拼多多 (PDD) 2020 Q1 法說會逐字稿

Ladies and gentlemen, welcome to Pinduoduo First Quarter 2020 Earnings Conference Call.

女士們，先生們，歡迎來到拼多多2020年第一季度財報電話會議。

(Operator Instructions)

（操作員說明）

Today's conference call is being recorded.

今天的電話會議正在錄製中。

I would now like to turn the conference over to your first speaker today, Mr. Nick Shu.

我現在想把會議轉交給今天的第一位發言人 Nick Shu 先生。

Please go ahead, sir.

請繼續，先生。

Thank you, Rachel.

謝謝你，雷切爾。

Hello, everyone, and thank you for joining us today.

大家好，感謝您今天加入我們。

Pinduoduo's earnings release was distributed earlier and is available on the IR website at investor.pinduoduo.com as well as through the GlobeNewswire services.

拼多多的財報發布較早，可在 IR 網站 investor.pinduoduo.com 以及 GlobeNewswire 服務上獲取。

On today's call, our CEO, Colin Huang, will make some general remarks on our performance for the first quarter of 2020, on the COVID-19 implication on our industry, our business and our team.

在今天的電話會議上，我們的首席執行官 Colin Huang 將就我們 2020 年第一季度的業績、COVID-19 對我們的行業、我們的業務和我們的團隊的影響發表一些一般性評論。

Our VP of Strategy, David Liu, will then elaborate further on the strategic initiatives as well as take us through our financial results for the first quarter ended March 31, 2020.

我們的戰略副總裁 David Liu 隨後將進一步闡述戰略舉措，並向我們介紹截至 2020 年 3 月 31 日的第一季度財務業績。

Before we begin, I'd like to remind you that this conference contains forward-looking statements within the meaning of Section 21E of the U.S. Securities Exchange Act of 1934 as amended and as defined in the U.S. Private Securities Litigation Reform Act of 1995.

在我們開始之前，我想提醒您，本次會議包含經修訂的美國 1934 年證券交易法第 21E 條和 1995 年美國私人證券訴訟改革法所定義的前瞻性陳述。

These forward-looking statements can be identified by terminologies such as will, anticipate and similar statements.

這些前瞻性陳述可以通過諸如意願、預期和類似陳述等術語來識別。

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

此類陳述基於管理層當前的預期和當前的市場運營狀況，並涉及涉及已知或未知風險、不確定性和其他因素的事件，所有這些都難以預測，其中許多超出了公司的控制範圍，可能導致公司的實際結果、業績或成就與前瞻性陳述中的結果、業績或成就存在重大差異。

Further information regarding these and other risks and uncertainties or factors are included in the company's filings with the U.S. Securities and Exchange Commission.

有關這些和其他風險和不確定性或因素的更多信息包含在公司向美國證券交易委員會提交的文件中。

The company does not undertake any obligation to update any forward-looking statements as a result of new information, further events or otherwise, except as required under the applicable laws.

公司不承擔因新信息、進一步事件或其他原因而更新任何前瞻性陳述的任何義務，除非適用法律要求。

Now it is my pleasure to introduce Chairman and Chief Executive Officer, Mr. Huang.

現在我很高興向大家介紹董事長兼首席執行官黃先生。

Mr. Huang, please go ahead.

黃先生，請繼續。

Thank you, Nick.

謝謝你，尼克。

Hello, everyone, and thank you for joining our first quarter 2020 results announcement.

大家好，感謝您加入我們的 2020 年第一季度業績公告。

It is hard to believe that we're nearly halfway through the year.

很難相信今年已經快過半了。

While COVID-19 has put much of the world on a holding pattern since February, it has also resulted in a period of intense activity for many industries and companies seeking to cope with such unprecedented phenomenon.

自 2 月以來，COVID-19 使世界大部分地區處於停滯狀態，但它也導致許多行業和公司在一段時期內進行了激烈的活動，以應對這種前所未有的現象。

COVID-19 has unleashed powerful forces that are changing the way we live, work and play.

COVID-19 釋放出強大的力量，正在改變我們的生活、工作和娛樂方式。

It has compressed the years of behavioral change and accelerated the adoption of online commerce at an unprecedented pace.

它壓縮了多年的行為改變，並以前所未有的速度加速了在線商務的採用。

Now more than ever, people are relying on online platforms to meet not just their discretionary wants but for their critical needs.

現在，人們比以往任何時候都更依賴在線平台來滿足他們的隨意需求和關鍵需求。

But while e-commerce has crossed an important threshold and had become more integral to people's lives, this change also requires a lot of trust on the part of consumers, something that platforms must continue to work hard to earn.

但是，儘管電子商務已經跨越了一個重要的門檻，已經成為人們生活中不可或缺的一部分，但這種變化也需要消費者的大量信任，而平台必須繼續努力才能獲得這種信任。

As a company, we made a deliberate decision to step up our support of our users and the merchant community to help tide them over these challenging times.

作為一家公司，我們深思熟慮地決定加強對我們的用戶和商家社區的支持，以幫助他們度過這些充滿挑戰的時期。

In the near term, these initiatives might mean higher bandwidth costs, more costs to help offset price increases for medical and household essentials or even more free traffic support for our most trusted merchants.

在短期內，這些舉措可能意味著更高的帶寬成本、更多的成本來幫助抵消醫療和家庭必需品的價格上漲，或者為我們最值得信賴的商家提供更多的免費流量支持。

But we made these decisions deliberately because they are consistent with our corporate culture of the firm or doing the right things.

但我們是故意做出這些決定的，因為它們符合我們公司的企業文化或做正確的事情。

This cautiousness -- our cautious investments help built invaluable trust with our users.

這種謹慎——我們謹慎的投資有助於與我們的用戶建立寶貴的信任。

People remember when you are there for them in their time of need.

人們會記得在他們需要的時候你在他們身邊。

The pandemic also unleashed another powerful force that opt the need for better ways to interact and socialize online.

大流行病還釋放出另一種強大的力量，他們選擇需要更好的在線互動和社交方式。

This need for the right digital tools has never been more important with the fusing of the physical and the virtual worlds because people must now find ways to do online what they used to do off-line, whether it is going to office, shopping arm-in-arm at a retail mall, sharing popcorn and movies or having hotpot together.

隨著物理世界和虛擬世界的融合，對正確的數字工具的需求變得前所未有的重要，因為人們現在必須找到方法在線上做他們過去在線下做的事情，無論是去辦公室，購物手臂-在零售商場挽著手，分享爆米花和電影，或者一起吃火鍋。

We have positioned ourselves to ride the convergence of these powerful forces.

我們已將自己定位為駕馭這些強大力量的匯聚。

We designed our platform to maximize social interaction by tapping on our innate desire to connect and share.

我們設計了我們的平台，通過利用我們與生俱來的聯繫和分享慾望來最大化社交互動。

Our mission has never been more relevant or salient in these challenging times, which is to provide a fun and engaging environment for people to stop -- to shop together and get better value for their money.

在這個充滿挑戰的時代，我們的使命從未如此相關或突出，那就是為人們提供一個有趣和引人入勝的環境——一起購物，讓他們的錢物有所值。

We know we are on the right track because we crossed the 600 million annual active users -- annual active buyers for the first time this past quarter, and our user engagement metrics continued to improve.

我們知道我們走在正確的軌道上，因為我們在上個季度首次突破了 6 億年度活躍用戶——年度活躍買家，並且我們的用戶參與度指標繼續提高。

And how COVID-19 has changed the retail industry -- so how has COVID-19 changed the retail industry and e-commerce?

以及 COVID-19 如何改變了零售業——那麼 COVID-19 如何改變了零售業和電子商務？

What do these change mean for the company like Pinduoduo?

這些變化對拼多多這樣的公司意味著什麼？

Let me highlight 3 specific change.

讓我強調 3 個具體的變化。

First, live streaming.

第一，直播。

With COVID-19, we realized that the boundaries between virtual and physical worlds have blurred to an unprecedented degree.

通過 COVID-19，我們意識到虛擬世界和物理世界之間的界限已經變得前所未有的模糊。

We launched our live stream service in November last year, and we have found it to be an effective tool in lowering the barriers to helping consumers overcome their aversion to buying certain product categories on.

我們於去年 11 月推出了直播服務，我們發現它是降低障礙的有效工具，可以幫助消費者克服對購買某些產品類別的厭惡情緒。

These categories include high-end jewelries, such as pearls and jade; premium seafood like Argentine shrimp or live lobster; or even farming equipments.

這些類別包括高端珠寶，例如珍珠和翡翠；優質海鮮，如阿根廷蝦或活龍蝦；甚至農業設備。

We see live streaming not only as a channel to sell products but, more importantly, a venue for merchants to share their personal experiences and interact with users.

我們認為直播不僅僅是銷售產品的渠道，更重要的是商家分享個人經驗和與用戶互動的場所。

Live streaming is a great way to showcase certain off-line experience that otherwise aren't available to many of our users.

直播是展示某些線下體驗的好方法，否則我們的許多用戶無法獲得這些體驗。

For example, we organized live streaming tours to 7 major museums worldwide while featuring select items from their representative gift shops.

例如，我們組織了全球 7 個主要博物館的直播之旅，同時展示了來自其代表性禮品店的精選商品。

Through live streaming, producers build trust with potential consumers by showcasing their work, from how they pick food from their farms to how they pack the catch of the day or even how they make delicious meatballs by hand.

