Nebius Group NV (NBIS) 2018 Q1 法說會逐字稿

Good day, ladies and gentlemen, and welcome to the Yandex First Quarter 2018 Financial Results Call. For your information, today's conference is being recorded. At this time, I would like to turn the conference over to Katya Zhukova. Please go ahead, madam.

女士們、先生們，大家好！歡迎參加 Yandex 2018 年第一季財務業績電話會議。請注意，今天的會議正在錄製中。現在，我想將會議時間交給 Katya Zhukova。女士，請開始。

Hello, everyone, and welcome to Yandex' First Quarter 2018 Earnings Call. We distributed our earnings release earlier today. You can find its copy on our IR website as well as on Newswire services.

大家好，歡迎參加 Yandex 2018 年第一季財報電話會議。我們今天早些時候發布了財報。您可以在我們的投資者關係網站以及新聞專線服務上找到該版本。

On the call today, we have Greg Abovsky, our Chief Operating Officer and Chief Financial Officer; and Mikhail Parakhin, our Chief Technology Officer. Arkady Volozh, our Chief Executive Officer, will be available on the Q&A session. The call will be recorded. The recording will be available on our IR website in a few hours. As usual, we've prepared a few supplementary slides to the story, which are currently available on our IR website.

今天的電話會議邀請了我們的營運長兼財務長 Greg Abovsky 和首席技術長 Mikhail Parakhin。我們的執行長 Arkady Volozh 將出席問答環節。本次電話會議將被錄音，錄音將在幾小時後發佈在我們的投資者關係 (IR) 網站上。像往常一樣，我們準備了一些補充幻燈片，目前已發佈在我們的投資者關係 (IR) 網站上。

Now I will quickly walk you through the safe harbor statement. Various remarks that we make during this call about our future expectations, plans and prospects constitute "forward-looking statements". Our actual results may differ materially from those indicated or suggested by these forward-looking statements as a result of various important factors, including those discussed in the "Risk Factors" section of our Annual Report on Form 20-F dated March 27, 2018, which is on file with the SEC and is available online. In addition, any forward-looking statements represent our views only as of today and should not be relied upon as representing our views as of any subsequent date. Although we may elect to update these forward-looking statements at some point in the future, we specifically disclaim any obligation to do so, even if our views change. Therefore, you should not rely on these forward-looking statements as representing our views as of any date subsequent to today.

現在，我將快速向您介紹安全港聲明。我們在本次電話會議中就未來預期、計畫和前景所做的各項評論均構成「前瞻性陳述」。由於各種重要因素，包括我們於2018年3月27日提交的20-F表格年度報告中「風險因素」部分所討論的因素，我們的實際業績可能與這些前瞻性陳述所顯示或建議的業績存在重大差異。該報告已提交給美國證券交易委員會 (SEC) 並可在線查閱。此外，任何前瞻性陳述僅代表我們截至今日的觀點，不應被視為代表我們在任何後續日期的觀點。儘管我們可能選擇在未來某個時間點更新這些前瞻性陳述，但我們明確聲明不承擔任何更新義務，即使我們的觀點改變。因此，您不應將這些前瞻性陳述視為代表我們截至今日任何日期的觀點。

During this call, we'll be referring to certain "non-GAAP" financial measures. These non-GAAP financial measures are not prepared in accordance with U.S. GAAP. A reconciliation of the non-GAAP financial measures to the most directly comparable GAAP measures is provided in the earnings release we issued today.

在本次電話會議中，我們將提及某些「非公認會計準則 (Non-GAAP)」財務指標。這些非公認會計準則 (Non-GAAP) 財務指標並非依照美國公認會計準則 (US GAAP) 編製。我們今天發布的財報中提供了這些非公認會計準則 (Non-GAAP) 財務指標與最直接可比較的公認會計準則 (GAAP) 指標的對帳表。

And now, I'm turning the call over to Mikhail Parakhin.

現在，我將電話轉給米哈伊爾·帕拉欣 (Mikhail Parakhin)。

Thank you, Katya, and hello, everyone. In Q1, our Search and Portal revenues grew 19% year-over-year. This growth was mainly driven by revenue growth on Yandex's owned properties, partially offset by deceleration of growth rates on the partner ad network front.

謝謝 Katya，大家好。第一季度，我們的搜尋和入口網站營收年增 19%。這一成長主要得益於 Yandex 自有資源的收入成長，但合作夥伴廣告網路收入成長的放緩部分抵消了這一成長。

Our partner network revenues grew 4% year-over-year in Q1. The slowdown was caused by the changes in our partner mix.

我們的合作夥伴網路營收在第一季年增4%。增速放緩是由於合作夥伴結構的變化。

Turning to the dynamics of ad budgets across our key advertising categories. Auto and Financial services continued demonstrating solid growth at 34% and 31%, respectively. Other ad categories grew roughly in line with online ad revenue growth including Travel. However, we continued seeing modest growth in Apparel and Home Appliances. We haven't seen any significant changes in growth rates of our key ad categories in the recent weeks.

回顧我們主要廣告類別的廣告預算動態。汽車和金融服務持續保持穩健成長，分別成長了34%和31%。其他廣告類別（包括旅遊）的成長與網路廣告收入成長基本一致。然而，服裝和家電類別的成長仍然溫和。最近幾週，我們主要廣告類別的成長率沒有出現任何顯著變化。

Now turning to product development and tech improvements. In Q1, we continued further developing Templates and have recently announced the change in the approach to bidding for our advertisers in Yandex.Direct. Previously, advertisers were bidding for specific entry positions either the positions in priority placement on top of organic search or the guarantee position at the bottom of the search result page. With the change of the bidding approach, advertisers will target specific amount of traffic they want to get, while our algorithms will choose which ad layout to use and will place it accordingly on the search result page to provide the desired amount of traffic. We aim to increase the quality of traffic for our advertisers. We believe that this change in the auction approach, combined with the increased variety of ad layouts and greater personalization of ad results, will increase ROIs for our advertisers that should boost ad budgets allocated towards online in general and Yandex.Direct specifically in the long run.

現在轉向產品開發和技術改進。在第一季度，我們繼續進一步開發模板，並於近期宣布了 Yandex.Direct 廣告主競價方式的變更。先前，廣告主競價的是特定的入口位置，例如自然搜尋頂部的優先展示位置或搜尋結果頁面底部的保證位置。競價方式的變更後，廣告主將鎖定他們想要獲得的特定流量，而我們的演算法將選擇合適的廣告佈局，並將其相應地放置在搜尋結果頁面上，以提供所需的流量。我們的目標是提升廣告主的流量品質。我們相信，競價方式的改變，加上廣告版面的多樣性和廣告結果的個人化程度的提升，將提高廣告主的投資報酬率，從長遠來看，這將增加分配給整體線上廣告，尤其是 Yandex.Direct 的廣告預算。

It is also important to note that we launched the transformation of our Yandex.Direct into a one-stop shop which in addition to text-based advertising now allows to run banner ads on the platform. The platform will allow advertisers to automate the process of creating ads and get statistics across all their ad products in the sales funnel in Yandex.Direct.

值得一提的是，我們已將 Yandex.Direct 轉型為一站式平台，除了文字廣告外，現在還支援在平台上投放橫幅廣告。該平台將允許廣告商自動化廣告建立流程，並在 Yandex.Direct 的銷售漏斗中取得所有廣告產品的統計資料。

Turning to our search share trends. Our overall search share reached 56.5% in March this year, up 160 basis points compared with a year ago. Our search share on desktop hit new highs gaining 270 basis points year-over-year and averaging 67.5% in March. On Android, our search share grew 870 basis points year-over-year and reached 46.8% in March. Our search share on iOS slightly declined and was 38.5% in March, 40 basis points lower compared to December 2017.

談談我們的搜尋份額趨勢。今年3月，我們的整體搜尋份額達到56.5%，比去年同期成長了160個基點。桌面端的搜尋份額創下新高，年增270個基點，3月平均為67.5%。安卓端的搜尋份額較去年同期成長870個基點，3月達46.8%。 iOS端的搜尋份額略有下降，3月為38​​.5%，比2017年12月下降了40個基點。

Share of mobile traffic significantly increased and reached 42% of our total search traffic. Mobile revenues represented 34% of our total search revenues.

