Xpeng Inc (XPEV) 2021 Q4 法說會逐字稿

Hello, ladies and gentlemen, thank you for standing by for the Fourth Quarter and Fiscal Year 2021 Earnings Conference Call for XPeng Inc. (Operator Instructions) Today's conference call is being recorded.

女士們，先生們，您好，感謝您為小鵬汽車公司準備 2021 年第四季度和 2021 財年收益電話會議。（操作員說明）今天的電話會議正在錄音中。

I will now turn the call over to your host, Mr. [Alex Xie], Head of Investor Relations of the company. Please go ahead, Alex.

我現在將把電話轉給您的主持人，公司投資者關係負責人 [Alex Xie] 先生。請繼續，亞歷克斯。

Thank you. Hello, everyone, and welcome to XPeng's Fourth Quarter and Fiscal Year 2021 Earnings Conference Call. Our financial and operating results were issued by our newswire services earlier today and are available online. You can also view the earnings press release by visiting the IR section of our website at ir.xiaopeng.com.

謝謝你。大家好，歡迎來到小鵬汽車 2021 年第四季度及財年財報電話會議。我們的財務和經營業績今天早些時候由我們的新聞專線服務發布，並可在線獲取。您還可以通過訪問我們網站 ir.xiaopeng.com 的 IR 部分查看收益新聞稿。

Participants on today's call from our management will include Co-Founder, Chairman and CEO, Mr. He Xiaopeng; Vice Chairman and President, Dr. Brian Gu; Vice President of Finance, Mr. Dennis Lu; Vice President of Corporate Finance and Investment, Mr. Charles Zhang, and myself.

我們管理層今天電話會議的參與者將包括聯合創始人、董事長兼首席執行官何小鵬先生；副主席兼總裁顧博士；財務副總裁Dennis Lu先生；公司財務與投資副總裁張先生和我本人。

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.

管理層將從準備好的評論開始，電話會議將以問答環節結束。本次電話會議的網絡重播將在我們網站的 IR 部分提供。

Before we continue, please note that today's discussion will contain forward-looking statements made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. 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 and uncertainties is included in the relevant public filings of the company as filed with the U.S. Securities and Exchange Commission.

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作出的前瞻性陳述。前瞻性陳述涉及固有風險和不確定性。因此，該公司的結果可能與今天表達的觀點存在重大差異。有關這些和其他風險和不確定性的更多信息包含在公司向美國證券交易委員會提交的相關公開文件中。

The company does not assume any obligation to update any forward-looking statements except as required under applicable law. Please also note that XPeng's earnings press release and this conference call includes the 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.

除適用法律要求外，公司不承擔更新任何前瞻性陳述的任何義務。另請注意，小鵬的收益新聞稿和本次電話會議包括披露未經審計的 GAAP 財務指標以及未經審計的非 GAAP 財務指標。小鵬汽車的收益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對賬。

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

我現在將把電話轉給我們的聯合創始人、董事長兼首席執行官何小鵬先生。請繼續。

[Interpreted] Hi, everyone. We closed 2021 with another record quarter of deliveries. We delivered 41,751 units in the fourth quarter alone, growing 222% year-over-year. And our total deliveries for the full year of 2021 increased by 263% compared with 2020 and reached 98,155 units, making us the top-ranked emerging EV maker in China. Our 2021 full year revenue exceeded RMB 20 billion.

[解釋] 大家好。我們以另一個創紀錄的季度交付量結束了 2021 年。我們僅在第四季度就交付了 41,751 台，同比增長 222%。 2021年全年總交付量較2020年增長263%，達到98,155輛，成為中國排名第一的新興電動汽車製造商。 2021年全年營收突破200億元。

Heading into 2022, we are experiencing even higher demand for our products, which continues to outpace our production. To expedite delivery of large volume of order backlog carried over from 2021 and our newly acquired orders earlier this year, we completed technology upgrades of our Zhaoqing plant during scheduled downtime over the Chinese New Year Holiday.

進入 2022 年，我們對產品的需求會更高，這將繼續超過我們的產量。為加快交付自 2021 年結轉的大量積壓訂單和我們今年早些時候新獲得的訂單，我們在春節假期的預定停機時間內完成了肇慶工廠的技術升級。

By adjusting our sales and delivery schedules, new orders that came in late February and the first half of March picked up quickly and have returned to the same robust level as the peak season in last December. Starting from March 21, we raised the prices across our product lineup by RMB 10,000 to RMB 20,000 each in order to pass through the rise in cost of batteries and raw materials.

通過調整我們的銷售和交貨計劃，2 月下旬和 3 月上半月的新訂單迅速回升，並恢復到與去年 12 月旺季相同的強勁水平。從 3 月 21 日開始，我們將整個產品線的價格提高了 10,000 元至 20,000 元，以轉嫁電池和原材料成本的上漲。

Against a backdrop of higher oil prices, driving electric vehicles typically brings increasing cost advantages over ICE vehicles, allowing for greater growth opportunities in the mid- to high-end BEV market, which is the target segment for our Smart EVs. This market also feature a vast array of consumers, who attach more importance to EV quality and technologies. Therefore, 2022 will be a crucial year for each EV maker to validate their products' competitiveness.

在油價上漲的背景下，與內燃機汽車相比，駕駛電動汽車通常會帶來越來越大的成本優勢，從而為我們智能電動汽車的目標細分市場中高端 BEV 市場帶來更大的增長機會。這個市場還擁有眾多消費者，他們更加重視電動汽車的質量和技術。因此，2022年將是每個電動汽車製造商驗證其產品競爭力的關鍵一年。

Looking ahead, as we pursue rapid technology and product iterations, we'll continue to strengthen the overall competitiveness of our products. I'm confident that our sales performance will continue to lead the industry.

展望未來，我們將在追求技術和產品快速迭代的同時，不斷增強產品的整體競爭力。我有信心我們的銷售業績將繼續引領行業。

Even though we experienced some hiccups in terms of our sales deliveries in certain areas of China, but because of our technology upgrade in our Zhaoqing plant as well as our newly acquired large volume of orders, we expect to welcome in a new level of large orders in March, which will be similar to our peak level last year and that will help us definitely to enhance our market share and maintain our leadership position.

儘管我們在中國某些地區的銷售交付方面遇到了一些困難，但由於我們肇慶工廠的技術升級以及我們新獲得的大量訂單，我們預計將迎來新的大訂單3 月，這將與我們去年的峰值水平相似，這將肯定有助於我們提高市場份額並保持我們的領先地位。

Our confidence about the sales volume potential of our core EV products has extended into 2022. We delivered over 60,000 P7s in 2021, placing it in the top 3 Class B BEVs and above by sales volume, making it an indisputable blockbuster model and setting P7 as the new benchmark Smart EV in China. With the buildup of P7's production capacity and reputation, one of our goals in 2022 is to exceed 10,000 P7 deliveries in a single month.

