So-Young International Inc (SY) 2025 Q3 法說會逐字稿

Ladies and gentlemen, thank you for standing by for So-Young's third-quarter 2025 earnings conference call. (Operator Instructions) As a reminder, today's conference call is being recorded.

女士們、先生們，感謝各位耐心等待參加昭英能源2025年第三季財報電話會議。（操作員說明）提醒各位，今天的電話會議正在錄音。

I will now like to turn the meeting over to your host for today's call, Ms. Mona Qiao. Please proceed, Mona.

現在我將把會議交給今天的主持人莫娜·喬女士。請繼續，莫娜。

Thank you, operator, and thank you, everyone, for joining So-Young's third-quarter 2025 earnings conference call. Joining me today on the call is Mr. Xing Jin, our Founder, Chairman and CEO; and Mr. Nick Zhao, CFO.

謝謝接線員，也謝謝各位參加昭揚2025年第三季財報電話會議。今天與我一起參加電話會議的有我們的創辦人、董事長兼執行長邢進先生，以及財務長趙先生。

Before we begin, please refer to the safe harbor statement in our earnings release, which applies today's call, and we will be making forward-looking statements. Please also note that we will discuss non-GAAP measures today, which are more thoroughly explained and reconciled to the most comparable measures reported under GAAP in our earnings release on our Investor Relations website and filings with SEC.

在開始之前，請參閱我們盈利報告中的安全港聲明，該聲明適用於今天的電話會議，我們將發表前瞻性聲明。另請注意，我們今天將討論非GAAP指標，這些指標在我們的投資者關係網站發布的收益報告和提交給美國證券交易委員會的文件中進行了更詳細的解釋，並與根據GAAP報告的最可比指標進行了調整。

At this time, I'd like to turn the call over to Mr. Xing Jin.

此時，我想把電話交給邢進先生。

(interpreted) Hello, everyone, and welcome to today's earnings call. In Q3, we continued to advance the strategic build-out of our branded aesthetic business, while in the foundation of early development and operating systems. Our long-term investments in the aesthetic center businesses are increasingly translating to a stable operating results.

（翻譯）大家好，歡迎參加今天的財報電話會議。第三季度，我們持續推動品牌美容業務的策略建設，同時奠定了早期開發和營運系統的基礎。我們對美容中心業務的長期投資正日益轉化為穩定的經營績效。

Total revenue for the quarter was RMB387 million, including RMB184 million from the aesthetic center business, up 305% year-over-year and approximately 8% above the high end of our guidance.

本季總收入為人民幣3.87億元，其中美容中心業務收入為人民幣1.84億元，年增305%，比我們預期的上限高出約8%。

This performance also fueled our year-over-year top line growth momentum. This quarter, net loss attributable to So-Young increased, mainly due to a sequential decrease of RMB31 million in revenue from business other than the aesthetic center business. We remain confident that these revenues will stabilize in Q4.

這一業績也推動了我們營收年增的動能。本季度，歸屬於素英的淨虧損增加，主要原因是美容中心業務以外的其他業務收入較上季減少人民幣3,100萬元。我們仍然相信這些收入將在第四季趨於穩定。

Since launching So-Young's clinic large medical aesthetic chain last year, we have continuously enhanced its standardization at digital management while improving central level efficiency and service quality. After one year, our brand now operates the largest number of centers nationwide among large medical aesthetic chains with a total number of 42 centers as of today, including 41 directly operating centers and one franchise center.

自去年推出素英診所大型醫療美容連鎖店以來，我們不斷加強其數位化管理的標準化，同時提高中央層面的效率和服務品質。一年後，我們的品牌已成為全國大型醫療美容連鎖機構中營運中心數量最多的品牌，截至目前共有 42 家中心，其中包括 41 家直營中心和 1 家加盟中心。

We remain on track to reach our year-end target 50 centers. As of September 30, cumulative service visits exceeded 600,000 among mass market chain brand in China in terms of service volume. Going forward, we will continue to expand our aesthetic center network in a disciplined manner and drive healthy sustainable growth through a higher standard system and deeper right equity.

我們仍有望實現年底開設 50 家中心的目標。截至9月30日，中國大眾市場連鎖品牌累計服務訪問量超過60萬次。展望未來，我們將繼續以嚴謹的方式拓展我們的美容中心網絡，並透過更高標準的體系和更深層的股權激勵，推動健康可持續的成長。

Now let me walk you through our Q3 operational highlights. on the branded aesthetic center business builds upon the strong growth momentum. In Q3, revenue reached RMB184 million, up 26% quarter-on-quarter and 305% year-over-year, further solidifying its role as the core of our business. As of September 30, So-Young Clinic operates 39 centers across 10 cities.