行動流量佔比顯著提升，達到總搜尋流量的42%。行動收入佔總搜尋收入的34%。

With this, I'm turning the microphone over to Greg, who will walk you through the operational performance of business units and our financials.

現在，我將把麥克風交給格雷格，他將向你們介紹業務部門的營運績效和我們的財務狀況。

Thank you, Mikhail, and thank you, all, for joining our call today.

謝謝米哈伊爾，也謝謝大家今天參加我們的電話會議。

In Q1, we delivered another solid set of results. Our consolidated revenue grew 29% year-on-year and reached RUB 26.6 billion. The revenue growth was driven by solid growth on Yandex properties as well as great performance across our segments such as Taxi, Classifieds, Media Services and Experiments.

第一季度，我們再次取得了穩健的業績。我們的綜合營收年增29%，達到266億盧布。營收成長主要得益於Yandex資產的穩健成長，以及計程車、分類廣告、媒體服務和實驗等業務部門的優異表現。

Share of our noncore businesses reached approximately 21% of our consolidated revenues in Q1.

我們非核心業務的份額在第一季達到了合併收入的約 21%。

Online advertising revenues accounted for 86% of total revenues in Q1 and increased 17% year-on-year.

網路廣告收入佔第一季總營收的86%，較去年同期成長17%。

Yandex properties revenue grew 22% year-on-year in Q1 and accounted for 66% of total revenues.

Yandex 資產第一季營收年增 22%，佔總營收的 66%。

Revenues from our ad network increased 4% year-on-year and constituted 20% of total revenues in Q1.

我們的廣告網路營收年增 4%，佔第一季總營收的 20%。

Other revenues grew 228% year-on-year in Q1, driven by Yandex.Taxi revenue, which constituted the bulk of the other revenue line in consolidated revenues.

第一季其他收入年增 228%，這主要得益於 Yandex.Taxi 收入，該收入構成了合併收入中其他收入的大部分。

Traffic acquisition cost related to our partner advertising network grew 9% year-on-year.

與我們的合作夥伴廣告網路相關的流量取得成本較去年同期成長9%。

Partner TAC as a percent of partner revenue was 59% in Q1, up 90 basis points sequentially. Partner TAC grew faster than our partner revenue as a result of the change in our product mix and partner mix.

第一季度，合作夥伴TAC佔合作夥伴營收的59%，較上季成長90個基點。由於我們產品組合和合作夥伴組合的變化，合作夥伴TAC的成長速度快於合作夥伴收入。

Traffic acquisition costs related to the distribution partners increased 11% year-on-year and were 6.6% of advertising revenues from Yandex properties. This is 70 basis points lower compared with Q1 of 2017 and 10 basis points higher compared with the previous quarter.

與分銷合作夥伴相關的流量獲取成本較去年同期成長11%，佔Yandex旗下廣告收入的6.6%。與2017年第一季相比，這一數字下降了70個基點，與上一季相比，這一數字上升了10個基點。

Total TAC increased 10% year-on-year and amounted to 16.2% of total revenues, down 290 basis points from Q1 2017 and 100 basis points lower compared with the previous quarter.

總 TAC 年成長 10%，佔總營收的 16.2%，較 2017 年第一季下降 290 個基點，較上一季下降 100 個基點。

Paid clicks grew 7% year-on-year, while cost per click was up 8% year-on-year.

付費點擊量較去年同期成長7%，每次點擊費用較去年同期成長8%。

Turning to our cost structure. In Q1 '18, total OpEx, excluding TAC and D&A, grew 49% year-on-year. Excluding stock-based comp, operating expenses increased 47%. The growth was primarily driven by the increase in personnel costs as a result of new hiring and salary increases as well as growth in advertising and marketing costs across all our businesses.

談到我們的成本結構。 2018年第一季度，不包括總營運成本（TAC）和折舊及攤銷前利潤（D&A）在內的總營運支出較去年同期成長49%。不包括股票補償，營運支出成長了47%。成長主要源自於新員工招募和薪資上漲導致的人員成本增加，以及所有業務的廣告和行銷成本成長。

In Q1, we added 689 employees. As of March 31, 2018, our headcount reached 8,134 people, up 9% compared to December 31 and 25% higher compared with a year ago. The growth primarily resulted from new hires in business units, primarily Taxi as well as Experiments.

第一季度，我們新增了689名員工。截至2018年3月31日，我們的員工總數達到8,134人，較去年12月31日成長9%，較去年同期成長25%。員工成長主要源自於業務部門（主要是計程車部門和實驗部門）的新員工招募。

In Q1, our personnel costs constituted 23% of total revenues.

第一季度，我們的人員成本佔總收入的23%。

Stock-based comp increased 70% year-on-year in Q1 and constituted 6.1% of revenues, up 150 bps from 4.6% a year ago. The acceleration of growth rates of our total stock-based comp expense was driven by the one-off effect related to the modification of equity awards issued in 2015 and 2016 to Taxi employees as well as new equity-based grants made in 2017 and early 2018.

第一季股票薪酬較去年同期成長70%，佔營收的6.1%，較去年同期的4.6%上升150個基點。股票薪酬總支出成長率的加快，主要受2015年和2016年向計程車員工發放的股權獎勵調整以及2017年和2018年初新的股權激勵的一次性影響。

D&A expense in Q1 increased 17% year-on-year. Our consolidated adjusted EBITDA increased 12% year-on-year, and our consolidated adjusted EBITDA margin was 29%, down 430 bps compared to a year ago and down 440 bps compared to Q4 2017. The decrease in our adjusted EBITDA margin was primarily driven by increased investments in our E-commerce, Classifieds and Experiments as well as growing share of our business units in total revenue and cost structure.

第一季的折舊及攤銷前利潤 (D&A) 年增 17%。我們的合併調整後 EBITDA 年成長 12%，合併調整後 EBITDA 利潤率為 29%，較去年同期下降 430 個基點，較 2017 年第四季下降 440 個基點。調整後 EBITDA 利潤率的下降主要由於我們對電商、分類廣告和實驗業務的投資增加，以及各業務部門在總收入和成本結構中的佔比上升。

This quarter, the impact from ForEx was a loss of RUB 0.5 billion related to the appreciation of the Russian ruble during Q1 2018 from RUB 57.6 to RUB 57.3 as of March 31, 2018. It's important to note that we do not expect any material impact of recent ruble depreciation on our costs in 2018 as our largest U.S. dollar-related cost item is rent, which we hedged through the end of 2018 at the exchange rate of approximately RUB 58 to the dollar. Employee salaries are mainly in rubles and are not directly affected by ruble depreciation.

本季度，外匯交易的影響導致5億盧布的損失，這與2018年第一季俄羅斯盧布升值有關，盧布匯率從57.6盧布升至2018年3月31日的57.3盧布。需要注意的是，我們預計近期盧布貶值不會對我們2018年的成本產生任何重大影響，因為我們最大的美元相關成本項目是租金，截至2018年底，我們以約58盧布兌1美元的匯率對其進行了對沖。員工薪資主要以盧布支付，因此不會直接受到盧布貶值的影響。

Net income was up 126% year-over-year in Q1 2018, primarily due to lower foreign exchange loss in Q1 2018 compared to Q1 2017. Net income margin was 7%. Adjusted net income was up 8% year-over-year, and adjusted net income margin was 15% compared with 18.2% a year ago.

2018年第一季淨利潤年增126%，主要原因是2018年第一季外匯損失較2017年第一季下降。淨利潤率為7%。調整後淨利年增8%，調整後淨利率為15%，去年同期為18.2%。

Our CapEx was RUB 1.2 billion or 4.4% of total Q1 revenues. CapEx is not evenly spread across the quarters. On an annual basis, we still expect our CapEx to be in mid-teens as a percent of revenues in 2018.

我們的資本支出為12億盧布，佔第一季總收入的4.4%。資本支出在各季度的分佈並不均勻。以年度計算，我們預計2018年的資本支出佔總收入的比例仍將達到15%左右。

As you know, our CapEx mainly consists of servers and data center equipment, which are primarily U.S. dollar-denominated. In Q1 2018, we ended at hedging out approximately 1/4 of our 2018 CapEx at a rate of about RUB 56.9 to the dollar.