通過直播，生產者通過展示他們的工作來建立與潛在消費者的信任，從他們如何從他們的農場採摘食物到他們如何包裝當天的捕獲物，甚至他們如何手工製作美味的肉丸。

Live streaming opens a window into the lives of producers and unfolds the story of the product in a way that a simple listing cannot.

直播打開了一扇了解生產者生活的窗口，並以一種簡單的列表無法做到的方式展現產品的故事。

Live streaming also helps consumers to better appreciate and differentiate the product by having the merchant demonstrate the product and answering questions just like if one were shopping in the mall.

直播還可以讓商家像在商場購物一樣展示產品和回答問題，幫助消費者更好地欣賞和區分產品。

The second change is faster online/off-line integration.

第二個變化是更快的線上/線下整合。

We still see significant opportunity in combining the scale of our online traffic with off-line retail experiences.

我們仍然看到了將我們的在線流量規模與線下零售體驗相結合的重要機會。

In early May, we joined forces with the Shanghai government and the local enterprises to successfully organize the May 5 shopping festival.

5月初，我們聯合上海市政府和當地企業成功舉辦了5月5日購物節。

In 5 days, we have to drive over RMB 3.2 billion of online sales in the Shanghai area through 100 shopping malls.

5天時間，我們要通過100家商場帶動上海地區超過32億元的線上銷售額。

More than 78 million users enjoyed the live streaming content produced by 1,136 PDD live streaming rooms in collaboration with CCTV.

超過7800萬用戶觀看了1136個拼多多直播間與央視合作的直播內容。

Users were able to enjoy consumer services from in-store salespeople.

用戶能夠享受店內銷售人員提供的消費服務。

Pinduoduo also sold over 600 cars in the first 2 hours of the festival in a partnership with Shanghai-based SAIC group.

拼多多還與總部位於上海的上汽集團合作，在節日的前兩個小時內售出了 600 多輛汽車。

We partnered with GOME to expedite the integration of the online and off-line sales experience.

我們與國美合作，加快線上線下銷售體驗的整合。

Home appliances and consumer electronics are product categories where delivery, installation and aftersales services are important parts of the purchase consideration.

家電和消費電子產品類別中，交付、安裝和售後服務是購買考慮的重要部分。

GOME's nationwide retail network will play a crucial role in a part of the sales process, and we're working together to redesign the shopping experience.

國美遍布全國的零售網絡將在部分銷售過程中發揮至關重要的作用，我們正在共同努力，重新設計購物體驗。

The third change relates to helping exporters pivot to the domestic consumer market.

第三個變化涉及幫助出口商轉向國內消費市場。

Due to the worldwide spread of the coronavirus, China's export was down 11.4% in the first quarter 2020.

由于冠狀病毒在全球範圍內傳播，2020 年第一季度中國出口下降了 11.4%。

And the outlook remains uncertain.

前景仍然不明朗。

We have been working closely with local governments in China to direct export-oriented production capacity towards domestic consumption demand.

我們一直與中國地方政府密切合作，將出口導向型產能引向國內消費需求。

COVID-19 has forced these high-quality manufacturers to focus on domestic market opportunities earlier than they might have otherwise.

COVID-19 迫使這些優質製造商比原本可能更早地關注國內市場機會。

This plays well into our C2M vision, and we look forward to working with them to offer more value for money products tailored for our users.

這很好地體現了我們的 C2M 願景，我們期待與他們合作，為我們的用戶提供更物有所值的產品。

On COVID-19 impact.

關於 COVID-19 的影響。

In the first quarter of 2020, China's GDP fell by 6.8% from a year ago.

2020年一季度，中國GDP同比下降6.8%。

Total retail sales of consumer goods were down 19%.

社會消費品零售總額下降19%。

At the same time, the worldwide pandemic started to weigh on China's exports.

與此同時，全球疫情開始對中國出口造成壓力。

Consumers relied on e-commerce for the bulk of their purchases during the crisis.

在危機期間，消費者的大部分購買都依賴電子商務。

Since our March end -- earnings call, travel restrictions for most areas of China have been lifted and physical outlets have reopened.

自我們 3 月底的財報電話會議以來，中國大部分地區的旅行限制已經取消，實體店已經重新開放。

The domestic economy has started to recover.

國內經濟開始復蘇。

We observed that the online retail sales of physical goods increased by 5.9% during the first quarter.

我們觀察到，一季度實物商品網上零售額增長5.9%。

The pace of online buying picked up in March when logistics networks and the supply chains resumed at full capacity.

3 月份，當物流網絡和供應鏈恢復滿負荷運轉時，在線購買的步伐加快。

For Pinduoduo, this past quarter was among the most challenging in our brief history.

對於拼多多來說，過去的這個季度是我們短暫歷史上最具挑戰性的季度之一。

But we continued to solidly execute our user-centric strategy.

但我們繼續堅定地執行以用戶為中心的戰略。

For the last 12 months ended March 31, 2020, we recorded a GMV growth of 108% to RMB 1,157 billion and served 628 million annual active buyers, up 62% (sic) [42%] from a year ago and 43 million from last quarter.

在截至 2020 年 3 月 31 日的過去 12 個月中，我們錄得 GMV 增長 108% 至 11,570 億元人民幣，並為 6.28 億年度活躍買家提供服務，同比增長 62% (sic) [42%]，同比增長 4300 萬四分之一。

Our first quarter revenue grew 44% to RMB 6.5 billion, and we'll continue to invest in scale -- in sales and marketing to engage and support our users when they were most in need.

我們第一季度的收入增長了 44%，達到 65 億元人民幣，我們將繼續投資於規模——銷售和營銷，以在用戶最需要的時候吸引和支持他們。

This past quarter was also one of the most rewarding for us because we were able to make significant contributions to the society.

過去的這個季度對我們來說也是最有意義的一個季度，因為我們能夠為社會做出重大貢獻。

We also saw the next generation of leaders emerging as they stepped up to serve our users, which I will expand on later.

我們還看到了下一代領導者的出現，因為他們加緊為我們的用戶提供服務，我將在稍後詳細介紹。

During the peak of the outbreak in China, our team toiled to ensure that the daily needs of our users are matching in a timely fashion within the safety of our -- of their homes.

在中國爆發的高峰期，我們的團隊努力確保我們的用戶的日常需求在我們家中的安全範圍內及時得到滿足。

We then devoted our energies to support the recovery and online migration of many off-line business as the impact of COVID-19 subsidized.

隨著 COVID-19 的影響得到補貼，我們隨後投入精力支持許多線下業務的恢復和在線遷移。

As a platform serving over 600 million users, COVID-19 reminded us of how important PDD has become to our ecosystem of users, merchants and business partners.

作為一個為超過 6 億用戶提供服務的平台，COVID-19 提醒我們拼多多對於我們的用戶、商家和業務合作夥伴生態系統的重要性。

In order to help the small- and medium-sized business, owners and -- our platform, we proactively reduced the advertising fees charged to merchants, provided incentives for those fulfilling orders during the outbreak and directed free traffic to medical supplies and household items that our users needed the most while under quarantine.

為了幫助中小企業、業主和——我們的平台，我們主動降低了向商家收取的廣告費，為那些在疫情期間完成訂單的人提供獎勵，並將免費流量引導至醫療用品和家居用品。我們的用戶在隔離期間最需要。

In addition, we subsidized medical products such as masks and disinfectant to help counter price spikes due to the supply-demand imbalance.

此外，我們對口罩和消毒劑等醫療產品進行補貼，以幫助應對因供需失衡而導致的價格飆升。

We also defrayed part of the logistics costs.

我們還支付了一部分物流費用。

These initiatives resulted in lower revenue as a percentage of our GMV and higher costs of goods sold during the first quarter.

這些舉措導致第一季度收入佔 GMV 的百分比下降，銷售成本上升。

But it was the right thing to do, I believe.

但我相信這是正確的做法。

During this trying period, we remain focused on building trust with our users, trust in the sense of community have become more critical in such uncertain times.

在這段艱難時期，我們仍然專注於與用戶建立信任，在這種不確定的時期，對社區意識的信任變得更加重要。

For example, we stepped up our commitment in live streaming and made it accessible to all our merchants.

例如，我們加強了對直播的承諾，並讓所有商家都可以使用。

Another feature we build trust is the community squad shopping feature that we introduced to help locked down consumers in local communities to buy daily necessities and food from nearby groceries and supermarkets.

我們建立信任的另一個功能是我們推出的社區小隊購物功能，以幫助鎖定當地社區的消費者從附近的雜貨店和超市購買日常必需品和食品。

As a result, we have observed the positive impact in our user engagement metrics.

因此，我們觀察到了對用戶參與度指標的積極影響。

Although the first quarter is typically the slowest for e-commerce, MAU-to-active annual buyers ratio increased from 60.54 -- 6.5 -- 65.4% in the first quarter of 2019 to 77.6% in the first quarter in 2020.

儘管第一季度通常是電子商務最慢的季度，但 MAU 與活躍年度買家的比率從 2019 年第一季度的 60.54% - 6.5% - 65.4% 增加到 2020 年第一季度的 77.6%。

This ratio reflects improvement in our user satisfaction and as more users are finding products on our platform of their interest, meet their expectations and prompted them to place orders.

