Nano Labs Ltd (NA) 2024 Q2 法說會逐字稿

Ladies and gentlemen, thank you for standing by.

女士們先生們，謝謝你們的支持。

Welcome to Nano Labs' first half of 2024 earnings conference call.

歡迎參加 Nano Labs 2024 年上半年收益電話會議。

(Operator Instructions) This conference is being recorded today, Wednesday, September 18, 2024.

（操作員說明）本次會議將於今天（2024 年 9 月 18 日星期三）錄製。

Joining us today from Nano Labs are the company's Chairman and Chief Executive Officer, Mr. Jianping Kong; and the company's Chief Financial Officer, Mr. Bing Chen.

今天加入我們的是來自 Nano Labs 的公司董事長兼執行長孔建平先生；以及公司財務長陳兵先生。

On our call today, Mr. Kong will give you an overview of the company's performance.

在我們今天的電話會議上，孔先生將為大家介紹公司的表現。

Mr. Chen will share the details of the company's financial results.

陳先生將分享公司財務表現的詳細資訊。

After that, we will conduct a question-and-answer session to take your questions.

之後，我們將進行問答環節，回答大家的問題。

Before we continue, I would like to remind you that some information discussed on this call will contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended and as defined in the US Private Securities Litigation Reform Act of 1995.

在我們繼續之前，我想提醒您，本次電話會議中討論的一些資訊將包含1934 年《證券交易法》第21E 條（經修訂和《美國私人證券訴訟改革法》中定義）含義內的前瞻性性陳述1995 年。

Such statements are based upon management's current expectations and current market and operating conditions and relate to events that involve known or unknown risks, uncertainties, and other factors.

此類聲明是基於管理層目前的預期以及當前的市場和營運狀況，並與涉及已知或未知風險、不確定性和其他因素的事件相關。

All of which are difficult to predict and many of which are beyond the company's control, which may cause the company's actual results, performance or achievements to differ materially from those in the forward-looking statements.

所有這些都難以預測，其中許多超出了公司的控制範圍，這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 or factors is included in the company's filings with the Securities and Exchange Commission.

有關這些和其他風險、不確定性或因素的更多資​​訊包含在該公司向美國證券交易委員會提交的文件中。

During today's call, Mr. Kong and Mr. Chen will deliver their remarks in Chinese, and the company's representative will provide corresponding English translations.

在今天的電話會議中，孔先生和陳先生將用中文發表講話，公司代表將提供相應的英文翻譯。

With that, I will now turn the call over to Mr. Kong, the company's Chairman and Chief Executive Officer.

現在我將把電話轉給公司董事長兼執行長孔先生。

Mr. Kong, please go ahead.

孔先生，請講。

(interpreted) Thank you, operator, and everyone, for joining Nano Labs' first half of 2024 earnings conference call today.

（翻譯）感謝業者和大家今天參加 Nano Labs 的 2024 年上半年收益電話會議。

On our call today, I will provide an overview of our recent development and our strategic initiatives in the future.

在今天的電話會議上，我將概述我們最近的發展和未來的策略舉措。

The first half of 2024 has clearly witnessed a recovery in the industry and the continuous emergence of new market opportunities.

2024年上半年，產業明顯復甦，新的市場機會不斷出現。

Amid this exciting bull market environment our company has been making substantial investments in the research and development of our upgraded Cuckoo Series products.

在這個令人興奮的多頭環境中，我們公司一直在研發升級版布穀鳥系列產品方面進行了大量投資。

In May 2024, we successfully commenced the mass production of Cuckoo 3.0 chip, which features significantly enhanced the performance compared to the Cuckoo 2.0 chip, setting a new global benchmark.

2024年5月，我們成功量產Cuckoo 3.0晶片，與Cuckoo 2.0晶片相比，性能大幅提升，樹立了全球新標竿。

This key development positions us to capitalize on new market opportunities progressively.

這一關鍵發展使我們能夠逐步利用新的市場機會。

Moreover, our company plans to launch a range of models equipped with the Cuckoo 3.0 chip for various application scenarios in the remainder of this year and the first half of next year, which is expected to drive significant growth in our sales.