我們對核心電動車產品銷量潛力的信心延續至2022年，2021年P7交付超6萬輛，銷量位居B級及以上BEV前3名，成為無可爭議的重磅車型，P7成為中國新標杆智能電動汽車。隨著P7產能和知名度的提升，我們在2022年的目標之一是P7單月交付量突破10000台。

We officially commenced mass deliveries of our P5 family sedan model in the fourth quarter of 2021, delivering close to 8,000 units in its initial quarter debut. With supply chain improvement and our City NGP launch, we can expect a more consistent ramp-up in sales volume of the P5. As supply chain constraints ease off in the coming months, I'm confident that P5 monthly sales volume will begin to approach that of the P7 in the second half of the year.

我們於 2021 年第四季度正式開始批量交付我們的 P5 家庭轎車車型，在首個季度首次亮相時交付了近 8,000 輛。隨著供應鏈的改善和我們 City NGP 的推出，我們可以預期 P5 的銷量會更加穩定地增長。隨著未來幾個月供應鏈限制的緩解，我相信 P5 的月銷量將在下半年開始接近 P7。

Next EV model in line for us is our flagship SUV model, the G9. Its [PT] production vehicle has successfully rolled off the production line, and we are on track to officially launch the G9 in the third quarter. The G9 represents the most advanced technology XPeng has ever developed, building on years of in-house developed software and core hardware.

下一個適合我們的 EV 車型是我們的旗艦 SUV 車型 G9。其[PT]量產車已成功下線，我們有望在第三季度正式推出G9。 G9 代表了小鵬開發的最先進技術，建立在多年內部開發的軟件和核心硬件之上。

Consequently, the performance of our G9 is head and shoulders above popular SUV models in the same category. I firmly believe the G9 will become a blockbuster model in the medium- to large-sized smart electric SUV market.

因此，我們 G9 的性能遠超同類流行 SUV 車型。我堅信G9將成為中大型智能電動SUV市場的重磅車型。

Furthermore, we plan to launch the first production model built on our 2 newly established Smart EV platforms, respectively, in 2023. These 2 new platforms, comprising a platform tailored for C-class vehicles and the other for B-Class vehicles, will inherit and further advance XPeng's robust capabilities in aesthetic design, electrification and smart technology, thus strengthening our product portfolio's competitive advantages.

此外，我們計劃在 2023 年分別推出基於我們新建立的兩個 Smart EV 平台的首款量產車型。這兩個新平台，包括為 C 級汽車量身定制的平台和另一個為 B 級汽車量身定制的平台，將繼承進一步提升小鵬汽車在美學設計、電氣化和智能技術方面的強大能力，從而增強我們產品組合的競爭優勢。

In addition, as we strive to make our platforms more scalable by employing more highly integrated design and state-of-the-art manufacturing processes such as ultra-large integrated die casting technology, the new platforms will also enact powerful cost control abilities as well as help us address a broader customer base in the mid- to high-end market segments, which have tremendous growth potential.

此外，隨著我們通過採用更高集成度的設計和超大型集成壓鑄技術等最先進的製造工藝，努力使我們的平台更具可擴展性，新平台還將具有強大的成本控制能力。幫助我們在具有巨大增長潛力的中高端細分市場中獲得更廣泛的客戶群。

Next, I would like to share some updates on R&D of our Smart EV technologies. For our P7 and P5 models delivered in the fourth quarter, the attach rate of the XPILOT 3.0 software was close to 20%. Currently, the progress on the R&D of our City NGP, the key function of XPILOT 3.0, which is mainly deployed on P5, is well advanced. Its beta version is undergoing a fast iteration process, making continuous improvement in safety and user experience.

接下來，我想分享一些我們在智能電動汽車技術研發方面的最新進展。對於我們在第四季度交付的 P7 和 P5 機型，XPILOT 3.0 軟件的附加率接近 20%。目前，我們主要部署在P5上的XPILOT 3.0的關鍵功能City NGP研發進展順利。其測試版正在經歷快速迭代過程，在安全性和用戶體驗方面不斷改進。

We also plan to complete the development of our City NGP in second quarter of this year and plan to roll out in cities by batches once we receive the approval of the city HD map. The XPILOT 3.5, that is built on our next-generation technology architecture, has presented much higher-than-expected performance in the city driving scenarios. We are extremely proud of this.

我們還計劃在今年第二季度完成我們的城市 NGP 的開發，併計劃在獲得城市高清地圖的批准後分批在城市推出。 XPILOT 3.5基於我們的下一代技術架構打造，在城市駕駛場景中的表現遠超預期。我們為此感到非常自豪。

Notably, among our mass produced P5, the number of driver interventions per 100 kilometers for City NGP is approaching that of highway NGP and the level of its overall user experience can be benchmarked against domestic top robotaxi players. And in some respect, we already have caught up and even exceeded those companies' performances.

值得一提的是，在我們量產的P5中，City NGP每百公里的駕駛員干預次數已接近高速公路NGP，其整體用戶體驗水平可與國內頂級自動駕駛出租車玩家對標。而且在某些方面，我們已經趕上了甚至超過了那些公司的表現。

Given the underlying next-generation technology architecture of our XPILOT 3.5 and our closed loop of data, we plan to officially launch the XPILOT 4.0 in 2023 to deliver advanced driving assistance experiences spanning full scenarios of both highways and city roads. Simultaneously, we plan to progressively converge our autonomous driving hardware and software platform that enables advanced driving assistance systems for our future vehicle models. There will be at least 4 models, including both new models and facelift versions of existing models, to support the XPILOT 4.0 in 2023.

鑑於我們XPILOT 3.5的下一代底層技術架構和我們的數據閉環，我們計劃在2023年正式推出XPILOT 4.0，以提供跨越高速公路和城市道路全場景的高級駕駛輔助體驗。同時，我們計劃逐步融合我們的自動駕駛硬件和軟件平台，為我們未來的車型提供先進的駕駛輔助系統。到 2023 年，將至少有 4 款車型支持 XPILOT 4.0，包括新車型和現有車型的改款版本。

With that, our XPILOT 4.0 will boast a clear next-generation leap against other mass-produced advanced driver assistance systems. Simply put, under the premise of offering superior safety, the XPILOT 4.0 will feature a more comprehensive set of use scenarios, even wider geographical coverage, and a better Q1 vehicle interface and in-vehicle experience for both drivers and passengers.

這樣一來，我們的 XPILOT 4.0 將與其他大規模生產的高級駕駛員輔助系統相比，具有明顯的下一代飛躍。簡單來說，在提供卓越安全性的前提下，XPILOT 4.0將擁有更全面的使用場景、更廣的地理覆蓋範圍，以及更好的Q1車輛界面和駕乘人員的車內體驗。

In addition to that, we will control the cost of their production. We believe that our XPILOT 4.0 has the potential to spread high-level advanced driver-assistance system to an even broader customer base, accelerating the transformation from human driving to the era of advanced driver-assisted driving. With this becomes -- when this becomes reality in the future, the attach rate of the XPILOT software will naturally be significantly higher than its current level.

