ZTO Express (Cayman) Inc (ZTO) 2025 Q4 法說會逐字稿

Good day and welcome to the ZTO express fourth quarter and fiscal year 2025 financial results conference call. (Operator Instructions) Please also note today's event is being recorded.

各位好，歡迎參加中通快遞2025財年第四季及全年財務業績電話會議。（操作說明）也請注意，今天的活動正在錄製中。

I would now like to turn the conference over to Sophie Li, Head of Capital Markets. Please go ahead.

現在我將把會議交給資本市場主管李淑芬女士。請繼續。

Thank you, Rocco. Hello, everyone, and thank you for joining us today. The company's results and the Investor Relations presentation were released earlier today and are available on the company's IR website at ir.zto.com.

謝謝你，羅科。大家好，感謝各位今天收看我們的節目。本公司業績報告和投資者關係簡報已於今日早些時候發布，可在公司投資者關係網站 ir.zto.com 上查閱。

On the call today from ZTO are Mr. Meisong Lai, Chairman and Chief Executive Officer; and Mrs. Huiping Yan, Chief Financial Officer. Mr. Lai will give a brief overview of the company's business operations and highlights, followed by Mrs. Yan, who will go through the financials and guidance. They will both be available to answer your questions during the Q&A session that follows.

今天出席中通電話會議的有：董事長兼執行長賴美松先生，以及財務長嚴慧萍女士。賴先生將簡要概述公司的業務運作和亮點，隨後嚴女士將介紹財務狀況和指導意見。在接下來的問答環節中，他們將回答您的問題。

I remind you that this call may contain forward-looking statements made under the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements are based on management's current expectations in our current market and operating conditions and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond the company's control, which may cause the company's actual results, performance or achievements to differ materially from those in the forward-looking statements.

我提醒各位，本次通話可能包含根據 1995 年《私人證券訴訟改革法案》安全港條款所作的前瞻性陳述。此類聲明是基於管理層對當前市場和經營狀況的預期，並涉及已知或未知的風險、不確定性和其他因素，所有這些因素都難以預測，其中許多因素超出公司的控制範圍，這可能導致公司的實際業績、表現或成就與前瞻性聲明中的內容存在重大差異。

Further information regarding this and other risks, uncertainties and factors is included in the company's filings with the US Securities and Exchange Commission. The company does not undertake any obligation to update any forward-looking statements as a result of new information, future events or otherwise, except as required under law.

有關此項及其他風險、不確定性和因素的更多信息，請參閱公司向美國證券交易委員會提交的文件。除法律另有規定外，本公司不承擔因新資訊、未來事件或其他原因而更新任何前瞻性聲明的義務。

It is now my pleasure to introduce Mr. Meisong Lai. Mr. Lai will read through his prepared remarks in their entirety in Chinese before I translate for him in English.

現在我榮幸地向大家介紹賴美松先生。賴先生會先用中文通讀一遍他準備好的發言稿，然後我再為他翻譯成英文。

(interpreted) Thank you, Chairman Lai. Please allow me to translate first. Hello, everyone. Thank you for joining today's conference call. In the fourth quarter of 2025, the express delivery industry's overall parcel volume grew moderately by 5% year-over-year. ZTO maintained its industry-leading service quality during the quarter. with parcel volume reaching RMB1.56 billion, an increase of 9.2% over last year, and our market share expanded by 0.8 percentage points.

（譯）謝謝賴主席。請容許我先翻譯一下。大家好。感謝您參加今天的電話會議。2025年第四季，快遞業包裹總量年增5%，成長速度較為溫和。中通快遞本季維持了業界領先的服務質量，包裹吞吐量達到人民幣15.6億元，年增9.2%，市佔率擴大了0.8個百分點。

At the same time, we achieved an adjusted net income of RMB2.69 billion. ZTO continued to lead the industry in both scale and profitability. For the full year of 2025, China's express delivery industry achieved a steady growth of 13.6% with volume reaching the 200 billion milestone. In the third quarter, relevant government agencies formerly advocated against evolution and promoting the protection of grassroots interest.

同時，我們實現了經調整後的淨利26.9億元。中通在規模和獲利能力方面繼續保持行業領先地位。2025年全年，中國快遞業實現了13.6%的穩定成長，貨運量突破2,000億大關。第三季度，相關政府機構曾主張反對演進，提倡保護基層利益。

During the industry towards healthy and sustainable development. As a result, overall pricing stabilized and recovered, and the industry accelerated its transition toward a new stage of development focused on both quantity and quality.

推動產業朝著健康、永續發展的方向發展。因此，整體價格趨於穩定並有所回升，產業加速向注重數量和品質的新發展階段轉型。

In 2025, ZTO achieved an annual pass volume of RMB38.5 billion, maintaining a steady market share year-over-year. During this critical phase of industry transformation, ZTO stayed committed to our high-quality development strategy. continuously enhanced differentiated product offering and service capability. Facing intense competition, ZTO actively responded to the government's call and to lead in maintaining a healthy industry order. Leveraging our robust infrastructure, data-driven operations and management capabilities, we successfully safeguarded our competitive advantages in quality, scale and profitability.

