Xpeng Inc (XPEV) 2024 Q2 法說會逐字稿

Hello ladies and gentlemen, thank you for standing by for the second-quarter 2024 earnings conference call for XPeng Inc. (Operator Instructions) Today's conference call is being recorded. I will now turn the call over to your host, Mr. Alex Xie, Head of Investor Relations and Capital Markets of the company. Please go ahead, Alex.

女士們、先生們大家好，感謝大家出席小鵬汽車 2024 年第二季財報電話會議（操作員說明） 今天的電話會議正在錄音。現在我將電話轉交給東道主，公司投資人關係及資本市場部主管謝先生。請繼續，亞歷克斯。

Thank you. Hello, everyone, and welcome to XPeng's second-quarter 2024 earnings conference call. Our financial and operating results were issued by our newswire services earlier today and available online. You can also view the earnings press release by visiting the IR section of our website at ir.xiaopeng.com. Participants on today's call from our management team will include our Co-Founder, Chairman and CEO, Mr. Xiaopeng; Vice Chairman and President, Dr. Brian Gu; Vice President of Corporate Finance and VW Projects, Mr. Charles Zhang; Vice President of Finance and Accounting, Mr. James Wu; and myself.

謝謝。大家好，歡迎參加小鵬汽車2024年第二季財報電話會議。今天早些時候，我們的新聞專線服務發布了我們的財務和經營業績，並可在線查看。您也可以造訪我們網站 ir.xiaopeng.com 的 IR 部分，查看收益新聞稿。出席今天電話會議的管理團隊成員包括我們的共同創辦人、董事長兼執行長小鵬先生；副主席兼總裁顧布萊恩博士；公司財務及大眾專案副總裁張朝陽先生；財務會計副總裁吳先生；和我自己。

Management will begin with prepared remarks, and the call will conclude with a Q&A session. A webcast replay of this conference call will be available on the IR section of our website. Before we continue, please note that today's discussion will contain forward-looking statements made under the safe harbor provisions of the US Private Securities Litigation Reform Act of 1995.

管理階層將以準備好的發言開始，電話會議將以問答環節結束。本次電話會議的網路直播重播將在我們網站的 IR 部分提供。在我們繼續之前，請注意，今天的討論將包含根據 1995 年美國私人證券訴訟改革法案的安全港條款做出的前瞻性陳述。

Forward-looking statements involve inherent risks and uncertainties. As such, the company's results may be materially different from the views expressed today. Further information regarding these and other risks, uncertainties is included in the relevant public filings of the company as filed with the US Securities and Exchange Commission. The company does not assume any obligation to update any forward-looking statements except as required under applicable law.

前瞻性陳述涉及固有風險和不確定性。因此，該公司的業績可能與今天表達的觀點有重大差異。有關這些和其他風險、不確定性的更多資訊包含在該公司向美國證券交易委員會提交的相關公開文件中。除適用法律要求外，本公司不承擔更新任何前瞻性聲明的義務。

Please also note that XPeng's earnings press release and this conference call include disclosure of unaudited GAAP financial measures as well as unaudited non-GAAP financial measures. XPeng's earnings press release contains a reconciliation of the unaudited non-GAAP measures to the unaudited GAAP measures.

另請注意，小鵬汽車的獲利新聞稿和本次電話會議包括揭露未經審計的 GAAP 財務指標以及未經審計的非 GAAP 財務指標。小鵬汽車的獲利新聞稿包含未經審計的非公認會計原則措施與未經審計的公認會計原則措施的調節表。

I will now turn the call over to our Co-Founder, Chairman and CEO, Mr. Xiaopeng. Please go ahead.

我現在將電話轉給我們的共同創辦人、董事長兼執行長小鵬先生。請繼續。

(spoken in Chinese).

（用中文說）。

Hi. We're dealing with some of technical issues, please wait a moment.

你好。我們正在處理一些技術問題，請稍等。

Hello?

你好？

Yeah. Please, go ahead.

是的。請繼續。

(interpreted) Hello, everyone. In the second quarter of 2024, XPeng delivered 30,207 smart EVs, up 38% quarter-over-quarter and up 30% year over year. Supported by technology-driven cost reductions, efficient operation and management and revenues from strategic technical cooperation with Volkswagen, our gross margin has further improved to 14%, placing us at the forefront of Chinese EV makers. More importantly, we completed a new round of organizational upgrades and internal restructuring, bringing on top talent, we are already adding value in marketing, style, design, AI and other key areas.

（譯）大家好。 2024年第二季度，小鵬汽車交付智慧電動車30,207輛，較上季成長38%，較去年同期成長30%。憑藉技術驅動的成本降低、高效的營運管理以及與大眾戰略技術合作的收入，我們的毛利率進一步提升至14%，處於中國電動汽車製造商的前列。更重要的是，我們完成了新一輪的組織升級和內部重組，引進了頂尖人才，我們已經在行銷、風格、設計、人工智慧等關鍵領域實現增值。

We're consistently addressing gaps and solidifying our strength to foster well-rounded competitiveness with the market launch of MONA M03 in August, we're entering an intense product launch cycle in a period of rapid development with a number of competitive new products and models to be introduced through the end of 2026. With our AI technology advancement, targeting product innovations and technology-driven cost reductions, coupled with an enhanced global and domestic marketing and sales system, these new products will fuel our sustainable growth trajectory. We're confident of achieving substantial quarter-over-quarter delivery volume growth in Q3 and Q4, respectively, and of reaching a new delivery record in the fourth quarter.

我們不斷補上短板、夯實實力，打造全面競爭力，隨著8月份MONA M03的上市，我們進入了快速發展期的緊張產品上市週期，推出了一批具有競爭力的新產品、新車型。於2026 年底推出。 。我們有信心在第三季和第四季分別實現交付量較上季大幅成長，並在第四季創下新的交付記錄。

On August 8, 2024, we began preselling MONA M03 and was thrilled by consumers' enthusiastic response. So far as presale orders have surpassed last year's G6 presale orders in the comparable sales period. Price in the RMB150,000 segment among the (inaudible) sedan, MONA M03 stands out with its trending stylish design and unique smart cockpit, offering a best-in-class driving experience, which outperforms that of vehicles in the RMB200,000 price range. Across many aspects MONA M03 is setting benchmarks and emerging as a top competitor in the A-class B2B market segment.

2024 年 8 月 8 日，我們開始預售 MONA M03，消費者的熱烈反應讓我們感到非常興奮。截至目前，預售訂單已超過去年可比銷售期間的G6預售訂單。 15萬元價格（聽不清楚）轎車中，MONA M03憑藉潮流的時尚設計和獨特的智慧座艙脫穎而出，提供一流的駕駛體驗，超越20萬元價位的汽車。 MONA M03 在許多方面都樹立了標桿，並成為 A 級 B2B 細分市場的頂級競爭對手。

We'll be hosting our 10th anniversary gala night and launching MONA M03 on August 27, with mass deliveries set to begin shortly thereafter. Our supply chain partners have geared up to support MONA M03 fast production ramp-up alongside us. I'm hopeful that the delivery pace of MONA M03's fast production ramp-up will set new XPeng records, which will help quickly enhance the reputation of this outstanding product through word of mouth and support a strong increase in sales.

我們將於 8 月 27 日舉辦 10 週年紀念晚會並推出 MONA M03，隨後不久將開始大規模交付。我們的供應鏈合作夥伴已做好準備，與我們一起支持 MONA M03 的快速產量提升。我希望MONA M03的快速產能提升的交付速度能夠創造新的小鵬汽車記錄，這將有助於透過口碑迅速提升這款優秀產品的聲譽，並支持銷量的強勁增長。

Next, we'll officially launch our next-generation sedan, the P7+ in the fourth quarter. The P7+ features exquisite stabling interior space with a three new wheelbase and over 5-meter length, making it superior choice for family customers. Furthermore, P7+ will be our first model based on our next-generation ADAS hardware platform. P7+ not only beats our cost reduction targets in both ADAS-related hardware and overall vehicle bond, but also boasts technology innovations and cost advantages that outperform our competitors.

接下來，我們將在第四季正式推出下一代轎車P7+。 P7+擁有精緻穩定的內部空間，全新三軸距和超過5公尺的車長，是家庭客戶的最佳選擇。此外，P7+將是我們基於下一代ADAS硬體平台的首款車款。 P7+不僅在ADAS相關硬體和整車黏合度方面超出了我們的成本降低目標，而且還擁有優於競爭對手的技術創新和成本優勢。

With deliveries of two new models ramping up, we're optimistic about significantly expanding our market share. At the same time, I remain dedicated to bolstering our capabilities across supply chain, manufacturing, marketing, sales and customer delivery, which will feel a more efficient and scalable operational system, accelerating product launches and deliveries during our upcoming major product launch cycle.