除此之外，我們將控制他們的生產成本。我們相信，我們的 XPILOT 4.0 有可能將高級駕駛輔助系統推廣到更廣泛的客戶群，加速從人類駕駛向高級駕駛輔助駕駛時代的轉變。隨著這成為——當這在未來成為現實時，XPILOT軟件的附加率自然會大大高於目前的水平。

We will continue to advance and improve product performance. Also, we will continue to be committed to our in-house full-fledged software development and platform architecture approach to develop and upgrade our intelligence systems and powertrain systems for Smart EVs. Applying a platform architecture approach to our system management will propel innovations in our powertrain manufacturing techniques and processes as well as a BOM cost structure.

我們將繼續推進和改進產品性能。此外，我們將繼續致力於我們內部成熟的軟件開發和平台架構方法，以開發和升級我們的智能電動汽車智能係統和動力總成系統。將平台架構方法應用於我們的系統管理將推動我們的動力總成製造技術和流程以及 BOM 成本結構的創新。

I have confidence in our ability to achieve structural improvement of gross margin for our new models, including G9, and ultimately improve overall gross margin. Our medium- and long-term goal is to increase the level of our overall gross margin above 25%.

我相信我們有能力為我們的新車型（包括 G9）實現毛利率的結構性改善，並最終提高整體毛利率。我們的中長期目標是將整體毛利率提高到25%以上。

At the same time, we'll remain dedicated to our vision and execute on our founding strategy and operational literacy to continuously -- to continually boost operational efficiency. Going forward, as we achieve economies of scale, while improving operating leverage, I believe our operating expense ratio will continue to trend downward.

同時，我們將繼續致力於我們的願景並執行我們的創始戰略和運營素養，以不斷提高運營效率。展望未來，隨著我們實現規模經濟，在提高經營槓桿的同時，我相信我們的經營費用率將繼續呈下降趨勢。

With that overview, I would like -- now I would like to walk you through a few of our strategic initiatives and expectations moving forward. We've rapidly expanded our sales and services network. As of the end of 2021, XPeng's physical sales network comprised 357 stores across 129 cities, of which 209 were directly operated by us and 148 were franchise stores.

有了這個概述，我想 - 現在我想向您介紹我們的一些戰略舉措和向前發展的期望。我們迅速擴展了我們的銷售和服務網絡。截至2021年底，小鵬的實體銷售網絡包括357家門店，遍布129個城市，其中直營店209家，加盟店148家。

In particular, during 2021 we strategically increased our investment in sales channels in lower-tier areas in order to tap into pent-up demand and capture the great growth potential we see in non-Tier 1 cities. As a result, we closed the year with our non-Tier 1 sales stores accounting for close to 80% of total XPeng stores, and most of those performance and sales were achieved during the second half of the year.

特別是，在 2021 年，我們戰略性地增加了對低線地區銷售渠道的投資，以挖掘被壓抑的需求並抓住我們在非 1 線城市看到的巨大增長潛力。因此，我們在今年結束時，我們的非一級銷售門店佔小鵬門店總數的近 80%，而這些業績和銷售額大部分是在下半年實現的。

While we drove rapid network expansion, throughout 2021 our monthly single store sales increased substantially on a sequential order basis, reflecting our sales model capability to make systemic enhancement as well as sustained efficiency improvements. For 2022, we'll continue to strengthen our sales network expansion and enhance same-store performance.

在推動網絡快速擴張的同時，整個 2021 年，我們的月度單店銷售額環比大幅增長，反映了我們的銷售模式有能力進行系統性提升和持續效率提升。 2022年，我們將繼續加強銷售網絡擴張，提升同店業績。

Regarding our supercharging network, XPeng-branded supercharging facilities featuring wide coverage and a better user experience have already become a critical factor in XPeng's competitive edge. As of January 17, 2022, the number of XPeng-branded supercharging stations increased to 813, covering 337 cities nationwide. Beginning in the second half of 2022, we will deploy next-generation high-capacity supercharging to further shorten users' charging sessions significantly.

在我們的增壓網絡方面，覆蓋範圍廣、用戶體驗更好的小鵬品牌增壓設施已經成為小鵬汽車競爭優勢的關鍵因素。截至2022年1月17日，小鵬品牌增壓站增至813座，覆蓋全國337個城市。從2022年下半年開始，我們將部署下一代大容量超級充電，進一步大幅縮短用戶充電時間。

We also plan to accentuate efforts in deploying supercharging stations alongside high-speed expressways to bring users better, more secure long distance traveling experiences with XPeng's vehicles.

我們還計劃加大力度在高速高速公路旁部署超級充電站，為用戶帶來更好、更安全的小鵬汽車長途出行體驗。

Along with these upgrades, we are actively progressing our overseas expansion initiatives. To this end, we announced in February 2022 we had established partnerships with top-tier European dealers. By leveraging the well-established market presence of respected overseas dealers, we strive to build our international business development capabilities and have established the first branded European retail experience stores for our Smart EVs in Stockholm, Sweden. We also plan to adopt a novel direct plus franchise retail model, which is what we are doing right now in China, to expand our sales and service network in Europe.

隨著這些升級，我們正在積極推進我們的海外擴張計劃。為此，我們於 2022 年 2 月宣布與歐洲頂級經銷商建立了合作夥伴關係。憑藉受人尊敬的海外經銷商的良好市場影響力，我們努力打造我們的國際業務發展能力，並在瑞典斯德哥爾摩為我們的智能電動汽車建立了第一家歐洲品牌零售體驗店。我們還計劃採用一種新穎的直營加特許經營零售模式，這是我們目前在中國所做的，以擴大我們在歐洲的銷售和服務網絡。

On February 9 of this year, XPeng were included in the Shenzhen and Shanghai-Hong Kong Stock Connect programs. We officially became the first emerging EV maker stock to be accessible for direct investment by qualified investors in Mainland China. We're delighted to share the growth opportunities in the Smart EV industry with broader investor base from our home country.

今年2月9日，小鵬被納入深港通和滬港通計劃。我們正式成為中國大陸第一隻可供合格投資者直接投資的新興電動汽車製造商股票。我們很高興與來自我們祖國的更廣泛的投資者群分享智能電動汽車行業的增長機會。

Shortly thereafter, on March 7, XPeng was added to the Hang Seng TECH Index among 30 constituent stocks as one of representative stocks for the autonomous tech theme.

此後不久，3 月 7 日，小鵬被納入恆生科技指數 30 只成分股中，成為自主科技主題的代表股之一。

Looking back on 2021, we have faced challenges stemming from industry-wide semiconductor and battery cell shortages. We would like to express our sincerest gratitude to our excellent supply partners for their great effort of XPeng - for their great support for XPeng. Amid the challenges, we developed and qualified hundreds of alternative supply solutions to safeguard and stabilize our supply chain.