這一比率反映了我們用戶滿意度的提高，並且隨著越來越多的用戶在我們的平台上找到他們感興趣的產品，滿足他們的期望並促使他們下訂單。

Our team and internal initiatives.

我們的團隊和內部舉措。

This past quarter, we overcame some of the greatest challenges since our company's inception.

上個季度，我們克服了公司成立以來面臨的一些最大挑戰。

As the founder and CEO, I was touched to see our team put serving our 600 million-plus user community as their top priority.

作為創始人兼首席執行官，我很感動地看到我們的團隊將服務我們 6 億多用戶社區作為他們的首要任務。

This commitment reflects the value of our employees, the corporate culture of Tencent that we seek to build.

這一承諾體現了我們員工的價值，體現了我們力求打造的騰訊企業文化。

As I try -- as I said on our March conference call, we saw many young people emerge through this trying period as new leaders of our business.

在我努力的過程中——正如我在 3 月份的電話會議上所說的那樣，我們看到許多年輕人在這段艱難時期脫穎而出，成為我們業務的新領導者。

They have stepped up, and they -- and their aspiration and innovation are pushing us all forward in our quest to realize Pinduoduo's vision.

他們挺身而出，他們——以及他們的抱負和創新正在推動我們所有人在實現拼多多願景的過程中向前邁進。

During COVID-19, these young leaders made practical business decisions and executed them soundly, exceeding the expectations of our substantial user base.

在 COVID-19 期間，這些年輕的領導者做出了切實可行的業務決策並妥善執行，超出了我們龐大用戶群的期望。

This is why we, as a company, were able to accelerate the recovery of our business and grow our average daily order volume to over 60 -- 50 million in March.

這就是為什麼我們作為一家公司能夠加快業務的複蘇，並將我們的平均每日訂單量在 3 月份增加到 60 多個 - 5000 萬個。

They're ready to take on more responsibilities for running the business.

他們已準備好承擔更多的業務運營責任。

The year ahead is very important for PDD.

未來的一年對拼多多來說非常重要。

Last year, our GMV crossed RMB 1 trillion milestone and has kept growing.

去年，我們的 GMV 突破了 1 萬億元人民幣的里程碑，並且一直保持增長。

We're encouraged by this recognition for our users.

我們對用戶的這種認可感到鼓舞。

But at the same time, we feel even greater responsibility on our shoulders.

但與此同時，我們感到肩上的責任更大。

We take this responsibility seriously, and we continue to reflect on how we can improve; how can we provide our user with a better experience on PDD; how can we make their discovery our platform more efficient, more engaging and more fun; how can we offer them more choices and give them more reassurance on quality and value.

我們認真對待這一責任，並不斷反思如何改進；我們如何才能為我們的用戶提供更好的 PDD 體驗；我們如何才能讓他們發現我們的平台更高效、更吸引人、更有趣；我們如何才能為他們提供更多選擇，讓他們對質量和價值更加放心。

This year, we will focus on -- not only on growth but also on a number of key initiatives that would form a sound foundation for our future.

今年，我們將重點關注——不僅是增長，還有一些關鍵舉措，這些舉措將為我們的未來奠定堅實的基礎。

These include continuing to improve on corporate governance, upgrading internal systems, improving personnel development and evaluation, streamlining internal approval process and motivating more internal idea generation and resource competition.

其中包括持續完善公司治理、升級內部製度、完善人才發展和評估、簡化內部審批流程以及激發更多內部創意和資源競爭。

In the past 2 months, we completed our internal performance review and feedback.

在過去的兩個月裡，我們完成了內部績效審查和反饋。

As mentioned in our March call, most of our employees received a pay raise in recognition of their dedication and contribution.

正如我們在三月份的電話會議中提到的那樣，我們的大多數員工都獲得了加薪，以表彰他們的奉獻精神和貢獻。

We have also promoted a number of them.

我們還推廣了其中的一些。

We hope to see more of them grow into new leaders of our company.

我們希望看到更多的人成長為我們公司新的領導者。

As I mentioned in my letter to shareholders, in this new era, we as a new life form should proceed more humbly and bear more responsibility.

正如我在致股東的信中提到的，在這個新時代，我們作為一種新的生命體，應該更加謙虛地前行，承擔更多的責任。

This is true for us as a company and for our young people as a new generation of leaders.

這對我們公司和作為新一代領導者的年輕人來說都是如此。

Let me now turn over to David to discuss the financial results for the quarter.

現在請大衛討論本季度的財務業績。

Thank you, Colin, and hello, everyone.

謝謝你，科林，大家好。

Let me first comment on our capital markets activities since the end of the first quarter.

首先讓我評論一下自第一季度末以來我們的資本市場活動。

First, we subscribed for USD 200 million of convertible bonds in GOME, a leading retailer of home appliances and consumer electronics in China.

首先，我們認購了中國領先的家電和消費電子產品零售商國美電器2億美元的可轉換債券。

We entered into a strategic cooperation agreement pursuant to which GOME will migrate all of its off-line SKUs onto our platform and work together with us to offer more customized, branded goods and better off-line services.

我們簽訂了戰略合作協議，根據該協議，國美會將其所有線下 SKU 遷移到我們的平台上，並與我們一起提供更多定制化、品牌化商品和更好的線下服務。

We'll continue to evaluate opportunities that will increase value to our users and to our shareholders.

我們將繼續評估為我們的用戶和股東增加價值的機會。

Secondly, we launched a private placement of USD 1.1 billion at the end of March after receiving strong reverse inquiry from long-term investors.

其次，在收到長期投資者強烈的反向詢價後，我們在3月底推出了11億美元的私募。

The placement was closed in early April.

配售已於 4 月初結束。

Net proceeds from the placement will only be reflected in our financials for the June quarter.

配售的淨收益只會反映在我們 6 月季度的財務數據中。

For the avoidance of doubt, our balance sheet and cash flow statements for the quarter ended March 31, 2020, do not include cash raised from this placement.

為避免疑義，我們截至 2020 年 3 月 31 日止季度的資產負債表和現金流量表不包括此次配售籌集的現金。

Since the placement, the company has received a number of questions on our capital raises, operating cash flow and cash position.

自配售以來，公司收到了一些關於我們的資本籌集、經營現金流和現金狀況的問題。

Let me take this opportunity to respond.

讓我藉此機會作出回應。

First, why did we go ahead with the private placement in March?

第一，我們為什麼要在三月份進行私募？

Like many blue-chip companies such as Berkshire Hathaway, Disney, Pfizer and Netflix that raised capital in the past few months, we also expect high global economic uncertainty and capital markets volatility to persist as the world economy struggles to regain its foothold.

與伯克希爾哈撒韋、迪士尼、輝瑞和 Netflix 等過去幾個月籌集資金的藍籌公司一樣，我們也預計隨著世界經濟難以重新站穩腳跟，全球經濟的高度不確定性和資本市場波動將持續存在。

At the same time, we expect the challenging outlook to give rise to more attractive investment opportunities.

與此同時，我們預計充滿挑戰的前景將帶來更具吸引力的投資機會。

The March private placement further strengthens our net cash position to weather a potential economic downturn and to pursue strategic opportunities without having to compromise the flexibility in our core business.

3 月份的私募進一步加強了我們的淨現金狀況，以抵禦潛在的經濟衰退，並在不損害我們核心業務靈活性的情況下尋求戰略機遇。

GOME is a good example.

國美就是一個很好的例子。

Second question.

第二個問題。

Why have we tapped the capital markets so many times since our IPO?

為什麼自IPO以來我們多次進入資本市場？

This is a good question.

這是一個很好的問題。

In fact, we had anticipated this possibility at the time of our IPO.

事實上，我們在 IPO 時就預料到了這種可能性。

As Colin mentioned in his shareholder letter this year, we should be and we are extremely grateful of our precious youth.

正如科林在今年的股東信中提到的，我們應該並且非常感謝我們寶貴的青春。

One feature of being young, however, is that we grow very fast.

然而，年輕的一個特徵是我們成長得非常快。

This works sometimes to our advantage but sometimes to our disadvantage.

這有時對我們有利，但有時對我們不利。

When we went public in 2018, in order to complete our listing expeditiously and not distract management from growing the business, we specifically limited the size of our offering in terms of dilution to be the smallest among comparable U.S.-listed TMT companies by market cap.

當我們在 2018 年上市時，為了迅速完成上市並且不分散管理層對業務增長的注意力，我們特別限制了我們在稀釋方面的發行規模，使其在市值可比的美國上市 TMT 公司中最小。

Dilution at the time of our IPO was 8.2% as compared to anywhere between 10% to 20% stake offered by other issuers at IPO.

我們 IPO 時的稀釋率為 8.2%，而其他發行人在 IPO 時提供的股權比例為 10% 至 20%。

As a result, we were able to complete our IPO on an extremely tight timetable as opposed to at least a year for others.

因此，我們能夠在極其緊迫的時間表內完成首次公開募股，而其他公司至少需要一年。

We have sold in aggregate 16.2% of our company on a fully diluted and as-converted basis inclusive of our IPO, similar to the normal IPO dilution of other U.S.-listed companies.

我們已經在完全稀釋和轉換後的基礎上出售了我們公司 16.2% 的股份，包括我們的 IPO，類似於其他美國上市公司的正常 IPO 稀釋。

As we operate in a hypercompetitive industry against peers with much more substantial capital resources, we believe continuing to be nimble and optimistic on financing will enable us to optimize our net proceeds while minimizing dilution.