隨著兩款新車型交付量的增加，我們對大幅擴大市場份額持樂觀態度。同時，我仍然致力於增強我們在供應鏈、製造、行銷、銷售和客戶交付方面的能力，這將帶來更有效率和可擴展的營運系統，在我們即將到來的主要產品發布週期中加快產品發布和交付。

Looking ahead to the upcoming years, I believe that the impact of AI on vehicles will be even more significant than that of electrification for automotive industry. AI will fundamentally change the driving and riding experience and will reshape the business models in the auto and mobility sector. the advancement of the end-to-end and AI models is going to break through with the limitations of current ADAS technology, and their iteration will happen much faster than traditional cooling methods.

展望未來幾年，我相信人工智慧對汽車的影響將比汽車產業電氣化的影響更為重大。人工智慧將從根本上改變駕駛和乘坐體驗，並將重塑汽車和旅行領域的商業模式。端到端和AI模型的進步將突破目前ADAS技術的限制，其迭代速度將比傳統冷卻方法快得多。

AI will revolutionize ADAS safety and driving experience, lower the cost and speed of the mass market adoption of ADAS. The combination of AI models with XNGP, which is non-HD map reliant and has strong generalization capabilities is the only path to developing ADAS technology that delivers a seamless experience anywhere regardless of location or roots and can be scaled globally.

人工智慧將徹底改變 ADAS 安全和駕駛體驗，降低 ADAS 大眾市場採用的成本和速度。 AI模型與不依賴高清地圖且具有強大泛化能力的XNGP相結合，是開發ADAS技術的唯一途徑，該技術可以在任何地方提供無縫體驗，無論位置或根源如何，並且可以在全球範圍內擴展。

Since July 30 AI-powered XOS version 5.2 has been made available to all XPeng owners taking XNGP to the next level by empowering a smooth experience anywhere regardless of city and routes. We are the first to deploy AI model technology that offers access to ADAS on all public roads for all users nationwide. The application of end-to-end AI large models in autonomous driving is easier said than done. One of the challenges is how to ensure safe closed loop testing was both an extremely high upper limit and a solid lower limit.

自 7 月 30 日起，人工智慧驅動的 XOS 5.2 版本已向所有小鵬車主開放，無論城市和路線如何，都可以在任何地方提供流暢的體驗，從而將 XNGP 提升到一個新的水平。我們是第一個部署人工智慧模型技術的公司，為全國所有用戶提供在所有公共道路上使用 ADAS 的能力。端到端AI大模型在自動駕駛的應用說來容易做來難。其中一個挑戰是如何確保安全閉環測試既具有極高的上限，又具有可靠的下限。

Our extensive data sets and years of experience in urban ADAS driving give us an edge in integrating these end-to-end AI models, providing a safer, more human-like driving experience for our users. We're gearing up to tackle smart driving challenges such as etc., toll stations and parking gauge barriers with our XNGP capabilities. Our goal is to offer an unparalleled parking spot to parking spot ADAS experience and implement the end-to-end AI models to the next level as our second step.

我們豐富的資料集和多年的城市 ADAS 駕駛經驗使我們在整合這些端到端人工智慧模型方面具有優勢，為用戶提供更安全、更人性化的駕駛體驗。我們正準備利用我們的 XNGP 功能來應對智慧駕駛挑戰，例如收費站和停車限位器障礙等。我們的目標是提供無與倫比的停車位 ADAS 體驗，並將端到端人工智慧模型提升到新的水平，這是我們的第二步。

Even more excitingly, our next-generation ADAS hardware platform will debut on the P7+ in the fourth quarter, offering high-level ADAS at the most competitive form cost in China auto industry. In the near future, we'll offer XNGP on a more -- on more EV models, making XPeng, the world's first auto company to deploy high-level ADAS in a car model in the USD20,000 price range. I'm optimistic that improved affordability will allow more younger users to buy and enjoy the latest AI technologies, expanding XNGP's active user base and high-quality data pool. This, in turn, will create a positive cycle strengthening our AI-powered ADAS capabilities and further reducing costs.

更令人興奮的是，我們的下一代ADAS硬體平台將於第四季度在P7+上首次亮相，以中國汽車行業最具競爭力的外形成本提供高水準的ADAS。在不久的將來，我們將在更多的電動車車型上提供XNGP，使小鵬汽車成為全球第一家在2萬美元價格車型上部署高級ADAS的汽車公司。我樂觀地認為，負擔能力的提高將讓更多年輕用戶購買並享受最新的人工智慧技術，從而擴大 XNGP 的活躍用戶群和高品質資料池。反過來，這將形成一個良性循環，增強我們的人工智慧驅動的 ADAS 能力並進一步降低成本。

We aim to have our AI-powered XNGP equipped mass production smart EVs provide a driving experience equal to that of world-class robotaxis by the second half of 2025. This means just one manual takeover required for several hundred kilometers in urban areas, which is groundbreaking. In other words, we are going to offer Level 3-plus autonomous software and user experience on Level 2 ADAS hardware and at a Level 2 ADAS price point. With an affordable cost structure, we believe consumers will quickly embrace AI powered cars just as we quickly switch from traditional fuel vehicles to electric vehicles over the past five years. I'll share more details about our advancements in AI models, robotics, robotaxi and other cutting-edge technologies at our 10th anniversary gala night next week and in our annual Tech Day on October 24.

我們的目標是到2025年下半年，搭載人工智慧XNGP的量產智慧電動車能夠提供與世界一流機器人計程車同等的駕駛體驗。著開創性的。換句話說，我們將在 2 級 ADAS 硬體上以 2 級 ADAS 價格提供 3 級以上的自主軟體和使用者體驗。憑藉可承受的成本結構，我們相信消費者很快就會接受人工智慧驅動的汽車，就像我們在過去五年中從傳統燃油汽車快速轉向電動車一樣。我將在下週的 10 週年慶典晚會和 10 月 24 日的年度科技日上分享更多有關我們在人工智慧模型、機器人、機器人出租車和其他尖端技術方面取得的進展的細節。

Starting from this year, our long-term strategy for international models in overseas markets is entering a period of faster growth and is playing a more significant role in driving both sales and product growth. In the second quarter, XPeng ranked first in export sales of mid to high-end all electric vehicles or BEVs priced above USD30,000 among all Chinese BEV brands.

今年以來，我們國際化車型海外市場的長期策略正進入較快成長期，對銷售量和產品成長的拉動動作更加顯著。第二季度，小鵬汽車3萬美元以上中高階純電動車出口銷售量位居中國純電動車品牌第一。

For the first time in our history, overseas sales accounted for more than 10% of our total sales. XPeng G9 has become the number one mid to large-sized all electric SUV in Norway, Denmark, and Israel and ranked the top three in the same class in Sweden and the Netherlands. We believe that in addition to new energy, AI is crucial for us to achieve high-quality globalization.

海外銷售額佔總銷售額的比例首次超過10%。小鵬G9已成為挪威、丹麥、以色列市場第一的中大型純電SUV，在瑞典、荷蘭排名同級前三名。我們認為，除了新能源之外，人工智慧對於我們實現全球化高品質發展也至關重要。

As of August 15, we completed our over-the-air OTA rollout of the latest AI-powered XOS for all of our international customers, offering an unprecedented China-made OTA experience for overseas market. Our unique and premium tech brand has gained worldwide consumer recognition by leveraging our product strength. As we enter the third quarter, we saw strength -- a very, very strong momentum in the initial overseas orders for the international version of XPeng G6.

截至8月15日，我們已為所有國際客戶完成了最新人工智慧XOS的無線OTA上線，為海外市場提供了前所未有的中國製造OTA體驗。我們獨特的優質科技品牌憑藉我們的產品實力贏得了全球消費者的認可。進入第三季度，我們看到了實力——小鵬G6國際版的首批海外訂單勢頭非常非常強勁。

Starting from August, we expect to begin deliveries of the left-hand drive and right-hand drive versions of G6. As of July, we have expanded our presence to 30 countries and regions via dealer partners and established over 70 overseas sales stores, including in Europe, the Middle East, and Latin America. We plan to enter more right-hand drive markets in the second half of 2024, including the UK, Australia, and several countries in Southeast Asia.