現在讓我帶您了解我們第三季的營運亮點。品牌美容中心業務延續了強勁的成長動能。第三季度，營收達到人民幣1.84億元，季增26%，年增305%，進一步鞏固了其作為我們業務核心的地位。截至9月30日，So-Young診所在10個城市經營39家中心。

Operational efficiency continued to improve with 20 centers achieving center level profitability in Q3, including all 14 mature centers. In addition, 29 centers generated positive operating cash flow during the quarter. The scale of users and service volumes are also expanding. As of September 30, total number of active users of So-Young clinic exceeded 130,000. Total number of verified treatment visit surpassed 89,800 in the quarter, up 33% quarter-over-quarter and 280% year-over-year with total number of verified aesthetic treatment performed surpassed 194,700, up 26% quarter-on-quarter and 296% year-over-year.

第三季度，營運效率持續提高，20 個中心實現了中心層級的獲利，其中包括所有 14 個成熟中心。此外，本季有 29 個中心實現了正的營運現金流。用戶規模和服務量也不斷擴大。截至9月30日，So-Young診所的活躍用戶總數超過13萬人。本季經核實的治療就診次數超過 89,800 次，環比增長 33%，年增 280%；經核實的美容治療次數超過 194,700 次，環比增長 26%，同比增長 296%。

New customers continued to grow driven by referrals since our customer acquisition efficiency remains industry-leading levels. Our per capital sales remains at a low level and decreased quarter-on-quarter. In Q3, the proportion of new customers acquired therefore rose to 46%. We also deepened cooperation with platforms such as further improving brand exposure and user conversion through targeted advertising and content setting. New customers from public domain channels increased 38% quarter-on-quarter with continued optimization and public domain customer acquisition costs.

由於我們的客戶獲取效率仍處於行業領先水平，因此在推薦的推動下，新客戶持續成長。我們的人均銷售額仍然處於較低水平，並且環比下降。因此，第三季新客戶獲取比例上升至 46%。我們也深化了與平台的合作，透過定向廣告和內容設置，進一步提高品牌曝光度和用戶轉換率。透過持續優化和降低公共領域客戶獲取成本，來自公共領域管道的新客戶數量較上季成長 38%。

We have upgraded our membership system during the quarter. So tiered operations benefits, incentives and personalized services, we increased user retention and customer lifetime value. In Q3, core members defined as user and level three and above grew by over 10,000, up 40% quarter-over-quarter. These core numbers continued a high double-digit percentage of revenue and nearly 70% quarterly repurchase rate. Customer satisfaction score remain at a high level of 4.99 out of 5. Our user structure continues to evolve to higher loyalty and related purchases.

本季我們對會員系統進行了升級。透過分級營運、激勵措施和個人化服務，我們提高了用戶留存率和客戶終身價值。第三季度，核心會員（定義為使用者且等級為三級及以上）成長超過 10,000 人，較上季成長 40%。這些核心數據繼續保持了兩位數的高營收百分比和接近 70% 的季度回購率。顧客滿意度分數維持在較高水平，為 4.99 分（滿分 5 分）。我們的用戶結構不斷演變，以提高用戶忠誠度和相關購買量。

We continue to refine our products, focusing on premium products with repeat purchase rates at word-of-mouth. In Q3, we optimized our product portfolio and double down on refined operations for key offerings. By the end of September, we preannounced the launch of Miracle PLLA version 3, which delivered robust presales performance with over 1,300 orders completed within two days. Under A1 order per customer limit.

我們不斷改進產品，專注於口碑傳播、復購率高的優質產品。第三季度，我們優化了產品組合，並加倍投入重點產品的精細化營運。9 月底，我們預告了 Miracle PLLA 第三代產品的上市，該產品預售表現強勁，兩天內就完成了 1300 多份訂單。A1訂單每位顧客限購。

For energy-based device treatments as they exclusive distributor of BBL treatment in China, we made BBL, our highest penetration blockbuster offer in Q3, and we will continue to drive its growth in Q4. Overall, revenue contributions from blockbuster products rose to over 30%. And this core offerings continue to unlock growth momentum, we are opening greater room for synergies with supply chain.

作為中國 BBL 治療的獨家經銷商，我們在第三季度推出了 BBL，這是我們滲透率最高的重磅產品，我們將繼續在第四季度推動其成長。整體而言，熱門產品的收入貢獻率上升至 30% 以上。這些核心產品和服務持續釋放成長動力，我們正在為與供應鏈的協同效應創造更大的空間。

As our business expands, we continue to prioritize health care quality and procedural compliance. In Q3, we fully upgraded our quality control network, building a 60% client framework, including our clients, lead control supervision, internal audit, medical service delivery and information security department. This reinforces across the medical service process.