2025年，中通票年交易額達人民幣385億元，市佔率逐年維持穩定。在產業轉型這一關鍵階段，中通始終堅持高品質發展策略，並不斷提升差異化產品與服務能力。面對激烈的競爭，中通積極響應政府號召，在維護健康的產業秩序方面發揮了領導作用。憑藉我們強大的基礎設施、數據驅動的營運和管理能力，我們成功地維護了我們在品質、規模和盈利能力方面的競爭優勢。

Our annual retail parcel volume grew by 46% year-over-year, significantly outpacing the overall growth of e-commerce parcels. In the fourth quarter, daily retail volume reached close to 10 million parcels. This product mix optimization has enhanced the brand recognition and affinity while providing strong support for core revenue growth and alleviating the impact from volume-based subsidies.

我們的年度零售包裹量年增 46%，顯著超過了電子商務包裹的整體成長速度。第四季度，日均零售包裹量接近1,000萬件。此次產品組合優化提升了品牌知名度和親和力，同時為核心收入成長提供了強有力的支持，並減輕了銷售補貼的影響。

At the same time, we continue to strengthen standardized operations in coordination across our transit segments, improving both operational efficiency and service time learning. Our combined unit cost for transportation and sorting decreased by RMB0.06 for the full year. And with a stable SG&A structure, our annual adjusted net income reached RMB9.5 billion.

同時，我們持續加強各交通運輸環節的協調統一運營，以提高營運效率和服務時間學習。全年運輸和分類的單位總成本減少了0.06元人民幣。憑藉穩定的銷售、一般及行政費用結構，我們的年度調整後淨收入達到95億元人民幣。

Entering 2026, the express delivery industry is further reaching a consensus on high-quality development. supported by stable macroeconomic foundations and the ongoing efforts against evolution. Naturally, market uncertainties remain and the transition towards quality growth requires deeper cultivation. ZTO will shoulder its responsibility by adhering to strategies for healthy and sustainable development.

進入2026年，在穩定的宏觀經濟基礎和持續的抗變革努力的支持下，快遞產業在高品質發展方面進一步達成共識。當然，市場仍然存在不確定性，向高品質成長的轉型需要更深入的培育。中通集團將秉持健康永續發展的策略，並承擔起自身的責任。

We will focus on transit and last mile capability building, continue to optimize the fairness and transparency of network policies and protect the trust and confidence. Our priorities for the next stage are as follows: first, up home service quality to reinforce brand advantages. Staying results-oriented while focusing on execution. We will integrate public and platform service indicators into performance evaluation. With accountability of fine to specific position individuals and behaviors. By targeting specific weak links and continuously optimizing our product mix, we will enhance our service capability and the differentiation to expand our brand in food.

我們將專注於公共交通和最後一公里能力建設，繼續優化網路政策的公平性和透明度，維護信任和信心。下一階段的重點如下：首先，提升上門服務質量，以鞏固品牌優勢。保持結果導向，同時注重執行。我們將把公共服務和平台服務指標納入績效評估。對特定職位人員和行為追究罰款責任。透過針對特定弱點並持續優化我們的產品組合，我們將提高我們的服務能力和差異化優勢，從而擴大我們在食品領域的品牌影響力。

Second, keeping efforts for cost reduction and operational efficiency to solidify cost leadership. Centered around better integration from end to end. We will accelerate the implementation of direct linkage model. We will establish standardized, visualized and comparable benchmarks. And by prescribing cost reduction targets to every last mile segment and leveraging fluctuation monitoring to unlock potential. We will achieve optimal cost efficiency across transit and delivery.

第二，持續努力降低成本、提高營運效率，以鞏固成本領先地位。以更好地實現端到端集合成為核心。我們將加快直接關聯模式的實作。我們將建立標準化、視覺化和可比較的基準。透過為每個最後一公里環節設定成本降低目標，並利用波動監測來釋放潛力。我們將實現運輸和配送環節的最佳成本效益。

Third, optimize network policies and the incentive mechanisms, focus on steady volume growth and improved cost efficiency. We will rely on detailed analysis for regions with lacking market share to enhance the efficiency of cost sharing mechanisms and ensure more precise deployment of resources.

第三，優化網路策略和激勵機制，著眼於穩定提升銷售量和提高成本效益。我們將依靠對市場份額不足地區的詳細分析，提高成本分攤機制的效率，並確保更精準地部署資源。

Fourth, safeguard fairness to ensure network stability, secure rights and obligation of our partners while balancing profit distribution, strictly implementing better pay for better results and survival of the pits while ensuring reasonable income for outlets and careers. We will empower high-quality alleys and provide support in governing underperformers to protect a win-win ecosystem.

第四，保障公平，確保網路穩定，保障合作夥伴的權利義務，同時平衡利潤分配，嚴格執行「優勝劣汰」原則，確保門市和從業人員獲得合理的收入。我們將扶持優質巷道，並為管理不善的巷道提供支持，以保護雙贏的生態系統。

China's express delivery industry remains positive, and the competition will steadily become more rational as the leading enterprises continue to turn to intrinsic value the industry landscape will further bifurcate and the concentration will increase. ZTO remains committed to its long-term strategy of integrating service quality market share and a reasonable profit.