如您所知，我們的資本支出主要包括伺服器和資料中心設備，這些設備主要以美元計價。 2018年第一季度，我們以約56.9盧布兌1美元的匯率對沖了約2018年資本支出的四分之一。

Now turning to the performance of our business units. Search and Portal revenue grew 19% year-over-year driven by continuing growth in Search and on our owned and operated websites, but muted by decelerated growth of our advertising network.

現在談談我們各業務部門的業績。搜尋和入口網站營收年增19%，這得益於搜尋業務以及我們自有和經營網站的持續成長，但受廣告網路成長放緩的影響。

Adjusted EBITDA of Search and Portal grew 31% year-on-year in Q1 and its adjusted EBITDA margin reached 46.5%. This is up 420 basis points compared to Q1 of 2017 and up 210 basis points sequentially.

搜尋與入口網站業務第一季調整後EBITDA年增31%，調整後EBITDA利潤率達46.5%，較2017年第一季上升420個基點，較上一季上升210個基點。

Revenues of Yandex.Market were down 3% year-on-year. We expect our E-commerce revenues to improve gradually throughout the year, supported by our investments in advertising and marketing, quality improvements of the existing products as well as new product launches.

Yandex.Market 的營收年減了 3%。我們預計，由於我們在廣告和行銷方面的投入、現有產品的品質改進以及新產品的推出，我們的電商收入將在全年逐步改善。

Adjusted EBITDA of Yandex.Market was negative RUB 162 million in Q1 due to the recently launched advertising and marketing campaign, increase in personnel costs as well as our investments into fulfillment.

由於最近推出的廣告和行銷活動、人員成本增加以及我們在履行方面的投資，Yandex.Market 第一季的調整後 EBITDA 為負 1.62 億盧布。

We plan to close the deal with Sberbank to form a JV based on the Yandex.Market platform in the nearest future. After that, we will deconsolidate Yandex.Market from our financial results and we will report approximately 45% of Yandex.Market results in the "Other gain and loss" line in our P&L.

我們計劃在不久的將來與俄羅斯聯邦儲蓄銀行 (Sberbank) 達成協議，組成一家基於 Yandex.Market 平台的合資企業。此後，我們將把 Yandex.Market 從我們的財務業績中剝離，並將 Yandex.Market 約 45% 的業績計入損益表中的「其他損益」欄。

If we exclude Yandex.Market from our consolidated results in Q1, our revenues would have grown 31% year-on-year, while our adjusted EBITDA would have grown 25% year-on-year.

如果我們在第一季的合併業績中排除 Yandex.Market，我們的營收將年增 31%，而調整後的 EBITDA 將年增 25%。

Turning to Yandex.Taxi. From February 7, 2018, the date we completed the combination of our ride sharing businesses with Uber, we started consolidating Uber's financials in our financial results. Starting at that point, we will record approximately 38% of net income of our Taxi segment related to Uber as well as other minority interests as net loss attributable to noncontrolling interest line in our P&L.

再來說說 Yandex.Taxi。自 2018 年 2 月 7 日，也就是我們完成與 Uber 的共乘業務合併之日起，我們開始將 Uber 的財務數據納入我們的財務表現。屆時，我們將把計程車部門約 38% 的淨收入（與 Uber 及其他少數股東權益相關）計入損益表中，作為歸屬於非控股權益的淨虧損。

Revenues of Yandex.Taxi were up 301% year-on-year in Q1. We continued our geographical expansion. As of March 2018, the combined business operated in 177 cities with a population of 100,000 plus and in 69 cities with a population of 50,000 plus across 9 countries.

Yandex.Taxi 第一季營收年增 301%。我們持續拓展地域覆蓋。截至 2018 年 3 月，合併後的業務已涵蓋 9 個國家的 177 個人口超過 10 萬的城市和 69 個人口超過 5 萬的城市。

Our total number of rides grew 222% year-over-year. Adjusted EBITDA of Taxi was negative RUB 1.7 billion in Q1. Our adjusted EBITDA loss was impacted by a one-off payment for professional services connected with the deal, as well as the addition of Uber as well as the investments in the Food Delivery service that we are building up. These expenses were partly offset by the continued optimization of incentives for users and drivers, particularly on the Yandex.Taxi side. It is important to note that we are in the process of integrating Uber, including integration of incentives as well as all the operational integration. Therefore, it is reasonable to assume that the adjusted EBITDA loss in Q2 will be slightly larger than in Q1, where Uber was only consolidated for several weeks as opposed to the full quarter's effect in Q2. However, we still expect that our adjusted EBITDA loss on an annual basis in 2018 to be roughly on par with 2017 in absolute terms.

我們的總乘車次數較去年同期成長222%。第一季度，Taxi的調整後EBITDA為負17億盧布。我們的調整後EBITDA虧損受到與交易相關的一次性專業服務費用、Uber的加入以及我們正在打造的外送服務的投資的影響。這些費用被我們持續優化的用戶和司機激勵措施（尤其是在Yandex.Taxi方面）部分抵消。值得注意的是，我們正在整合Uber，包括激勵措施的整合以及所有營運整合。因此，可以合理地假設第二季度的調整後EBITDA虧損將略高於第一季度，因為Uber在第一季度僅被整合了幾週，而不是第二季的整個季度。然而，我們仍預計，2018年全年調整後EBITDA虧損的絕對值將與2017年大致持平。

Now, let me turn to Classifieds. Revenues of Classifieds business grew 92% year-on-year in Q1, primarily driven by revenues from listing fees and VAS which increased 112% year-on-year. Adjusted EBITDA of Classifieds was negative RUB 287 million as we continued to invest in strengthening our positioning across all of our geographies.

現在，我來談談分類廣告業務。第一季度，分類廣告業務收入年增92%，主要得益於上架費和加值服務收入較去年同期成長112%。由於我們持續投資以鞏固我們在所有地區的市場地位，分類廣告業務的調整後EBITDA為負2.87億盧布。

This quarter, we started reporting Media Services as a separate segment. Media Services includes our entertainment services Yandex.Music, KinoPoisk, Yandex.Afisha and Yandex.TV program.

本季度，我們開始將媒體服務作為一個單獨的部門進行報告。媒體服務包括我們的娛樂服務 Yandex.Music、KinoPoisk、Yandex.Afisha 和 Yandex.TV 節目。

In Q1 2018, Media Services revenues reached RUB 421 million and increased 73% year-on-year, mainly driven by transaction revenue growth of 110% year-on-year. Transaction revenues consist of revenues from Yandex.Music subscription fees and commission from ticket sales. In Q1, Media Services represented 1.6% of our consolidated revenues.

2018年第一季，媒體服務營收達4.21億盧布，年增73%，主要得益於交易營收年增110%。交易收入包括Yandex.Music訂閱費收入和門票銷售佣金。第一季度，媒體服務收入占我們合併收入的1.6%。

Media Services adjusted EBITDA remained negative at RUB 97 million as a result of our continuing investments in product development as well as advertising and marketing campaigns. Recently, we launched a dedicated KinoPoisk app for Samsung Smart TVs that has over 1,500 movies available for rent and purchase from our own licensed content library. Further expansion of our library and distribution of video platform is one of our strategic focuses.

由於我們持續投資於產品開發以及廣告和行銷活動，媒體服務部門的調整後息稅折舊攤提前利潤（EBITDA）仍為負9700萬盧布。近期，我們推出了一款專為三星智慧電視設計的KinoPoisk應用程序，該應用程式擁有超過1500部來自我們授權內容庫的電影可供租借和購買。進一步擴充我們的內容庫並完善視訊平台的發行是我們的策略重點之一。

In Q1 2018, revenues of Experiments were represented by Zen, Cloud, Health, YDF and Yandex.Drive. Experiments revenues increased 176% year-on-year in Q1, primarily driven by Zen.

2018年第一季度，Experiments 的營收主要來自 Zen、Cloud、Health、YDF 和 Yandex.Drive。 Experiments 第一季營收年增 176%，主要得益於 Zen 的推動。

I would like to highlight our recent launch of Yandex.Drive, our car sharing service available in Moscow and the surrounding regions. Since the launch on February 21, we've already had approximately 1,000 cars on the road, while the number of rides since launch exceeded 450,000. This service utilization rate demonstrates the growing demand for the car sharing service and that there is a massive opportunity to change how people get around. Going forward, we plan to gradually increase the number of available vehicles in Moscow as well as other regions.