從8月開始，我們預計將開始交付G6的左駕和右駕版本。截至7月，我們已透過經銷商合作夥伴將業務拓展至30個國家和地區，並在歐洲、中東、拉丁美洲等地建立了70多家海外銷售店。我們計劃在2024年下半年進入更多右舵市場，包括英國、澳洲和東南亞幾個國家。

Also, we expect to double the number of XPeng branded international sales stores in the second half of 2024. Over the next couple of years, I anticipate our overseas business will maintain its strong growth momentum, leading global sales of mid to high-end smart EVs and enhancing our reputation as a global tech brand.

此外，我們預計到2024年下半年，小鵬品牌的國際銷售店數量將增加一倍。提高我們作為全球科技品牌的聲譽。

We have achieved multiple significant milestones in our long-term strategic cooperation with Volkswagen over the past year as we steadily expanded our cooperation scope. In July of this year, we signed a master agreement of EV architecture technical collaboration with Volkswagen Group to jointly develop industry-leading EV architecture for all locally produced vehicles built on Volkswagen's China made platform or CMP and MEB platform.

一年來，我們與大眾汽車的長期策略合作取得了多個重要里程碑，合作範圍不斷擴大。今年7月，我們與大眾集團簽署了電動車架構技術合作主協議，共同為所有基於大眾中國製造平台或CMP和MEB平台的國產汽車開發業界領先的電動車架構。

Beginning in 2026, all locally produced vehicles built on the CMP and the MEB platform will be equipped with this jointly developed EV architecture. Thanks to deep mutual trust and collaboration between the two teams, the first model equipped with the jointly developed E/E architecture is expected to go into mass production within 24 months.

從2026年開始，所有基於CMP和MEB平台生產的本地生產的車輛都將配備這種共同開發的電動車架構。由於兩個團隊之間深厚的互信和協作，搭載聯合開發的E/E架構的首款車型預計將在24個月內實現量產。

I'm very much looking forward to expanding the scope of our technical cooperation and further strengthening our winning strategic partnership. I believe that the combination of China's speed and XPeng's technology will create greater synergies and strategic value for us and our partners in this era of profound changes in the global automotive industry.

我非常期待擴大我們的技術合作範圍，進一步加強我們雙贏的策略夥伴關係。我相信，在這個全球汽車產業深刻變革的時代，中國速度與小鵬汽車技術的結合，將為我們和我們的合作夥伴創造更大的協同效應和戰略價值。

I'm glad that we didn't let every crisis go to waste and that we learned from them rising above each one. After launching the G9 in September 2022 and experiencing sales fluctuations over the past few years, we have made significant strategic changes to our organization and planning. This has greatly improved XPeng's competitiveness and position us for rapid growth. We're now fully prepared to navigate the next decade of AI with steady progress.

我很高興我們沒有讓每一次危機都白費，而且我們從危機中吸取了教訓，克服了每一次危機。 2022 年 9 月推出 G9 並經歷過去幾年的銷售波動後，我們對組織和規劃進行了重大策略調整。這大大提高了小鵬汽車的競爭力，為我們的快速發展奠定了基礎。我們現在已做好充分準備，穩步推進人工智慧的下一個十年。

As we enter our major production launch cycle, we anticipate that our total delivery volume will range from 41,000 to 45,000 in the third quarter of 2024, representing a quarter-over-quarter increase of 35.7% to 49%. Furthermore, we project that our third quarter total revenue will fall within the range of RMB9.1 billion to RMB9.8 billion, representing a quarter-over-quarter increase of 12.2% to 20.8%.

隨著我們進入主要生產啟動週期，我們預計 2024 年第三季的總交付量將在 41,000 輛至 45,000 輛之間，環比增長 35.7% 至 49%。此外，我們預計第三季總營收將在人民幣91億元至人民幣98億元之間，季增12.2%至20.8%。

Thank you, everyone. With that, I'll now turn the call over to our VP of Finance, Mr. James Wu to discuss our financial performance for the second quarter of 2024.

謝謝大家。現在，我將把電話轉給我們的財務副總裁 James Wu 先生，討論我們 2024 年第二季的財務表現。

Thank you, Xiaopeng. Now let me provide a brief overview of our financial results for the second quarter of 2024. I'll reference RMB only in my discussion today, unless otherwise stated.

謝謝你，小鵬。現在讓我簡要概述我們 2024 年第二季的財務業績。 除非另有說明，我將在今天的討論中僅提及人民幣。

Our total revenues were RMB8.11 billion for the second quarter of 2024, an increase of 60.2% year-over-year and an increase of 23.9% quarter over quarter. Revenues from vehicle sales were RMB6.82 billion for the second quarter of 2024, representing an increase of 54.1% year-over-year and an increase of 23% quarter over quarter. The year-over-year and quarter-over-quarter increases were mainly attributable to higher deliveries.

2024年第二季我們的總營收為人民幣81.1億元，年增60.2%，季增23.9%。 2024年第二季汽車銷售收入為人民幣68.2億元，較去年同期成長54.1%，較上季成長23%。年比和環比增長主要歸因於交付量的增加。

Revenues from services and others were RMB1.29 billion for the second quarter of 2024, representing an increase of 102.5% year-over-year and an increase of 28.8% quarter over quarter. The year-over-year and quarter-over-quarter increases were mainly due to higher sales from maintenance services and increased revenues from technical R&D services related to the platform and software strategic technical collaboration with the Volkswagen Group.

2024年第二季服務及其他收入為人民幣12.9億元，年增102.5%，季增28.8%。年比和環比成長主要是由於維護服務銷售額的增加以及與大眾集團平台和軟體策略技術合作相關的技術研發服務收入的增加。

Gross margin was 14% for the second quarter of 2024 compared with negative 3.9% for the same period of 2023 and 12.9% for the first quarter of 2024. Vehicle margin was 6.4% for the second quarter of 2024 compared with negative 8.6% for the same period of 2023 and 5.5% for the first quarter of 2024. The year-over-year increase was primarily attributable to the cost reduction and the improvements in product mix. The quarter-over-quarter increase was primarily attributable to the cost reduction.

2024 年第二季的毛利率為14%，而2023 年同期為負3.9%，2024 年第一季為12.9%。 。環比成長主要歸因於成本降低。

R&D expenses were RMB1.47 billion for the second quarter of 2024, representing an increase of 7.3% year-over-year and an increase of 8.6% quarter over quarter. The year-over-year and quarter-over-quarter increases were mainly due to higher expenses related to the development of new vehicle models as the company expanded its product portfolio to support future growth.

2024年第二季研發費用為人民幣14.7億元，年增7.3%，季增8.6%。年比和環比成長主要是由於公司擴大產品組合以支持未來成長，與新車型開發相關的費用增加。

SG&A expenses were RMB1.57 billion for the second quarter of 2024, representing an increase of 1.9% year-over-year and an increase of 13.3% quarter over quarter. The year-over-year and quarter-over-quarter increases were mainly due to higher commission to the franchised stores and higher marketing and advertising expenses.

2024年第二季的銷售、管理及行政費用為人民幣15.7億元，較去年同期成長1.9%，較上季成長13.3%。同比和環比增長主要是由於特許經營店佣金增加以及行銷和廣告費用增加。

As a result of the foregoing, loss from operations was RMB1.61 billion for the second quarter of 2024 compared with RMB3.09 billion for the same period of 2023 and RMB1.65 billion for the first quarter of 2024. Net loss was RMB1.28 billion for the second quarter of 2024 compared with RMB2.8 billion for the same period of 2023 and RMB1.37 billion for the first quarter of 2024. As of June 30, 2024, our company had cash and cash equivalents, restricted cash, short-term investments and time deposits in total of RMB37.3 billion.

綜上所述，2024 年第二季營運虧損為人民幣 16.1 億元，而 2023 年同期為人民幣 30.9 億元，2024 年第一季營運虧損為人民幣 16.5 億元。第二季為280億元，而2023年同期為28億元人民幣，2024年第一季為13.7億元人民幣。和定期存款合計373億元。

To be mindful of the length of our earnings call, I would encourage listeners to refer to our earnings press release for more details on our second quarter 2024 financial results. This concludes our prepared remarks. We'll now open the call to the questions. Operator, please go ahead.

為了注意我們財報電話會議的長度，我鼓勵聽眾參考我們的財報新聞稿，以了解有關我們 2024 年第二季財務業績的更多詳細資訊。我們準備好的演講到此結束。我們現在開始提問。接線員，請繼續。

(Operator Instructions) Tim Hsiao, Morgan Stanley.