隨著業務的拓展，我們將繼續把醫療保健品質和程序合規性放在首位。第三季度，我們全面升級了品質控制網絡，建立了60%的客戶框架，包括我們的客戶、主要控制監督、內部稽核、醫療服務交付和資訊安全部門。這強化了整個醫療服務流程。

In Q3, we completed 55 centers inspections and emergency drills. By the end of the third quarter, our physician team exceeded 150 recognized by counteractive large medical chamber-wise nationwide. All doctors have completed ownerships or training at public hospitals and post our unified training and assessment, ensuring a consistent and reliable medical service experience across every center.

第三季度，我們完成了 55 個中心的檢查和緊急演練。到第三季末，我們的醫生團隊已超過 150 人，並獲得了全國各大醫療協會的認可。所有醫生均已在公立醫院完成執業或培訓，並經過我們統一的培訓和評估，確保每個中心都能提供一致可靠的醫療服務體驗。

Our business practices received recognition from mainstream media. In October, people stay online published a special commentary noting that So-Young is starting an example for the rational development of the industry through discplined operations, pricing and compliance management. We believe the industry landscape is shifting from marketing-driven to just driven. We will continue to uphold transparency of standardization and inclusive access to build a service system that truly boost customer guarantee.

我們的商業行為獲得了主流媒體的認可。10 月份，人們在線上發表了一篇特別評論，指出 So-Young 透過嚴謹的營運、定價和合規管理，為業界的合理發展樹立了榜樣。我們認為，產業格局正在從行銷驅動型轉變為純粹的驅動型。我們將繼續堅持標準化的透明化和包容性的准入，建構真正提升客戶保障的服務體系。

We continued to strengthen our medical aesthetic supply chain. In Q3, shipments of USP exceeded 59,800 units, up above 63% quarter-over-quarter. Due to the combined impact of seasonal factors and industry prosperity in Q3, revenue of comp declined by RMB80 million quarter-over-quarter. GMV for verified medical aesthetic services was around RMB260 million with per capita incentive GMV rate up 6% year-over-year. We continue to optimize the content recommendation and traffic distribution mechanisms to improve conversion efficiency.

我們持續加強醫療美容供應鏈建設。第三季度，USP 的出貨量超過 59,800 件，較上季成長超過 63%。受季節性因素和產業繁榮的雙重影響，第三季公司營收環比下降人民幣8,000萬元。經核實的醫療美容服務GMV約為人民幣2.6億元，人均激勵GMV率較去年同期成長6%。我們持續優化內容推薦和流量分配機制，以提高轉換效率。

Looking ahead, we will continue pursuing our long-term goal of 1,000 centers, expanding buildout in core cities and commercial hub while further elevating standardized and digital management to reach the bar for service delivery and user experience. We believe our durable competitive advantage comes from long-term commitment and accumulated trust. We will drive the medical aesthetic industry towards maturity with more measured pace and more professional capabilities creating long-term value for shareholders.

展望未來，我們將繼續朝著建設 1000 個中心的長期目標邁進，在核心城市和商業中心擴大建設規模，同時進一步提升標準化和數位化管理水平，以達到服務交付和用戶體驗的標準。我們相信，我們持久的競爭優勢源自於長期的投入和累積的信任。我們將以更穩健的步伐和更專業的能力，推動醫療美容產業走向成熟，為股東創造長期價值。

Now I'll hand over to our CFO, Nick, who will walk through the financial results followed by the Q&A session.

現在我將把發言權交給我們的財務長尼克，他將介紹財務業績，隨後進行問答環節。

Hello. This is Nick. Please note that all amounts are quoted in RMB. Please also refer to our earnings release for detailed information of our comparative financial performances on a year-over-year basis. Total revenues during the quarter were RMB386.7 million, up 4% year-over-year primarily due to our business expansion of the branded aesthetic center.

你好。這是尼克。請注意，所有金額均以人民幣報價。有關我們同比財務業績的詳細信息，請參閱我們的盈利報告。本季總營收為人民幣3.867億元，年增4%，主要得益於品牌美容中心業務的擴張。

Aesthetic treatment services revenues reached RMB183.6 million showing a 304.6% year-over-year, once again exceeding the high end of our guidance. This was primarily driven by the robust business expansion of our branded aesthetic centers. Information and reservation services revenues were RMB117.2 million, down 34.5% year-over-year, primarily due to a decrease in the number of medical service providers subscribing to information services on our platform.