由於我們在競爭激烈的行業中與擁有更多資本資源的同行競爭，我們相信繼續對融資保持靈活和樂觀將使我們能夠優化我們的淨收益，同時最大限度地減少稀釋。

Third question.

第三個問題。

Is PDD raising money again because it's burning cash too quickly?

PDD 再次籌集資金是因為它燒錢太快了嗎？

Many people have assumed that our increased sales and marketing expenses imply we are burning cash and subsidizing our users with investors' capital.

許多人認為我們增加的銷售和營銷費用意味著我們在燒錢並用投資者的資金補貼我們的用戶。

We would like to point out to our investors, analysts and the public to look closer at our cash flow statements.

我們想提醒我們的投資者、分析師和公眾仔細查看我們的現金流量表。

Even though we may, from time to time, record a quarter of net operating outflow because of seasonality such as this past quarter, our cash flows from operations on an annual basis have been positive since 2016.

儘管我們可能會不時記錄四分之一的淨運營流出，因為季節性因素（例如上個季度），但自 2016 年以來，我們每年的運營現金流量一直為正。

Even if we exclude changes in payables to merchant, which are funds held in escrow for merchants, our annual operating cash flows are still positive.

即使我們排除應付商戶的變化，即為商戶託管的資金，我們的年度經營現金流量仍然為正。

This means that the cash generated from our core business is sufficient to fund our operations without using the cash contributed from our financing and investing activities.

這意味著我們的核心業務產生的現金足以為我們的運營提供資金，而無需動用我們的融資和投資活動所貢獻的現金。

In addition, our net working capital is negative, and changes in our net working operating capital are also negative, reflecting our efficient net work capital management -- net working capital management.

此外，我們的淨營運資本為負，淨營運資本的變化也為負，反映了我們高效的淨營運資本管理——淨營運資本管理。

In summary, our operations have been self-sustaining since the end of 2017.

總之，自 2017 年底以來，我們的業務一直在自我維持。

We have not needed to spend any proceeds from our capital raising on our operations, including the coupons and promotion programs.

我們不需要將籌資所得用於我們的運營，包括優惠券和促銷計劃。

Given we already have sufficient cash flow from our operations, some investors may want to probe further on why we fundraise from the capital markets at all.

鑑於我們已經有足夠的運營現金流，一些投資者可能想進一步探究我們為什麼要從資本市場籌集資金。

This is also a good question.

這也是一個很好的問題。

Colin mentioned in his shareholder letter at the time of our IPO that we are committed to become an open and transparent platform from day 1 despite being young and platform perfect.

Colin 在我們首次公開募股時在他的股東信中提到，儘管我們年輕且平台完美，但我們從第一天起就致力於成為一個公開透明的平台。

As a platform serving 628 million users in China and potentially more in the future, we believe we could provide the public with more transparency if we are supervised by our users and the market as a public-listed company, just like this quarterly earnings call.

作為一個服務於中國 6.28 億用戶的平台，未來可能會更多，我們相信，如果我們作為一家上市公司受到用戶和市場的監督，我們可以為公眾提供更多的透明度，就像本次季度財報電話會議一樣。

It has indeed helped our team to grow faster as a public company in the past 2 years.

它確實幫助我們的團隊在過去 2 年中作為一家上市公司成長得更快。

Let me now shift gears and provide some updates on our C2M and agricultural initiatives.

現在讓我換檔並提供有關我們的 C2M 和農業計劃的一些最新信息。

Many of our ecosystem partners suffered from COVID-19, and we have been doing our part to help with their recovery.

我們的許多生態系統合作夥伴都遭受了 COVID-19 的折磨，我們一直在儘自己的一份力量幫助他們康復。

Starting in March, we hosted a series of live streaming PDD fairs in China's key production centers, including Guangdong, Fujian, Zhejiang or Shandong, in collaboration with local governments and merchants to promote locally produced specialties.

從 3 月開始，我們與地方政府和商家合作，在廣東、福建、浙江或山東等中國主要生產中心舉辦了一系列直播 PDD 交易會，以推廣本地生產的特產。

As of April 30, total ordered number originated from these live streaming events reached 49 million.

截至 4 月 30 日，來自這些直播活動的總訂單量達到 4900 萬。

We have signed strategic cooperation agreements with these local governments to continue our support for high-quality local manufacturers and merchants, who we believe can be strong partners for our C2M initiatives over the long term.

我們已經與這些地方政府簽署了戰略合作協議，以繼續支持優質的本地製造商和商家，我們相信他們可以成為我們長期 C2M 計劃的強大合作夥伴。

Merchants selling agriculture products were also negatively impacted during the outbreak.

銷售農產品的商家在疫情期間也受到了負面影響。

In addition to the measures and support that we mentioned on our March earnings call, we announced our plan to invest RMB 50 billion over the next 5 years to build up the infrastructure to assist farmers to sell online more efficiently.

除了我們在 3 月份的財報電話會議上提到的措施和支持外，我們還宣布了未來 5 年投資 500 億元人民幣的計劃，以建設基礎設施，幫助農民更有效地進行在線銷售。

Agriculture products contributed 13.6% of our 2019 GMV.

農產品占我們 2019 年 GMV 的 13.6%。

In the first quarter of 2020, total orders of agriculture products reached 1 billion, representing 184% year-on-year increase.

2020年一季度，農產品總訂單10億元，同比增長184%。

And SKUs were -- with more than 100,000 orders also reached 1,030, about 70% of our 2019 full year number.

SKU 超過 100,000 個訂單也達到了 1,030 個，約占我們 2019 年全年數量的 70%。

Within the next 3 years, we'll continue to promote these sales -- resales of agriculture products through traffic support, training, live streaming and other features.

未來3年內，我們將通過流量扶持、培訓、直播等功能，繼續推動這些銷售——農產品轉售。

We aim to have more than 1 million agriculture product stores with more than RMB 1 million sales in a year.

我們的目標是擁有超過100萬家農產品商店，年銷售額超過100萬元人民幣。

Now let me take you through our financial results for the quarter ended March 31, 2020.

現在讓我向您介紹我們截至 2020 年 3 月 31 日的季度財務業績。

We continue to see strong growth in our key operating metrics in the first quarter of 2020.

2020 年第一季度，我們的關鍵運營指標繼續強勁增長。

Our annual active buyers for the last 12 months ended March 31 reached 628.1 million, representing an increase of 42.9 million from our 2019 annual active buyers.

截至 3 月 31 日的過去 12 個月，我們的年度活躍買家達到 6.281 億，比我們 2019 年的年度活躍買家增加了 4290 萬。

Compared to the first quarter in 2019, our last 12 months' active annual buyer base grew by 42%.

與 2019 年第一季度相比，我們過去 12 個月的活躍年度買家群增長了 42%。

Despite the first quarter being an off-season for e-commerce, our average annual active -- our average monthly active users in the quarter increased from the preceding fourth quarter peak season of 487.4 million or a 68% growth from a year ago.

儘管第一季度是電子商務的淡季，但我們的平均年度活躍用戶——我們本季度的平均每月活躍用戶比上一個第四季度旺季的 4.874 億增加了，比去年同期增長了 68%。

During the first quarter, China online goods retail sales grew 5.9% year-on-year to reach nearly RMB 1.9 trillion as most people -- there are more people stay home and relied on e-commerce due to social distancing measures.

一季度，中國網上商品零售額同比增長5.9%，達到近1.9萬億元人民幣，因為大多數人——由於社會隔離措施，更多人呆在家裡依賴電子商務。

Pinduoduo saw an increase in purchases of medical supplies and household staples during the peak of COVID-19, and we observed strong recovery in discretionary consumption in March.

拼多多在 COVID-19 高峰期間看到醫療用品和家庭必需品的購買量增加，我們觀察到 3 月份可支配消費強勁復甦。

Our last 12-month GMV grew 108% year-on-year to reach RMB 1.1572 trillion.

我們過去 12 個月的 GMV 同比增長 108%，達到 1.1572 萬億元人民幣。

The strong GMV growth reflected the sustained growth in our annual spending per active buyer, which rose 47% to reach RMB 1,842.4.

強勁的 GMV 增長反映了我們每年每位活躍買家的支出持續增長，增長 47% 至人民幣 1,842.4 元。

We recognize that our users are increasingly relying on us.

我們認識到我們的用戶越來越依賴我們。

Not only is our active buyer base growing, we see them gaining trust in our platform and buying higher-value merchandise at higher frequency.

我們的活躍買家群不僅在增長，而且我們看到他們對我們的平台越來越信任，並以更高的頻率購買更高價值的商品。

We'll continue to serve our users by providing them with a consistent and satisfying shopping experience.

我們將繼續為用戶提供一致且令人滿意的購物體驗，從而為他們提供服務。

Our total revenues in the quarter ended March 31, 2020, were RMB 6.5 billion, up 44% from RMB 4.5 billion in the same quarter last year.

截至 2020 年 3 月 31 日止的季度，我們的總收入為 65 億元人民幣，比去年同期的 45 億元人民幣增長 44%。

Our total revenue comprised of online marketing services revenues and transaction services revenue.