我想重點介紹我們最近推出的 Yandex.Drive 汽車共享服務，該服務在莫斯科及週邊地區均可使用。自 2 月 21 日上線以來，我們已擁有約 1,000 輛汽車上路，累計出行次數超過 45 萬次。如此高的服務利用率表明，汽車共享服務的需求日益增長，並蘊藏著巨大的潛力，有望改變人們的出行方式。未來，我們計劃逐步增加莫斯科及其他地區的可用車輛數量。

Getting back to corporate matters. We ended the quarter with approximately RUB 95 billion in cash equivalents and term deposits, which is approximately $1.7 billion at the exchange rate as of March 31. This includes cash and cash equivalents of Yandex.Taxi, which we received as a result of the combination with Uber.

回到公司事務。本季末，我們持有約950億盧布現金等價物和定期存款，以3月31日的匯率計算，約17億美元。這其中包括Yandex.Taxi的現金和現金等價物，這些是我們與Uber合併後獲得的。

Turning to guidance. Based on our recent strong performance, we expect our Search and Portal ruble-based revenues to grow in the range of 19% to 21% year-over-year in 2018. On the consolidated basis, assuming deconsolidation of Yandex.Market, we expect that our revenues will grow 28% to 32% in 2018 on a like-for-like basis.

展望未來，基於近期強勁的業績表現，我們預計2018年搜尋和入口網站按盧布計算的營收將年增19%至21%。在合併報表的基礎上，假設Yandex.Market被拆分，我們預期2018年營收將年增28%至32%。

With this, let me turn the call over to the operator for the Q&A session.

現在，讓我將電話轉給接線員進行問答環節。

(Operator Instructions) We will now take our first question from Cesar Tiron from Bank of America.

（操作員指示）現在我們將回答來自美國銀行的 Cesar Tiron 提出的第一個問題。

I have actually 2 questions for Greg. I mean the first one on Taxi. Is it fair to say that on a stand-alone basis, I mean, if I excluded the Food Delivery, it looks like you're 2, 3 quarters away from breakeven? And then I think the second question I have is on the significant operating leverage that we've seen in the core search business with over 400 basis points of margin improvement from last year. I mean, have you delayed any expenses into Q2? Or do you think this kind of operating leverage is something that we could see in the next quarters as well?

我其實有兩個問題想問格雷格。第一個是關於出租車業務的。如果我把外送業務排除在外，從獨立業務來看，你們似乎還需要兩、三個季度才能達到損益平衡，這樣說合理嗎？第二個問題是，我們在核心搜尋業務中看到的顯著營運槓桿，其利潤率比去年提高了超過400個基點。我的意思是，你們有沒有把任何費用延後到第二季？或者，您認為這種營運槓桿在未來幾季也會出現？

Hi, Cesar, it's Greg, thank you very much for your questions. On the first question, so what I could say is just again reiterate what I said about the full year expectations for adjusted EBITDA loss of being roughly on par with previous year, including all of the investments that we are making. I guess what I didn't mention in the prepared remarks is, obviously, the investments we are making in self-driving, which are also quite significant, and we're making very large strides there. So I would just leave you with the prepared remarks. On the search question with respect to operating leverage, so, obviously, Q1 did see excellent results. I think it's kind of early in the year. And so at this point, we are going to stick with the guidance of flattish margins in the Search and Portal business. But, obviously, we always try to balance off the opportunities for additional investments in new technologies, things like Alice, intelligent voice assistant, things like speech technologies, things like mapping and navigation against sort of a natural operating leverage in the business, and we'll look to update you on these results over the course of the year.

嗨，塞薩爾，我是格雷格，非常感謝你的提問。關於第一個問題，我可以再次重申我之前所說的，全年調整後EBITDA虧損預期與去年大致持平，這包括我們正在進行的所有投資。我想，我在準備好的發言中沒有提到的是，我們在自動駕駛領域的投資，這部分投資也相當可觀，而且我們在這方面取得了巨大的進步。所以我就先把準備好的發言留​​給你。關於搜尋業務的營運槓桿問題，顯然，第一季的業績非常出色。我認為現在還處於年初階段。因此，目前我們將維持搜尋和入口網站業務利潤率持平的指導方針。但是，顯然，我們總是試圖平衡對新技術的額外投資機會，例如 Alice、智慧語音助理、語音技術、地圖和導航等，以及業務中的自然營運槓桿，我們將在一年內向您通報這些結果。

Can I just follow up with one question on the margins and, obviously, the ruble has depreciated a little bit against the U.S. dollar in the past 2 weeks. So can you please remind us how you hedged your rent expenses, and I think that's until 2018? And what's going to happen after 2018?

我可以再問一個關於邊際的問題嗎？顯然，過去兩週盧布兌美元略為貶值。您能否提醒我們一下您是如何對沖租金支出的？我想這種情況會持續到2018年。那麼2018年之後會發生什麼事呢？

Sure so we ended up -- we actually hedged office rent expense more than a year ago, and it covers both 2017 and 2018 lease payments through, I think, we used 1 counter party for that hedging transaction. And going forward, there are changes in the way that leases are accounted such that the P&L impact of the FX fluctuations will be minimized. And then just to remind you, obviously, that if you look at the way that our cash balance is currently made up, it is very heavily weighted towards the USD. So our sensitivity to FX changes with respect to FX fluctuation is less than it would have been otherwise. Currently if you look at our FX basket, we are 77% USD or nonruble currencies.

當然，我們最終——實際上，我們在一年多前就對沖了辦公室租金支出，涵蓋了2017年和2018年的租賃付款，我記得當時我們只使用了一家交易對手方進行對沖。未來，租賃的會計處理方式將會有所變化，以最大限度地減少外匯波動對損益的影響。然後需要提醒的是，如果你看一下我們目前的現金餘額構成方式，你會發現它非常偏向美元。因此，我們對外匯波動的敏感度比以往要低。目前，如果你看一下我們的外匯籃子，你會發現77%的資產是美元或非盧布貨幣。

(Operator Instructions) We will now take our next question from Slava Degtyarev from Goldman Sachs.

（操作員指示）現在我們將回答高盛的 Slava Degtyarev 提出的下一個問題。

A couple of questions. Firstly, on Taxi. You started providing subsidies to the consumers in Moscow this April, just wonder why it is the case? Also, do you observe any significant slowdown in terms of the number of rides in Moscow, St. Petersburg this April as basically the base of the last year seems to be pretty tough and given the price competition with Uber was aggressive last year? And secondly, can you elaborate probably a bit more on Yandex.Cloud initiative. What kind of market size is this business potentially? And also, your market share aspirations and how your product might differ versus what competitors are having now?

幾個問題。首先，關於出租車。你們從今年四月開始為莫斯科的乘客提供補貼，請問具體原因是什麼？另外，考慮到去年與Uber的價格競爭非常激烈，您是否觀察到今年四月莫斯科和聖彼得堡的出行量出現明顯放緩？其次，能否更詳細介紹Yandex.Cloud計劃？這項業務的潛在市場規模有多大？此外，你們的市佔率目標是什麼？你們的產品與競爭對手目前的產品相比可能有何不同？

Sure Slava, I'll take the first part of the question and then I'll hand it over to Mikhail for the second part of the question with respect to cloud. On the Taxi side, we are obviously experimenting and seeing kind of what the price elasticity is. One -- you're right that competition a year ago was intense vis-à-vis Uber. And so the higher base effect of the previous year has led to some slowdown in number of rides. But Moscow still continues to grow in triple digits, which is quite impressive. And as a result of this slight increase in subsidies that we undertook, we are seeing extremely positive reaction with respect to an acceleration in the pace of growth of rides and as well as GMV.