美容治療服務收入達到人民幣1.836億元，年增304.6%，再次超過我們預期的上限。這主要是由於我們品牌美容中心業務的強勁擴張所致。資訊及預約服務收入為人民幣1.172億元，較去年同期下降34.5%，主要原因是訂閱我們平台資訊服務的醫療服務提供者數量減少。

Revenues from sales of medical products and maintenance services were RMB67 million, down 25% year-over-year primarily due to a decrease in the order volume of medical equipment. Revenues from other services were RMB18.9 million, down 67.6% year-over-year, primarily due to a decrease in revenues from So-Young Prime.

醫療產品銷售及維修服務收入為人民幣6,700萬元，較去年同期下降25%，主要原因是醫療設備訂單量下降。其他服務收入為人民幣1,890萬元，較去年同期下降67.6%，主因是So-Young Prime的營收下降。

Cost of revenues were RMB203.8 million, up 43.4% year-over-year, primarily due to the business expansion of our branded aesthetic centers. Within cost of revenues, Cost of aesthetic treatment services were RMB140.1 million, up 333.2% year-over-year, primarily due to the business expansion of our branded esthetic centers.

營業成本為人民幣2.038億元，較去年同期成長43.4%，主要原因是我們品牌美容中心的業務擴張。在營業成本中，美容治療服務成本為人民幣1.401億元，較去年同期成長333.2%，主要原因是我們品牌美容中心的業務擴張。

Cost of information and reservation services were RMB12.9 million, down 44.7% year-over-year, which was in line with the decrease in revenue generated from information and reservation services. Cost of medical products sold and maintenance services were RMB35.6 million, down 18.3% year-over-year, primarily due to a decrease in costs associated with the sales of medical equipment.

資訊及預訂服務費用為人民幣1,290萬元，較去年同期下降44.7%，與資訊及預訂服務收入的下降趨勢一致。醫療產品銷售及維修服務成本為人民幣3,560萬元，較去年同期下降18.3%，主要原因是醫療設備銷售相關成本下降。

Cost of other services were RMB15.2 million, down 64.6% year-over-year, primarily due to a decrease in costs associated with So-Young Prime. Total operating expenses were RMB255.6 million, up 13.6% year-over-year. Sales and marketing expenses were RMB130.7 million, up 13.8% year-over-year primarily due to the increase in expenses associated with the branding and user acquisition activities for our aesthetic centers.

其他服務費用為人民幣1,520萬元，較去年同期下降64.6%，主要原因是與So-Young Prime相關的費用下降。營業總支出為人民幣2.556億元，年增13.6%。銷售和市場推廣費用為人民幣1.307億元，年增13.8%，主要原因是與美容中心品牌推廣和用戶獲取活動相關的費用增加。

G&A expenses were RMB88.6 million, up 26.7% year-over-year and 12.4% quarter-over-quarter, primarily due to the onetime accrual of approximately RMB5.8 million year-end bonuses and the business expansion of our branded aesthetic centers. R&D expenses were RMB36.3 million, down 9.6% year-over-year and up 16.5% quarter-over-quarter.

一般及行政費用為人民幣8860萬元，年增26.7%，季增12.4%，主要原因是一次性提列年終獎金約人民幣580萬元以及我們品牌美容中心的業務擴張。研發費用為人民幣3,630萬元，較去年同期下降9.6%，較上季成長16.5%。

The year-over-year decrease was primarily due to improved staff efficiency, while the sequential increase was due to the onetime accrual of approximately RMB3.6 million year-end bonuses and the continued investment in miracle laser products, particularly in clinical trials.

年比下降主要是由於員工效率提高，而環比增長則是由於一次性計提了約人民幣360萬元的年終獎金以及對神奇激光產品（特別是臨床試驗）的持續投資。

Income tax expenses were RMB1.1 million compared with RMB2.1 million in the same period of 2024. Net loss attributable to So-Young International Inc. was RMB64.3 million compared with net income attributable to So-Young International, Inc. of RMB20.3 million during the same period last year.

所得稅費用為人民幣110萬元，而2024年同期為人民幣210萬元。歸屬於 So-Young International Inc. 的淨虧損為人民幣 6,430 萬元，而去年同期歸屬於 So-Young International, Inc. 的淨利為人民幣 2,030 萬元。

Non-GAAP net loss attributable to So-Young International, Inc. was RMB61.6 million compared with non-GAAP net income attributable to So-Young International Inc. of RMB22.2 million during the same period of 2024.

歸屬於 So-Young International, Inc. 的非 GAAP 淨虧損為 6,160 萬元，而 2024 年同期歸屬於 So-Young International, Inc. 的非 GAAP 淨利潤為 2,220 萬元。

Basic and diluted losses per ADS attributable to ordinary shareholders were RMB0.64 and RMB0.64, respectively, compared with basic and diluted earnings per ADS attributable to ordinary shareholders of RMB0.2 and RMB0.2, respectively, during the same period of 2024.