我們的總收入包括在線營銷服務收入和交易服務收入。

Online marketing services revenue contributed RMB 5.5 billion this quarter, constituting 84% of our total revenue.

本季度在線營銷服務收入貢獻人民幣55億元，占我們總收入的84%。

This was up 39% compared to the same period last year.

與去年同期相比增長了 39%。

Transaction services revenue was RMB 1 billion this quarter, constituting 16% of our total revenue and up 76% compared to the same period last year.

本季度交易服務收入為人民幣 10 億元，占我們總收入的 16%，比去年同期增長 76%。

This quarter is the first time in our history that our online marketing services revenue increased at a lower rate compared to our transaction services revenue.

與我們的交易服務收入相比，本季度是我們歷史上第一次我們的在線營銷服務收入以較低的速度增長。

This was due to a few different factors.

這是由於幾個不同的因素。

One, as coronavirus broke during Chinese New Year holiday, small- and medium-sized merchants were adversely impacted and hence reduced their advertising spend below their typical low season levels.

第一，由于冠狀病毒在農曆新年假期期間爆發，中小型商家受到不利影響，因此將他們的廣告支出減少到典型的淡季水平以下。

Two, we supported our merchants, in particular small- and medium-sized enterprises, by offering them lower effective advertising rates.

第二，我們通過提供較低的有效廣告費率來支持我們的商家，尤其是中小企業。

And three, we also directed traffic that we could have otherwise monetized to dedicated channels for medical supplies, household staples and other necessities in high demand.

第三，我們還將本可以貨幣化的流量引導至醫療用品、家庭必需品和其他高需求必需品的專用渠道。

Since March, we have seen pickup in advertising activity by our merchants, including SMEs, with advertising rates returning to normal levels.

自 3 月以來，我們看到包括中小企業在內的商家的廣告活動有所回升，廣告費率已恢復到正常水平。

Although the initiatives during the first quarter had a negative financial impact, we believe that we are doing the right thing and fulfilling our responsibility as the second-largest e-commerce platform in China.

儘管第一季度的舉措對財務產生了負面影響，但我們相信我們正在做正確的事並履行我們作為中國第二大電子商務平台的責任。

We are building invaluable trust with our 628 million users and 5.1 million merchants in this time of crisis.

在這個危機時期，我們正在與 6.28 億用戶和 510 萬商家建立寶貴的信任。

Moving on to cost.

繼續成本。

Our cost of revenues increased 110% from CNY 873.3 million in the same period last year to CNY 1.8 billion this quarter.

我們的收入成本從去年同期的 8.733 億元人民幣增長 110% 至本季度的 18 億元人民幣。

This translates to a gross margin of 72%.

這意味著毛利率為 72%。

Total cost of revenue increased mainly due to higher costs for cloud services, call centers and merchant support services, particularly as we rolled out our live streaming features to all the merchants.

總收入成本增加主要是由於雲服務、呼叫中心和商家支持服務的成本增加，特別是當我們向所有商家推出直播功能時。

Total operating expenses this quarter were CNY 9.1 billion as compared to CNY 5.8 billion in the same quarter 2019.

本季度總運營費用為 91 億元人民幣，而 2019 年同期為 58 億元人民幣。

Our sales and marketing expenses this quarter increased 49% to CNY 7.3 billion from CNY 4.9 billion in the same quarter of 2019.

本季度我們的銷售和營銷費用從 2019 年同期的 49 億元人民幣增長 49% 至 73 億元人民幣。

On a non-GAAP basis, our sales and marketing as a percentage of revenue was 108% as compared to 103% for the same quarter last year.

在非美國通用會計準則的基礎上，我們的銷售和營銷佔收入的百分比為 108%，而去年同期為 103%。

The increase of our sales and marketing expenses was mainly to help users weather through the pandemic.

我們銷售和營銷費用的增加主要是為了幫助用戶度過大流行病。

Given the reduced advertising activities by our merchants during the first quarter, particularly in February, we could have pared back our sales and marketing budget for the quarter and focused on minimizing loss.

鑑於我們的商家在第一季度（尤其是 2 月份）減少了廣告活動，我們本可以削減本季度的銷售和營銷預算，並專注於最大限度地減少損失。

Instead, our management team made a deliberate decision to further invest in our ecosystem and reallocate our spending in ways that will benefit our users and merchants most in this time of crisis because we consider this the right approach for our long-term success.

相反，我們的管理團隊深思熟慮地決定進一步投資我們的生態系統，並以在危機時期最有利於我們的用戶和商家的方式重新分配我們的支出，因為我們認為這是我們長期成功的正確方法。

When COVID-19 started to spread at the end of January, we acted quickly and stabilized prices of medical supplies and other critical products via targeted subsidies.

當 COVID-19 在 1 月底開始蔓延時，我們迅速採取行動，通過定向補貼穩定了醫療用品和其他關鍵產品的價格。

In addition, to assist merchants selling agriculture products secure their inventories, we provided support and hosted several promotions to boost their sales on our platform.

此外，為幫助銷售農產品的商家確保庫存，我們提供支持並舉辦了多項促銷活動以促進他們在我們平台上的銷售。

With the economy in China still recovering and the global situation still evolving, we will continue to invest in building deeper trust and long-term relationship with our users and seller community.

隨著中國經濟仍在復蘇，全球形勢仍在發展，我們將繼續投資，與我們的用戶和賣家社區建立更深層次的信任和長期關係。

2020 will continue to be an important year of investments for us.

2020 年將繼續是我們投資的重要一年。

Given we have already surpassed 600 million active buyers, we want to reiterate that it is not the new users whom we are investing ourselves and marketing on but all of our users, particularly the existing ones.

鑑於我們已經超過 6 億活躍買家，我們想重申，我們投資和營銷的不是新用戶，而是我們所有的用戶，尤其是現有用戶。

This is because the existing users come to trust us more.

這是因為現有用戶更加信任我們。

As they come to trust us more, they will share their experiences with their friends and families and their social contacts and from time to time invite them to purchase together.

隨著他們越來越信任我們，他們會與他們的朋友和家人以及他們的社會聯繫人分享他們的經驗，並且不時邀請他們一起購買。

Therefore, we continue to invest in their trust, mind share and engagement with us.

因此，我們繼續投資於他們對我們的信任、思想分享和參與。

In the next few quarters, we expect our sales and marketing expenses to remain fairly dynamic, and we'll continue to invest when we see opportunities that meet our ROI requirements.

在接下來的幾個季度，我們預計我們的銷售和營銷費用將保持相當活躍，並且當我們看到滿足我們投資回報率要求的機會時，我們將繼續投資。

General and administrative expenses were CNY 338.3 million, an increase of 43% from CNY 236.1 million in the same quarter of 2019 primarily due to an increase in headcount.

一般及行政費用為人民幣 3.383 億元，較 2019 年同期的人民幣 2.361 億元增長 43%，主要原因是員工人數增加。

On a non-GAAP basis, our G&A expenses as a percentage of our revenue was 2%.

在非 GAAP 基礎上，我們的 G&A 費用佔收入的百分比為 2%。

Research and development expenses were CNY 1.5 billion, an increase of 121% from CNY 667.1 million in the same quarter of 2019.

研發費用為人民幣 15 億元，比 2019 年同期的人民幣 6.671 億元增長 121%。

The increase was primarily due to an increase in headcount and the recruitment of more experienced R&D personnel and an increase in R&D-related cloud services expenses.

增加的主要原因是員工人數增加和招聘更多經驗豐富的研發人員以及與研發相關的雲服務費用增加。

We plan to further invest in R&D in 2020.

我們計劃在 2020 年進一步投資於研發。

On a non-GAAP basis, R&D expenses as a percentage of revenue was 17%.

按非美國通用會計準則計算，研發費用佔收入的百分比為 17%。

To sum up, operating loss for the quarter was CNY 3.6 billion on a non-GAAP basis compared with operating loss of CNY 1.6 billion in the same quarter 2019.

總而言之，按非美國通用會計準則計算，本季度營業虧損為人民幣 36 億元，而 2019 年同期營業虧損為人民幣 16 億元。

Operating loss on a non -- or on a GAAP basis was CNY 4.4 billion compared to CNY 2.1 billion in the same quarter of 2019.

非美國通用會計準則或按美國通用會計準則計算的營業虧損為 44 億元人民幣，而 2019 年同期為 21 億元人民幣。

Net loss attributed to ordinary shareholders was CNY 4.1 billion on a GAAP basis as compared to net loss of CNY 1.9 billion in the same quarter of 2019.

根據美國通用會計準則，歸屬於普通股股東的淨虧損為 41 億元人民幣，而 2019 年同期為 19 億元人民幣的淨虧損。

Basic and diluted net loss per ADS were RMB 3.54 on a GAAP basis compared to RMB 1.64 in the same quarter of 2019.

根據美國通用會計準則，每份 ADS 的基本和攤薄淨虧損為 3.54 元人民幣，而 2019 年同期為 1.64 元人民幣。

Non-GAAP net loss attributable to ordinary shareholders was RMB 3.2 billion compared to RMB 1.4 billion in the same quarter last year.

歸屬於普通股股東的非美國通用會計準則淨虧損為人民幣 32 億元，而去年同期為人民幣 14 億元。

Non-GAAP basic and diluted net loss per ADS were RMB 2.73 compared to RMB 1.2 in the same quarter 2019.