中國快遞產業仍保持樂觀，隨著龍頭企業不斷轉向內在價值，競爭將逐步變得更加理性，產業格局將進一步分化，集中度將提高。中通始終致力於實現服務品質、市場佔有率和合理利潤的長期策略。

As the industry shifts from scale expansion to include value preparation, we must lead the way in prioritizing both quantity and quality. Only by expanding diversified and differentiated products, reinforcing our infrastructure foundation, harness the productivity of digital operations, unlocking the potential of end-to-end cost reduction and prioritizing the long-term trust and the stability of our franchise network can we seize opportunities and navigate through cycles.

隨著產業從規模擴張轉向價值創造，我們必須在數量和品質並重方面走在前面。只有透過拓展多元化和差異化產品，加強基礎設施建設，發揮數位化營運的生產力，釋放端到端成本降低的潛力，並優先考慮特許經營網路的長期信任和穩定性，我們才能抓住機遇，度過週期。

For over 20 years, being our best has been the constant for ZTO amidst all changes, building on our shared success philosophy, we will take pragmatic actions to fulfill our mission of bringing happiness to more people. We will continue to lead in this new journey of high-quality development. creating sustainable and long-term value for the ZTO community.

20多年來，中通始終秉持著追求卓越的理念，在各種變化中不斷前進。基於我們共同的成功理念，我們將採取務實的行動，實現為更多人帶來幸福的使命。我們將繼續引領高品質發展的新旅程，為中通社群創造可持續的長期價值。

Now just invite Ms. Yan to present the financial results and guidance.

現在只需邀請嚴女士介紹財務業績和指導意見即可。

Thank you, Chairman, and thank you, Sophie. Hello to everyone on the call. As I go through our financials, please note that unless specifically mentioned, all numbers quoted are in RMB and percentage changes refer to year-over-year comparison. Again, detailed financial information and performances, unit economics and cash flow are already posted on our website, and I'll only go to some of the highlights here.

謝謝主席，也謝謝索菲。各位通話中的朋友們，大家好。在介紹我們的財務數據時，請注意，除非特別說明，所有引用的數字均以人民幣為單位，百分比變化是指同比比較。再次強調，詳細的財務資訊和績效、單位經濟效益和現金流數據已經發佈在我們的網站上，我在這裡只介紹一些重點。

In the fourth quarter, benefiting from the government's call against evolution, we prioritized service quality and core competency to drive sustainable growth. Our parcel volume grew 9.2% to RMB10.6 billion in Q4 and 13.3% to RMB38.5 billion for the full year. Total revenue increased 12.3% to RMB14.5 billion in Q4 and increased 10.9% to RMB49.1 billion for the year.

第四季度，由於政府反對變革的號召，我們優先考慮服務品質和核心競爭力，以推動永續成長。第四季，我們的包裹量成長9.2%，達到人民幣106億元；全年成長13.3%，達到人民幣385億元。第四季總營收成長12.3%至人民幣145億元，全年總營收成長10.9%至人民幣491億元。

Income from operations was RMB3.2 billion and RMB0.5 billion or decreased 7.6% and 11% for the fourth quarter and the year, respectively. As our corporate spending remained stable and efficient we achieved adjusted net income of RMB2.7 billion and RMB9.5 billion for the fourth quarter and full year, respectively.

第四季營業收入為人民幣32億元，全年營業收入為人民幣5億元，分別下降7.6%及11%。由於公司支出維持穩定高效，我們第四季和全年的調整後淨利分別為人民幣27億元和人民幣95億元。

ASP for our core express delivery business increased by 2.9% or RMB0.03 in Q4. This was primarily driven by a RMB0.15 positive contribution from an improved mix in KA volume specifically, our volume higher value -- sorry, our higher-value reverse logistics services, counter offsetting RMB0.11 in higher volume incentives. For the full year, ASP decreased slightly by 1.7% or RMB0.03. This reflects a RMB0.16 gain from higher retail volume offset by a RMB0.15 impact from volume incentives and a RMB0.03 decrease due to lower average weight per parcel.

第四季度，我們核心快遞業務的平均售價成長了 2.9%，即 0.03 元人民幣。這主要是由於 KA 銷售組合改善帶來的 0.15 元正貢獻，特別是我們銷售價值更高的逆向物流服務——抱歉，是我們的更高價值逆向物流服務——抵消了銷售成長帶來的 0.11 元激勵。全年平均售價略為下降1.7%，即人民幣0.03元。這反映出零售量成長帶來的人民幣0.16元的成長，被銷售獎勵帶來的人民幣0.15元的影響以及因單件平均重量下降導致的人民幣0.03元的下降所抵消。

Total cost of revenue was RMB10.8 billion for Q4 and RMB36.8 billion for the year, which increased 18.2%. And for Q4 and 20.5% for the full year. From a unit perspective, while the core express delivery unit cost rose RMB0.08 to RMB1 in Q4 and RMB0.07 to RMB0.94 for the year. KA cost was the main driver of the increase, which was partially offset by transit cost productivity. The combined unit cost for sorting and transportation decreased by 4.5% or RMB0.04 in Q4 and 8.8% or RMB0.06 for the year, driven by economies of scale and our ongoing productivity initiatives.

