Q3 2023 Tuya Inc Earnings Call
Speaker 1: sequentially with a net inflow of about $16.1 million. Our net cash position at quarter's end was a strong $961 million. Underpinning our long term sh-
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About $16 $1 million or a net cash position medical orders and was a strong $961 million underpinning our long term strategic developments.
Speaker 1: Overall, the third quarter saw robust improvement across all key financial metrics, signaling a positive turning point as we navigate out of the industry's cyclical downturn. Despite persistent challenges like flat archived exchange rates and subdued consumer baking course, Snowflake and Delta can also be cooperative.
Overall, the third quarter saw robust improvement across all key financial metrics signaling a positive turning point as we navigate out of the industry is cyclical downturn.
Back persistent challenging select flagship 18 exchange rates.
And subdued consumer spend.
Speaker 1: Our impressive performance in Q3 underscores our readiness for the post-destruction cycle and a broader recovery in the IoT sector. As we look ahead, we are committed to expanding our quality customer base, enhancing product exchange and venturing to new markets beyond consumer electronics.
Spending over the impressive performance in Q3, underscores our Venice, Florida posted destocking cycle and a broader recovery in the housing sector. As we look ahead, we are committed to expanding our quality customer base and enhancing.
Thanks, James and the benchmarking to new markets beyond consumer electronics.
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Speaker 1: In terms of our test node base and competitive positioning, our IoT path has weathered nearly two years of industry downturn. During this challenging period, several competitors, particularly IoT divisions of large enterprises, have been
In terms of our customer base and our competitive positioning our algae pass business has weathered nearly two years of industrial downturn.
During these challenging jewelry, several competitiveness, particularly RMT divisions of large enterprises exceeded the market due to limited competitiveness of their products and uncertainly investment returns. This shifted open opportunities for Korea as we feel that we now have that are global influence kind of competitiveness compared to two years ago.
Speaker 1: exceeded the market due to limited competitiveness of their products and uncertain investment returns.
Speaker 1: This shift the open opportunities for Tuya. As we feel that we now have better global influence and competitiveness compared to two years ago to attract more leading brands seeking vision.
To attract more leading brands seeking efficiency.
Speaker 1: improve the margins and cost effectiveness in third-party LZ platforms. We've forged new collaborations with top-tier customers, such as Media for its overseas home appliance business, Hyatt and Bull for new energy product LZ platform, and Bosch for smart door lock solutions.
Improved margins and cost effectiveness.
The factories in third party allergy platforms with forging new collaborations with top tier customers such as media employees overseeing home appliance business higher in the book for New energy product algae platform and Bosch for smart door lock solutions.
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Speaker 1: Meanwhile, we want and serve customers worldwide through differential strategies and innovative products.
Meanwhile, we won't and serve customers worldwide through a differential strategies and innovative products.
Speaker 1: This approach solidified our competitive standing globally and enabled us to effectively cater to unique market demands.
This approach solidified our competitive extending globally and enabled us to effectively cater to unique market demands.
Speaker 1: The integrated hardware and software solution product strategies we initiated this year is already yielding strategic new customers and win scalable revenue growth.
The integrated hardware software solution product strategies, we initiated this year is already developing strategic new customers and wings scalable revenue grows.
Speaker 1: For example, like Europe , America, and Japan, we actively participate in the bottom matter and with technology and the products as our focus are at the forefront of the global application and commercialization matter, complementing our IoT ecosystem, expanding our global influence in the IoT2P service.
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Speaker 1: In emerging markets like Saudi Arabia, our ability to provide cost-effective, customized solutions led to breakthroughs with two major operators.
In emerging markets like Saudi Arabia, our ability to provide cost effective customized solutions lead to breakthroughs with two major operators in.
Speaker 1: In Africa, our natural software and hardware integrated solutions tailored to unique electricity pricing challenges led to a POC order from a renowned supermarket chain with over 200 stores in South Africa.
In Africa, our neuro software and hardware integrated solutions tailored to unique electricity pricing challenges led to appeal. The order from the non supermarket chain with our 200 stores in South Africa Importantly, our initial success in Africa can be repeated across the region.