非美國通用會計準則每股 ADS 基本和稀釋淨虧損為 2.73 元人民幣，而 2019 年同期為 1.2 元人民幣。

That completes our profit and loss statement for the quarter.

這完成了我們本季度的損益表。

Net cash flow used in operating activities was RMB 567.1 million, down from RMB 1.5 billion used in the same quarter of 2019 primarily due to an increase in online marketing services revenues.

經營活動使用的現金流量淨額為人民幣 5.671 億元，低於 2019 年同期的人民幣 15 億元，主要原因是在線營銷服務收入增加。

As of March 31, 2020, the company had RMB 32.4 billion in cash, cash equivalents and restricted cash.

截至2020年3月31日，公司持有現金、現金等價物及受限制現金324億元。

Excluding restricted cash, we had RMB 5.5 billion in cash and cash equivalents.

扣除受限制現金，我們擁有現金及現金等價物人民幣 55 億元。

In addition, we had RMB 37 billion in short-term investments.

此外，我們還有370億元人民幣的短期投資。

Our short-term investments include time deposits, money market funds and other securities that can be monetized readily.

我們的短期投資包括定期存款、貨幣市場基金和其他可以隨時變現的證券。

As such, investors evaluating our cash reserve should consider our short-term investment together with our cash and cash equivalents.

因此，評估我們的現金儲備的投資者應將我們的短期投資與我們的現金和現金等價物一起考慮。

As of the end of March, we had RMB 42.6 billion of cash reserves, excluding net proceeds of USD 1.1 billion from our recent private placement.

截至 3 月底，我們擁有 426 億元人民幣的現金儲備，不包括我們最近的私募募集資金淨額 11 億美元。

This concludes our prepared remarks.

我們準備好的發言到此結束。

Operator, we are now ready for questions.

接線員，我們現在準備好提問了。

Thank you.

謝謝。

(Operator Instructions) Your first question comes from the line of Natalie Wu of CICC.

（操作員說明）你的第一個問題來自中金公司的Natalie Wu。

Congratulations on a very robust quarter.

祝賀一個非常強勁的季度。

So just wondering, what do you think that plays as the major driver behind your GMV growth reacceleration in the first quarter in spite of the COVID-19 impact?

所以只是想知道，儘管受到 COVID-19 的影響，您認為第一季度 GMV 增長再加速背後的主要驅動力是什麼？

And also, in terms of the live streaming function, how does that help your GMV growth on your platform for -- in terms of the SSSG according to your observation?

而且，就直播功能而言，根據您的觀察，就 SSSG 而言，這如何幫助您的平台上的 GMV 增長？

Thank you, Natalie, for the question.

娜塔莉，謝謝你提出這個問題。

In terms of GMV growth, we see that as a reflection of our users' continued endorsement of our strategy and our platform.

在 GMV 增長方面，我們認為這反映了我們的用戶對我們的戰略和平台的持續認可。

And as we have demonstrated through the first quarter, we continue to make sales and marketing investments in our users and in our merchants.

正如我們在第一季度所展示的那樣，我們繼續對我們的用戶和商家進行銷售和營銷投資。

And as China recover or as the pandemic subsided towards the end of February and heading into March, we have seen strong recovery in consumer demand.

隨著中國經濟復甦或疫情在 2 月底和 3 月消退，我們看到消費者需求強勁復甦。

So overall, I would say that the consumer demand has not been impacted by COVID-19, and you saw a lot of catch-up as a result of both merchants promoting, increasing their promotional activities on our platform as well as logistics being back in normal levels.

所以總的來說，我想說消費者的需求並沒有受到 COVID-19 的影響，而且由於商家在我們平台上進行促銷，增加他們的促銷活動以及物流的回歸，你看到了很多追趕正常水平。

So this is why we believe we were able to, by middle of March, start shipping over 50 million orders on a daily basis.

所以這就是為什麼我們相信我們能夠在 3 月中旬開始每天運送超過 5000 萬份訂單。

And because of that, we see that the consumers' spending on our platform are now with higher frequency and also with higher ARPU, resulting in an overall increase in our LTM GMV.

正因為如此，我們看到消費者在我們平台上的消費現在頻率更高，ARPU 也更高，從而導致我們 LTM GMV 的整體增長。

In terms of live streaming specifically, as you had mentioned, this is a new business initiative for us.

就直播而言，正如您所提到的，這對我們來說是一項新的業務舉措。

We only rolled out live streaming to all the merchants in January despite the product being online at the end of last year.

儘管該產品已於去年年底上線，但我們僅在 1 月份向所有商家推出了直播。

We see live streaming as a great way to bring online and off-line -- we see live streaming as a great way to bring online these off-line experiences our users may not be privy to in their daily lives.

我們認為直播是一種很好的在線和離線體驗方式——我們認為直播是一種很好的方式，可以將這些線下體驗帶到線上，而我們的用戶在日常生活中可能並不了解這些體驗。

So through live streams, we're encouraging merchants to bring platform users into their day-to-day to share with them interesting and entertaining parts about their product.

因此，通過直播，我們鼓勵商家將平台用戶帶入他們的日常生活，與他們分享有關他們產品的有趣和有趣的部分。

As such, we believe that you have the benefit of lowering the barriers or lowering consumers' aversion to spend in certain categories such as jewelries or live seafood that we are selling on the platform.

因此，我們相信您可以降低門檻或降低消費者對我們在平台上銷售的某些類別（例如珠寶或活海鮮）消費的厭惡情緒。

And we believe that this will -- and this is beneficial in creating further engagement and stickiness and repeated purchases between merchants and users.

我們相信這將——這有利於在商家和用戶之間創造更多的參與度和粘性以及重複購買。

Your next question comes from the line of Eddy Wang of Morgan Stanley.

你的下一個問題來自摩根士丹利的 Eddy Wang。

My question is also about the GMV and the ARPU growth in the first quarter.

我的問題也是關於第一季度的 GMV 和 ARPU 增長。

You mentioned that in March actually, you have witnessed your users have increased the discretionary items.

您提到實際上在 3 月份，您已經看到您的用戶增加了可自由支配的項目。

Can you elaborate more about what kind of the discretionary items you have witnessed your users spending in March?

您能否詳細說明您在 3 月份看到您的用戶消費了哪些可自由支配的項目？

And what are the key items, categories you would like to expand actually this year for the platform?

今年您希望為該平台實際擴展的關鍵項目和類別是什麼？

Thank you, Eddy.

謝謝你，埃迪。

In terms of our GMV distribution by product categories, I would say that the COVID-19 impact is, at best, temporary.

就我們按產品類別劃分的 GMV 分佈而言，我認為 COVID-19 的影響充其量是暫時的。

So overall for the quarter, we have now observed our GMV distribution to deviate significantly from what it was before.

因此，在整個季度中，我們現在觀察到我們的 GMV 分佈與之前的情況有很大的不同。

So apparels and FMCG continued to account for the most of our -- most of our GMV for the quarter.

因此，服裝和快速消費品繼續占我們本季度 GMV 的大部分。

We have seen apparels during the height of the pandemic to be more impacted relative to other categories.

我們已經看到，與其他類別相比，在大流行最嚴重的時期，服裝受到的影響更大。

But in general, we have seen pickup in activities across the board.

但總的來說，我們已經看到全面的活動有所回升。

Specific to our platform, we continue to evaluate our consumers' interest and needs, and we continue to expand our strategy of deepening of -- deepening the depth of offerings in the categories as well as increasing our breadth.

具體到我們的平台，我們繼續評估消費者的興趣和需求，我們繼續擴大我們的深化戰略——深化類別產品的深度並增加我們的廣度。

Specifically, I think, as we have demonstrated through much of 2019, our investments in building trust with our users are paying off in categories such as cosmetics, consumer electronics, and these will be categories that will continue to grow heading into 2020, but we are seeing growth across the board.

具體來說，我認為，正如我們在 2019 年的大部分時間裡所展示的那樣，我們在與用戶建立信任方面的投資正在化妝品、消費電子產品等類別中取得回報，這些類別將在 2020 年繼續增長，但我們正在全面增長。

Your next question comes from the line of Thomas Chong of Jefferies.

你的下一個問題來自 Jefferies 的 Thomas Chong。

I'm asking on behalf of Thomas Chong.

我代表 Thomas Chong 提問。

And my question is about the GMV strategies.

我的問題是關於 GMV 策略。

We can see that this time, the GMV is showing a very good result.

我們可以看到，這一次，GMV表現的非常好。

And do we have any strategies in driving the GMV and user growth in 2020 and especially in second half?

我們是否有任何策略來推動 2020 年尤其是下半年的 GMV 和用戶增長？

And we also want to ask about any update on the C2M initiative.

我們還想詢問有關 C2M 計劃的任何更新。

Sure.

當然。

In terms of our GMV growth driver, as we have mentioned, the focus for the platform, our strategy is really around -- revolves around user engagement, and it is about giving the users what they want and serving them well.

就我們的 GMV 增長驅動力而言，正如我們已經提到的，平台的重點，我們的戰略實際上是圍繞——圍繞用戶參與，它是關於為用戶提供他們想要的東西並為他們提供良好的服務。

So we do see the strong growth in first quarter in our GMV despite the low seasonality and the challenges posed by the epidemic as an endorsement by user of our efforts paying off, meaning that we are seeing users being able to shop with more confidence on our platform and buying things with greater assurance, and we intend to continue to invest in our user engagements.

