Q2 2022 RLX Technology Inc Earnings Call

Welcome to Course Call. Please enter your Elite Entry Number followed by the Pound Key. Your Elite Entry Number has been confirmed. You will now be joined to the conference. Please note that an operator will pick up your line to collect your information privately. Excuse me, this is a conference operator. May I have your name please? Yes, hi, this is Rachel Smith. Thank you, and your company. I'm with ARAB, that's AI-ERA. Thank you. I'll place the line on hold until the call begins. Thank you. Now, rejoining the main conference. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Thank you. Mister. And who knows YT leader from us today, Do you understand what you have done in the survey of the Hello everyone and welcome to our technologies. I'm Porto, 2020 to earnings conference call. The company's financial and operational results were released through Pionnys Wack, for the year today, and have been made available online. You can also build the earnings press release by visiting the IR section of our websites at IRR and RedxPack.com. Participants are on today's call. We include our CEO with H1, a CSO, Childhood and myself, SAM SAM. Before we continue, please note that today's sessions will contain four working payments made under the safe harder provisions of the U.S. private authorities' litigation reform act of 1995. These payments, typically contained by such SMAs, will expect targets, estimates, and 10, or least potential continued or other similar expressions. Four working payments involved in hearing risks and uncertainties. The accuracy of these payments may be impact by a number of business rates and uncertainties that could cause actual results to different material risks from those projects are anticipated. Many of which factors are beyond our control. We company, disabilities, advisors, and representatives do not undertake any applications to update these further information except as required under the applicable law. Please note that our technologies earnings press release, and these conference calls, including sessions of unaudited GAAP financial measures, as well as unaudited, non- GAAP financial measures. Now our express release contains a reconciliation of the unaudited non- GAAP measures to the unaudited GAAP measures . I will now turn the call over to Pat. Please go ahead. Thank you, Sam. And, Sam, everyone will make time to join our earnings conference call today. And please, with the healthy financial performance, we deliver in the second quarter as we actively continue to get to the new regulatory framework. We remain focused on enhancing the food range of our capabilities from scientific research product development to manufacturing the wants and operation optimization, of which empowered us to navigate the highly dynamic market and the evolving regulatory landscape. A make drum, natural, headwind, and wheat consumer sentiment are solid second quarter results on the floor of the resilience of our defense business model. And our commitment to building and strengthening our brand's trustworthiness. Before taking a closer look at the news update, I would like to start with the brief recap of the milestone regulatory development in our industry. Turning the first quarter of 2022, the relevant government authorities in China have issued a series of implementation rules and guiding opinions to strengthen our side of these figured products and regulate the e-cigarette industry. Turning the administrative measures for e-cigarettes, just coming to effect in May and the new national standards that will become effective on October 1st, 2022. Now let me share our progress on our relevant license application that's required by the administration measures. Today, two of our subsidiaries have obtained the license for manufacturing enterprise from the state to that home monopoly administration at PMA to conduct manufacturing activities under the regulatory guidance. Specifically, one is approved to manufacture e-cigarette and the other is approved to own the relaxed brand and manufacture relaxed brand, e-vapor rechargeable devices, cartridge products and other relevant products. A pretending license marks an important milestone in our strategic role model as we actually embrace the new paradigm with the top regulatory compliance. We believe our solid fundamental industry leading research and development capabilities and the season seems to assist further in our mission to achieve full regulatory compliance for our operational cardings to study. To build on this progress, we have a result of our efforts to develop new products that needs the applicable requirements while fulfilling user's demands. Some of our new products will amount to the purchase of products in the industry to obtain approval under the new national standards, a powerful validation of our industry leading our decavability. We look forward to bringing the approved products to market very soon in our confidence that our products quality, performance and safety will continue to re-bominate well with our users. Currently, we have several additional newly-developed products in the process of technical reviews and many more in the application type on. In the future, the new women committed to fulfilling our users' demands for higher quality products needs strict compliance with regulations while exploring new world-opening in the industry. In particular, we firmly believe that our needs are key to our success and it's a tenable future growth. It is our need that has enabled us to quickly roll out to combine new products in and attend our brand's competitive edge. Here, our set of metrics tracking our own needs and our non-depth, our needs and financials have increased from 1.5% in 2018 to 3.6% in the first half of 2022 and it is expected to further increase in the coming years. The young product R&B also dedicated to fundamental scientific research to protect our needs and health, working relentlessly to better understand and minimize the health risks of self-experts within the needs and the product. That can be addition to overwhelming our own scientific labs. We have partners with various leading research institutions including Ken University, two hospitals and several independent academic research houses to conduct related research and development, building a firm foundation for ongoing product development and innovation. For the more inner-second quarter, we collaborate with Xinjiang institutions above the warmth and technology.