第四季總收入成本為人民幣108億元，全年總收入成本為人民幣368億元，成長了18.2%。第四季佔 20.5%，全年佔 20.5%。從單位成本來看，第四季核心快遞單位成本上漲0.08元人民幣至1元人民幣，全年上漲0.07元人民幣至0.94元。KA 成本是成長的主要驅動因素，但運輸成本的提高在一定程度上抵消了這一成長。第四季分類和運輸的單位成本合計下降了 4.5%（人民幣 0.04 元），全年下降了 8.8%（人民幣 0.06 元），這得益於規模經濟和我們持續推進的生產力提升措施。

Specifically, unit cost of line haul transportation decreased 7.5% to RMB0.37 in Q4 and 12.2% to RMB0.36 for the year reflecting optimized route planning and enhanced load efficiencies. Unit sorting costs remained steady at RMB0.26 in Q4 and decreased 3.7% to RMB0.26 for the full year. Automation continues to drive labor efficiency through -- will partially offset by the ramp-up and upgrade costs of new and existing facilities. Unit KA costs increased by RMB0.13, which is consistent with the strategy. strategic expansion of our KA volume.

具體而言，第四季度幹線運輸的單位成本下降了 7.5%，至人民幣 0.37 元；全年下降了 12.2%，至人民幣 0.36 元，這反映了路線規劃的優化和裝載效率的提高。第四季單位分類成本維持穩定，為人民幣0.26元；全年下降3.7%，至人民幣0.26元。自動化持續提高勞動效率—但新設施和現有設施的啟動和升級成本將部分抵消這一成長。KA單位成本增加了0.13元人民幣，符合我們戰略擴張KA銷售的計畫。

Gross profit declined 2.1% to RMB3.7 billion for Q4 and 10.5% to 10.3 billion for 2025. Gross profit margin rate decreased 3.7 points to 25.4% for the quarter and 6 points to 25% for the year. SG&A, excluding SBC, decreased 1.3% to RMB641 million for Q4, an increase 1.6% to RMB2.4 billion for the year. SG&A expenses, excluding SBC as a percentage of revenue declined to 4.4% for the quarter and 4.9% for the year, reflecting strong corporate cost efficiency.

第四季毛利下降2.1%至人民幣37億元，2025年毛利下降10.5%至人民幣103億元。本季毛利率下降 3.7 個百分點至 25.4%，全年毛利率下降 6 個百分點至 25%。第四季銷售、一般及行政費用（不包括SBC）下降1.3%至人民幣6.41億元，全年增長1.6%至人民幣24億元。不計 SBC 的 SG&A 費用佔營收的百分比在本季下降至 4.4%，全年下降至 4.9%，反映出公司成本效益的顯著提高。

Income from operations decreased 7.6% to RMB3.2 billion for Q4 and decreased 11.1% to RMB10.5 billion for the year. Associated margin dropped 4.7 points to 22% and 5.3 points to 21.3% for the year. Operating cash flow surged 50.6% to RMB4.2 billion in Q4 and reached RMB12 billion for the year, excluding the RMB850 million onetime franchise deposit refunds under the new business policy in Q4 last year, our cash flow from operations remains robust. Capital expenditures for the year totaled RMB6.1 billion.

第四季營業收入下降7.6%至人民幣32億元，全年營業收入下降11.1%至人民幣105億元。相關利潤率全年分別下降 4.7 個百分點至 22% 及 5.3 個百分點至 21.3%。第四季經營現金流成長50.6%至人民幣42億元，全年達120億元人民幣。若不計入去年第四季根據新業務政策一次退還的人民幣8.5億元特許經營保證金，我們的經營現金流依然強勁。本年度資本支出總額為人民幣61億元。

Now moving on to our business outlook. Based on current market conditions, we anticipated our parcel volume for 2026 to grow in the range of 10% to 13% year-over-year. This growth rate implies an annual parcel volume between RMB42.37 billion and RMB43.52 billion. We are committed to growing our volume faster than the industry average for the year.

接下來我們來談談業務展望。根據目前的市場情況，我們預計 2026 年包裹量將年增 10% 至 13%。這一成長率意味著每年的包裹量將在人民幣 423.7 億元至 435.2 億元之間。我們致力於實現全年銷售成長速度超過行業平均。

Now on to our shareholder returns. The Board has approved a semi cash dividend of USD0.39 per ASD in accordance with the established 40% payout ratio. In addition, having substantially completed our previous USD2 billion program, and the Board has authorized a new 24-month $1.5 billion share buyback program effective through March 2028.

接下來是股東回報部分。董事會已批准按既定的 40% 派息率，向每股 ASD 派發 0.39 美元的半現金股息。此外，鑑於我們先前20億美元的計劃已基本完成，董事會已批准一項新的為期24個月、金額為15億美元的股票回購計劃，該計劃有效期至2028年3月。

Finally, we are pleased to announce an enhanced shareholder return program, starting from 2026 company targets and aggregate annual return ratio of no less than 50% of our adjusted income for the previous fiscal year. comprising both cash dividends and share buyback. This enhancement reflects our commitment to optimize capital allocation and delivering consistent long-term value to our shareholders.

最後，我們很高興地宣布一項加強型股東回報計劃，該計劃從 2026 年公司目標開始實施，年度總回報率不低於上一財年調整後收入的 50%，其中包括現金股息和股票回購。這項改進體現了我們致力於優化資本配置並為股東創造持續長期價值的承諾。

This concludes our prepared remarks. Operator, please open the line for questions. Thank you.