回顧 2021 年，我們面臨著全行業半導體和電池短缺帶來的挑戰。我們衷心感謝我們優秀的供應合作夥伴，感謝他們為小鵬付出的巨大努力——感謝他們對小鵬的大力支持。面對挑戰，我們開發並驗證了數百種替代供應解決方案，以保護和穩定我們的供應鏈。

Entering 2022, the ongoing chip shortage and surge in price for raw battery materials continues to present a challenge for the whole industry. Nevertheless, these near-term obstacles cannot stop the long-term journey we are on, where Smart EVs are accelerating the disruption of ICE vehicles at an unprecedented speed. And I believe this is going to be a good experience for us to continue to enhance our capabilities. I believe our ability to swiftly develop alternative supply solutions, coupled with concerted efforts with our suppliers, will help us overcome these challenges.

進入 2022 年，持續的芯片短缺和電池原材料價格的飆升繼續給整個行業帶來挑戰。然而，這些短期障礙無法阻止我們正在進行的長期旅程，智能電動汽車正在以前所未有的速度加速內燃機汽車的顛覆。我相信這將是我們繼續提升能力的一次很好的體驗。我相信，我們快速開發替代供應解決方案的能力，加上與供應商的共同努力，將幫助我們克服這些挑戰。

As we have been striving to navigate market dynamics amid obstacles in the supply chain, the impact of COVID-19's recurrence and the seasonality factors, we expect our Smart EV deliveries to reach approximately 33,500 to 34,000 in the first quarter of 2022 and our total revenue to be between approximately RMB 7.2 billion to RMB 7.3 billion. Thank you, everyone.

由於我們一直在努力應對供應鏈障礙、COVID-19 復發的影響和季節性因素的影響，我們預計我們的智能電動汽車交付量將在 2022 年第一季度達到約 33,500 至 34,000 輛，我們的總收入約為人民幣 72 億元至人民幣 73 億元。謝謝大家。

With that, I will now turn the call over to our VP of Finance, Mr. Dennis Lu, to discuss our financial performance for the fourth quarter of 2021.

有了這個，我現在將把電話轉給我們的財務副總裁 Dennis Lu 先生，討論我們 2021 年第四季度的財務業績。

Thank you, Xiaopeng, and hello, everyone. Now I would like to provide a brief overview of our financial results for the fourth quarter of 2021. I will reference RMB only in my discussion today unless otherwise stated.

謝謝小鵬，大家好。現在，我想簡要介紹一下我們 2021 年第四季度的財務業績。除非另有說明，否則我將在今天的討論中僅提及人民幣。

Our total revenues were RMB 8.6 billion for the first quarter of 2021, an increase of 200% year-over-year and an increase of 50% quarter-over-quarter. Revenue from vehicle sales were RMB 8.2 billion for the first quarter of 2021, an increase of 199% year-over-year and an increase of 50% from the last quarter, mainly attributable to higher vehicle deliveries, especially for the P7 and P5.

2021年第一季度，我們的總收入為人民幣86億元，同比增長200%，環比增長50%。 2021年第一季度汽車銷售收入為人民幣82億元，同比增長199%，環比增長50%，主要是由於車輛交付量增加，尤其是P7和P5。

Our gross margin was 12% for the fourth quarter of 2021 compared with 7.4% for the same period of 2020 and 14.4% for the last quarter. Full year gross margin reached 12.5%, an increase of 7.9 percentage points year-over-year. Vehicle margin reached 10.9% for the fourth quarter of 2021 compared with 6.8% for the same period of 2020 and 13.6% for the last quarter. The quarter-over-quarter margin reduction was primarily attributable to product mix changes.

我們 2021 年第四季度的毛利率為 12%，而 2020 年同期為 7.4%，上一季度為 14.4%。全年毛利率達到12.5%，同比提高7.9個百分點。 2021 年第四季度汽車利潤率達到 10.9%，而 2020 年同期為 6.8%，上一季度為 13.6%。環比下降主要是由於產品組合的變化。

R&D expenses were RMB 1.5 billion for the fourth quarter of 2021, an increase 216% year-over-year and an increase of 14.8% quarter-over-quarter, mainly due to: one, the increase in employee compensation as a result of expanded research and development staff; and two, higher expenses relating to the development of new vehicles to support future goals.

2021年第四季度研發費用為人民幣15億元，同比增長216%，環比增長14.8%，主要是由於：一、擴大後員工薪酬增加研發人員；第二，與開發新車以支持未來目標相關的更高費用。

SG&A expenses were RMB 2 billion for the fourth quarter of 2021, an increase of 120% year-over-year and an increase of 31% quarter-over-quarter. The year-over-year increase was mainly due to: one, higher marketing and advertising expenses to support vehicle sales; and two, the expansion of our sales network and associated personnel costs and commission for franchise store sales. The quarter-over-quarter increase was mainly driven by the expansion of our sales network and more sales commission in line with the higher vehicle sales.

2021年第四季度SG&A費用為人民幣20億元，同比增長120%，環比增長31%。同比增長主要是由於：一是支持汽車銷售的營銷和廣告費用增加；第二，我們的銷售網絡的擴展以及加盟店銷售的相關人員成本和佣金。環比增長主要是由於我們的銷售網絡擴大以及與更高的汽車銷量相一致的更多銷售佣金。

As a result of the foregoing, loss from operation was RMB 2.4 billion for the fourth quarter of 2021 compared with RMB 1.1 billion for the same period of 2020 and RMB 1.8 billion for the last quarter. Fair value gain on long-term investments was RMB 0.6 billion for the fourth quarter of 2021, reflecting the fair value assessment on our investment on HT Flying Car Incorporation, or Huitian, after its Series A capital funding. As of December 31, 2021, we invested approximately RMB 0.6 billion and own approximately 18.8% of the equity interest in Huitian.

由於上述原因，2021年第四季度的經營虧損為人民幣24億元，而2020年同期為人民幣11億元，上一季度為人民幣18億元。 2021 年第四季度，長期投資的公允價值收益為 6 億元人民幣，反映了我們在 A 輪資本融資後對 HT Flying Car Incorporation 或匯天的投資的公允價值評估。截至2021年12月31日，我們投資約人民幣6億元，持有匯天約18.8%的股權。

Net loss was RMB 1.3 billion for the fourth quarter compared with RMB 0.8 billion for the same period a year ago and RMB 1.6 billion for the last quarter. As of December 31, 2021, our company had cash and cash equivalents, restricted cash, short-term deposits, short-term investment and long-term deposits in total of RMB 43.5 billion. We achieved a positive operating cash flow in the second half of 2021, and in the fourth quarter of 2021 our operating cash inflow was RMB 1.3 billion.

