上半年和下半年、第三季和第四季將是高雙位數成長。就全年而言，我們認為成長將是低雙位數成長。

I have already mentioned, MINISO continuing to upgrade our brand. We provide such a guidance to the market, including the e-commerce business. Our low-teens growth include the e-commerce business. In China, for the full year, it's going to be a low-teens growth.

我已經提過了，名創優品持續進行品牌升級。我們給市場這樣的指導，包括電商業務。我們的低雙位數成長包括電子商務業務。在中國，全年成長將保持在十幾歲以下。

Well, for 2025, the guidance is going to be more clear by the beginning of 2025. We're still in the budgeting stage. But let me just tell you, we have every confidence to be so. We have many store expansion in overseas market, which lay a solid foundation for topline growth next year.

那麼，對於 2025 年，到 2025 年初，指導將會更加明確。我們仍處於預算階段。但我告訴你，我們完全有信心做到這一點。我們在海外市場拓展了許多門市，為明年的營收成長奠定了堅實的基礎。

Secondly, our US market is being well tracked, and the expenses control also is going to be more refined. In other words, we're going to control expenses better. In 2025, no matter for topline or bottom line, we're going to have a faster growth compared with 2024.

其次，我們美國市場正在跟踪，費用控制也會更加精細。換句話說，我們將更好地控制開支。2025年，無論是營收或淨利潤，與2024年相比，我們都會有更快的成長。

Thirdly, for store expansion, this is actually a unique point of MINISO. We have MINISO China, MINISO overseas. We have distributor markets and self-operated markets. We also have TOP TOY. So every year, we can dynamically adjust our store -- new store allocation in different markets. Thank you.

第三，對於門市拓展，這其實也是名創優品的獨特點。我們有名創優品中國，名創優品海外。我們有經銷商市場和自營市場。我們還有頂級玩具。所以每年我們都可以動態調整我們的店鋪——不同市場的新店分配。謝謝。

Next question is (inaudible) from Huatai Securities.

下一個問題是（聽不清楚）來自華泰證券。

I'm (inaudible) from Huatai Securities. Thanks for giving me the chance to raise a question. I have two questions.

我是華泰證券的（聽不清楚）。感謝您給我提出問題的機會。我有兩個問題。

The first question is regarding the US market. Your self-operated market was expanding very fast. In the near future, you may also have the retail partners to work with, right? Would you like to update us on the retail partner model? What about the progress now? If in the near future you have the self-operated model plus the retail partner model in US, how it's going to impact your profitability in the US?

第一個問題是關於美國市場。你們的自營市場擴張得非常快。在不久的將來，您可能還會有零售合作夥伴合作，對吧？您願意向我們介紹零售合作夥伴模式的最新情況嗎？現在進展如何？如果不久的將來你們在美國採用自營模式加上零售合作夥伴模式，這會對你們在美國的獲利能力產生怎樣的影響？

My second question, you mentioned about millet economy was developing very fast. But I think in the market, there are also some new players who started to be very aggressive for the channel expansion. How you're going to comment on the competition landscape and the competition pressure? Thank you.

第二個問題，你提到小米經濟發展很快。但我認為市場上也有一些新的參與者開始非常積極地進行通路擴張。您如何評估競爭格局與競爭壓力？謝謝。

Okay. Thank you. First question, that is a timeline for retail partners in US, till now, we don't have a timeline to share with you. But I can confirm with you for MINISO, we're still going to keep an asset-light business model no matter in China or in the overseas market. In the near future, we're going to take a very flexible store to operate our business. We can in some directly operated markets introduce third-party stores to improve our leverage, but internally, we'll still review our store expansion experience to optimize our strategy in 2025.

好的。謝謝。第一個問題，這是美國零售合作夥伴的時間表，到目前為止，我們還沒有與您分享的時間表。但我可以向名創優品確認一下，無論是在中國或海外市場，我們還是會保持輕資產的商業模式。在不久的將來，我們將採取非常靈活的商店來經營我們的業務。我們可以在一些直營市場引入第三方門市來提高我們的槓桿率，但在內部，我們仍然會回顧我們的門市擴張經驗，以優化我們2025年的策略。

We're going to make the due announcement when time comes, where from millet economy, it was a very popular concept recently. But I think no matter what MINISO would do, we will always be the most professional and dedicated one, especially for ACG, you have to be professional; otherwise, you're going to end up with a high price of the stocks. So no matter the IP partners or the talent building, I do believe MINISO has already enjoyed a great advantage. Well, for the more specifics, as I have already showed you, in 2025, every month, we're going to launch new products. We're going to have more elaborations next year. Thank you.

到時候我們會做出適當的宣布，從小米經濟來看，最近很流行一個概念。但我覺得無論名創優品做什麼，我們永遠是最專業、最專注的，尤其是ACG，你必須專業；否則，你的股票最終價格將會很高。所以無論是IP夥伴還是人才建設，我相信名創優品已經佔了很大的優勢。嗯，具體來說，正如我已經向大家展示的，到 2025 年，我們每個月都會推出新產品。明年我們將會有更多的闡述。謝謝。

Okay. Thank you.

好的。謝謝。

Ladies and gentlemen, here comes to the end of our earnings call. Thank you very much for your time. Let's meet next --.

女士們先生們，我們的財報電話會議到此結束。非常感謝您抽出時間。我們下期見面吧--.

Statements in English on this transcript were spoken by an interpreter present on the live call. The interpreter was provided by the company sponsoring this event.

本筆錄中的英語陳述是由現場通話中的口譯員說出的。口譯員由贊助本次活動的公司提供。