此外，該公司計劃在今年剩餘時間和明年上半年推出一系列搭載Cuckoo 3.0晶片的機型，用於各種應用場景，預計將帶動公司銷量的大幅增長。

Furthermore, we are continuously innovating in packaging technology and IP to improve the efficiency of chip production, the development of promising AI computing, ZK computing, and other chips is also under way.

此外，我們在封裝技術和IP方面不斷創新，提高晶片生產效率，有前景的AI運算、ZK運算等晶片也在研發中。

Concurrently, our iPollo Metaverse’s photography studio service, a component of our Metaverse business suite is making consistent progress.

同時，我們的 iPollo Metaverse 攝影工作室服務（Metaverse 商務套件的組成部分）正在取得持續進展。

We have established profound collaborations with various institutions and organizations, which lays the groundwork for substantial growth potential in the future.

我們與各機構和組織建立了深入的合作，為未來巨大的成長潛力奠定了基礎。

We anticipate that through the combined persistence and efforts of the industry and ourselves, we will overcome existing bottlenecks and unlock new heights of success in the future.

我們期待，透過產業和我們自己的共同堅持和努力，未來我們將克服現有的瓶頸，解鎖成功的新高度。

Thank you for your support and trust.

感謝您的支持與信任。

Next, I will turn the call over to our Chief Financial Officer, Mr. Chen for a closer review of our financial results.

接下來，我將把電話轉給我們的財務長陳先生，以更仔細地審查我們的財務表現。

Mr. Chen, please go ahead.

陳先生，請講。

(interpreted) Thank you Mr. Kong.

（譯）謝謝孔先生。

Good morning, everyone.

大家早安。

On behalf of the management team, I will provide a brief financial overview of the first half of 2024.

我將代表管理團隊簡要介紹 2024 年上半年的財務概況。

In the first half of 2024, our net revenue was RMB24.74 million, USD3.47 million compared to RMB52.27 million in the same period last year.

2024年上半年，我們的淨收入為人民幣2,474萬元，合347萬美元，而去年同期為人民幣5,227萬元。

This decline was primarily due to the decreased sales of the iPollo V1 Series product.

這一下降主要是由於 iPollo V1 系列產品銷售下降所致。

However, revenue from our 3D printing products showed significant growth, increasing to RMB459,200 from RMB22,000.

然而，我們的3D列印產品收入卻顯著成長，從人民幣22,000元增至人民幣459,200元。

Cost of revenues for the first half of fiscal year 2024 were RMB24.71 million, USD3.47 million, compared to RMB115.2 million in the same period of 2023.

2024 財年上半年的收入成本為 2,471 萬元（347 萬美元），而 2023 年同期為 1.152 億元。

The decline was mainly due to the decrease in sales volume and the less inventory write-down recorded.

下降的主要原因是銷量下降以及庫存減記減少。

Total operating expenses for the first half of fiscal year 2024 decreased by 20.1% to RMB58.72 million, USD8.24 million, down from RMB73.50 million in the same period of 2023.

2024財年上半年總營業費用下降20.1%至5,872萬元（8,24萬美元），低於2023年同期的7,350萬元。

Selling and marketing expenses dropped by 54.4% to RMB4.33 million, USD0.61 million, compared to RMB9.50 million in the same period of 2023.

銷售和行銷費用下降 54.4%，至 433 萬元人民幣（61 萬美元），而 2023 年同期為 950 萬元。

This decrease was mainly due to reduced sales commissions and product shipping expenses.

這一下降主要是由於銷售佣金和產品運輸費用的減少。

General and administrative expenses decreased by 18% to RMB25.45 million, USD3.57 million for the first half of 2024, from RMB31.04 million for the same period of 2023.

2024年上半年一般及管理費用從2023年同期的人民幣3,104萬元下降18%至人民幣2,545萬元，即357萬美元。

The decrease in general and administrative expenses was primarily due to the decrease in office lease expenses mainly attributable to the relocation of the head office and the decrease in employee salary expenses as the number and salaries of general and administrative staff decreased.