第四季度淨虧損為人民幣 13 億元，而去年同期為人民幣 8 億元，上一季度為人民幣 16 億元。截至2021年12月31日，公司持有現金及現金等價物、受限現金、短期存款、短期投資和長期存款共計435億元。我們在2021年下半年實現了正的經營現金流，2021年第四季度我們的經營現金流入人民幣13億元。

To be mindful of the (inaudible) our earnings call, I will encourage listeners to refer to our earnings press release for the 2021 full year financial results and further details. This concludes our prepared remarks. We will now open the call to questions. Operator, please go ahead.

為了注意（聽不清）我們的財報電話會議，我將鼓勵聽眾參考我們的財報新聞稿，了解 2021 年全年財務業績和更多細節。我們準備好的評論到此結束。我們現在將打開問題電話。接線員，請繼續。

(Operator Instructions) Your first question comes from the line of Tim Hsiao.

（操作員說明）您的第一個問題來自 Tim Hsiao。

(foreign language) So my first question is about the price hike, because XPeng is one of the early movers announcing to raise the prices. Could we get a rough sense about how did the company lay the foundation of RMB 10,000 to RMB 20,000 or 5% to 9% price hikes? What kind of cost inflation in batteries, raw material, chips, et cetera, have been pricing, so if the price increase just the right amount to cover the [stock] contracts or also reflect XPeng's adjustment of more price hikes in the supply chain later this year?

（外語）所以我的第一個問題是關於漲價的，因為小鵬是宣布漲價的先行者之一。能否大致了解一下，公司10000元到20000元或5%到9%的漲價基礎是如何打下的？電池、原材料、芯片等什麼樣的成本膨脹一直在定價，所以如果漲價恰到好處，可以彌補[庫存]合同，或者也反映了小鵬後期對供應鏈更多漲價的調整今年？

This is Dennis. Let me respond to your questions regarding the price realignment. Actually, we increased our price at about RMB 10,000 to RMB 20,000 for the old car lines in March 21 -- starting from March 21. This reflects the projected components, especially on the battery cost increase. We haven't finalized the battery price negotiation with our suppliers.

這是丹尼斯。讓我來回答您有關價格調整的問題。實際上，我們在 3 月 21 日（從 3 月 21 日開始）將舊車線的價格提高了 10,000 元至 20,000 元。這反映了預計的組件，尤其是電池成本的增加。我們尚未完成與供應商的電池價格談判。

But according to the trend and also the components, we anticipate we will have a cost increase in the raw material as well as the battery. So we technically price -- increased the price to cover the cost increase. Lastly, the main driver of the price increase to -- basically to cover the potential cost increase for the component costs.

但根據趨勢和組件，我們預計原材料和電池的成本都會增加。所以我們在技術上定價——提高價格來彌補成本的增加。最後，價格上漲的主要驅動力是——基本上是為了彌補組件成本的潛在成本增加。

(foreign language) So my second question is about XPILOT take rate, because I think that during the presentation the Chairman has mentioned -- just mentioned about 20% take rate of XPILOT. It seems still relatively low. Obviously, this is just due mainly to more low spec models we saw during the past quarter. But when do we expect more meaningful increase in the attachment rate of XPILOT? And what would be more ideal take rate in your view in the next 1 to 2 years? Is it likely to [touch] 50% this year?

（外語）所以我的第二個問題是關於XPILOT的接受率，因為我認為主席在演講中提到了——剛才提到了大約20%的XPILOT接受率。看起來還是比較低的。顯然，這主要是因為我們在上個季度看到了更多低規格型號。但是，我們預計 XPILOT 的附加率何時會更有意義地增加呢？在您看來，未來 1 到 2 年更理想的採取率是多少？今年有可能[觸及] 50% 嗎？

[Interpreted] On my end the connection is not perfect, but I get the gist of your question. So here is my response. Now in regards to the attach rate of XPILOT 3.0, actually it all depends on the chip supply. So when the chip supply recovers to the normal level, we believe that the attach rate will increase as well.

[解釋]在我看來，連接並不完美，但我明白了你問題的要點。所以這是我的回應。現在說到XPILOT 3.0的貼附率，其實全看芯片供應。所以當芯片供應恢復到正常水平時，我們相信貼片率也會提高。

I actually have more confidence in the attach rate improvement of XPILOT 4.0, because according to our data our users have it and their satisfaction rate of using our XPILOT is actually very high as they get used to actually having the navigation assistant, according to our -- I mean with the help of our City NGP function in their daily life from one destination to another, for example from their home to their offices or from their offices to a shopping mall, et cetera, that definitely will give them the trend of keeping the habit of using this sort of assistance from the XPILOT.

實際上，我對 XPILOT 4.0 的附加率提高更有信心，因為根據我們的數據，我們的用戶擁有它，並且他們使用我們的 XPILOT 的滿意度實際上非常高，因為他們習慣了實際擁有導航助手，根據我們的 - - 我的意思是在我們的城市 NGP 功能的幫助下，他們在日常生活中從一個目的地到另一個目的地，例如從他們的家到他們的辦公室或從他們的辦公室到購物中心等等，這肯定會給他們帶來保持使用 XPILOT 提供的這種幫助的習慣。

So by that time, the attach rate of our XPILOT will be even higher than the current level. And in my own understanding, actually, the XPILOT 4.0's attach rate will exceed 50%. But again, that actually will depend on the future market statistics and we'll see.

所以到那個時候，我們XPILOT的附著率會比現在的水平還要高。而以我自己的理解，實際上XPILOT 4.0的附著率會超過50%。但同樣，這實際上將取決於未來的市場統計數據，我們拭目以待。

And your next question comes from the line of Jeff Chung with Citi.

您的下一個問題來自花旗銀行的 Jeff Chung。

(foreign language) So my first question is about the worst case scenario of this year's full year sales volume and production capacity, if we assume further disruptions in chip shortages. Second question is about the G9 and P7 GP margins. And is it necessary for us to also set a monthly sales target for G9 going forward?

（外語）所以我的第一個問題是關於今年全年銷量和產能的最壞情況，如果我們假設芯片短缺進一步中斷。第二個問題是關於 G9 和 P7 GP 的利潤率。我們是否也有必要為 G9 設定未來的月度銷售目標？

Jeff, this is Brian. Let me answer the question for you. Can you hear me? So first of all, we obviously, as our policy, don't give guidance on the sales number as well as individual model numbers. But I would say that, obviously, this quarter represents a quarter that's in the low season as well as in the face of disruption from COVID measures in China.

傑夫，這是布賴恩。讓我為你回答這個問題。你能聽到我嗎？因此，首先，作為我們的政策，我們顯然不會對銷售數量和個別型號提供指導。但我想說的是，很明顯，本季度代表了一個處於淡季的季度，同時也面臨中國 COVID 措施的干擾。

So I would probably consider it not an appropriate base for extrapolating for the full year. We're confident with our new model launch as well as further market momentum, the sales number should be higher than the first quarter. So that's the first answer to your question.