我們的發言稿到此結束。接線員，請開通提問線。謝謝。

(Operator Instructions) Qianlei Fan, Morgan Stanley.

（操作說明）範倩蕾，摩根士丹利。

(spoken in foreign language) Let me translate for myself. I have two questions. The first question is about antievolution. After the Chinese New Year, we have seen lots of news the anti-evolution dynamics everywhere in China. So is there any new updates on the anti-evolution initiatives?

（用外語說）讓我自己翻譯一下。我有兩個問題。第一個問題是關於反進化論的。春節過後，我們看到了很多關於中國各地反進化論動態的新聞。那麼，反進化論倡議方面有什麼新的進展嗎？

How do you expect the sustainability of such anti-pollution driven type hikes. What's your take on the attitude from the regulatory towards anti evolution? And what's your expectation on the potential pricing trends for the rest of the year?

你認為這種以反污染為目的的漲價活動能夠持續下去嗎？你如何看待監管機構對反進化論的態度？您對今年剩餘時間的潛在價格走勢有何預期？

The second question is about industry growth outlook and competition landscape. So taking into consideration of potential price hikes anti-evolution what's your expectation on the full year industry growth outlook? And was this outlook, what's your expectation on the industry competition landscape and market share dynamics? Thank you.

第二個問題是關於產業成長前景和競爭格局。考慮到潛在的價格上漲阻力，您對全年產業成長前景有何預期？那麼，您對產業競爭格局和市佔率動態有何預期？謝謝。

(interpreted) Thank you very much for your question. I'll translate for the Chairman here. Since the introduction of the anti-evolution policy in the third quarter last year, the industry's competitive landscape has steadily improved. Parcel prices have recovered and the focus has turned towards safeguarding the interest of frontline people such as the outlet and couriers. Following the spring festival, the policy has remained in effect. And with its continued enforcement the industry is well positioned to sustain quarterly competition above the cost line.

（翻譯）非常感謝您的提問。我來為主席翻譯。自去年第三季推出反進化政策以來，產業的競爭格局穩步改善。包裹價格已經回升，重點轉向保障門市和快遞員等第一線人員的利益。春節過後，政策仍然有效。隨著執法力度的不斷加大，該行業完全有能力在成本之上維持季度競爭。

As one of the key players in the industry, we're are not only participants but also must take on the leadership role. ZTO's strategy is well aligned with government's effort to combat involution. seeking a balanced development that prioritizes service quality, effectively protect the right interest of outlets and couriers and promote a healthy, orderly competitive environment for the industry.

作為產業中的關鍵參與者之一，我們不僅是參與者，而且必須承擔起領導角色。中通的策略與政府打擊產業內卷的努力高度契合，尋求平衡發展，優先考慮服務質量，有效保護網點和快遞員的合法權益，並促進行業健康有序的競爭環境。

Now for the second question, first, the sector's growth. the scale or the parcel volume of China's express delivery industry has approached RMB200 billion 2025, which established a significantly large base. And with the implementation of the anti-evolution policy, express delivery prices have steadily recovered and low-priced parcel volumes have gradually decreased. It is reasonable to expect a gradual deceleration of the industry growth.

現在來看第二個問題，首先是該行業的成長。到2025年，中國快遞業的包裹量將接近2,000億元人民幣，奠定了相當龐大的基礎。隨著反進化政策的實施，快遞價格穩定回升，低價包裹的數量逐漸減少。可以合理預期，該行業成長速度將逐漸放緩。

And the sector is likely to transit from a volume-driven model to a new phase focused on high-quality development. Note that the Postal Bureau has estimated a 8% growth for 2026 and ZTO has given a guidance of growth between 10% to 13%, which certainly implies the development faster than the industry average.

該行業可能會從以數量為導向的模式過渡到以高品質開發為中心的新階段。請注意，郵政局預計 2026 年將成長 8%，而中通銀行給出的成長預期在 10% 到 13% 之間，這無疑意味著其發展速度將超過行業平均水平。

On the competitive landscape, as the macroeconomic condition continues to improve and express delivery industry move towards higher quality development market man will naturally gravitate towards and become increasingly concentrated among companies that prioritize service and operational efficiencies. Leading enterprises, leveraging their superior service capabilities and well-established infrastructure networks are better positioned to further consolidate the market. Driven by policy guidance and reinforced by industry self-regulation. The trend of bifurcation is expected to further fostering a healthier and more orderly competitive landscape. I hope that answers your question.

在競爭格局中，隨著宏觀經濟狀況的持續改善和快遞行業向更高品質的發展方向邁進，市場參與者自然會傾向於那些優先考慮服務和營運效率的公司，並且這些公司會越來越集中於這些公司。領先企業憑藉其卓越的服務能力和完善的基礎設施網絡，更有利於進一步整合市場。在政策指導的推動下，並由產業自律加以強化。分叉趨勢可望進一步促進更健康、更有序的競爭格局。希望我的回答能解答你的疑問。

Thank you. Thank you very much.

謝謝。非常感謝。

Stephen Scherr, Goldman Sachs.

史蒂芬·謝爾，高盛。

(spoken in foreign language) I have two questions. My first question is under the anti-involution scheme. What is the 2026 priority for your company? Is it market share profit or network governance? And also, does the RMB200 million fund that you dedicated to support your frontline employee as well as your network signal more support for your partners?