一般及行政費用減少主要是由於總部搬遷導致辦公室租賃費用減少，以及由於一般及行政人員數量和工資減少而導致員工工資費用減少。

Research and development expenses decreased by 12.2% to RMB28.93 million, USD4.06 million for the first half of 2024, from RMB32.95 million for the same period of 2023.

2024年上半年研發費用為人民幣2,893萬元，即406萬美元，較2023年同期的人民幣3,295萬元下降12.2%。

The decrease in research and development expenses was primarily due to the decrease in salary expenses.

研發費用減少主要是因為薪資費用減少所致。

Loss from operations was RMB58.69 million, USD8.24 million, for the first half of 2024, compared with loss from operations of RMB136.4 million for the same period of 2023.

2024年上半年營運虧損為人民幣5,869萬元（824萬美元），而2023年同期營運虧損為人民幣1.364億元。

Net loss was RMB59.15 million, USD8.30 million, for the first half of 2024, compared to a net loss of RMB134.3 million in the same period of 2023.

2024年上半年淨虧損為人民幣5,915萬元（830萬美元），而2023年同期淨虧損為人民幣1.343億元。

Basic and diluted loss per share was RMB0.85, USD0.12, for the first half of 2024, compared to basic and diluted loss per share of RMB2.41 in the same period of 2023.

2024 年上半年，每股基本和稀釋虧損為人民幣 0.85 元（0.12 美元），而 2023 年同期每股基本和稀釋虧損為人民幣 2.41 元。

As of June 30, 2024, the company had cash and cash equivalents of RMB23.51 million, USD3.3 million, compared with RMB48.16 million as of December 31, 2023.

截至2024年6月30日，該公司的現金及現金等價物為人民幣2,351萬元（330萬美元），而截至2023年12月31日為人民幣4,816萬元。

We remain confident in our business strategy and ability to execute it.

我們對我們的業務策略和執行能力仍然充滿信心。

We will continue to leverage the strength of our technology to capture development opportunity, drive long-term growth and create additional value for our shareholders.

我們將繼續利用技術優勢，抓住發展機遇，推動長期成長，為股東創造額外價值。

Now I would like to turn the call over to the operator for questions-and-answer session.

現在我想將電話轉接給接線員進行問答。

(Operator Instructions) [Oscar Tracey], private investor.

（操作員說明）[Oscar Tracey]，私人投資者。

Thank you for your introduction.

謝謝你的介紹。

So I'm just wondering, could you provide some more details about your new iterative products?

所以我只是想知道，您能否提供有關您的新迭代產品的更多詳細資訊？

Thank you.

謝謝。

(interpreted) Our company's newly launched Cuckoo 3.0 chip is an upgraded iteration of the original Cuckoo 2.

（解讀）我公司新推出的Cuckoo 3.0晶片是原Cuckoo 2的升級迭代。

With significantly improved performance, the Cuckoo 3 has reached a leading position globally.

Cuckoo 3性能顯著提升，達到全球領先地位。

Machines equipped with varying quantities of these chips can be used not only in data center environments but also independently in-home or consumer settings, offering flexibility for various user scenarios.

配備不同數量這些晶片的機器不僅可以在資料中心環境中使用，還可以獨立地在家庭或消費者環境中使用，為各種使用者場景提供靈活性。

[Arana Radnor], private investor.

[Arana Radnor]，私人投資者。

Hi.

你好。

Thank you.

謝謝。

What are the company's expectations for the market and financial figures in the second half of this year?

公司對今年下半年的市場和財務數據有何預期？

(interpreted) Our company plans to launch our complete machines equipped with Cuckoo 3 chip in the second half of the year, which is expected to drive an increase in sales of V Series products.

（解讀）我司計畫下半年推出搭載Cuckoo 3晶片的整機，預計將帶動V系列產品銷售的成長。

Additionally, we are gradually introducing new product lines to the market, and we anticipate the sales volume to grow over time.