因此，我們確實看到第一季度 GMV 的強勁增長，儘管季節性較低以及流行病帶來的挑戰是用戶對我們努力的認可，這意味著我們看到用戶能夠更有信心地在我們的網站上購物平台和更有保障地購買東西，我們打算繼續投資於我們的用戶參與。

As I mentioned in my own remark, our sales and marketing spend are really targeted at all the users on our platform, particularly the existing ones because these are users who are familiar and recognize the value that we bring to their consumption, and these are our -- these are influences, to put differently, for our platform that will be able to continue to help spread the experiences they see on PDD to others and help us bringing other users and making them also more engaged on our platform.

正如我在自己的評論中提到的，我們的銷售和營銷支出實際上是針對我們平台上的所有用戶，尤其是現有用戶，因為這些用戶熟悉並認可我們為他們的消費帶來的價值，這些是我們的-- 換句話說，這些是對我們平台的影響，它們將能夠繼續幫助將他們在 PDD 上看到的體驗傳播給其他人，並幫助我們吸引其他用戶並使他們也更多地參與我們的平台。

In terms of C2M, I would note that the C2M is a long-term secular trend, and it is not a winner-takes-all game.

在C2M方面，我要注意的是，C2M是一個長期的長期趨勢，不是贏者通吃的遊戲。

So this is something that will take considerably more time and effort to drive.

因此，這將需要花費更多的時間和精力來駕駛。

And in 2019, we have 106 full-fledged C2M partners, and we believe we're on track to hit 1,000 of these partners by the year-end of 2020.

2019 年，我們擁有 106 個成熟的 C2M 合作夥伴，我們相信到 2020 年底我們有望達到 1,000 個這樣的合作夥伴。

The current -- so coming out of COVID-19, as Colin had mentioned, we believe that we are even better -- more better positioned to take benefit because COVID-19 has forced a lot of export-oriented manufacturers and merchants.

當前——正如科林提到的那樣，從 COVID-19 中脫穎而出，我們相信我們會更好——更有能力從中受益，因為 COVID-19 已經迫使許多出口導向型製造商和商人。

So we think a lot harder about their strategy and refocus on the domestic consumption.

因此，我們更加認真地思考他們的戰略，並重新關注國內消費。

So by working with the local governments and manufacturers, we have been able to identify a lot of strong potential partners that we believe will accelerate our C2M efforts over the long term.

因此，通過與地方政府和製造商合作，我們已經能夠確定許多強大的潛在合作夥伴，我們相信這些合作夥伴將在長期內加速我們的 C2M 努力。

Your next question comes from the line of Han Joon Kim of Macquarie.

你的下一個問題來自麥格理的 Han Joon Kim。

(foreign language)

（外語）

Your next question comes from the line of Joyce Ju of Bank of America.

你的下一個問題來自美國銀行的Joyce Ju。

Congratulations on the strong results.

祝賀你取得了優異的成績。

My question is actually related to the commission revenues we report this quarter.

我的問題實際上與我們本季度報告的佣金收入有關。

We actually understand this quarter, the advertising revenue actually grew slower than commission revenue because of, like, we actually provide some free traffic to the merchants, and also, they actually have lower advertising budget.

我們實際上了解到本季度，廣告收入實際上比佣金收入增長慢，因為我們實際上向商家提供了一些免費流量，而且他們的廣告預算實際上較低。

But just curious, like per the calculation, like the transaction revenue, it seems like the commission rate this quarter actually is higher than the second half of last year.

但好奇的是，按照計算，像交易收入，這個季度的佣金率似乎比去年下半年還要高。

So just to make sure, do we actually include some of the other, like, membership revenue or, like, other transaction-related revenue to this revenue line?

所以只是為了確保，我們是否真的將其他一些收入，如會員收入或其他與交易相關的收入納入該收入線？

Or it's just because we have higher payment or other transaction-related costs, so we have to also increase the charge on the merchants for this particular revenue as well?

或者只是因為我們有更高的支付或其他交易相關成本，所以我們也必須增加商家對這一特定收入的收費？

Joyce, thanks a lot for the question.

喬伊斯，非常感謝你提出這個問題。

So to answer your question, our definition for transaction services revenue is consistent through quarters.

因此，為了回答您的問題，我們對交易服務收入的定義在各個季度都是一致的。

So it is the same as what we have -- is on the same basis that we have disclosed in the prior quarter.

所以它與我們所擁有的相同 - 與我們在上一季度披露的基礎相同。

I will say that we do see increased costs in our business, and this is partly reflected in the gross margins because we are investing a lot more aggressively in cloud infrastructures in order to support live streaming on our platform.

我要說的是，我們確實看到我們的業務成本增加了，這部分反映在毛利率上，因為我們正在更積極地投資於雲基礎設施，以支持我們平台上的直播。

But on the commission rate side, we are not really adding chargeable payment or as a charge to merchants, right?

但在佣金率方面，我們並沒有真正添加收費付款或作為對商家的收費，對吧？

No.

不。

Your next question comes from the line of Alicia Yap of Citigroup.

你的下一個問題來自花旗集團的Alicia Yap。

I have a question on the level of the support that you provide to merchants.

我對你們為商家提供的支持水平有疑問。

So any qualitative color that you could give us in terms of the magnitude, in which way and for how long?

那麼，您可以在幅度、方式和持續時間方面給我們任何定性的顏色嗎？

Is that in the form of more the free traffic support?

這是更多免費流量支持的形式嗎？

Or is it more the payment commission rebate?

或者是更多的支付佣金返還？

And then on the matching -- or is it the matching for the promotion pricing amount to the sales and marketing?

然後是匹配——或者是促銷定價金額與銷售和營銷的匹配？

Thank you, Alicia.

謝謝你，艾麗西亞。

As we -- as I had mentioned in my remark, we do believe that -- well, I think -- well, a couple of things, I suppose.

正如我們 - 正如我在發言中提到的那樣，我們確實相信 - 好吧，我認為 - 好吧，我想有幾件事。

First, the COVID-19 does mean that our -- that many of our merchants have to cut back their sales and marketing, their own advertising budget in the first quarter.

首先，COVID-19 確實意味著我們的許多商家不得不在第一季度削減他們的銷售和營銷，以及他們自己的廣告預算。

And certainly, in much of the February, this was impacted.

當然，在 2 月的大部分時間裡，這都受到了影響。

In response to the difficulties that our merchants are making, we do -- we are offering better incentive programs.

為了應對我們的商家所面臨的困難，我們會提供更好的激勵計劃。

This takes both in the form of effectively lower rate as well as free traffic, as you have mentioned.

正如您所提到的，這既採用有效降低費率的形式，也採用免費流量的形式。

So in terms of trying to estimate the impact, I will encourage, Alicia, you to take a look at our take rate, so to speak, for online advertising revenue in other quarters and estimate how we have the -- against the GMV that we were generating for this quarter, if we were receiving the same type of take rate, what that content would be.

因此，在嘗試估計影響方面，我鼓勵艾麗西亞，你看看我們的採用率，可以說，其他季度的在線廣告收入，並估計我們如何 - 與我們的 GMV 相比正在為本季度生成，如果我們收到相同類型的採用率，那麼內容會是什麼。

And I think you will notice that our profitability would be significantly improved.

我想你會注意到我們的盈利能力將得到顯著提高。

And I think, in fact, because of the support that we have given to the merchants, I would just add on top of that, we have seen the activities on advertising pick up in March as well the rates returning to a more normalized level.

而且我認為，事實上，由於我們為商家提供的支持，我只想補充一點，我們已經看到 3 月份的廣告活動有所回升，費率也回到了更正常的水平。

Okay.

好的。

Great.

偉大的。

Congrats on the solid results.

祝賀你取得了不錯的成績。

Your next question comes from the line of Charlie Chen of China Renaissance.

你的下一個問題來自華興資本的Charlie Chen。

So I have a follow-up question on the take rate, which you have elaborated a little bit more.

所以我有一個關於採用率的後續問題，你已經詳細說明了一點。

So just to go back to the question, so you're thinking basically the GMV growth basically is robust and you give free traffic as central to subsidize merchants during this difficult situation.

所以回到這個問題，所以你基本上認為 GMV 增長基本上是強勁的，你在這種困難的情況下將免費流量作為補貼商家的核心。

So do you think there is a need for you to continue to subsidize them in this recovery period in the coming quarter and going forward?

那麼您認為您是否需要在下一季度和未來的恢復期繼續補貼他們？

And if you don't need to give so much subsidies as you did before, do you think that would be -- negatively impact your GMV going forward?

如果你不需要像以前那樣提供那麼多補貼，你認為這會對你未來的 GMV 產生負面影響嗎？

So as I have mentioned earlier, our take rate, so to speak, or our -- the revenue that we are generating from our online marketing services since March, we have seen that returning to very much normalized level.

因此，正如我之前提到的，可以說，我們的採用率，或者我們的 - 自 3 月以來我們從在線營銷服務中產生的收入，我們已經看到恢復到非常正常的水平。

And heading into April and May, we -- and secondly, as I mentioned, that by middle of March, we were shipping already 50 million parcels on a daily basis.