2024 年同期，歸屬於普通股股東的每股美國存託憑證基本虧損和每股攤薄虧損分別為人民幣 0.64 元和人民幣 0.64 元，而歸屬於普通股股東的每股美國存託憑證基本收益和每股攤薄收益分別為人民幣 0.2 元和人民幣 0.2 元。

As of September 30, 2025, our cash and cash equivalents, restricted cash and term deposits term deposits and short-term investments were RMB942.8 million, primarily due to an increase of investment in branded aesthetic centers.

截至2025年9月30日，我們的現金及現金等價物、受限現金及定期存款、定期存款及短期投資為人民幣9.428億元，主要原因是增加了對品牌美容中心的投資。

Looking ahead to the fourth quarter of 2025, we expect treatment services revenues to be between RMB216 million and RMB226 million, representing 165.8% to 178.1% increase from the same period in 2024. This outlook reflects our confidence in the strong growth momentum of our branded Aesthetics Center business. As we near the 50 center milestone, we have also seen continued improvement in center level profitability and operating cash flow, demonstrating our models scalability and operational efficiency.

展望 2025 年第四季度，我們預期治療服務收入將在人民幣 2.16 億元至 2.26 億元之間，比 2024 年同期成長 165.8% 至 178.1%。這項展望反映了我們對旗下品牌美容中心業務強勁成長動能的信心。隨著我們即將達到 50 家中心的里程碑，我們也看到了中心層面盈利能力和營運現金流的持續改善，這證明了我們模式的可擴展性和營運效率。

Going forward, we will pursue disciplined expansion while maintaining our focus on operational excellence and cost optimization to drive sustainable and quality growth. These efforts will reinforce the financial resilience of our aesthetic center business and create enduring value for our shareholders.

展望未來，我們將繼續秉持穩健擴張的原則，同時注重卓越營運和成本優化，以推動可持續的高品質成長。這些舉措將增強我們醫美中心業務的財務韌性，並為我們的股東創造持久價值。

This concludes our key remarks. I will now turn over the call to the operator and open the call for QA. Thank you.

我們的主要發言到此結束。現在我將把通話轉交給接線員，並開啟品質保證通話。謝謝。

(Operator Instructions) Hai Jingpang, Citic Securities.

（操作說明）海景龐，中信證券。

(interpreted) So okay, let me briefly translate myself. This is Hai Jingpang from CITIC Securities. So first of all, congratulations on the continued rapid expansion of the chain clinics. So could you share more about the open class for next year, including your original strategy and expected pace for the new clinic openings by quarter?

（翻譯）好的，讓我簡單翻譯一下我自己。我是中信證券的海景龐。首先，恭喜連鎖診所持續快速擴張。那麼，您能否詳細介紹明年的公開課程，包括您最初的策略以及預計每季新診所的開業速度？

By the end of 2025, we will reach 50 centers. Our goal is to lay a solid foundation, focusing on improving customer acquisition efficiency and growing user base. As the business skills, we will enter a new stage of development, relying more on digitalization and AI capabilities to replicate service processes.

到 2025 年底，我們將達到 50 個中心。我們的目標是打下堅實的基礎，專注於提高客戶獲取效率和擴大用戶群。隨著業務技能的發展，我們將進入一個新的發展階段，更加依賴數位化和人工智慧能力來複製服務流程。

This will drive breakthroughs in the bottlenecks, the industry open cases providing support for a broader build-out in the following up stage. The number of new centers to be opened next year will remain consistent with previous plans and will not be less than 35. We will keep the overall pace of center opening balance, progressing on a quarterly basis to ensure every new center quickly enter still the operation phase following its establishment.

這將推動瓶頸問題的突破，產業公開案例將為後續階段更廣泛的建設提供支援。明年將開設的新中心數量將與先前的計劃保持一致，且不會少於 35 個。我們將保持中心開設的整體節奏平衡，並按季度推進，以確保每個新中心在成立後都能迅速進入營運階段。

Our focus will remain on fourth-tier cities since they have strong demand and high repurchase rate potential, which will help us quickly build up regional density and amplify right equity. At the same time, we will also systematically establish a presence in second-tier cities with a mature consumer base to validate our experience for long-term expansion.

我們將繼續關註四線城市，因為這些城市需求強勁，回購率潛力高，這將有助於我們快速提升區域密度並擴大股權規模。同時，我們也將有條不紊地在擁有成熟消費群的二線城市建立業務，以驗證我們的經驗，為長期擴張奠定基礎。

Stacy Chen, Haitong International.