當然，Slava，我先回答問題的第一部分，然後交給 Mikhail 回答關於雲的第二部分。在計程車方面，我們顯然正在進行實驗，並觀察價格彈性。首先，你說得對，一年前與 Uber 的競爭非常激烈。因此，前一年較高的基數效應導致出行數量放緩。但莫斯科仍然保持著三位數的成長，這相當令人印象深刻。由於我們略微增加了補貼，我們看到了非常積極的反應，出行數量和 GMV 的成長速度都在加快。

And Mikhail is here to talk about cloud initiative. Obviously, it's too early for us to forecast any sort of revenue guidance or such. The interesting thing to note is that, in general, Russia for whatever reason has been little bit lagging behind other countries of similar GDP and similar sort of level of development in penetration of cloud services. So we actually see that as a big opportunity for us. And the situation is such that we still -- probably in other countries of similar level of development, it would be maybe too late. But in Russia, for various reasons, we believe that it's actually the right time to move in. And as the largest Internet company in Russia, we believe we are uniquely positioned to leverage our economy of scale of our data centers and, as you know, we have data centers both in Russia and in Europe to serve the customers in every possible way and probably be very competitive on the pricing and probably be very competitive with regards to all the local regulations in both Europe and Russia. So I'm very excited about it. I'm sure you'll be hearing more maybe within next 2 quarters.

米哈伊爾來這裡是為了討論雲端計畫。顯然，現在預測任何形式的收入指引之類的資訊還為時過早。值得注意的是，總體而言，無論出於何種原因，俄羅斯在雲端服務普及率方面一直略微落後於其他GDP和發展水準相似的國家。因此，我們實際上認為這對我們來說是一個巨大的機會。目前的情況是，在其他發展水平相似的國家，我們可能仍然為時已晚。但在俄羅斯，出於各種原因，我們認為現在正是進入俄羅斯的最佳時機。作為俄羅斯最大的網路公司，我們相信我們擁有獨特的優勢，可以利用我們資料中心的規模經濟。如您所知，我們在俄羅斯和歐洲都設有資料中心，可以以各種可能的方式為客戶提供服務，並且在定價方面可能非常有競爭力，並且在遵守歐洲和俄羅斯所有當地法規方面也可能非常有競爭力。所以我對此感到非常興奮。我相信您大概會在接下來的兩個季度內聽到更多消息。

We will now take our next question from Lloyd Walmsley from Deutsche Bank.

我們現在將回答德意志銀行的 Lloyd Walmsley 提出的下一個問題。

Two questions, if I can. First, on templates. Mikhail, can you give us a sense of timing and kind of the mechanics of the rollout here? And you had mentioned advertisers seeing good ROIs, so wondering if you could elaborate on what's driving that and over what time frame you think that could impact search budgets? And then, Greg, on Taxi, can you talk about where you guys are in terms of gross revenue take rates and how we should think about take rates migrating maybe in big cities versus smaller regions over the next few months and quarters?

如果可以的話，我想問兩個問題。首先是關於模板。 Mikhail，您能否介紹一下這個範本的具體推出時間和機制？您之前提到廣告商的投資報酬率很高，能否解釋一下背後的原因，以及您認為在什麼時間段內，這可能會對搜尋預算產生影響？然後，Taxi 的 Greg，您能否談談您目前的總收入佣金率？以及我們應該如何看待未來幾個月和幾季大城市和小城市的佣金率變化？

Sure. I'll probably answer about the templates. So as I described previously, templates is not like a one thing that you just ship and forget about it. It's a very gradual rollout for the whole host of features mainly related to the fact that the ad becomes more customized and different people will see ads for different queries, will see different ads -- then different -- the actual presentation of an ad. And also the more positions are opening. We -- in Q4 of last year, we were mostly focused on shipping features on desktop. In Q1, we had pretty big rollout on mobile. It will continue for maybe next, I expect maybe 6 months gradually we'll be shipping more and more smaller bits of technology in reaching again the actual presentation of an ad, maybe doing things like maps and stuff. It's -- we're, again, this probably is not going to be step wise kind of change. It definitely does help us to fight the comps vis-à-vis the previous year. We're proceeding right now very carefully and cautiously here because it's a big change. As you know, we also changed, as I outlined in my prepared statement, we changed the way advertisers are bidding, we are trying to change it so that they are bidding for additional traffic to get instead of specific position, and that's a key important thing for us to unlock the full potential of templates. Because there -- actually the amount of traffic might vary significantly, depending on your actual representation now not only on the position of an ad. So yes, we will be sort of gradual -- we will continue gradual rollout for the next 6 months, probably for sure, yes.

當然。我可能會回答關於模板的問題。正如我之前所說，模板並不是那種一次發布然後就忘記的東西。這是一個逐步推出一系列功能的過程，主要與廣告更加個人化有關，不同的用戶會針對不同的查詢看到不同的廣告，進而看到不同的廣告——廣告的實際呈現方式也有所不同。此外，還有更多職缺。去年第四季度，我們主要專注於在桌面端推出功能。第一季度，我們在行動端進行了相當大的推廣。這種模式可能會持續到下半年，我預計大概六個月，我們會逐步推出越來越多的小型技術，以再次實現廣告的實際呈現，例如地圖之類的功能。這——我們再次強調，這可能不會是漸進式的改變。與去年相比，這確實有助於我們更好地應對競爭對手。我們現在非常謹慎地推進，因為這是一個巨大的變化。正如你所知，正如我在準備好的聲明中概述的那樣，我們也改變了廣告商的競價方式，我們正在嘗試改變它，以便他們競價以獲得額外的流量，而不是特定的排名，這對我們充分發揮模板的潛力至關重要。因為實際上，流量的數量可能會有很大差異，這不僅取決於廣告的位置，還取決於你的實際表現。所以，是的，我們會逐步推進——我們將在未來6個月內繼續逐步推出，是的，是的。

Lloyd, on the question about take rates for Taxi, so we did rollout some gradual increases in our commission rates, both in the larger cities as well as the smaller ones, and we are simply starting to play a little catch-up to where a lot of the competition is. Historically, we had fairly low take rates and we are still below most of the competition but slightly higher than we were before. And so I'd say the Moscow take rates are probably up a few hundred basis points in terms of the overall take rate from sort of late Q4, early Q1 to sort of late Q1.

勞埃德，關於計程車佣金率的問題，我們確實逐步提高了佣金率，無論是在大城市還是小城市，我們只是開始稍微追趕很多競爭對手。從歷史上看，我們的佣金率相當低，現在仍然低於大多數競爭對手，但比以前略高。所以我認為，從第四季末、第一季初到第一季末，莫斯科的佣金率可能比整體佣金率高出幾百個基點。

We will now take our next question from Miriam Adisa from Morgan Stanley.

我們現在將回答摩根士丹利的 Miriam Adisa 提出的下一個問題。

I'm just -- another question on Taxi. I understand the guidance for flat losses, but could you confirm if you are close to breakeven in any city. And then also going into the second quarter and the World Cup, would you think that there is a chance that there could be an acceleration in revenues of ride growth? And then second question would be on the core search business. There's been reports that about 50% of users of Google haven't been able to access the servers in the last week or so because of the ban on Telegram. I was just wondering if you have seen a positive impact on any of your services since then?

我只是想問一個關於出租車的問題。我理解你們的預期是虧損持平，但你能否確認一下，你們在哪個城市是否接近盈虧平衡？此外，進入第二季和世界盃期間，您認為乘車收入成長有可能加速嗎？第二個問題是關於核心搜尋業務的。據報道，由於Telegram被封，過去一周左右，大約50%的谷歌用戶無法訪問伺服器。我想知道，自那以後，你們的任何服務是否受到了正面影響？

So on Taxi, Miriam, we do expect some positive impact from World Cup. Obviously, it's not going to be very large considering our scale. The -- I remember how many people are supposed to come in for World Cup, a few hundred thousand or maybe 1 million or whatever it is. That is a small sort of drop in the bucket when you compare to the total number of rides that we are providing on a quarterly basis. So it should be a boost. We will likely be able to service them through the Uber app, which should work seamlessly when they come to the country. They'll be able to open up the Uber app and order up a Yandex.Taxi and we'll get all of the revenues associated with it. But I wouldn't sort of put an extremely high expectations on the impact of that sort of onetime boost. And then on -- in terms of city by city, I would just sort of reiterate what we said before, we do have a number of cities where the service is running quite profitably and we are very happy with our performance. And then on the question of Telegram, so just to fill people in, in terms of the background. There was a court ruling here in Russia. As a result of that ruling, it was proposed that Telegram would be banned in the country. The way that has been implemented is through the blocking of certain IP addresses used by the Telegram app. There has been a number of Russian users who have been impacted as a result of this blocking even for apps other than Telegram. So many other international apps or even domestic apps have been impacted by this blocking of Telegram app. Obviously, we have no crystal ball, and we have no idea what next steps would be, how long it lasts. If it's short term, we certainly expect that the impact on our share would be quite limited, if any at all.