（操作員指示）Tim Hsiao，摩根士丹利。

(spoken in Chinese) So my first question is about the sales momentum of the new models because I experienced the third quarter volume guidance of 41,000 to 45,000 suggest that September delivery could be back to previous peak. This, together with the upcoming P7+ could easily send the company here in multi sales to a new high of around like 30,000. However, in light of relatively sure like momentum of the new models -- the models launched last year. How could XPeng (inaudible) sales momentum this time offer the new models like M03 and the upcoming P7+. So that's my first question.

（中文發言）所以我的第一個問題是關於新車型的銷售勢頭，因為我經歷了第三季度41,000至45,000輛的銷量指導，這表明9月份的交付​​可能會回到之前的峰值。再加上即將推出的 P7+，該公司的銷量將輕鬆達到 30,000 輛左右的新高。然而，鑑於去年推出的新車型的勢頭相對確定。小鵬（聽不清楚）這次的銷售動能如何為M03和即將上市的P7+等新車型提供動力。這是我的第一個問題。

(interpreted) Thank you so much for the question. Now this is actually one of the biggest challenges facing ourselves as well. For XPeng, I mean for myself in my office, I actually have a (inaudible) hang up on the wall of my office, meaning that we are aiming for steady growth going forward. Now it's honestly, easier said than done, and it's very challenging to do that and achieve those kind of goals in such a competitive environment. Going into next year, we actually expect the market competition to be even more brutal than what we have seen recently.

（解釋）非常感謝你的提問。現在這其實也是我們面臨的最大挑戰之一。對於小鵬汽車來說，我指的是我自己在辦公室的牆上，實際上我辦公室的牆上掛著一個（聽不清楚），這意味著我們的目標是未來穩定成長。老實說，說起來容易做起來難，在這樣一個競爭激烈的環境中做到這一點並實現這些目標非常具有挑戰性。進入明年，我們實際上預計市場競爭將比我們最近看到的更殘酷。

And we have done a lot when it comes to the transformation of our organization, for example, the management of the supply chain, adopting the platform-based manufacturing and also enhancing the target and aims for our manufacturing quality for M03 and P7+. And also when it comes to the monthly OTA and reform of our customer experience regarding new models and safety versions and everything. We also did an overhaul on our sales and marketing system. All of those are aiming to achieve a very long-term steady growth going forward, where we give our guidance and do preparation for the future development and sales.

我們在組織轉型方面做了很多工作，例如供應鏈的管理，採用平台化製造，以及提高我們M03和P7+的製造品質的目標和目標。還有每個月的 OTA 以及我們在新車型、安全版本等方面的客戶體驗改革。我們也對銷售和行銷系統進行了徹底改革。所有這些都是為了實現未來非常長期的穩定成長，我們為未來的開發和銷售提供指導並做好準備。

We are doing not only the rolling 12-month forecast facing -- taking into consideration the future competitive landscape. We also take into consideration the iteration of our new models and favorite versions and how to accommodate them in the competitive environment. So relative to the year before and two years beforehand, right now, we are definitely much more confident about our quarterly forecast and how to meet those targets and how to really implement our plans in order to achieve the maximum outcome. Thank you.

我們所做的不僅僅是滾動 12 個月的預測——還考慮到未來的競爭格局。我們還考慮了新型號和最喜歡的版本的迭代以及如何適應競爭環境。因此，相對於前一年和兩年前，現在我們對季度預測以及如何實現這些目標以及如何真正實施我們的計劃以實現最大成果肯定更有信心。謝謝。

Hey Tim, this is Brian. Let me just add a couple of points here. First of all, I think you're right, when we gave the third quarter guidance at the high end of the guidance, we do assume that we will hit likely the 20,000 per month sort of volume delivery -- which is going to be the high point of our delivery record historically. To achieve that, actually, there are actually a number of other catalysts, I think you should probably be aware.

嘿蒂姆，這是布萊恩。讓我在這裡補充幾點。首先，我認為你是對的，當我們在指導的高端給出第三季度指導時，我們確實假設我們可能會達到每月 20,000 件的交付量——這將是我們的交付記錄歷史最高點。為了實現這一目標，實際上，實際上還有許多其他催化劑，我想你可能應該意識到。

One is that we are very encouraged by the MONA's debut and also the reception. We think, given what we see in terms of the indicative order momentum, as well as the preparation that Xiaopeng just mentioned, we're very confident that MONA delivery in the first months starting in September will likely achieve fastest delivery record for all EV models made by EV start-ups. I think we will hopefully set the record for MONA.

一是我們對 MONA 的首次亮相和反應感到非常鼓舞。我們認為，鑑於我們所看到的指示性訂單勢頭以及小鵬汽車剛才提到的準備工作，我們非常有信心MONA在9月份開始的頭幾個月內交付將很可能實現所有電動車型的最快交付記錄由電動汽車新創公司製造。我想我們有望創造 MONA 的記錄。

Secondly, I think I want to also emphasize that the delivery number includes also significant growth of our overseas delivery volume as well. As you can see that the overseas delivery volume in the second quarter exceeded 10%. We anticipate the delivery from overseas will probably be above 15% in the third quarter, which also diversifies our overall order intake that give us further confidence in the delivery objectives that we set for third quarter and as well as the fourth quarter will be achievable.

其次，我想我還想強調的是，交付數量也包括我們海外交付量的顯著成長。可以看到，第二季度海外出貨量超過了10%。我們預計第三季海外交付量可能會超過 15%，這也使我們的整體訂單量多元化，使我們對第三季和第四季設定的交付目標能夠實現更加充滿信心。

(spoken in Chinese) My second question is about the XNGP or high-level ADAS. The constant investment in end-to-end large models has further enhanced expense and systematic authorities and AI smart driving technology and much faster than national-wide rollout of XNGP. However, when it comes to return of investments, when do you expect such a massive and constant investment could translate into a real barrier to peer competitors and translate into a meaningful upside to experience new car sales? Will there be any signpost or metric we can monitor in the following quarters? So that's my second question. Thank you.

（中文） 我的第二個問題是關於XNGP或高級ADAS的。端到端大車型的持續投入，進一步提升了費用和系統權限以及AI智慧駕駛技術，速度遠快於XNGP的全國推廣。然而，當涉及投資回報時，您預計何時如此大規模和持續的投資才能轉化為對同行競爭對手的真正障礙，並轉化為體驗新車銷售的有意義的優勢？在接下來的幾個季度中，我們是否可以監控任何路標或指標？這是我的第二個問題。謝謝。

(interpreted) Thank you for your question. Since the rollout of our version 5.0, we've collected a lot of very exciting and encouraging data, including two aspects. The first one is our adoption rate and also penetration rate of using our high-level ADAS capabilities, at least 20% increase from before the rollout of 5.0. And the second thing is that we used to encounter challenges in test driving in some stores in some areas and regions. And right now, across all of our dealer shops, you can freely use the XNGP, and this is made available to all of our dealer shops right now, which will allow our consumers to have firsthand experience of how capable our ADAS capability is.

（翻譯）謝謝你的提問。自從 5.0 版本推出以來，我們收集了許多非常令人興奮和鼓舞人心的數據，包括兩個方面。第一個是我們的採用率以及使用高級 ADAS 功能的滲透率，比 5.0 推出之前至少提高了 20%。第二件事是我們過去在一些地區和地區的一些商店試駕時遇到了挑戰。現在我們所有的經銷商店都可以免費使用XNGP，而且現在我們所有的經銷商店都可以使用這個，這可以讓我們的消費者親身體驗我們的ADAS能力有多強大。

And right now, among all Chinese EV makers XPeng is the only actual end-to-end AI models implementers, although other competitors or peers of ours also claim that they are moving towards that end goal, but we do face multiple challenges. The first one is that as we increase the upper of our ADAS capabilities with the adoption of the end-to-end AI models, we also need to secure a solid bottom limit of that capability as well that requires a lot of changes in reform, which we have implemented in our technologies and architecture.

目前，在所有中國電動車製造商中，小鵬汽車是唯一真正的端到端人工智慧模型實施者，儘管我們的其他競爭對手或同行也聲稱他們正在朝著這一最終目標邁進，但我們確實面臨多重挑戰。第一個是，當我們透過採用端到端人工智慧模型來提高ADAS能力的上限時，我們還需要確保該能力的一個堅實的底限，這需要進行大量的改革改變，我們已經在我們的技術和架構中實現了這一點。

And the other challenge is that previously, we might not be able to roll out our capability across different locations around the country. And right now, even though we are able to do it and also provide a human-like driving experience for multiple locations and in a wider range of areas, we do experience some setbacks in a small range of cities or routes where rule base and also small model kind of technological routes may produce a better outcome for now. But we believe the trend is that first of all, this year is definitely a turning point for adopting these end-to-end AI models to implement and also to enhance our ADAS driving capability.