Speaker 1: Importantly, our initial success in Africa can be repeated across the region.
Speaker 1: From the more in South America, the Tuiya developed a platform successfully replicated our Chinese OEM model to support local manufacturing in Brick for zero. We're leaving some with that. And the water purified factory seeking our software solution for device management.
From the more in South America, the TUI or develop a platform successfully replicate our Chinese OEM model to support local manufacturing in Brazil, with leaving so almost dead in the water purifier factories seeking our software solution for device management systems.
Speaker 2: Thank you for your attention.
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Speaker 1: We are optimistic about the e-commerce channel as a huge market for practical consumer electronics devices like smart electricals, sensors and outdoor products helping these lightweight categories.
We are optimistic about the E. Commerce channel is a huge market for practical consumer electronic devices like smart electricals dancers and outdoor products, helping this lightweight categories.
Speaker 1: achieve market promotion, distribution, and end user aggregation. Over the past two years, we have consistently surpassed the potential Chinese e-commerce brands in growing into leading brands. For instance, several Tuya customers are now prominent in Amazon's top 10 in smart sockets, outdoor sockets, and Bluetooth mini locks.
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Speaker 2: We are unwavering in our commitment to product focus, innovation and improvement. We are very
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Speaker 1: In the circular, after 18 months of development, our latest waiting group of vacuum solution later every three decadesflowerive.org
In the third quarter after 18 months of development, our laser sweeping robot vacuum solution briefly mass production.
Speaker 1: Our low power audio video solution for smart door locks benchmark against industrial leaders also achieve the mass production.
Our low power audio and video solutions for smart dull ops benchmark against industrial leaders also achieved the mass production.
Speaker 1: With the pro version of our home door lock products Q3 deployment volume increasing by over 100% yearly.
With the proportion of our home door lock products Q3 deployment volume increasing by over 100% year over year.
Speaker 1: We have also enhanced our overseas central control product line, such as the US-backed product metrics, and added industry capabilities for pre-in-start market engineering installations in China. Our smart central control large screen, integrating local building intercom and cloud intercom capabilities, innovatively bridges indoor and outdoor intelligence.
We have also enhanced our oversea central control product lines, such as the U S back product matrix and added industry capabilities for pre installed market engineering installations in China.
Our smart central control large screen integrating local boutiques in the compound clouding the comm capabilities in our basically bridges indoor and outdoor intelligence.
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Speaker 1: We continue to strengthen our traditionalist strong categories like smart electrical, which will remain significant contributor to the ALIT external electronic sector in the long term. We're seeing downstream demand recover toward this smart life practical ALIT devices.
We continued to strengthen our traditionally strong categories like smart electrical which will remain a significant contributor to the allergy consumer electronics sector in the long term, we're seeing downstream demand recovery towards this Martin like practical LTE devices.
Speaker 1: We are committed to helping customers seize opportunities. For example, we released the door brand router smart socket solution to adjust the common issue of mixed band routers, significantly improving the network pairing success rate and experience.
We are committed to helping customer sees opportunities. For example, we released adult brand roots for smart <unk> solution to adjust the common issue of mix the band routers significantly improving the network powering success rates and experience <unk> a customer not the solution has seen these brand sales.
Speaker 1: Atri, a customer of this solution has seen its brand sales explode, now ranking in top 10 on Amazon's platform.
Globe now ranking in top 10 on Amazon's platform.
Speaker 2: We hope you enjoyed this video. If you have any questions, please leave them in the comments. If you have any questions, please leave them in the comments. Please subscribe to our channel. Please subscribe to our channel.
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Speaker 1: We're actively working to expand beyond the field of consumer electronics, bringing 3S and natural-alloc capabilities to more specialized areas.
We're actively working to extend beyond the field of consumer electronics, bringing three us material out capabilities to more specialized areas.
Speaker 1: In 2-3, we further refine our new energy and outdoor transportation products.
In Q3, we further refine our new LNG for transportation products for New LNG, We released an integrated apps supporting the storage charge and use of solar power completing the outage management use case from LNG monitoring to LNG globally scheduling.
Speaker 1: For new energy, we released an integrated app supporting the storage, charge, and use of solar power, completing the energy management use case from energy monitoring to energy load link scheduling.