進入 4 月和 5 月，我們——其次，正如我提到的，到 3 月中旬，我們每天已經運送了 5000 萬個包裹。

So both the business momentum, I would say, for our platform has recovered to a fairly normalized level; and also, in terms of revenue generation, we believe we are very close to, if not ahead of, where we were ahead of COVID-19.

因此，我想說，我們平台的業務勢頭已經恢復到相當正常的水平；而且，就創收而言，我們相信我們非常接近（如果不是領先於）我們領先於 COVID-19 的地方。

Your next question comes from the line of Piyush Mubayi of Goldman Sachs.

你的下一個問題來自高盛的 Piyush Mubayi。

My question is quite simple in that if you look at what's happened in the quarter with COVID-19, yet your GMV grew astonishing 99%.

我的問題很簡單，如果你看看本季度 COVID-19 發生的情況，你的 GMV 增長了驚人的 99%。

I wonder if you could comment on what the -- what could have happened to your GMV had COVID-19 not happened.

我想知道你是否可以評論一下——如果 COVID-19 沒有發生，你的 GMV 會發生什麼。

And can we use that as a run rate for what we -- what could happen for the rest of the year, i.e., are we into an accelerated mode of GMV growth post COVID-19?

我們能否將其用作我們的運行率 - 今年剩餘時間可能會發生什麼，即我們是否進入 COVID-19 後 GMV 增長的加速模式？

Thanks, Piyush, for the question.

謝謝 Piyush，提出這個問題。

I do believe the investment that we have made in our ecosystem, our partners and our users through this period is positive to our overall business momentum.

我確實相信，在此期間我們對我們的生態系統、我們的合作夥伴和我們的用戶所做的投資對我們的整體業務勢頭是積極的。

And emerging from the COVID-19, and let's just you take early March as a starting point, we do see a stronger business momentum in terms of -- both in terms of user behavior but also, more importantly, merchants trying to catch up for the time that they have lost in the first quarter.

從 COVID-19 開始，讓我們以 3 月初為起點，我們確實看到了更強勁的商業勢頭——無論是在用戶行為方面，更重要的是，商家也在努力追趕他們在第一節失去的時間。

So we are certainly seeing more willingness of merchants to spend and engage with users, and that should help, to some extent, their consumptions.

因此，我們肯定會看到商家更願意花錢和與用戶互動，這在某種程度上應該有助於他們的消費。

But more importantly, from our perspective, we do think that the users on our platform are now shopping with higher frequency and are making purchases of higher-ARPU items.

但更重要的是，從我們的角度來看，我們確實認為我們平台上的用戶現在購物頻率更高，並且正在購買更高 ARPU 的商品。

Yes.

是的。

Let me add a few words.

讓我補充幾句。

So for the first quarter, the pandemic definitely has a negative impact on the business even for the GMV because the delivery capacity during that period of time has shrank significantly.

因此，對於第一季度，大流行肯定會對業務產生負面影響，即使對於 GMV 也是如此，因為那段時間的交付能力已經大幅下降。

Then in China now, all the businesses sort of reopened and the society is getting back to normal, so I would say that, well, the growth rate in everything should -- is sort of back to the normal stage.

然後現在在中國，所有的企業都重新開業，社會正在恢復正常，所以我想說，一切的增長率應該——有點回到正常階段。

But how big an impact, either negative or positive, the pandemic will have on our business?

但是，大流行對我們的業務有多大影響，無論是負面影響還是正面影響？

In the short term, I would say it won't to be that significant.

在短期內，我會說它不會那麼重要。

Let's look at next quarter or the quarter after next.

讓我們看看下個季度或下個季度。

But if you look at this problem -- I'm trying to answer this problem in a 2-year or 3-year time frame.

但是如果你看這個問題——我試圖在 2 年或 3 年的時間範圍內回答這個問題。

I would say it will be very interesting, and I will say the impact will be huge, either negative or positive, because I believe some of the user behaviors, both online and off-line, will be changed significantly.

我會說這將非常有趣，我會說影響將是巨大的，無論是消極的還是積極的，因為我相信一些用戶行為，無論是線上還是線下，都會發生重大變化。

And many parts of the supply chain is being shaped and/or being shaped or changed in a very fundamental way.

供應鏈的許多部分正在以一種非常基本的方式被塑造和/或被塑造或改變。

And it will not be back to the days -- to the normal stage.

它不會回到過去——回到正常階段。

It will be a new normal.

這將是一個新常態。

Whether the new normal is good or bad, it's hard to say.

新常態是好是壞，很難說。

But it's going to be a new format.

但這將是一種新的格式。

It's a new ecosystem.

這是一個新的生態系統。

Right now, I think we are sort of in a fairly good position to prosper in the next stage.

現在，我認為我們在下一階段的繁榮中處於相當有利的地位。

Yes, thank you.

是的，謝謝。

Your next question comes from the line of Binnie Wong of HSBC.

你的下一個問題來自匯豐銀行的Binnie Wong。

Congrats again for a very solid quarter here.

再次祝賀這裡有一個非常穩固的季度。

And I have a question here, is that if I look at the -- like the number this quarter in terms of your revenue versus GMV, the quarterly monetization rates, most of that dipped a bit.

我在這裡有一個問題，如果我看一下 - 就像本季度你的收入與 GMV 相比的數字，季度貨幣化率，其中大部分都略有下降。

Is it just a function because of our fast-growing GMV?

僅僅是因為我們快速增長的GMV的功能嗎？

Or is it because of something else that we are -- because it's the pandemic quarter, we want to support our merchants better?

還是因為我們是其他原因——因為現在是大流行季度，我們想更好地支持我們的商家？

Or is there something else that we should be aware of?

或者還有其他我們應該注意的事情嗎？

And then following up on this question, I think we spoke about it last quarter, talking about -- if you look at the mix in terms of how we lift up the ARPU, right?

然後跟進這個問題，我想我們上個季度談到了這個問題，談論 - 如果你看看我們如何提升 ARPU 的組合，對嗎？

Because of course, user base are catching up with our peers, but then the ARPU is still of a gap, right?

當然，因為用戶基數正在趕上我們的同行，但是 ARPU 還是有差距，對吧？

How are we going to raise our ARPU this year?

今年我們將如何提高我們的 ARPU？

Thank you, Binnie.

謝謝你，賓尼。

So I think your first question was regarding the take rate in general.

所以我認為你的第一個問題是關於一般的採用率。

So we -- during the first quarter, we have seen merchants' ability to advertise being impacted by COVID-19.

所以我們——在第一季度，我們看到商家的廣告能力受到 COVID-19 的影響。

So that's one aspect of it.

所以這是它的一個方面。

And because of it, and in order to continue to support them, we also gave them better effective rates, advertising rates, for the first quarter.

因此，為了繼續支持他們，我們在第一季度還為他們提供了更好的有效費率、廣告費率。

So that had a direct impact on our online marketing services take rate for the first quarter.

因此，這對我們第一季度的在線營銷服務採用率產生了直接影響。

And as I mentioned, we have seen the activities pick up in March, and the rates are returning to a normal level.

正如我所提到的，我們已經看到 3 月份的活動有所回升，並且利率正在恢復到正常水平。

Second question around the mix around -- and how do we go about increasing the ARPU, I think the key for us is actually to continue to invest in our existing users to make sure that they continue to find products that they find interesting and/or -- and gain growing confidence to be able to shop more frequently and make this really their primary e-commerce destination.

關於組合的第二個問題——以及我們如何增加 ARPU，我認為我們的關鍵實際上是繼續投資於我們現有的用戶，以確保他們繼續找到他們感興趣和/或感興趣的產品-- 並獲得越來越多的信心，能夠更頻繁地購物，並使這裡成為他們真正的主要電子商務目的地。

So it's about investing in people's mind share.

所以這是關於投資於人們的思想份額。

It's about investing in the engagement and where we have seen the result pickup in their activities and also in ARPU in the first quarter, and we believe that we are on the right trend.

這是關於對參與度的投資，以及我們在第一季度看到他們的活動和 ARPU 的結果回升，我們相信我們的趨勢是正確的。

So as the frequency increases and as we bring more selection available to our users, we believe the ARPUs will naturally catch up.

因此，隨著頻率的增加以及我們為用戶提供更多選擇，我們相信 ARPU 自然會迎頭趕上。

Yes.

是的。

So let me -- regarding our ARPU, let me simply put this way.

所以讓我 - 關於我們的 ARPU，讓我簡單地說一下。

Raising ARPU is not a part of our management team's KPI, but I think it will be a natural result as the users' engagement increases and over time.

提高 ARPU 不是我們管理團隊 KPI 的一部分，但我認為隨著用戶參與度的增加和時間的推移，這將是一個自然的結果。

And congrats.

恭喜。

Thanks.

謝謝。

Thank you.

謝謝。

I would now like to hand the conference back to Mr. Nick Shu for the closing remarks.

我現在想把會議交還給 Nick Shu 先生作閉幕詞。

Thanks.

謝謝。

Everybody, thank you for attending tonight's call.

各位，感謝你們參加今晚的電話會議。

If you have any further questions, feel free to reach out to the IR team.

如果您有任何其他問題，請隨時聯繫 IR 團隊。

Thank you and bye.

謝謝你，再見。

Ladies and gentlemen, this does conclude our conference for today.

女士們，先生們，今天的會議到此結束。

Thank you for participating, you may now all disconnect.

感謝您的參與，你們現在可以斷開連接了。