Stacy Chen，海通國際。

(interpreted) I will translate myself. First of all, congratulation to the management for achieving such rapid growth even during the off season quarters. I noted that you have released the core member they had this quarter. So could you explain more about the membership system for the aesthetic center business and how we come back to the membership operations?

（翻譯）我將自己翻譯。首先，恭喜管理層即使在淡季也實現瞭如此快速的成長。我注意到你們已經解雇了本季的核心成員。那麼，您能否詳細解釋一下美容中心產業的會員制度，以及我們是如何進行會員運作的呢？

Thank you.

謝謝。

(interpreted) The membership system is core to aesthetic centers operations each time, a user company visit, a recon is created, which helps us build a clear tiered membership system from Level 1 to 8 and identify high-value users with more committed and ongoing engagement. Level 3 and above are defined as core members. They have hired center visit frequency and greater flexibility to select additional services with annual lending 2.5 times higher than the average, making them the good driver for aesthetic center.

（解釋）會員制度是美容中心營運的核心，每次用戶公司造訪時，都會建立一份調查報告，這有助於我們建立從 1 級到 8 級的清晰分級會員制度，並識別出具有更高忠誠度和持續參與度的高價值用戶。3級以上成員定義為核心成員。他們僱用了更多人來中心就診，並有更大的靈活性來選擇其他服務，年度貸款額度是平均水平的 2.5 倍，這使他們成為美容中心的良好驅動力。

During Q3, contributed a high double-digit percentage of our aesthetic center business revenue with a repurchase rate of nearly 70%. We provide tiered and service touch points based on individual user consumption patterns, which ensures they continuously perceive brand value and received positive reinforcement for the bolstering repaid trust rates.

第三季度，該業務為我們的美容中心業務收入貢獻了兩位數的高百分比，複購率接近 70%。我們根據使用者的消費模式提供分級服務接觸點，確保他們不斷感知品牌價值並獲得正面的強化，進而提高回饋信任率。

In Q3, our membership operations made solid progress. Users with verified business increased by nearly 40,000, 36% quarter-on-quarter, including over 10,000 new core members up 40% quarter-over-quarter. Additionally, we've also enhanced repaid customer value operations, specifically repeat customer revenue reached RMB120 million in Q3, up 32% quarter-over-quarter, accounting for 65% of aesthetic treatment service revenues, verified treatment leases from repeat customers searched over 4 times year-over-year to 50,000, while ARPU also increased. These metrics all exceeded our targets. Going forward, we will continue -- we will focus on conversion of highway active users and extending the life circle of high-value users.

第三季度，我們的會員營運取得了穩定進展。經過驗證的企業用戶增加了近 4 萬，較上季成長 36%，其中包括超過 1 萬名新核心會員，較上季成長 40%。此外，我們也加強了回頭客價值運營，特別是第三季回頭客收入達到人民幣1.2億元，環比增長32%，佔美容治療服務收入的65%；回頭客搜尋次數超過4次的驗證治療租賃量同比增長5萬次，ARPU值也有所提高。這些指標全部超出了我們的預期目標。展望未來，我們將繼續－我們將專注於轉換高速公路活躍用戶，並延長高價值用戶的生命週期。

James Wang, GS Securities.

James Wang，高盛證券。

(interpreted) And my question for me is how is the Miracle PLLA 3.0 are starting since its end of September launch and what is new compared to the previous version and what's the plan for promoting it?

（翻譯）我的問題是，Miracle PLLA 3.0 自 9 月底發布以來進展如何？與之前的版本相比有哪些新變化？推廣計劃是什麼？

(interpreted) PLLA version 3 was an important upgrade on the supply chain. In China's medical aesthetic market, PLLA to almost released as an injectable for shipping. Before launching, we conducted research in South Korea and from that domestically enacted adopt a more standardized and safer skin bolster technique after multiple rounds of testing, we launched Sutiem in terms of products, it's ultra MicroSphere with five key features, including ultra smooth, ultra solid, ultra fine, ultra-pure, and ultra active cross safety, results, and longevity. These features make each product the best fit for single use. Moreover, with its overall performance upgraded, Miracle PLA version 3 is also more competitively priced, offering consumers a high-quality, yet value-for-money experience.

（譯註）PLLA 版本 3 是供應鏈的重要升級。在中國的醫療美容市場，PLLA幾乎已經作為注射劑上市。在產品上市前，我們在韓國進行了研究，並在此基礎上，在國內實施了一種更標準化、更安全的皮膚支撐技術。經過多輪測試，我們推出了 Sutiem 產品，它是一種具有五大關鍵特性的超微球，包括超順滑、超堅固、超細、超純淨和超活性交叉安全性、效果和持久性。這些特點使得每款產品都最適合一次性使用。此外，Miracle PLA 版本 3 的整體性能得到了提升，價格也更具競爭力，為消費者提供高品質且物有所值的體驗。

Regarding the promotion, we made upgrade based on the market landscape and user pinpoints to capture user mind share, we adopted American more suitable for skin busters and introduced the concept of ultra microspheres to take the lead in the segment.