另一個挑戰是，以前我們可能無法在全國不同地點推廣我們的能力。目前，儘管我們能夠做到這一點，並為多個地點和更廣泛的區域提供類人的駕駛體驗，但我們確實在小範圍的城市或路線上遇到了一些挫折，這些城市或路線的規則基礎和小模型類的技術路線目前可能會產生更好的結果。但我們認為趨勢是，首先，今年絕對是採用這些端到端人工智慧模型來實施並增強我們的ADAS駕駛能力的轉折點。

And going forward, in the near future, we believe that when we are able to upgrade to a more comprehensive version, we can expect to see a great outcome when it comes to commercialization. And that means that starting from P7+, which is really a great outcome of the technologically driven cost reductions on this platform using this technological architecture will allow us to offer affordable high-end ADAS capability to a wider range of consumer, which can improve our industry-leading ADAS capability. Thank you.

展望未來，在不久的將來，我們相信，當我們能夠升級到更全面的版本時，我們可以期待在商業化方面看到很好的成果。這意味著從P7+ 開始，這確實是該平台上使用這種技術架構的技術驅動成本降低的一個偉大成果，將使我們能夠為更廣泛的消費者提供負擔得起的高端ADAS 功能，這可以改善我們的產業-領先的ADAS能力。謝謝。

Great. Thanks a lot for sharing those details and looking forward to the meaningful sales take off throughout the rest of the year. Thank you.

偉大的。非常感謝您分享這些細節，並期待今年剩餘時間銷售量的大幅成長。謝謝。

Ming-Hsun Lee, Bank of America.

李明勳，美國銀行。

(spoken in Chinese) My first question is related to your cost reduction strategy. So right now, you have joint procurement with Volkswagen, you will reduce the usage of LIDAR in the future. So in what area do you think you can achieve more cost reduction going forward? And a short-term question related to your third quarter gross margin spend. So targeted factors include more export and also volume sales grow a lot, but the negative factor is more sales from MONA. So how do we expect the trend of the third quarter gross margin? Thank you.

（中文） 我的第一個問題是關於你們的成本削減策略。所以現在你們和大眾有聯合採購，你們以後會減少光達的使用。那麼您認為未來在哪些領域可以進一步降低成本呢？還有一個與第三季毛利率支出相關的短期問題。因此，目標因素包括出口增加和銷售大幅成長，但負面因素是 MONA 的銷售增加。那我們又該如何看待第三季毛利率的走勢呢？謝謝。

(interpreted) All right. Thank you for your question. Now XPeng used to prioritize technology without really considering the development of other aspects, which are also very crucial for our company's success. Now starting from the second half of this year, we're going to focus more on our commercialization capability. Right now, we have both technology and our products that are doing really well.

（解釋）好吧。謝謝你的提問。現在小鵬過去總是把科技放在第一位，而沒有真正考慮其他方面的發展，這對我們公司的成功也非常關鍵。現在從今年下半年開始，我們將更加關注我們的商業化能力。目前，我們的技術和產品都表現得非常好。

But starting from the second half of this year, we're going to see more translation of our reform and restructuring of the whole business model in order to meet the market demand and also the market competition as well.

但從今年下半年開始，我們將看到更多的改革和整個商業模式的重組，以滿足市場需求和市場競爭。

Cost reduction is a big aspect of it. On top of that, we also have cost restrictions that are driven by our technology, by our supply chain reform and also by our strategic partnership with Volkswagen as well. So in the second half of this year and also going into 2025 and '26, you can expect to actually see a lot of good news when it comes to our quarter-over-quarter improvement as well. So overall, at the end of the day, we are confident that XPeng can become a company that has a more superior GP margin than the rest of its peers. Thank you.

降低成本是其中一個重要面向。最重要的是，我們也受到技術、供應鏈改革以及與大眾汽車策略夥伴關係所驅動的成本限制。因此，在今年下半年以及進入 2025 年和 26 年時，您實際上可以看到我們季度環比改善的許多好消息。所以總的來說，歸根究底，我們有信心小鵬汽車能夠成為一家比其他同行擁有更高毛利率的公司。謝謝。

So Ming on your second question regarding the margin trend instead of being specific on Q3, I'll just speak generally about the second half. So you're right, there are a couple of things that's going to take place in the second half. As you mentioned, the export volume and percentage is going to likely go up. Starting Q3, most likely we will start to recognize some revenues from the E/E collaboration with Volkswagen. In the meantime, we also will see significant growth in terms of volume, which will help to see out the manufacturing DNA allocations as well as improving manufacturing cost.

因此，關於利潤率趨勢的第二個問題，我不會具體討論第三季度，而是籠統地談談下半年。所以你是對的，下半場將會發生一些事情。正如您所提到的，出口量和百分比可能會上升。從第三季開始，我們很可能會開始確認與大眾汽車 E/E 合作的一些收入。同時，我們也將看到產量的顯著成長，這將有助於了解製造 DNA 分配以及製造成本的改善。

On the other side, as you mentioned, there's incremental volume coming from MONA, which we expect to be a high-volume model and the other thing into Q4, as we introduce P7+, which will be the first model that come out of our new platform to achieve the cost reduction that we have communicated earlier. We do expect the P7+ margin to be very healthy into the double digits. So all in all, I'd say from a trend perspective, we expect the overall margin to be stable and maintained at mid- to low teens as you see in the second quarter. Thanks

另一方面，正如您所提到的，MONA 的銷量有所增加，我們預計這將是一個大批量型號，而第四季度的另一件事是，我們推出了P7+，這將是我們新推出的第一個型號。我們確實預計 P7+ 的利潤率將非常健康，達到兩位數。因此，總而言之，從趨勢的角度來看，我們預計整體利潤率將穩定並維持在中低位，正如您在第二季度看到的那樣。謝謝

(spoken in Chinese) So the P7+ will be your first model to use the (inaudible) solution. (inaudible) what would be the progress for you to improve your capability in (inaudible) driving through this pure vision technology.

（用中文發言）因此 P7+ 將是您第一個使用（聽不清楚）解決方案的型號。 （聽不清楚）透過這種純視覺技術，您在（聽不清楚）駕駛方面會取得什麼進展。

(interpreted) Well, actually, regarding your question, I would say that more details to be disclosed on the future product launch conferences and also on our 10/24 Tech Day, please stay tuned. But what I can say for now is that first of all, without relying on census and high-definition map that already in of itself allow us to reduce our cost significantly.

（解釋）嗯，實際上，關於你的問題，我想說更多的細節會在未來的產品發布會以及我們的10/24 Tech Day上披露，請大家繼續關注。但我現在可以說的是，首先，不依賴人口普查和高清地圖，它們本身就可以顯著降低我們的成本。

And on the other hand, with the adoption of the end-to-end AI models using this vision based technological approach allow us to greatly enhance our ADAS capability as well. Again, if you're interested, please stay tuned for more details in our future events.

另一方面，透過採用基於視覺的技術方法的端到端人工智慧模型，我們也可以大大增強我們的 ADAS 能力。再次強調，如果您有興趣，請繼續關注我們未來活動的更多細節。

Bin Wang, Deutsche Bank.

王斌，德意志銀行。

(spoken in Chinese) I think we achieved the high end of the 45,000 units in the third quarter, which means in the September, we can achieve more than 20,000. So can you provide a breakdown by products, specifically how much MONA in September, if we achieve the high end. Thank you.

（中文發言）我認為第三季我們達到了45,000台的高端，這意味著到9月份我們可以達到20,000台以上。那麼您能否提供按產品分類的詳細信息，具體來說，如果我們達到高端，9 月份 MONA 的價格是多少。謝謝。

Hey Bin, this is Brian. At the moment, we do not provide a breakdown of specific model mix for the delivery of coming months. But I would say, as I said before, we anticipate very strong delivery for MONA in September. We'll likely achieve the record for EV delivery by EV startup or new players as you can imagine. So we hope to achieve that record.

嘿賓，這是布萊恩。目前，我們不提供未來幾個月交付的具體車型組合的詳細資訊。但我想說，正如我之前所說，我們預計 MONA 9 月份的交付​​量將非常強勁。正如您可以想像的那樣，我們很可能會創下電動車新創公司或新參與者的電動車交付記錄。所以我們希望能夠實現這項記錄。

Secondly is that it also consists of a significant percentage from overseas, which will be mostly G9 and G6. As you know, that G6 is starting delivery this month and next month. So that will also mean there's contribution from these mainstream models from our lineup. So other than that, I don't think we will provide any more details on the mix.