（用外語說）我有兩個問題。我的第一個問題是關於反對合方案的。貴公司2026年的優先事項是什麼？是市佔率利潤還是網絡治理？另外，您撥出的2億元資金用於支持您的第一線員工和合作夥伴，這是否意味著您對合作夥伴給予了更多支持？

My second question is, given the January to February GMV growth industry-wide has been faster than the volume growth and which has been the first time since 2023. So is this mix driven or structural? And could the competition shift to quality or just only the improvement?

我的第二個問題是，鑑於 1 月至 2 月整個行業的 GMV 增長速度超過了銷量增長速度，這是自 2023 年以來的第一次。所以這種混音風格是受混音驅動還是結構性因素影響？競爭的焦點會轉移到品質提升上，還是只是轉移到性能改進上？

(interpreted) Thank you very much for your question. ZTO remained steadfast in our fundamental approach of integrating service quality market share and a reasonable level of profit, which serves as our core strategy revolved on our resolve to navigate cycles and seize long-term opportunities.

（翻譯）非常感謝您的提問。中通始終堅持以服務品質、市佔率和合理利潤為核心的根本方針，以此作為我們應對週期性波動、掌握長期機會的核心策略。

Entering 2026, supported by stable macroeconomic fundamentals, the industry-wide consensus against involution continues to solidify. ZTO will respond to the national call by taking the lead in maintaining a steady and rational industry competitive order, driving an accelerated transition of our operational focus from scale expansion towards a value proposition centered on both quality and quantity.

進入 2026 年，在穩定的宏觀經濟基本面支撐下，整個產業反對產業退化的共識持續鞏固。中通將響應國家號召，率先維護穩定合理的產業競爭秩序，推動營運重心從規模擴張加速轉型為以品質和數量為核心的價值。

We clearly recognize that the restoration and stability of our franchise networks ecosystem in terms of their trust and hope are the cornerstone of high-quality development and across the entire network with a strategic significance that far away short-term financial gain. Therefore, our current strategic focus is on continuously optimizing the fairness and transparency of our network policies to effectively safeguard the reasonable and rightfully so the level of income of our grassroot partners and frontline couriers.

我們清楚地認識到，恢復和穩定我們的特許經營網路生態系統，重建其信任和希望，是高品質發展的基石，並且具有遠超短期經濟利益的戰略意義，遍及整個網絡。因此，我們目前的策略重點是持續優化網路政策的公平性和透明度，以有效保障基層合作夥伴和第一線快遞員合理且應得的收入水準。

The recent launch of RMB200 million special service incentive fund is indeed intended specifically for the fact that we are putting quality as the priority. This is a concrete demonstration of our shared success philosophy and our pragmatic actions to provide targeted support to higher quality outlets while empowering frontline employees. This initiative aims to stimulate the networks intrinsic motivation by optimizing profit-sharing mechanism, reinforcing our brand advantage while building a win-win ecosystem for the entire network.

最近推出的2億元專款服務激勵基金，正是因為我們把品質放在第一位。這是對我們共同成功理念和務實行動的具體體現，旨在為更高品質的門市提供有針對性的支持，同時賦予第一線員工權力。此舉措旨在透過優化利潤分享機制來激發網路成員的內在動力，強化我們的品牌優勢，同時為整個網路建立雙贏的生態系統。

The RMB200 million is going to be allocated and distributed across the whole end-to-end operations from pickup to delivery. The goal is to very specifically further expand our recognition of shared success as well as our effective approach to allocate interest among all the stakeholders, including the small micro operators of our business, which are the key foundation of our long-term success.

這2億元人民幣將分配到從取貨到交付的整個端到端營運流程。我們的目標是進一步明確地擴大我們對共同成功的認識，以及我們有效分配所有利害關係人（包括我們業務中的小型微型經營者）利益的方法，因為他們是我們長期成功的關鍵基礎。

Now your second question, the turnaround in average order value in early 2026 confirms that the industry is undergoing a transformation from lower price volume tracing to value restoration. This shift is fundamentally driven by the stabilization of macro fundamentals and the deepening consensus against involution which has accelerated the exit of loss-making low-price volume.

現在，關於你的第二個問題，2026 年初平均訂單價值的轉變驗證，該行業正在經歷從低價追求銷售到價值恢復的轉變。這項轉變的根本驅動力是宏觀基本面的穩定以及反對市場內卷的共識加深，這加速了虧損的低價成交量退出市場。

We firmly believe that irrational price competition creates no incremental value for either e-commerce platforms or express delivery operators. Current market dynamics represent a structural upgrade in competition moving from price-driven to quality driven. This evolution provides a solid foundation for sustainable price improvements across the whole industry.

我們堅信，非理性的價格競爭不會為電子商務平台或快遞業者創造任何增量價值。目前市場動態代表競爭格局的結構性升級，從價格驅動型競爭轉向品質驅動型競爭。這一演變為整個行業的可持續價格改善奠定了堅實的基礎。

ZTO remains committed to our tripart strategy and our focus on high-quality customer services has yield clear results. In 2025, and our retail parcel volume surged 46% year-over-year with daily volume approaching 10 million in Q4. Looking ahead, we will continue to leverage our leading cost advantage and superior services to lead the industry through this quantity to quality cycle increase long-term value. Thank you for your question.