在促銷方面，我們根據市場格局和用戶精準定位進行了升級，以贏得用戶心智份額；我們採用了更適合皮膚破損者的美國產品，並引入了超微球的概念，以在該細分市場中佔據領先地位。

We also released two-versions Miracle PLLA version 3 and Version 3 Pro to address different users' needs and budgets, thereby lowering the decision threshold for users. The first batch of 5,000 units was fully sold out within a short time. The massive -- arrival is expected in late November. We will continue to drive market penetration rate for Miracle PLLA version 3, converting users more efficiently and increasing ARPU and user loyalty.

我們也發布了 Miracle PLLA 版本 3 和版本 3 Pro 兩個版本，以滿足不同使用者的需求和預算，從而降低使用者的決策門檻。首批5000台產品在短時間內全部售罄。預計大規模的－將於11月下旬到來。我們將繼續提高 Miracle PLLA 版本 3 的市場滲透率，更有效轉換用戶，並提高 ARPU 和用戶忠誠度。

Market feedback shows that Miracle PLLA version 3 is receiving a high attention. We implemented an online purchase limit of one per purchase per user. From these purchase, we can say that about 56% of users paid the Pro version priced at RMB4,999, reflecting the trust replacing our brand and product. In the next year or two, the PLLA that we have been working on expected to receive approval for launch, which should reduce procurement by several times.

市場回饋顯示，Miracle PLLA 第三代產品受到了高度關注。我們對每位用戶每次線上購買的數量進行了限制，每人限購一件。從這些購買記錄來看，大約 56% 的用戶購買了售價 4,999 元的 Pro 版本，這反映了用戶對我們品牌和產品的信任。在未來一兩年內，我們一直在研發的PLLA有望獲得上市批准，這將使採購量減少數倍。

Over Miracle PLLA version 3 is not just a product upgrade, it's an important part of supply chain construction as well cluster strategy. We will adopt the same approach for future categories. We will continue to deepen the vertical integration of our supply chain, further enhanced safety and continuously convert upstream manufacturers into long-term customers. Simultaneously, we will leverage our variable marketing products, doctors and channels to differentiated areas and solid our brand moat.

Over Miracle PLLA 版本 3 不僅是產品升級，更是供應鏈建置和叢集策略的重要組成部分。我們將對未來的類別採用相同的方法。我們將繼續深化供應鏈的垂直整合，進一步提高安全性，並持續將上游製造商轉化為長期客戶。同時，我們將利用我們多樣化的行銷產品、醫生和管道，在差異化領域鞏固我們的品牌護城河。

Nelson Cheung, Citi.

張先生，花旗集團。

(interpreted) I will translate my question and congratulations on a solid quarter. With the expanding expense account, how do we ensure the safety and compliance of the entire chain system? And how is the internal quality control mechanism work?

（翻譯）我將翻譯我的問題，並祝賀你們本季表現出色。隨著支出帳戶的不斷擴大，我們如何確保整個供應鏈系統的安全性和合規性？內部品質控制機制是如何運作的？

(interpreted) Safety is our top priority. We have built a six-pillar compliance framework covering compliance, risk control, supervision, internal audit, medical service delivery, and information security departments, and we will continue to make this framework more refined and systematic.

（翻譯）安全是我們的首要任務。我們已經建立了一個涵蓋合規、風險控制、監督、內部審計、醫療服務提供和資訊安全部門的六大支柱合規框架，我們將繼續改善和系統化這個框架。

We adhere to high standards and resources. On the treatment side, we only offer three mature medical aesthetic treatments with clear mechanisms and solid user feedback to avoid potential risks. On the personnel side, we implement rigorous doctor's qualification assessments with an acceptance rate of around 10%. All doctors are also required to complete pre-employment training and regular emergency drills to ensure the highest professional service and emergency response capabilities.

我們堅持高標準和高資源投入。在治療方面，我們只提供三種成熟的醫學美容治療方案，這些方案具有明確的機制和可靠的使用者回饋，以避免潛在的風險。在人員配置方面，我們實施嚴格的醫師資格評估，錄取率約為 10%。所有醫生都必須完成入職前培訓和定期緊急演練，以確保提供最高水準的專業服務和緊急應變能力。

In medical service delivery, we implement tiered diagnosis that matches treatments with doctors based on their qualification levels. We conduct regular online and offline sessions as part of our control, ensuring reliable medical service across all centers.