所以，米里亞姆，關於計程車，我們確實預期世界盃會帶來一些正面的影響。當然，考慮到我們的規模，這不會帶來太大的影響。我記得世界盃期間預計會有多少人來，幾十萬，或一百萬，或其他什麼數字。與我們每季提供的出行總量相比，這只是九牛一毛。所以這應該會是個提振。我們可能會透過優步應用程式為他們提供服務，當他們來到這個國家時，這個應用程式應該可以無縫運行。他們可以打開優步應用程序，預訂一輛Yandex.Taxi，所有相關的收入都將歸我們所有。但我不會對這種一次性提振的影響抱持太高的期望。然後——就每個城市而言，我想重申我們之前說過的，我們確實在一些城市實現了相當高的盈利，我們對自己的表現非常滿意。關於Telegram的問題，我簡單介紹一下背景狀況。俄羅斯法院做出了一項裁決。根據該裁決，有人提議在俄羅斯禁用Telegram。具體實施方式是屏蔽Telegram應用程式使用的特定IP位址。許多俄羅斯用戶受到了此次屏蔽的影響，甚至包括Telegram以外的其他應用程式。許多其他國際應用程式甚至俄羅斯國內應用程式也受到了此次Telegram應用程式屏蔽的影響。顯然，我們沒有水晶球，也不知道接下來會發生什麼，也不知道這種情況會持續多久。如果是短期影響，我們預期其對我們市場佔有率的影響將非常有限，甚至不會有任何影響。

(Operator Instructions) Our next question comes from Ulyana Lenvalskaya from UBS.

（操作員指示）我們的下一個問題來自瑞銀的 Ulyana Lenvalskaya。

The first question will be on the core business. Could you please elaborate a bit on the slowdown of the partners ad revenue, just 4% growth. Do you include the partners? You said that's a mix, but what exactly is happening? And what is the -- maybe what is the outlook for the rest of the year?

第一個問題是關於核心業務的。您能否詳細說明一下合作夥伴廣告收入成長放緩的原因，僅成長了4%。包括合作夥伴嗎？您說這是一個混合因素，但具體發生了什麼？今年剩餘時間的前景如何？

Hi, it's Mikhail here. So yes, the growth in our partner network was adversely affected by the changing mix of partners. One of very significant partners rebalanced their mix and reduced the amount of inventory they are sending to us. As you know, we also did another very significant partner but that happened very late in third quarter. So that wasn't really -- sorry -- first quarter, yes, late in first quarter and so that didn't affect the numbers. So going forward, we see growth picking up.

大家好，我是米哈伊爾。是的，我們合作夥伴網路的成長確實受到了合作夥伴組合變化的不利影響。一位非常重要的合作夥伴重新平衡了他們的組合，減少了發送給我們的庫存量。如你所知，我們也與另一位非常重要的合作夥伴進行了合作，但那發生在第三季末。所以那件事實際上……抱歉——不是第一季度，是的，是第一季末，所以這並沒有影響到我們的業績。因此，展望未來，我們預期成長將會回升。

And there was a news article today about Mail being more active and contextual advertising at own properties. Will it -- do you think it might potentially impact Yandex growth outlook in some way?

今天有一篇新聞報導說，Mail 在自有平台上推出了更主動、更符合上下文的廣告。您認為這會不會在某種程度上影響 Yandex 的成長前景？

Well, it's hard for us to say. We see that Mail has been increasing the ad load on their properties and increasing the amount of ads they are putting. So obviously, there is a little bit of downward pressure on the whole market because if you have more inventory, things maybe get slightly cheaper. We don't see the sort of a big kind of factor that we worry about at least right now. And of course, it's hard to predict the future. And, I think, we also -- overall, we also -- it has -- it might have the opposite effect of rising all the balls because things getting cheaper and leads to redistribution of the budgets from TV and other advertising channels, so yes.

嗯，我們很難說。我們看到《每日郵報》一直在增加旗下媒體的廣告投放量，增加廣告投放量。所以顯然，整個市場面臨一些下行壓力，因為如果庫存增加，價格可能會稍微便宜一些。至少目前，我們還沒有看到我們擔心的那種重大因素。當然，未來很難預測。而且，我認為，總的來說，價格下降可能會帶來相反的效果，導致所有廣告收入都上漲，從而導致電視和其他廣告管道的預算重新分配，所以是的。

On the previous question, the 4% in partners revenue growth, is it going to be bottoming out? Should it be bothering the rest of the year?

關於上一個問題，合作夥伴營收成長4%會觸底嗎？這會對今年剩餘時間造成影響嗎？

Yes, so this is Greg. We do expect that in Q2, Ad Network growth should improve slightly compared to Q1. So obviously, again, no crystal ball, but our expectation is that the growth rates should be slightly higher than the levels you saw in Q1.

是的，我是格雷格。我們確實預計第二季廣告網路的成長會比第一季略有改善。當然，這也不是水晶球，但我們預期成長率應該會略高於第一季的水平。

And on Taxi, you've mentioned Yandex.Drive. Do you put it inside Taxi segment? The car sharing?

關於計程車，您提到了 Yandex.Drive。您把它歸類在計程車領域嗎？是汽車共享嗎？

Yes. So Yandex.Drive car-sharing initiative is not inside of Taxi, it's inside of Experiments.

是的。所以 Yandex.Drive 汽車共享計畫並不在 Taxi 計畫內，而是在 Experiments 計畫內。

Okay. And if I may just follow up again on the EBITDA loss of Taxi segment. Looking at the numbers of the first quarter, it sounds like your guidance for full year flat EBITDA loss is kind of conservative. Is it fair to say that it's because of the Food Delivery investments? Or your potential aggressiveness in the segment? Or just core Taxi itself?

好的。請容許我再次問計程車部門的EBITDA虧損狀況。從第一季的數據來看，您對全年EBITDA虧損持平的預期似乎有些保守。可以說這是因為食品配送的投資？還是因為您在該部門的潛在積極性？還是只是核心計程車業務本身？

Sure, Ulyana, good question. So I think I mentioned this in the previous call as well. I would call it sort of 3 big buckets of spend within Taxi outside of the core Taxi business. The first one is Uber, where the integration takes some time, and that's what we talked about in the last call. Some of the technical integration still is not complete. And it should be complete sort of by the end of Q2. Until that happens, the spend level on the Uber side of the business is elevated. The second bucket is self-driving, where we are investing aggressively to develop our own self-driving technology. And the third bucket is Food Delivery, where we are investing aggressively to roll out the service and make it even more convenient and easier to use for consumers in Moscow. And then obviously, we are looking beyond Moscow as well as we roll this service out. I continue to believe that when we bring down the wait times for Food Delivery from sort of the 45 minutes to 1 hour that you see with some of our competition down to the 30-minute level, I think you would eventually see a step change in consumer behavior. And the same that you saw with Yandex.Taxi. Historically, in Moscow, it could be easily 45 minutes until you get a taxi to you from one of the conventional phone dispatch services, right? And when you -- now with Yandex.Taxi, I think, our ETAs in Moscow is sort of in the 4-minute range. And then obviously it creates tremendous elasticity in consumption. And so we think that you might get the same effect with Food Delivery. That's why we are focusing on our own carriers, and that's why we are investing in it heavily.