其次，其中也有很大一部分來自海外，其中大部分是 G9 和 G6。如您所知，G6 將於本月和下個月開始交付。因此，這也意味著我們產品陣容中的這些主流型號將做出貢獻。除此之外，我認為我們不會提供更多關於組合的細節。

(spoken in Chinese) My question is second one is about new products. You mentioned very similar cycle. Can you elaborate a little bit about the product for next year. Thank you.

（中文發言） 我的第二個問題是關於新產品的。你提到了非常相似的周期。可否詳細介紹一下明年的產品？謝謝。

Bin, again, on this call, we are not able to provide specific guidance on model launches next year or a number of new as well as updated models. I think we will provide that information probably in a later stage. But what we can say, as we said before as well, is that we anticipate this fourth quarter's a very strong product cycle. So it will be many, I would say, many is more than what we -- this year that has launched this year. So more than this year, definitely as a number of vehicles of new models and revised or updated models for next two years.

Bin，再次強調，在這次電話會議上，我們無法提供有關明年推出的車型或一些新車型和更新車型的具體指引。我認為我們可能會在稍後階段提供該資訊。但正如我們之前所說，我們可以說的是，我們預計第四季將是一個非常強勁的產品週期。因此，我想說，這將比我們今年推出的更多。所以今年比今年肯定會推出一些新車型以及未來兩年的改版或更新車型。

Okay. Thank you very much.

好的。非常感謝。

Paul Gong, UBS.

龔保羅，瑞銀集團。

(spoken in Chinese) So my first question is regarding the export outlook. At this stage, we're glad to see the company is pushing for the exports, however, we are seeing the rising protectionism in the EDMs, including the upcoming extra tariff. And we are also seeing in other markets the rising competition even among the Chinese (inaudible) is escalating. How do you foresee these challenges? How do you overcome it.

（中文發言） 我的第一個問題是關於出口前景的。現階段，我們很高興看到該公司正在推動出口，但是，我們看到EDM的保護主義不斷抬頭，包括即將徵收的額外關稅。我們也看到，在其他市場，即使是中國人之間的競爭也在加劇（聽不清楚）。您如何預見這些挑戰？你如何克服它。

Hey Paul, this is Brian again. Very good question. I think you're right. Obviously, global opportunity is immense, but also there's a lot of challenges along the way. We also noticed the tariff updates in the European market, et cetera.

嘿保羅，我又是布萊恩。非常好的問題。我認為你是對的。顯然，全球機會是巨大的，但同時也存在著許多挑戰。我們也注意到歐洲市場等關稅的更新。

But what I would say, a few points. One is that we so far have been very successfully launching our product in Europe as well as other global markets, positioning those products as premium sort of EV brand. If you look at our sale price, of G6 as well G9 in global markets, which is available today already, you can see that we actually are priced higher than some of the comparable competitors we actually faced in China, which means that we actually can achieve a better and more premium position for global markets.

但我要說的是幾點。一是到目前為止，我們已經非常成功地在歐洲以及其他全球市場推出了我們的產品，將這些產品定位為高端電動車品牌。如果你看看我們今天已經上市的 G6 和 G9 在全球市場的銷售價格，你會發現我們的價格實際上比我們在中國實際面臨的一些同類競爭對手要高，這意味著我們實際上可以在全球市場上取得更好、更優質的地位。

Secondly is that in Europe, specifically, we obviously have to deal with the tariffs. But I think given the efforts by our team, the pricing, as I mentioned, as well as using a collaborative relationship with local partners, we still can achieve, I would say, good marginal contribution from those sales. So we're actually dealing with that at the moment, which already started, I think, the regime back in July. So we have been dealing this in the last 1.5 months already.

其次，特別是在歐洲，我們顯然必須處理關稅問題。但我認為，鑑於我們團隊的努力、定價（正如我所提到的）以及利用與當地合作夥伴的合作關係，我想說，我們仍然可以從這些銷售中實現良好的邊際貢獻。所以我們現在實際上正在處理這個問題，我認為這個問題早在七月就已經開始了。所以我們在過去 1.5 個月裡就一直在處理這個問題。

And then looking outside of Europe, I think we actually also see huge opportunities for Middle East, including Israel, Southeast Asia, which is the market that we will be launching our right-hand driving models as we speak this month and next month. And also, we see significant growth opportunities in other parts of the world. So with additional sort of a product launch as well as a better, I would say, more premium positioning of our product globally as well as building extensive relationship and distribution channels around the world, we are confident that we can achieve the volume as well as some of the profit contributions we anticipate from global operations.

然後看看歐洲以外的地區，我認為我們實際上也看到了中東的巨大機會，包括以色列、東南亞，我們將在本月和下個月的演講中推出右側駕駛車型的市場。此外，我們也看到世界其他地區存在巨大的成長機會。因此，透過推出更多類型的產品，以及在全球範圍內對我們的產品進行更好的、更優質的定位，以及在世界各地建立廣泛的關係和分銷渠道，我們有信心能夠實現銷量和我們預計全球業務的一些利潤貢獻。

(spoken in Chinese) So my second question is regarding the robotaxi. I recall a few years ago, once there was a moment that XPeng also had a little bit plan for the robotaxi, but subsequently, it has been modified. I understand just now you mentioned that you hope your volume produced models to achieve the similar effect versus robotaxi operation in overseas markets in the second half of 2025. But just want to listen to you guys why as an industry leader in the autonomous driving, you are not a big fan of robotaxi operation?

（中文）我的第二個問題是關於機器人計程車的。記得幾年前，曾經有一段時間，小鵬汽車也對Robotaxi有過一點規劃，但後來又被修改了。我知道您剛才提到希望您的量產車型能夠在2025年下半年達到與Robotaxi在海外市場運營類似的效果。嗎？

(interpreted) Thank you, this is a very good question. Actually, when it comes to robotaxi development, not only in China but globally speaking, the technological approach is quite different from what we adopt right now, which is the end-to-end AI models architecture. Now the focus of robotaxi right now in the market is to focus on offering safe and good customer experience within a small area or region, whereas our target is to offer a full domain or all domain kind of human-like driving experience that definitely define the differences between our focus right now versus robotaxis.

（解釋）謝謝，這是一個很好的問題。事實上，無論是在中國還是在全球範圍內，機器人計程車的發展，其技術方法與我們現在採用的端到端人工智慧模型架構有很大不同。現在市場上的robotaxi的重點是在一個小區域或區域內提供安全和良好的客戶體驗，而我們的目標是提供全領域或所有領域的類人駕駛體驗，這明確定義了我們現在的重點與機器人出租車之間的差異。

And the other thing is that based on our previous experience of operating multiple vehicles, we understand that right now, when it comes to the industry target for robotaxi cost still is the number one priority, apart from regulation and also the mass adoption rate and penetration of this technology. The majority of robotaxi developers right now do not really balance these two aspects really well, meaning, namely cost and customer experience.

另外，根據我們之前運營多輛車的經驗，我們了解到，目前，當談到機器人計程車的行業目標時，除了監管之外，還有大規模採用率和滲透率，成本仍然是第一要務。目前大多數機器人計程車開發人員並沒有真正很好地平衡這兩個方面，即成本和客戶體驗。

Now, there are several things that we can comment on when it comes to robotaxis. First of all, we are definitely considering the future for developing robotaxis, but this is very, very different from the L4 ADAS capability or experience. The second thing is that we're not considering involving ourselves in the operation of robotaxi, but rather focusing on producing high-quality products or vehicles, robotaxi vehicles with the partnership with vehicle or mobility operators in the future, globally speaking.

現在，當談到機器人軸時，我們可以評論幾件事。首先，我們肯定會考慮開發機器人軸的未來，但這與L4 ADAS能力或經驗非常非常不同。第二件事是，我們不考慮參與Robotaxi的營運，而是專注於生產高品質的產品或車輛、Robotaxi車輛，未來與全球的車輛或旅遊營運商合作。

And another thing that I want to complement here is that Robotech, when it comes to development of Robotaxi, XPeng definitely has our unique kind of differentiation and consideration as well. We've put in a lot of thought into the future of robotaxi and is actually quite different from the pure ADAS for everyday use and it's a different way of or different kinds of mobility. And in the future, when time allows, we're going to share more of our thoughts in this regard. Thank you.

另外我想補充的是，Robotech，在Robotaxi的開發上，小鵬汽車肯定也有我們獨特的差異化和考慮。我們對機器人計程車的未來進行了很多思考，它實際上與日常使用的純粹 ADAS 有很大不同，它是一種不同的移動方式或不同類型的移動。未來，如果時間允許，我們會分享更多這方面的想法。謝謝。

Thank you very much. That's quite helpful. Thank you.