中通始終堅持三管齊下的策略，我們對高品質客戶服務的重視也取得了顯著成效。2025 年，我們的零售包裹量年增 46%，第四季日均包裹量接近 1,000 萬件。展望未來，我們將繼續利用我們領先的成本優勢和卓越的服務，引領產業完成從數量到品質的周期性轉變，從而增加長期價值。謝謝你的提問。

Aaron Luo, UBS.

羅亞倫，瑞銀集團。

(spoken in foreign language) Thank you for taking my question stion. And I have two questions. So let me translate myself. And I have two questions. One is about our recent insurance of convertible bonds in early February. So just would like to understand a bit more of our major considerations behind our recent insurance and more importantly, at what pace should we expect for the share buybacks to proceed?

（用外語說）謝謝您回答我的問題。我有兩個問題。那我就自己翻譯吧。我有兩個問題。其中一件是關於我們在二月初為可轉換債券提供的保險。所以我想更深入地了解我們最近購買保險背後的主要考慮因素，更重要的是，我們應該預期股票回購以怎樣的速度進行？

The second question is about AI, which has been continued to be a very hot topic among investors. So just curious about what are the major applications of AI and even large models at our company. Thank you so much.

第二個問題與人工智慧有關，這一直是投資人非常關注的熱門話題。所以，我很好奇人工智慧，甚至是大型模型，在我們公司有哪些主要應用。太感謝了。

Can I just go straight to English? Yes. The convertible bond in February 2026, the company issued $1.5 billion five-year convertible bond we launched it during a window where we can take advantage of our low-cost financing tool during a period where the company's market value was underassessed. The proceeds with a net amount of about USD1.4 billion is intended solely for company's share buyback. And this issuance is intended to effectively enhance earnings per share, which we did.

我可以直接選擇英語嗎？是的。2026 年 2 月，公司發行了 15 億美元的五年可轉換債券。我們選擇在公司市場價值被低估的時期，利用低成本融資工具推出該債券。所得款項淨額約14億美元，將全數用於本公司股票回購。此次發行旨在有效提高每股收益，而我們也確實做到了。

And hence, improve our shareholder value and protect interest and optimize our company's capital structure. The pace of buyback is that the repair purchase program is processing very efficiently. We have completed our previous -- we have completed the $600 million in total. It's approximately $600 million in total share buyback on the issuance day as well as during the subsequent trading window. For the remaining $800 million, we plan to complete the repurchase over the next year in line with market -- take in consideration with the market price fluctuations, so at a reasonable price range. we will put in programs to consistently doing the buyback in order to strengthen our shareholder returns.

因此，提高股東價值，保護股東利益，優化公司資本結構。回購速度顯示維修回購計畫的運作效率非常高。我們已經完成了之前的事——我們已經完成了總共 6 億美元的目標。在發行日以及隨後的交易窗口期內，股票回購總額約為 6 億美元。對於剩餘的8億美元，我們計劃在未來一年內根據市場行情完成回購——考慮到市場價格波動，我們將以合理的價格區間進行回購。我們將製定計劃，持續進行股票回購，以提高股東回報。

And the new shareholder return plan, you didn't ask that question, but I think I'll just take this opportunity to provide some insights. We established a consistent and integrated shareholder return system. And this is going to be a combined dividend and buyback mechanism, which is out of the total, no less than 50% of the adjusted net profit from prior year.

關於新的股東回報計劃，你雖然沒問到這個問題，但我認為我可以藉此機會提供一些見解。我們建立了一套連貫統一的股東回報體系。這將是一個集股息和股票回購於一體的機制，總額不少於上一年調整後淨利的 50%。

Now your question on the AI -- on the second question.

現在問你關於人工智慧的問題——第二個問題。

(interpreted) Let me help translate. ZTO me help translate. ZTO has steadfastly advance its digital transformation in recent years as well as driving further and deeper integration of AI technology across the entire Express delivery chain to achieve a fundamental change from experience driven to data-driven operations.

（翻譯）讓我來幫忙翻譯。ZTO，請幫我翻譯。近年來，中通穩步推進數位轉型，並在整個快遞配送鏈中進一步深入整合人工智慧技術，實現了從經驗驅動型營運轉向數據驅動型營運的根本性。

First, Our focus on AI empowerment across the entire chain is on reducing cost and increasing efficiency. We find management at the sorting end, we are promoting the application of 3D digital twins and computer vision technologies which have now been implemented in 25 of our super sorting centers. This system enables remote monitoring and automatic anomaly alerts helping sorting centers and outlets reduce missorting rates by over 50% -- by 60%, while improving operational precision, it has also significantly lowered labor cost.

首先，我們致力於在整個產業鏈中應用人工智慧，以降低成本並提高效率。我們在分類環節發現了管理問題，我們正在推廣 3D 數位孿生和電腦視覺技術的應用，這些技術目前已在我們 25 個超級分類中心實施。該系統能夠進行遠端監控和自動異常警報，幫助分類中心和門市將錯分率降低 50% 以上——60% 以上，同時提高了操作精度，也顯著降低了勞動力成本。

On the customer service side, the intelligent service center is leveraging the AI-powered customer service system so that they are able to automatically handle over 70% of end-to-end work orders and enable merchants to deliver -- to directly connect with last-mile couriers that are in progress or after sales support. Meanwhile, indigent assistants such as Ask Xiaotong and Tracking Assistant covers over 80% of routine businesses ingress at the outlet level significantly reduced customer service costs at the outlet level as well as headquarters.