當然，Ulyana，這個問題問得好。我想我在上次電話會議上也提到過。我認為計程車業務除了核心業務之外，還有三大支出領域。第一個領域是Uber，它的整合需要一些時間，我們在上次電話會議上也談到了這一點。一些技術整合仍然沒有完成，應該在第二季末完成。在此之前，Uber業務的支出會增加。第二個領域是自動駕駛，我們正在積極投資開發自己的自動駕駛技術。第三個領域是外賣，我們正在積極投資推廣這項服務，讓莫斯科的消費者能夠更方便、更輕鬆地使用這項服務。當然，在推廣這項服務的同時，我們也在放眼莫斯科以外的地區。我仍然相信，當我們將外賣的等待時間從一些競爭對手的45分鐘到1小時縮短到30分鐘左右時，我認為你最終會看到消費者行為的顯著變化。 Yandex.Taxi 也經歷了同樣的變化。以前在莫斯科，透過傳統的電話調度服務，你很可能要等45分鐘才能叫到計程車，對吧？而現在有了 Yandex.Taxi，我們在莫斯科的預計到達時間（ETA）大概在4分鐘左右。這顯然會為消費帶來巨大的彈性。我們認為外送也能達到同樣的效果。這就是為什麼我們專注於自己的承運商，並大力投資於此。

We will now take our next question from Vladimir Bespalov.

我們現在來回答 Vladimir Bespalov 提出的下一個問題。

First, I have a question, a follow-up question to what Ulyana asked on advertising network. When I look at your guidance for Search and Portal, there is some scope for acceleration compared to the first quarter. On the other hand, you mentioned that your guidance for margins is like more conservative for the full year compared to the first quarter. So does this basically mean that you are going to invest in accelerating the growth of advertising network and this might trigger some additional expenses and pressure on margins? This is the first question. Then I have a question on Yandex.Market. When I looked at your guidance you provided in the first quarter on the revenue growth, it was supposed to grow like for the full year more or less in line with Search and Portal. Do you still have the same guidance following the results of the first quarter, because this implies a major acceleration in the next several quarters. And the third question is on Classifieds. Could you probably provide more color on what are the expenses related to Classifieds because this should be a pretty profitable business but the margins are negative. So could you maybe break down the expenses? And what do you expect from these expenses going forward in terms of growth and maybe improvement in profitability?

首先，我有一個問題，是針對Ulyana關於廣告網路的後續問題。我查看了你們對搜尋和入口網站的指引，發現與第一季相比，成長有一定的加速空間。另一方面，您提到，與第一季相比，你們對全年利潤率的指引更為保守。這是否意味著你們將投資於加速廣告網路的成長，這可能會引發一些額外的支出並給利潤率帶來壓力？這是第一個問題。然後，我有一個關於Yandex.Market的問題。我查看了你們在第一季提供的營收成長指引，當時預計全年營收成長將與搜尋和入口網站大致持平。在第一季業績公佈後，你們是否仍保持同樣的指引，因為這意味著未來幾季的成長將大幅加速。第三個問題是關於分類廣告業務的。由於分類廣告業務應該是一個相當盈利的業務，但利潤率卻為負，您能否詳細介紹一下相關費用？能否詳細分析一下這些費用？就成長和獲利能力的提高而言，您對這些費用的未來有何期望？

Mikhail. Probably I'll take the first one and Greg will take the other 2. So just to reiterate our own properties are growing very nicely and maybe even slightly better than I personally expected. So as we said, yes, we do have this little bit of a headwind due to the changing partner mix, but we are expecting things to pick up a little bit. Our margin guidance is the same, so we actually, I wouldn't say, we are like conservative or anything. We just keep reiterating kind of what we already had. So yes, I think that's about it.

米哈伊爾：我可能會選第一個，格雷格會選另外兩個。所以，我重申一下，我們自己的資產成長非常好，甚至可能比我個人預期的還要好。正如我們所說，由於合作夥伴結構的變化，我們確實面臨一些阻力，但我們預計情況會有所改善。我們的利潤率指引保持不變，所以實際上，我不會說我們比較保守或類似的說法。我們只是不斷重申我們已經擁有的資產。所以，是的，我想就是這樣。

I want to say that the -- my question was that you expect some acceleration probably in revenues for Search and Portal. But on the other hand your guidance implies that margins will go down in the subsequent quarters compared to the first one, so that's why I asked the question, what should drive this? Why do you expect this? So some maybe additional investment trying to accelerate the advertising network which will probably trigger some extra expenses?

我想說的是——我的問題是，您預計搜尋和門戶網站的收入可能會有所加速。但另一方面，您的指引暗示，與第一季相比，後續幾季的利潤率會下降，所以我問了這個問題，是什麼導致了這種情況？為什麼您會有這樣的預期？所以，可能是一些額外的投資，試圖加速廣告網路的發展，這可能會帶來一些額外的費用？

We are still early in the year and, obviously, we will be making a lot of new investments. So that's why we are giving this guidance. And our -- the growth, large percentage of growth has been coming from our internal services and sort of continue -- we expect that to continue for the foreseeable future.

今年還處於初期階段，顯然我們會進行大量新投資。這就是我們發布此業績指引的原因。我們的成長很大一部分來自內部服務，預計在可預見的未來，這種成長態勢還將持續。

And then Vladimir on your second and third question on Yandex.Market. So obviously, what's implied from the guidance is that we think that market should grow at roughly the same overall growth rate as the rest of the business. So I think that's the implication from saying that the consolidation should have no real impact on the outlook either way. And then on your second -- rather on your third questions about Classifieds, the investment is in marketing, and we are still expanding the footprint of Yandex Classifieds business, specifically Auto.ru. Auto.ru is doing really well and gaining market share in a number of new regions as well as solidifying market share gains in Moscow and St. Petersburg. And so you have both excellent revenue growth, which we see as a very encouraging signal that consumer adoption of what we believe is extremely, extremely focused vertical classified service, encourages us to continue spending and investing in it. And, obviously, at scale, this is a Classifieds business just like any other. And so we believe that once it does reach that scale, once we do stop investing in advertising and marketing, it will be a very, very healthy Classifieds business that we are excited to have in our portfolio.

然後，弗拉基米爾，關於您關於 Yandex.Market 的第二和第三個問題。顯然，從業績指引中可以看出，我們認為該市場的整體成長率應該與其他業務大致相同。所以，我認為這就是「合併對前景不會產生任何實際影響」這句話的意思。然後，關於您關於分類廣告的第二個問題，確切地說是第三個問題，我們的投資主要集中在行銷方面，我們仍在擴大 Yandex 分類廣告業務的覆蓋範圍，特別是 Auto.ru。 Auto.ru 表現非常出色，在多個新地區獲得了市場份額，同時在莫斯科和聖彼得堡的市場份額增長也得到了鞏固。因此，你們的收入成長都非常出色，我們認為這是一個非常令人鼓舞的信號，表明消費者對我們認為極其專注的垂直分類廣告服務的接受度，鼓勵我們繼續在該領域投入資金。顯然，從規模來看，分類廣告業務與其他業務並無二致。因此，我們相信，一旦它達到那個規模，一旦我們停止對廣告和行銷的投資，它就會成為一項非常非常健康的分類廣告業務，我們很高興將其納入我們的投資組合。

(Operator Instructions) We will now take our next question from Olga Bystrova from Crédit Suisse.

（操作員指示）現在我們將回答瑞士信貸的 Olga Bystrova 提出的下一個問題。

Follow-up on Classifieds. You mentioned on the Auto.ru. Can you talk a little bit about other verticals that you are considering or maybe not considering at all to develop going forward? And in general what are your plans for Classifieds segment? And the follow-up question is on the mobile. Can you repeat again traffic and revenue share and how your monetization of mobile traffic has changed since the fourth quarter last year?

關於分類廣告業務的後續問題。您之前提到了 Auto.ru。能否談談您正在考慮或可能根本沒有考慮開發的其他垂直領域？您對分類廣告業務的整體計劃是什麼？接下來的問題是關於行動端的。您能否再次介紹一下流量和收入分成情況，以及自去年第四季以來，行動流量的獲利模式發生了哪些變化？

Hi, Olga. I'll take the first part of the question. So I mentioned Auto.ru because it's the largest component of the total. It represents, roughly speaking about 80% of total Classifieds revenue and probably more than 80% of the total EBITDA loss. The other segments that we are focused on is the real estate one, where we do have a pretty good product, and we're excited about it, and where revenue growth rates are generally in the same ballpark as the Classifieds business overall. The one business where we're not making heavy investments and is sort of there is jobs. And then let me hand it over to Mikhail for the question on mobile monetization.