所以我可能會認為它不是推斷全年的合適基礎。我們對新車型的推出以及進一步的市場動力充滿信心，銷量應該會高於第一季度。所以這是你問題的第一個答案。

Second question is that, on G9, we do have high hopes this will be a blockbuster in its class, which is the premium SUV class, and you could also find benchmark models in that class. And we think it should be one of the top players in that category. And then I think in that vein, I think it should approach ship like the P7 level.

第二個問題是，在 G9 上，我們確實寄予厚望，它會成為同級別中的重磅車型，即高端 SUV 級別，您還可以在該級別中找到標杆車型。我們認為它應該是該類別中的頂級玩家之一。然後我認為在這種情況下，我認為它應該像 P7 級別一樣接近船舶。

The third question is whether the P7 and G9 is interchangeable from a supply chain perspective. I think we hope by the time that G9 has started volume delivery towards the second half or the fourth quarter, the supply chain issue will get alleviated. But I think right now both models are representing high gross margin products for us, in the high teens. So I think for us those are models that we will obviously make sure that it has adequate chip suppliers for production.

第三個問題是，從供應鏈的角度來看，P7 和 G9 是否可以互換。我想我們希望在 G9 下半年或第四季度開始批量交付時，供應鏈問題將得到緩解。但我認為現在這兩種模式對我們來說都代表著高毛利率產品，在青少年時期。所以我認為對我們來說，這些模型顯然會確保它有足夠的芯片供應商進行生產。

(foreign language) So it is about the order backlog. After we raised the MSRP price, we saw a significant surge in new orders. So roughly speaking, right now, the waiting time to get a car ranging from 16 months to 20 months, which implies around a [4 to 5] undelivered order backlog. So I just want to clarify on these numbers.

（外語）所以是關於訂單積壓的問題。在我們提高廠商建議零售價後，我們看到新訂單大幅增加。所以粗略地說，目前，獲得汽車的等待時間從 16 個月到 20 個月不等，這意味著大約有 [4 到 5] 個未交付的訂單積壓。所以我只想澄清這些數字。

[Interpreted] I think there is a mix of good and bad news with what's happening right now. Obviously, the bad news is the resurgence and recurrence of the pandemic, which really affects our supply chain, especially in cities such as Shanghai, because this is really the headquarter of all of the key suppliers of our company.

[解釋] 我認為現在發生的事情有好有壞。顯然，壞消息是疫情的死灰復燃，這確實影響了我們的供應鏈，尤其是在上海這樣的城市，因為這裡真的是我們公司所有主要供應商的總部。

And the good side of the story is that we are actually improving our overall capability in enhancing our battery cell supply. And so obviously there's a lot of disruption in the -- interruption in the market, and also there's a lot of risk, but we will do our best and be fully committed to speed up the delivery time -- lead time. Overall, I believe that the actual outcome will be better than expected.

好的一面是，我們實際上正在提高我們在增強電池供應方面的整體能力。很明顯，市場中斷有很多中斷，也有很多風險，但我們會盡最大努力，並完全致力於加快交貨時間 - 交貨時間。總的來說，我相信實際結果會好於預期。

And your next question comes from the line of Ming Lee with Bank of America.

您的下一個問題來自美國銀行的李明。

(foreign language) So my first question is regarding the battery supply situation. Currently, you have 3 suppliers but you are still [lacking] of the LFP battery supply. So you also delayed some vehicle delivery. So what is the current situation?

（外語）所以我的第一個問題是關於電池供應情況。目前，您有 3 家供應商，但您仍然 [缺少] LFP 電池供應。因此，您還延遲了一些車輛交付。那麼目前的情況是什麼？

(foreign language) Yes. So my second question is regarding the new platform and your capacity breakdown for your 3 plants in the future. That's my question.

（外語）是的。所以我的第二個問題是關於新平台和你們未來 3 個工廠的產能細分。那是我的問題。

[Interpreted] In response to your first question, first of all, we are very different from other new energy vehicle makers in the sense that we actually collaborated with multiple suppliers of batteries. And so in the past what we experienced is that there has been a lot of demand for our SK batteries. This really (technical difficulty).

【解讀】針對您的第一個問題，首先，我們與其他新能源汽車製造商的不同之處在於我們實際上與多家電池供應商合作。因此，過去我們所經歷的是，對我們的 SK 電池有很多需求。這真的（技術難度）。

So in the past, what we experienced that the market demand for LFP demand actually has surpassed our suppliers' capacity for batteries supply. So that's why we experienced a lot of challenges in the supply chain. But going forward, we actually have been able to gradually alleviate this problem, and we are very confident that we can continue to improve the situation. And for the second half of this year and for the coming year, we are very confident that the overall supply chain shortages can be relieved to a certain extent.

所以在過去，我們的經驗是市場對LFP的需求實際上已經超過了我們供應商的電池供應能力。所以這就是為什麼我們在供應鏈中遇到了很多挑戰。但展望未來，我們其實已經能夠逐漸緩解這個問題，我們非常有信心繼續改善這種情況。並且對於今年下半年和來年，我們非常有信心整體供應鏈短缺能夠在一定程度上得到緩解。

And then in response to your second question, basically we differentiate the concept of planned capacity and the actual deliveries of our -- or the actual carried out or executed capacity. And so we do have planned capacity for each single plant of ours, and through multiple shifts of working we can actually maximize those capacity.

然後在回答你的第二個問題時，基本上我們將計劃產能的概念與我們的實際交付——或實際執行或執行的產能區分開來。因此，我們確實為我們的每個工廠規劃了產能，並且通過多次輪班工作，我們實際上可以最大限度地提高這些產能。

And so what we are doing right now is that we are trying to coordinate different plants in producing different models on different platforms because we haven't been able to -- we are not in a position to announce the exact number in terms of the capacity of each single plant yet. I can just give you a rough idea that the single plant capacity will surpass 0.5 million.

所以我們現在正在做的是，我們正在嘗試協調不同的工廠在不同的平台上生產不同的模型，因為我們無法——我們無法公佈產能的確切數字每一株植物。我只能給你一個粗略的想法，單廠產能將超過50萬。

Your next question comes from the line of Nick Lai with JPMorgan.

您的下一個問題來自摩根大通的 Nick Lai。

(foreign language) My question is really about the use of cash. By the end of last year, we had about RMB 43 billion cash on balance sheet. And how should we think about the use of cash in terms of CapEx on the expense, on the spending and the sales marketing? That's the first question.