非常感謝。這很有幫助。謝謝。

Tina Hou, Goldman Sachs.

蒂娜·侯，高盛。

(spoken in Chinese) Also, thanks management for taking my question. My first question is regarding our production preparation for MONA M03 because previously, with G6 I think the supply bottleneck was mainly related to the LIDAR. However, with M03, we don't have LIDAR. So this should have a much faster ramp up. So just wondering how much are we preparing for in the next few months?

（中文）另外，感謝管理階層提出我的問題。我的第一個問題是關於我們MONA M03的生產準備，因為之前G6我認為供應瓶頸主要與雷射雷達有關。然而，對於M03，我們沒有光達。所以這應該會有更快的提升。所以只是想知道我們在接下來的幾個月裡做了多少準備？

Second question is regarding our R&D expense. So we guided for RMB7 billion to RMB7.5 billion previously. But looking at our first half tracking and looking at last year's first half, second half seasonality, it seems like it's tracking just below RMB6 billion. So wondering whether we have any like added R&D spending into the second half. Thank you.

第二個問題是關於我們的研發費用。所以我們之前的指導是70億到75億。但從我們上半年的追蹤情況以及去年上半年、下半年的季節性來看，似乎略低於 60 億元。所以想知道下半年我們是否會有類似的研發支出增加。謝謝。

Tina, this is James. I'll try to answer both of your questions. On MONA production capacity, obviously, we've seen what we have experienced in the past. Launches with regard to G6 and X9. These are great lessons we've learned.

蒂娜，這是詹姆斯。我會盡力回答你的兩個問題。顯然，關於 MONA 的生產能力，我們已經看到了過去所經歷的情況。針對 G6 和 X9 推出。這些是我們學到的重要教訓。

So what we have done is we have started preparing the MONA production, preparation way ahead of time versus the previous cases. So we've anticipated the supply constraints from some of the key components, and we have set sufficient plans to prepare solutions for those issues that we have experienced in the past.

所以我們所做的就是開始準備 MONA 的製作，比之前的案例提前了準備。因此，我們已經預料到了一些關鍵零件的供應限制，並且我們已經制定了足夠的計劃來為我們過去遇到的這些問題準備解決方案。

So far, we haven't seen any signs of issues with regard to our supply chain and production capacity. So we continue to expect we will achieve the planned production and delivery as we have communicated earlier.

到目前為止，我們還沒有看到我們的供應鏈和生產能力有任何問題的跡象。因此，我們繼續期望我們能夠實現我們先前溝通的計劃生產和交付。

Your second question about the engineering expense, yes, from the first half, if you look at our engineering expenses, it's relatively flat and comparable to last year. But as we mentioned earlier, we are entering into a pretty heavy product cycle and a lot of the engineering expenses with regards to design and product developments has already kicked in. So we expect the engineering expenses to ramp up in the second half of the year.

你的第二個問題是關於工程費用，是的，從上半年來看，如果你看我們的工程費用，它相對持平，與去年相當。但正如我們之前提到的，我們正在進入一個相當繁重的產品週期，並且設計和產品開發方面的大量工程費用已經開始生效。

For the full year, we still remain our earlier guidance of about RMB7 billion for the full year in terms of engineering expense. Thank you.

就全年而言，我們仍維持先前對全年工程費用約 70 億元人民幣的指引。謝謝。

Thank you. That's very clear.

謝謝。這非常清楚。

Pingyue Wu, Citic Securities.

吳平月，中信證券。

(spoken in Chinese) So my first question is, I actually went to see MONA in the first time, and it was of very good quality. But people only feel this quality when they see the car in person. So do we have some sales action to make less more people to see the car in (inaudible).

（中文）所以我的第一個問題是，我其實是第一次去看MONA，而且品質非常好。但人們只有在親眼看到汽車時才能感受到這種特質。那麼我們是否採取了一些銷售行動來減少更多的人來看車（聽不清楚）。

(interpreted) Yes, indeed. Well, when it comes to sales and marketing, technical approaches, it is quite different between functional or performance-oriented cars versus affordable cars. Now when it comes to MONA, definitely, its capability is more superior to most of the other comparable cars of this class, especially when it comes to aesthetic and dynamic construction capabilities. Since our rollout of the car in -- across our different stores, since the beginning of August this year, we've received a very unprecedented and very encouraging reception from -- responses from the consumers, which again, resonate with what you mentioned in your question, you have to see and feel it to know how good a car it is.

（解釋）是的，確實如此。嗯，當談到銷售和行銷、技術方法時，功能性或性能導向汽車與經濟型汽車之間有很大不同。現在說到 MONA，毫無疑問，它的能力比大多數同級別的其他同類汽車更優越，尤其是在美觀和動態構造能力方面。自從我們在不同的商店推出這款汽車以來，自今年八月初以來，我們收到了來自消費者的前所未有的、非常令人鼓舞的反應，這再次與您在中提到的內容產生共鳴。問題，你得親眼看到、感受一下才知道這輛車有多好。

So after our official product launch later this month, we plan to not only do a lot of off-line sales and promotional activities, but we're also going to do a lot of seating online as well in order to encourage more customers to test drive it for themselves. And we believe that M03's sales performance will be even more superior than G6 of the same comparable sales period.

所以這個月下旬我們的正式產品推出之後，我們不僅計劃做很多線下的銷售和促銷活動，而且我們也會在網上做很多的坐席，以鼓勵更多的客戶來測試。我們相信，M03的銷售業績將比同期可比銷售的G6更加出色。

And also one thing that I would like to add is that because we are very confident of the performance and capabilities of M03 when it comes to static and dynamic production capability. We believe that once it is launched and officially delivered, word of mouth will serve to our favor, which will also allow more people to become interested in this car and actually test drive it in our dealer shops across the country.

另外我想補充的一件事是，因為我們對M03在靜態和動態生產能力方面的表現和能力非常有信心。我們相信，一旦上市並正式交付，口碑將對我們有利，這也將使更多的人對這款車產生興趣，並在我們遍布全國的經銷店實際試駕。

And again, there are a lot of sales and marketing possibilities when it comes to promoting this kind of affordable vehicles for the market. Thank you.

同樣，在向市場推廣這種經濟實惠的車輛時，有很多銷售和行銷的可能性。謝謝。

(spoken in Chinese) My second question is we actually do a lot of reform from 2022. And after two years, how do we evaluate our ability in sales and marketing right now. Thank you.

（中文發言）我的第二個問題是，從2022年開始，我們實際上做了很多改革。謝謝。

(interpreted) Thank you for the question. Two years ago, when we started our reform, we started with our planning, not only when it comes to product launch, but also the planning for the whole business, especially in sales and marketing system as well. And then we break it down to our technological development, our sales and marketing system, our customer services. And right now, I think we've achieved the first stage of success where we actually have different aspects of improvement when it comes our products and also our competitiveness.

（解釋）謝謝你的提問。兩年前，我們開始改革的時候，我們就從規劃開始，不僅是產品上市的規劃，還有整個業務的規劃，特別是行銷體系的規劃。然後我們將其分解為我們的技術開發、我們的銷售和行銷系統、我們的客戶服務。現在，我認為我們已經取得了成功的第一階段，在我們的產品和競爭力方面，我們實際上有不同方面的改進。

And by Q3, Q4 this year, you will begin to see how it translates into our sales performance, and it's driven not only by our product launch which we prioritize but also from a comprehensive development of our all-rounded capabilities, including what we mentioned previously, sales and marketing and also customer services as well.

到今年第三季、第四季度，你會開始看到它如何轉化為我們的銷售業績，它不僅是我們優先考慮的產品發布推動的，也是我們全方位能力的全面發展推動的，包括我們提到的。

Now right now, across the management capabilities, we also focus on developing our store management across Tier 2, Tier 3, Tier 4 cities, we have implemented some new strategies to better serve our customers after sales and also when it comes to car insurance, et cetera. We also focus on training our sales staff to improve their overall capability and working efficiency as well. So we are very confident of our future development, not only in China but also globally speaking, we believe that in the midterm, our target has become one of the top players in the China auto-making industry when it comes to our sales and marketing capability. Thank you.

現在，在管理能力上，我們也專注於發展我們在二線、三線、四線城市的門市管理，我們實施了一些新的策略，以更好地服務我們的客戶售後服務，以及汽車保險，等等。我們也專注於培訓銷售人員，以提高他們的整體能力和工作效率。因此，我們對未來的發展非常有信心，不僅在中國，而且在全球範圍內，我們相信，從中期來看，我們的目標在銷售和行銷方面已成為中國汽車製造業的頂尖企業之一能力。謝謝。

Yuqian Ding, HSBC.