你好，奧爾加。我來回答問題的第一部分。我提到 Auto.ru 是因為它是我們業務中最大的組成部分。它大約佔了分類廣告總收入的 80%，甚至可能佔 EBITDA 虧損的 80% 以上。我們關注的其他領域是房地產，我們在這方面確實有相當不錯的產品，我們對此感到興奮，而且該領域的收入增長率與分類廣告業務的整體水平大致相同。我們沒有在這個業務上進行大規模投資，也創造了一些就業機會。然後，我把關於移動獲利的問題交給米哈伊爾。

Yes. And as I said, we do see very significant increases in mobile traffic recently and concurrent with our increase in share -- search share there. And so it reached 42% in fact 42.5%, right, for Q1. Our traffic has been coming from mobile. Then revenue share represents 34%. And yes, this trend is continuing into Q2 is what we are seeing right now. We're -- as I said, we are very focused on monetizing that traffic. That's why, in Q1, all our templates release is mostly we are focusing on mobile. I would say that there is a little bit of this effect again that when part of the market grows very quickly, we do see CPCs coming down a little bit in that area. Advertisers need to adjust (inaudible) but overall, we are positive for working on monetization and reiterate our guidance, in fact, optimistic.

是的。正如我所說，我們最近確實看到行動流量顯著成長，同時，我們的搜尋份額也在成長。所以第一季度，我們的搜尋份額達到了42%，實際上是42.5%。我們的流量主要來自行動端。收入份額佔34%。是的，這種趨勢延續到了第二季度，這就是我們現在看到的。正如我所說，我們非常注重流量的變現。這就是為什麼在第一季度，我們發布的所有模板主要都集中在行動端。我想說，當某個市場快速成長時，我們確實會看到該領域的每次點擊費用（CPC）略有下降，這又會產生一些影響。廣告商需要調整（聽不清楚），但總的來說，我們對變現工作持正面態度，並重申我們的預期，事實上，我們對未來持樂觀態度。

Okay. And if you don't mind, just a follow-up on the Taxi losses that you mentioned. There was a one-off due to the integration costs. Can you give us a sort of at least some rough idea of the magnitude of that one-off expense that I assume is not going to recur in the second quarter and throughout the year?

好的。如果您不介意的話，我想補充您提到的計程車業務的損失。由於整合成本，這筆一次性支出是一筆。您能否大致估算一下這筆一次性支出的規模？我估計這筆支出在第二季和全年不會再次發生。

Sure. We mentioned that the one-off expense was related to the transaction fees. So I think you can make your own assumptions about what legal and investment banking fees would be for transaction of this size. The other costs, like I mentioned, of the integration will take some time, will still happen in Q2. And just to remind there that in Q2, we'll have Uber for the full 12 weeks of the quarter as opposed to just having it in the base for 6 weeks. And given the much higher efficiency on Yandex.Taxi side, that's a headwind.

當然。我們提到一次性費用與交易費用有關。所以我認為您可以自行估算這種規模的交易的法律費用和投資銀行費用。正如我所提到的，整合的其他成本需要一些時間，仍將在第二季產生。需要提醒的是，在第二季度，Uber 將在整個季度的 12 週內運行，而不是僅在基礎平台運行 6 週。考慮到 Yandex.Taxi 的效率要高得多，這將是一個不利因素。

We will now take our next question from Sergey Libin from Raiffeisen Bank

我們現在將回答來自 Raiffeisen 銀行的 Sergey Libin 提出的下一個問題

So I have 2 questions as well. First one is on Taxi. In the last couple of quarters, you provided growth rates for gross revenues for Yandex.Taxi. So could you do it again for this quarter as well, please? And also on Taxi, Greg, as you mentioned that you are optimizing driver incentives and other types of discounts. Is it fair to assume that for the whole 2018, the percentage of gross revenues which will be subsidized will be lower than in 2017? And secondly, I have a question on search, actually. So this quarter, search engine results pages grew faster than paid clicks, implying the -- some decline in click-through rates. So do I get it right that this happens because of more mobile traffic coming in? And is it also fair to assume that the increasing search here does not imply the similar increase in revenues?

我也有兩個問題。第一個是關於出租車的。在過去幾個季度，你們提供了 Yandex.Taxi 總收入的成長率。請問本季您能再提供一下嗎？另外，關於出租車，Greg，您提到您正在優化司機激勵措施和其他類型的折扣。是否可以假設，2018 年全年用於補貼的總收入比例會低於 2017 年？其次，我實際上有一個關於搜索的問題。本季度，搜尋引擎結果頁面的成長速度快於付費點擊量，這意味著點擊率有所下降。那麼，我理解的正確嗎？這是因為行動流量增加所導致的。此外，是否可以假設，搜尋量的成長並不意味著收入的類似成長？

Sergey, so on the growth revenue side for Taxi, we sort of didn't provide it because we didn't think it was that useful but we're happy to provide it. It was roughly 240% year-over-year. And in terms of subsidies, I think, it's reasonable to assume that subsidies overall in 2018 will be lower than 2017. But, obviously, it will depend on sort of the elasticity of demand within each particular city and will be sort of done on a bottoms up city-by-city basis as always. And then, obviously, you kind of have an overall number for EBITDA loss that we have kind of given you. And that's what we manage to in a way as well as whatever is the competitive situation in any particular city or town. I'll hand it over to Mikhail.

謝爾蓋，關於計程車業務的成長收入，我們之前沒有提供，因為我們認為這沒什麼用，但我們很樂意提供。年比成長約240%。至於補貼，我認為可以合理地假設2018年的整體補貼將低於2017年。但顯然，這將取決於每個城市的需求彈性，並且將像往常一樣，以自下而上的方式逐個城市進行。然後，顯然，我們已經提供了EBITDA（息稅折舊攤提前利潤）損失的總體數字。這就是我們設法做到的，無論每個城市或城鎮的競爭狀況如何。我將把時間交給米哈伊爾。

Yes, on paid clicks. No, I wouldn't infer that. We really don't look at them all that much because it's very easy to dramatically increase paid clicks by just showing cheaper products and something more interesting but will drop the revenues or will decrease the revenue growth. So we keep on focusing on overall sort of economic value we're driving, so total kind of clicks multiplied by how valuable they are. Mobile traffic, as you know, of course, monetizes somewhat worse on average than desktop traffic. So as our percentage of traffic coming from mobile increases, the overall sort of impact, not a significant just linear multiplying the desktop out. But what -- the traffic that we've been getting and the sort of the quality of the number of conversions we're seeing is about the same as you would expect for the normal mobile traffic. So I don't -- yes, like -- we don't see any difference in terms of like the new traffic we are getting on mobile and the traffic that we saw previously on mobile.

是的，關於付費點擊。不，我不會這麼推論。我們真的不太關注這些，因為僅僅透過展示更便宜的產品和更有趣的內容很容易大幅增加付費點擊量，但這會降低收入或減緩收入成長。所以我們一直專注於我們推動的整體經濟價值，也就是總點擊量乘以它們的價值。當然，如你所知，行動流量的平均變現能力比桌面流量差一些。所以，隨著我們來自行動端的流量比例增加，整體影響並不顯著，只是桌面流量的線性成長。但是——我們獲得的流量以及我們看到的轉換數量品質與你對普通行動流量的預期大致相同。所以我沒有——是的——我們在行動端獲得的新增流量和之前看到的流量方面看到任何差異。

Thank you very much. Ladies and gentlemen, there are no further questions at this time. I would now like to turn the call back to Katya for any additional remarks.

非常感謝。女士們，先生們，現在沒有其他問題了。現在我想把電話轉回給卡佳，請她補充意見。

Hi, again. Thank you very much for joining our call today. Please feel free to reach out to us in case you have any question, we will try to answer all of them. Have a great day, and see you later. Bye.

大家好！非常感謝您今天參加我們的電話會議。如果您有任何問題，請隨時聯絡我們，我們會盡力解答。祝您擁有美好的一天，回頭見。再見。

Ladies and gentlemen, this will conclude today's conference call. Thank you all for your participation today. You may now disconnect.

女士們，先生們，今天的電話會議到此結束。感謝各位今天的參與。現在您可以掛斷電話了。