在醫療服務提供方面，我們實施分級診斷，根據醫生的資格水準將治療方案與醫生進行配對。作為管控措施的一部分，我們定期進行線上和線下會議，以確保所有中心都能提供可靠的醫療服務。

If there is any user feedback or dispute, we handle it at headquarters with a crisis response team composed of key departments, including user experience, PR, GR, and legal. Currently, our average response time is under two hours, with issue resolution completed within two days. The compliance rate is below 1%.

如果使用者有任何回饋或爭議，我們將在總部由使用者體驗、公關、政府關係和法律等關鍵部門組成的危機應變小組進行處理。目前，我們的平均回應時間不到兩小時，問題解決時間在兩天內完成。合規率低於1%。

Going forward, we will continue to uphold the highest standards of safety and compliance, with digital and AI tools, we aim to maintain high-quality control efficiency and ensure consistent medical service quality and user safety across all centers as the business continues to grow rapidly. Thank you.

展望未來，我們將繼續秉持最高的安全合規標準，借助數位化和人工智慧工具，我們旨在保持高水準的品質控制效率，並確保所有中心在業務快速增長的同時，提供一致的醫療服務品質和用戶安全。謝謝。

Jenny Zhu, CICC.

Jenny Zhu，中金公司。

(interpreted) Let me repeat it in English. So how does the management view the potential for improving the profitability of the aesthetic center business in the future? Thank you.

（翻譯）讓我用英語再說一次。那麼，管理階層如何看待未來提高美容中心業務獲利能力的潛力？謝謝。

(interpreted) We believe it is paramount to demonstrate our user base spending, the improvements of operating profit -- as it scales. As the operating model gradually matures, we are confident profitability will improve.

（解釋）我們認為，展示我們的用戶群消費狀況以及隨著規模擴大而帶來的營業利潤成長至關重要。隨著營運模​​式的逐步成熟，我們相信獲利能力將會提高。

On the cost side, we continue to optimize the structure of our customer acquisition channels, including referrals from existing customers and both public and private domain traffic, continuously consolidating our advantage in customer acquisition costs.

在成本方面，我們不斷優化客戶獲取管道的結構，包括現有客戶的推薦以及公共和私有域流量，持續鞏固我們在客戶獲取成本方面的優勢。

In addition, there is significant room to lower the consumable cost. For instance, we recently upgraded Miracle PLLA from Version 2 to Version 3. As the new product gains volume, it will strengthen our bargaining power with upstream partners and further optimize our cost framework. In the future, with the gradual realization of digitalization, AI, and economies of scale, the fixed cost in data operations will be fully diluted.

此外，耗材成本還有很大的降低空間。例如，我們最近將 Miracle PLLA 從版本 2 升級到了版本 3。隨著新產品銷售的成長，這將增強我們與上游合作夥伴的議價能力，並進一步優化我們的成本結構。未來，隨著數位化、人工智慧和規模經濟的逐步實現，數據營運中的固定成本將完全被稀釋。

On the revenue side, as users increasingly prioritize resource and professionalism, they are willing to spend on premium treatments. Coupled with (technical difficulty) -- high-quality medical aesthetic products, leveraging our robust strategy, business volume has gradually concentrated on a number of SKUs with the value share of blockbuster products increasing. The top nine products contributed over 30% of revenue in Q3.

在收入方面，隨著用戶越來越重視資源和專業性，他們願意為高級服務付費。加上（技術難度）－高品質的醫美產品，憑藉我們強大的策略，業務量逐漸集中在少數幾個SKU上，而重磅產品的價值份額也在不斷增加。第三季度，排名前九的產品貢獻了超過 30% 的收入。

This lays a solid foundation to further improve our margins through proprietary customized products. Once the number of aesthetic centers and verified treatment visits reach the center level, we will focus on enhancing LTV of core members, further driving profit margin. Therefore, we believe there is great potential for the profitability of the aesthetic center business to increase from its current base.

這為我們透過自主研發的客製化產品進一步提高利潤率奠定了堅實的基礎。一旦美容中心數量和經過核實的治療次數達到中心級別，我們將專注於提高核心會員的終身價值，進一步提高利潤率。因此，我們認為美容中心業務的獲利能力有很大的成長潛力。

The conference has now concluded. Thank you for attending today's presentation, and you may now disconnect.

會議已經結束。感謝您參加今天的演講，現在可以斷開連接了。

Portions of this transcript that are marked (interpreted) were spoken by an interpreter present on the live call. The interpreter was provided by the company sponsoring this event.

本記錄中標有（已翻譯）的部分是由現場通話中的翻譯人員翻譯的。本次活動的翻譯人員由活動贊助公司提供。