（外語）我的問題實際上是關於現金的使用。到去年底，我們的資產負債表上有大約 430 億元人民幣的現金。我們應該如何考慮在支出、支出和銷售營銷方面的資本支出方面的現金使用？這是第一個問題。

Nick, this is Dennis. Let me respond to your first question. Yes, you're right. We actually -- we have about RMB 43 billion cash in hand as of the --- at the end of last year. And our plan, actually, as I mentioned, we actually achieved operating cash flow breakeven or positive cash inflow in the second half of the last year. So our plan is to continue to improve the efficiency and also to improve the capital spending. So we are projecting -- we are trying very hard to continue the positive or breakeven operating cash flow this year.

尼克，這是丹尼斯。讓我回答你的第一個問題。你是對的。實際上，截至去年年底，我們手頭有大約 430 億元人民幣的現金。而我們的計劃，實際上，正如我所提到的，我們實際上在去年下半年實現了經營現金流盈虧平衡或正現金流入。因此，我們的計劃是繼續提高效率並改善資本支出。所以我們正在預測——我們正在努力在今年繼續保持正的或盈虧平衡的經營現金流。

And other than that, we also have some spending on the CapEx. For example, we continue to have new products. We will have the facility and equipment for the new product. And we also have the investment in terms of the capacity -- the new plant capacity. So that's our plan for the usage of our cash in hand.

除此之外，我們在資本支出上也有一些支出。例如，我們不斷推出新產品。我們將擁有新產品的設施和設備。我們也有產能方面的投資——新工廠產能。這就是我們使用手頭現金的計劃。

Operating-wise, we will try to be breakeven or positive and capital expenditure will continue to include efficiency of spending while supporting the product development and also to support the capacity development for this year.

運營方面，我們將努力實現盈虧平衡或積極，資本支出將繼續包括支出效率，同時支持產品開發，同時支持今年的產能發展。

(foreign language) My second question is really about a quick update on robotaxi initiative as mentioned in the previous conference call.

（外語）我的第二個問題實際上是關於上一次電話會議中提到的機器人出租車計劃的快速更新。

[Interpreted] Now we actually plan to test the robotaxi sort of capability and performance by Q4 this year on G9. We didn't actually announce or make any statement regarding achieving Level 4 by 2024. Our estimate is that we can actually achieve -- or work towards the goal of autonomous driving by 2026.

[解釋] 現在我們實際上計劃在今年第四季度在 G9 上測試機器人出租車的能力和性能。我們實際上並未宣布或發表任何關於到 2024 年實現 4 級的聲明。我們的估計是，我們實際上可以實現或努力實現到 2026 年實現自動駕駛的目標。

Now in terms of the exploration in the robotaxi model, right now we are -- we need to do a lot more testing to be able to find out the business logic behind robotaxi and to gather more data from the actual execution of the capability and also to understand better the regulatory environment in this regard.

現在就機器人出租車模型的探索而言，現在我們需要做更多的測試，以便能夠找出機器人出租車背後的業務邏輯，並從能力的實際執行中收集更多數據，並且更好地了解這方面的監管環境。

But currently, with our observations in the XPILOT development as well as the gathering of the data, we are very confident and very, very excited about the future of robotaxi, and we estimate that we can actually achieve a high level of autonomous driving sooner than expected.

但是目前，通過我們對 XPILOT 開發的觀察以及數據的收集，我們對機器人出租車的未來非常有信心，也非常非常興奮，我們估計我們實際上可以更快地實現高水平的自動駕駛。預期的。

And your next question comes from the line of Bin Wang with Credit Suisse.

您的下一個問題來自瑞士信貸的王斌。

(foreign language) Okay. My question is about new products for 2023, because you actually said that we have some products from the new technology platform. So does it mean 1 product from each platform or actually it's 1 product from 2 platform? Meanwhile, you just mentioned (inaudible) will be available for the City NGP. That means that you can upgrade current P5 and P7 and G9 upcoming (inaudible) for the upcoming City NGP with the hardware upgrade?

（外語）好的。我的問題是關於 2023 年的新產品，因為您實際上說我們有一些來自新技術平台的產品。那麼這意味著來自每個平台的 1 個產品還是實際上是來自 2 個平台的 1 個產品？同時，您剛才提到（聽不清）將可用於 City NGP。這意味著您可以通過硬件升級為即將到來的 City NGP 升級當前的 P5 和 P7 和 G9（聽不清）？

[Interpreted] This is He Xiaopeng. Next year, we plan to launch 2 new products on 2 platforms, and both of them will support the deployment of XPILOT 4.0.

【解釋】這是何小鵬。明年我們計劃在2個平台上推出2款新產品，兩者都將支持XPILOT 4.0的部署。

And your next question comes from the line of Xinchi Yin with CITIC Securities.

您的下一個問題來自中信證券的尹新馳。

(foreign language) My 2 questions is about G9 and CapEx. So the first question is, could you please provide more details about G9 and what's the wheelbase of G9? And will there be a 6-seat version or a 7-seat version? And my second question is about CapEx. So what's the CapEx budget on Guangzhou and Wuhan factory, respectively? What's the progress of these 2 factories?

（外語）我的2個問題是關於G9和CapEx。那麼第一個問題是，能否請您提供更多有關 G9 的詳細信息以及 G9 的軸距是多少？會有6座版還是7座版？我的第二個問題是關於資本支出的。那麼廣州和武漢工廠的資本支出預算分別是多少？這兩家工廠的進展如何？

[Interpreted] This is Xiaopeng. Let me respond to your first question. In terms of G9, what I can be -- what I can announce right now is going -- G9 is going to be a 5-seat medium to large size SUV. It won't be a 6-seater or 7-seater. And in terms of the details such as wheelbase, et cetera, we will actually launch -- we will give you more details in our official announcement when we have the information. Thank you.

[解釋]這是小鵬。讓我回答你的第一個問題。就 G9 而言，我現在可以成為的——我現在可以宣布的——G9 將成為一款 5 座的中型到大型 SUV。它不會是 6 座或 7 座。而軸距等細節方面，我們將實際推出——我們將在獲得信息後在官方公告中為您提供更多細節。謝謝你。

Okay. The second question -- this is Dennis -- so let me handle this. In our Guangzhou plant, our total capital expenditure is somewhere around RMB 2.5 billion to RMB 3 billion. And among that, the construction and the land actually is funded by the government. And the government provided the loan to us, a free interest loan.

好的。第二個問題——我是丹尼斯——所以讓我來處理。在我們的廣州工廠，我們的總資本支出約為人民幣 25 億元至人民幣 30 億元。其中，建設和土地實際上是由政府出資。政府向我們提供了貸款，無息貸款。

And in terms of facility, actually, the government is funding 50% of the interest cost. So we will pay 50% of the interest cost in terms of the bank loan. The plan is -- in terms of construction has been completed and now we are doing the equipment and facility for the new plant, new production. So this is to support the new vehicle production.