此外，我們正在逐步向市場推出新產品線，我們預計銷售量將隨著時間的推移而成長。

[Clara Walton], private investor.

[克拉拉沃爾頓]，私人投資者。

Great.

偉大的。

Thank you.

謝謝。

I have a question.

我有一個問題。

What are the competitivity advantage of the recent launched Cuckoo 3.0?

最近推出的Cuckoo 3.0有哪些競爭優勢？

Does it have relevance to the recent AI trends?

它與最近的人工智慧趨勢相關嗎？

Thank you.

謝謝。

(interpreted) The Cuckoo 3.0 chip offers the highest computing power and the lowest power efficiency among our current products.

（解讀）Cuckoo 3.0晶片在我們目前的產品中提供了最高的運算能力和最低的電源效率。

Our company has developed multiple models to cater to different application scenarios.

我公司開發了多種型號以滿足不同的應用場景。

Regarding AI, the Cuckoo 3 features are high-bandwidth multichannel, 3D DRAM with a dedicated distributed on-chip network to enable efficient data exchange between computing and storage units, which is a key technology in AI chips.

在AI方面，Cuckoo 3的特點是高頻寬多通道3D DRAM，具有專用的分散式片上網絡，可實現運算和儲存單元之間的高效資料交換，這是AI晶片的關鍵技術。

Additionally, the chip specialize in low-voltage circuit designed to reduce power consumption, along with corresponding timing sign-off processes, provide a comparative advantage for AI chip design.

此外，該晶片專門設計了低壓電路以降低功耗，以及相應的時序簽核流程，為AI晶片設計提供了比較優勢。

Armstrong Woo, private investor.

阿姆斯壯·吳（Armstrong Woo），私人投資者。

Hi.

你好。

Thank you.

謝謝。

My question is, will the company introduce any new product lines that could support its business revenue in the future?

我的問題是，公司未來是否會推出新的產品線來支撐其業務收入？

Thank you.

謝謝。

(interpreted) As mentioned before, our company plans to launch complete machines equipped with Cuckoo3.0 chips in the second half of this year and the first half of next year, which is expected to significantly boost sales.

（解讀）前面提到，我司計劃在今年下半年和明年上半年推出搭載Cuckoo3.0晶片的整機，預計將大幅拉動銷售量。

Additionally, our photo studio services will contribute to the company's overall revenue.

此外，我們的照相館服務將為公司的整體收入做出貢獻。

We are also exploring new opportunities in fields such as AI computing to drive our future revenue growth.

我們也在人工智慧運算等領域探索新的機會，以推動我們未來的收入成長。

And that concludes the question-and-answer session.

問答環節到此結束。

Let me turn the call over to Mr. Chen for closing remarks.

我現在請陳先生致閉幕詞。

(interpreted) Thank you very much for joining this conference call.

（翻譯）非常感謝您參加本次電話會議。

If you have any questions, please contact us to email at ir@nano.cn, or reach our IR counsel, Ascent Investor Relations at investors@ascent-ir.com. Management will respond to your questions as soon as possible.

如果您有任何疑問，請發送電子郵件至 ir@nano.cn 聯絡我們，或聯絡我們的投資者關係顧問 Ascent 投資者關係部 Investors@ascent-ir.com。管理層將盡快回覆您的問題。

We appreciate your interest and support in Nano Labs and look forward to speaking with you again next time.

我們感謝您對 Nano Labs 的興趣和支持，並期待下次與您再次交談。

Thank you again for attending Nano Labs' first half of 2024 earnings conference call.

再次感謝您參加 Nano Labs 2024 年上半年收益電話會議。

This concludes our call today, and we thank you all for listening in.

我們今天的電話會議到此結束，感謝大家的收聽。

Goodbye.

再見。

Goodbye.

再見。

Portions of this transcript that are marked (interpreted) were spoken by an interpreter present on the live call.

此文字記錄中標記（翻譯）的部分是由現場通話中的口譯員說出的。

The interpreter was provided by the company sponsoring this event.

口譯員由贊助本次活動的公司提供。