丁宇謙，匯豐銀行。

(spoken in Chinese) So my first question is about the gross profit margin. So can management help us to break down the overseas margin and also domestic part, especially the wholesale bits what's the impact of the profitability over there. If not specific, at least could they give us a little bit reference versus the group average gross paper margin?

（中文發言） 我的第一個問題是毛利率。那麼管理層能否幫助我們分解海外利潤率和國內部分，特別是批發部分，對那裡的獲利能力有何影響。如果不具體，至少他們可以為我們提供一些與集團平均毛帳面利潤率相比的參考嗎？

And also to clarify, Brian said in the second half of the year, roughly the margin level would be mid to low teen percent stay relatively stable. Does that mean the positive benefit of the margin support coming from the software part will largely be absorbed by the product mix coming down and also increasing channel discount?

為了澄清這一點，布萊恩表示，今年下半年，利潤率水準大致將在百分之十的中低水準保持相對穩定。這是否意味著來自軟體部分的利潤支持的積極效益將在很大程度上被產品組合的下降和通路折扣的增加所吸收？

Yes. This is James. I'll try to answer your question. First, as Brian mentioned, we are expanding on a global basis pretty rapidly. So we would expect the overseas sales, both in terms of absolute volume as well as percentage of total volume increasing in the second half compared to the first half.

是的。這是詹姆斯。我會盡力回答你的問題。首先，正如布萊恩所提到的，我們正在全球範圍內快速擴張。因此，我們預計下半年的海外銷售無論是絕對數量還是佔總銷售的百分比都會比上半年增加。

With regard to margin overseas, in conclusion, it is healthy, good margin. When you look at overseas markets, right, it's quite different when it comes to different countries. And we have different business models in different countries, including direct sales model, dealership model as well as distribution model.

就海外利潤率而言，總而言之，這是健康、良好的利潤率。當你看海外市場時，對吧，不同國家的情況有很大不同。我們在不同的國家有不同的商業模式，包括直銷模式、經銷商模式以及分銷模式。

So the way to understand margin and income and impact to the bottom line is quite different across these different models. But in sum, I would say, from a variable profit or contribution margin perspective for our overseas business, it is quite good, and it's helping us to improve the overall profitability of the company. All right.

因此，在這些不同的模型中，理解利潤和收入以及對底線的影響的方式有很大不同。但總的來說，我想說，從我們海外業務的可變利潤或邊際貢獻來看，這是相當不錯的，它有助於我們提高公司的整體獲利能力。好的。

Then your second question regarding the margin trend in the second half. I just wanted to clarify that we didn't really refer to the software margin for the second half. What we were talking about earlier was a variety of different components that will come into play in the second half, including higher volume mix changes in terms of overseas and domestic, income from the VW collaboration will likely to increase as well as additional new vehicle models with regard to MONA and P7+. So overall, as I mentioned, the margin will maintain and stable in mid to low tens, but from a vehicle margin perspective, we are anticipating moderate growth compared to what we've seen in the first half. Thank you,

那你的第二個問題是關於下半年的利潤趨勢。我只是想澄清一下，我們並不是真正指的是下半年的軟體利潤。我們之前討論的是下半年將發揮作用的各種不同組成部分，包括海外和國內銷量組合的變化、與大眾合作的收入可能會增加以及更多新車型關於 MONA 和 P7+。因此，總體而言，正如我所提到的，利潤率將維持在中低位，但從車輛利潤率的角度來看，我們預計與上半年相比將溫和成長。謝謝你，

Got it. Thank you (spoken in Chinese) So the second question is really about the autonomous driving differentiation. So autonomous driving technology, everyone is developing that. Everyone is talking about leveraging the big data loop engineering capability and processing powers to get it down. But will the industry running into the stage that the technology development curve is running flattish in terms of the development slope. So everyone can do the autonomous driving service, but no one is really sticking out.

知道了。謝謝（中文） 那麼第二個問題其實是關於自動駕駛的差異化。自動駕駛技術，每個人都在開發。每個人都在談論利用大數據循環工程能力和處理能力來實現它。但從發展斜率來看，產業是否會進入技術發展曲線趨平的階段。所以每個人都可以做自動駕駛服務，但沒有人真正堅持下去。

So if we're talking about next year is the ideal moment, achievable moment, so how -- could you help us to envision how the singularity and the breakout could happen? Does that mean because we're getting maturing technologies or we're selling more vehicle or because of the technology is getting better, we are finding diversified revenue model. Thank you.

因此，如果我們談論明年是理想的時刻、可實現的時刻，那麼您能否幫助我們設想奇點和突破將如何發生？這是否意味著因為我們的技術正在成熟，或者我們正在銷售更多的車輛，或者因為技術越來越好，我們正在尋找多元化的收入模式。謝謝。

(interpreted) Well, it will be very challenging for me to try to respond to your question without involving technical terms or language, but I'll do my best. First of all, the previous model or a technological approach that was widely adopted industry for ADAS is so-called all-knowing perspective, relying on high-definition maps and also rule-based architecture to develop their ADAS autonomous driving capability.

（解釋）嗯，在不涉及技術術語或語言的情況下嘗試回答你的問題對我來說是非常具有挑戰性的，但我會盡力而為。首先，以往業界廣泛採用的ADAS模式或技術方法是所謂全知視角，依靠高清地圖和基於規則的架構來發展其ADAS自動駕駛能力。

Now the main challenge for that approach is that you have actually numerous corner cases where you actually have to examine them one by one. And the customer experience, the driving experience itself is not perfect. For example, most of the ADAS vehicles on the market available right now is driving at about 40 to 50 kilometers per hour and also their late changes and turn making looks very, very robotic, it's not a human-like kind of driving experience, whereas the AI approach, our end-to-end AI models approach allow us to actually learn from excellent, and I want to focus on the (inaudible) here, excellent or high-quality experienced driver or human-like driver, someone like yourself when it comes to the driving habits and the performance across different areas of the country.

現在，這種方法的主要挑戰是，您實際上有許多極端情況，您實際上必須一一檢查它們。而客戶體驗、駕駛體驗本身並不完美。例如，現在市場上的大多數ADAS車輛的行駛速度約為每小時40至50公里，而且它們的後期變化和轉彎看起來非常非常機器人，這不是一種類似人類的駕駛體驗，而人工智慧方法，我們的端到端人工智慧模型方法使我們能夠真正向優秀的人學習，我想在這裡關注（聽不清楚）優秀或高品質的經驗豐富的駕駛員或類似人類的駕駛員，像你這樣的人這涉及到全國不同地區的駕駛習慣和表現。

But obviously, they also encountered the challenge of serving different corner cases because it's not rule based. For example, if you encounter stray animals, for example, stray cats in the wild, on the road, it's not going to try to avoid it because it's not something that they've learned before, whereas in a rule-based approach, maybe there is a rule there that states that you have to avoid hitting those animals. So there are pros and cons of different approaches, but I believe the development of the capabilities based on this AI end-to-end model is going to be a lot more significant and a lot quicker than the previous rule-based approach. I hope, I answered your question. Thank you.

但顯然，他們也遇到了服務不同極端情況的挑戰，因為它不是基於規則的。比如說，如果你在野外、路上遇到流浪動物，例如流浪貓，它不會試圖迴避，因為這不是他們以前學過的東西，而在基於規則的方法中，也許那裡有一條規則規定你必須避免擊打這些動物。因此，不同的方法各有利弊，但我相信基於這種人工智慧端到端模型的能力開發將比以前基於規則的方法更重要、更快。我希望，我回答了你的問題。謝謝。

That does conclude our question-and-answer session. I'd like to turn the call back over to the company for closing remarks.

我們的問答環節到此結束。我想將電話轉回公司以供結束語。

Thank you once again for joining us today. If you have further questions, please feel free to contact XPeng's Investor Relations team about the contact information provided on our website for the XPeng Financial Communications. Thank you.

再次感謝您今天加入我們。如果您還有其他疑問，請隨時聯繫小鵬汽車投資者關係團隊，以了解我們網站上提供的小鵬財經傳播聯絡資訊。謝謝。

This concludes today's conference call. You may now disconnect your lines. Thank you.

今天的電話會議到此結束。現在您可以斷開線路。謝謝。

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.

此文字記錄中標記（翻譯）的部分是由現場通話中的口譯員說出的。口譯員由贊助本次活動的公司提供。