而就設施而言，實際上，政府正在資助 50% 的利息成本。所以我們將以銀行貸款的形式支付50%的利息成本。計劃是——在建設方面已經完成，現在我們正在為新工廠、新生產做設備和設施。所以這是為了支持新車的生產。

In terms of Wuhan plant, Wuhan plant, the plant is bigger than the Guangzhou plant. So the total capital expenditure, the original project was about RMB 4 billion, about -- slightly higher than RMB 4 billion. And among that, the government will fund the interest of the around RMB 3 billion. That will be -- the interest will be funded by the government and the rest will be funded by XPeng itself. The plant is under construction, including the building and also the facility, and that actually is to support the new production, as we mentioned, for next year. So that's the status of the plant construction and also the capital spending of our plant.

武漢廠方面，武漢廠比廣州廠大。因此，總資本支出，原項目約為人民幣 40 億元，大約 - 略高於人民幣 40 億元。其中，政府將資助約30億元人民幣的利息。那將是——利息將由政府出資，其餘的將由小鵬自己出資。該工廠正在建設中，包括建築物和設施，正如我們所提到的，這實際上是為了支持明年的新生產。這就是工廠建設的現狀，也是我們工廠的資本支出。

And your final question comes from the line of Jing Chang with CICC.

您的最後一個問題來自中金公司的京昌一行。

(foreign language) So my first question is about our battery, all the suppliers method next year? And what are the positive or negative effects of our multiple supplier method, especially on our supply maintenance and also our purchase costs?

（外語）所以我的第一個問題是關於我們的電池，明年所有供應商的方法？我們的多供應商方法有哪些正面或負面影響，尤其是對我們的供應維護和採購成本？

(foreign language) And my second question about the gross profit margin and also the expense ratio guidance this year. And considering the current cost and our price -- product price increase, how can you expect our gross cost margin this year and also about the expense ratio? Will our expectation of our R&D and SG&A ratios reflect a stronger scale effect?

（外語）我的第二個問題是關於今年的毛利率和費用率指導。考慮到當前的成本和我們的價格——產品價格上漲，你怎麼能期望我們今年的毛成本利潤率以及費用率？我們對 R&D 和 SG&A 比率的預期是否會反映出更強的規模效應？

[Interpreted] This is Xiaopeng. Let me respond to your first question. Having multiple suppliers for our battery sales definitely gives us a lot of values, mainly in 2 aspects. The first one is to definitely make sure that we have enough supply and the second is help us to optimize or enhance our cost control capability. Now for the first benefit, because we have multiple models that definitely are really popular in the market and we received a lot of orders last year, but due to the supply shortage in batteries, especially in LFP batteries, we were not able to actually fulfill or deliver those orders last year and the actual sales of our models or our products containing LFP batteries was actually a lot smaller than the actual orders that we received. And this year, with our concerted effort with our supplier partners, we hope that and we are very confident that we can alleviate the situation this year.

[解釋]這是小鵬。讓我回答你的第一個問題。我們的電池銷售擁有多個供應商無疑給我們帶來了很多價值，主要體現在兩個方面。第一個是確保我們有足夠的供應，第二個是幫助我們優化或增強我們的成本控制能力。現在來說第一個好處，因為我們有多個型號，在市場上確實很受歡迎，去年我們收到了很多訂單，但是由於電池供應短缺，特別是LFP電池，我們無法真正履行或去年交付這些訂單，我們的模型或包含LFP電池的產品的實際銷售額實際上比我們收到的實際訂單少得多。而今年，在我們與供應商合作夥伴的共同努力下，我們希望並且我們非常有信心今年能夠緩解這種情況。

And the second benefit, which I mentioned earlier is the cost control capability enhancement. As the raw materials for batteries and for a lot of the core components continue to increase, the whole industry experience a lot of cost increase risk. But because of our multiple supplier partner network and this model, we are able to actually relieve this sort of stress within, I think, 1 quarter to 3 quarters' time. And this year, we will continue to (inaudible) our suppliers to better control our costs. That's all.

第二個好處，我前面提到的，就是成本控制能力的提升。隨著電池原材料和很多核心零部件的不斷增加，整個行業都面臨著很大的成本上漲風險。但是由於我們的多個供應商合作夥伴網絡和這種模式，我們能夠在我認為 1 個季度到 3 個季度的時間內真正緩解這種壓力。今年，我們將繼續（聽不清）我們的供應商以更好地控制我們的成本。就這樣。

For the second one, the margin, firstly, we don't provide the margin guideline for the future. But according to the information we have on hand, actually in the first quarter, we used a majority of the battery stock which we acquired or we purchased last (inaudible). So the cost increase did not really hit us on the full quarter basis. So we anticipate some material cost good news on the battery. And also we have better product mix. The P7, actually, the mix is higher than quarter 4 last year.

對於第二個，保證金，首先，我們不提供未來的保證金指導。但根據我們手頭的信息，實際上在第一季度，我們使用了我們購買或最後購買的大部分電池庫存（聽不清）。因此，整個季度的成本增加並沒有真正影響到我們。因此，我們預計電池會出現一些材料成本方面的好消息。而且我們有更好的產品組合。實際上，P7 的組合高於去年第四季度。

And for the second half, because we have increased the price, and then after we delivered those price protection orders, probably starting in late May or June we will have capability to cover the cost. So all in all, we anticipate quarter 1 and quarter 2 margin would be equivalent or even slightly better than the quarter 4, the margin level.

而下半年，因為我們提高了價格，然後我們交付了那些價格保護訂單之後，可能從5月下旬或6月開始，我們將有能力支付成本。總而言之，我們預計第一季度和第二季度的利潤率將與第四季度的利潤率水平相當甚至略好。

And for starting from June, we -- actually, the price will affect the new price, which we will be able to cover the cost. And more importantly, we have G9, which will be sold in the second half. So we anticipate the second half margin will be better than the first half. That's kind of the general assessment for the margin thus far. Thank you.

從 6 月開始，我們 - 實際上，價格將影響新價格，我們將能夠支付成本。更重要的是，我們還有G9，下半年發售。所以我們預計下半年利潤率會好於上半年。這是迄今為止對利潤率的一般評估。謝謝你。

As there are no further questions, I'd like to turn the call back over to the company for closing remarks.

由於沒有其他問題，我想將電話轉回公司以進行結束髮言。

So thank you once again for joining us today. If you have further questions, please feel free to contact XPeng's Investor Relations through contact information provided on our IR website or The Piacente Group Investor Relations.

因此，再次感謝您今天加入我們。如果您還有其他問題，請隨時通過我們的 IR 網站或 The Piacente Group Investor Relations 上提供的聯繫信息聯繫小鵬的投資者關係部。

This concludes today's conference call. You may now disconnect your line. Thank you for your participation.

今天的電話會議到此結束。您現在可以斷開您的線路。感謝您的參與。

[Portions of this transcript that are marked [Interpreted] were spoken by an interpreter present on the live call.]

[此成績單中標記為 [已翻譯] 的部分由現場通話中的口譯員朗讀。]