在客戶服務方面，智慧服務中心利用人工智慧驅動的客戶服務系統，能夠自動處理 70% 以上的端到端工作訂單，並讓商家能夠直接聯繫正在進行的最後一公里快遞員或提供售後支援。同時，像 Ask Xiaotong 和 Tracking Assistant 這樣的貧困助理涵蓋了門市層級 80% 以上的日常業務入口，顯著降低了門市和總部的客戶服務成本。

On the last mile, dispatching side. It becomes more precise now with the AI technology implementation. We are able to leverage our in-house high-precision mapping data we are able to have a deeply applied scenarios such as outlet site selection and delivery route planning, which is time dynamic. This has not only empowered large-scale outlets to reduce short-haul transportation cost by over 20%, but also enabled precise order allocation and intelligent dispatch for tens millions of orders per day during peak retail parcel collection period.

在最後一公里，調度方面。隨著人工智慧技術的應用，現在變得更加精準了。我們能夠利用我們內部的高精度地圖數據，將數據深度應用於諸如門市選址和配送路線規劃等動態場景。這不僅使大型門市能夠將短途運輸成本降低 20% 以上，而且還能夠在零售包裹收集高峰期對每天數千萬個訂單進行精準的訂單分配和智慧調度。

On the second part, we not only -- on the second part about the large modeling, we are driving the involution from execution tools to have it become more of a business partner for an AI agent scenario. In the past, AI is primarily was primarily focused on replacing repetitive labor, but large models are now transforming our business operation structures and cycles. Currently, we are focusing on two key areas: one, deep business analysis at both the headquarters and regional level, we leverage AI-driven inquiries for data mining.

在第二部分，我們不僅——在第二部分關於大型建模的內容中，我們正在推動執行工具的內捲化，使其更多地成為人工智慧代理場景的業務夥伴。過去，人工智慧主要集中在取代重複性勞動，但如今大型模式正在改變我們的業務營運結構和週期。目前，我們專注於兩個關鍵領域：一是總部和區域層面的深度業務分析，我們利用人工智慧驅動的查詢進行資料探勘。

This tool not only generates reports as needed, but also uncovers hidden patterns within the complex customer quality and cost data that management can have previously overlooked effectively so that we can embed technology into the heart of our lean management system and also for problem identification and problem solving.

該工具不僅可以根據需要產生報告，還可以揭示複雜的客戶品質和成本數據中隱藏的模式，這些模式可能是管理層以前忽略的，從而有效地將技術嵌入到我們精益管理系統的核心，並用於問題識別和問題解決。

Second, high precision business forecasting. We are introducing a general-purpose time-sensitive forecasting, modeled to upgrade our existing forecast system. This model can learn from vast patterns across industries based on our huge database historically as well as ongoing and quickly adapt to new scenarios, enabling more gradual and timely parcel volume forecast and providing robust data support for our operations, including the capacity planning, the route planning so that we are able to maximize intelligence to drive operational efficiencies. That is the answer to your second question.

其次，高精度商業預測。我們正在引入一種通用的時間敏感型預測方法，旨在升級我們現有的預測系統。該模型能夠基於我們龐大的歷史資料庫以及正在進行的資料庫，從各行業的廣泛模式中學習，并快速適應新的場景，從而實現更漸進、更及時的包裹量預測，並為我們的運營提供強大的數據支持，包括容量規劃、路線規劃，以便我們能夠最大限度地利用智能來提高運營效率。這就是你第二個問題的答案。

Thank you. That concludes our question-and-answer session. I'd like to turn the conference back over to the company for closing remarks.

謝謝。我們的問答環節到此結束。我想把會議交還給公司，請他們作閉幕致詞。

Thank you, everyone, again for joining us. As the Chairman had pointed out that the industry is entering into a stable growth and we are committed to grow our volume faster than the industry average. And our tripart strategy and corporate directives are intact, and we are focused on building our infrastructure capability or enhancing our ability with technology as well as helping ensure the fairness of our network policy to further enhance the trust and fairness across our network so that we have a sustainable long-term business, creating value for our stakeholders, including shareholders.

再次感謝各位的參與。正如董事長所指出的，該行業正在進入穩定增長期，我們致力於實現比行業平均更快的銷售成長。我們的三方策略和公司方針保持不變，我們專注於建立基礎設施能力或透過技術增強我們的能力，同時幫助確保網路政策的公平性，以進一步增強整個網路的信任和公平性，從而實現可持續的長期業務，為包括股東在內的利益相關者創造價值。

This concludes our meeting today. Thank you again. We look forward to talking with you offline. Thank you.

今天的會議到此結束。再次感謝。我們期待與您線下交流。謝謝。

Thank you

謝謝

Thank you. That concludes today's conference call. We thank you all for attending today's presentation. You may now disconnect your lines.

謝謝。今天的電話會議到此結束。感謝各位蒞臨今天的報告會。現在您可以斷開線路了。

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

本記錄中標有（已翻譯）的部分是由現場通話中的翻譯人員翻譯的。本次活動的翻譯由贊助公司提供。祝您有美好的一天。