Speaker 1: Global leading but politic brands like Icosola and DMEGC,soft production companyflies Princess Gaia Melissa Lee,
Global leasing, but politic brands like <unk> and <unk>.
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Speaker 1: In HVASA integrated products, Tuyas industry subsystems have basically achieved the full functionality for mainstream industrial demand, and will soon form a close-to-loop solution with the system how-wit. As for outdoor products, our 4G cellular VCU central-censual product has landed on e-bike products.
In <unk> Asia integrated products to us industrial sub systems have basically achieved the full functionality for major industrial demand and also informative to close the loop solution with the system hardware.
As for outdoor products, our <unk> cellular VCU central potential product has landed on E back products.
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Speaker 1: Besides focusing on high quality, innovative, and valuable products as our core competitiveness, we are meeting the emerging needs of large group private clouds through our CubeSmart private cloud comprehensive solution. For example, we have made good progress in Southeast Asia real after...
Besides focusing on high quality innovative and valuable products as our core competitiveness.
We're maintaining the emerging needs of large groups private policy with our troops from our private cloud comprehensive solution. For example, we have made good progress in southeast Asia, We will attribute.
Speaker 2: Lastly, let's talk about the continuous growth of QIAT's foundational developer platform K
To help clients to actually consider karthik entitled to hit our tissue. Santa Lastly, let's talk about the continuous growth of two us foundational to develop a platform ecosystem.
And we do with our Pasadena.
Speaker 2: Thank you for your attention.
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Speaker 1: In the third quarter, we focused intently on the foundational pillars of PAS 2.0. This pillars encompass full category interconnectivity.
In the third quarter, we focused intensely on the foundational pillars of past two point growth. This pillars in complex full category Interconnectivity sing.
Speaker 1: seamless interoperability, rigorous security standards, independent and manageable development process, and distinct product differentiation. Our efforts were channeled towards refining the developer experience, significantly enhancing both usability and operational efficiency.
Seamless inter of upward.
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Rigorous security standards independent managed low development process and visiting the product differentiation.
Our efforts were channeled towards refining the developer experience significantly enhancing both usability and operational efficiency. This.
Speaker 1: This strategic move has further empowered developers, granting them greater independence from the need for direct support from Tuya. In line with this, we have unified and restructured our official website, developed platform, lt.tuya.com, developer site, developer.tuya.com, and developer documentation center. Additionally, we launched the background...
This strategic move has further empower developers granting them greater independence from the need for direct support from Korea.
In line with this we have unified and restructure our official website developer platforms, our <unk> dot com the bulk perfect develop a done calm and developer documentation center. Additionally, we launched a brand new development.
Speaker 1: at www.3os.com
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Speaker 1: This platform acts as a dynamic hub offering extensive, responsive, and collaborative spaces where developers can change ideas, troubleshoot challenges, and unleash their creating potential.
This platform acts as a dynamic park offerings extensive resulted in a collaborative spaces, where developers can change ideas chombo shoots challenges and we are creating potential.
Speaker 1: marking a significant milestone. The number of developers registered with Twitter soared to about 909,000 by quarter-hand, reflecting impressive year-over-year growth of approximately 44 million views per year
Marking a significant milestone for the number of developer, we just did with to sort through about.
990000 by quarter again, reflecting the impressive year over year growth of approximately 45%.
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Speaker 2: If you have any questions, please leave them in the comments. Please leave them in the comments.
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Speaker 1: We also emphasize the application and empowerment of the developed platform in the commercial sector. This approach is designed to empower our brand clients, enabling them to crop and refine bespoke 2B solutions.
Also emphasize that application and empowerment of the Ping platform in the commercial sector.
This approach is designed to empower our brand clients, enabling them to profit and refined bespoke <unk> solutions.
Speaker 1: A prime example of this strategy is in Action Wars at our developer conference this September , hosted at the Zhongshan Station in China. During this event, we signed the cooperation agreement with Osron. We see advanced commercial functionalities of the 2IoT developer platform at our disposal, while collaboratively guiding Osron in developing their own distinctive hardware and software integration.
A prime example of this strategy in action was at our developer Conference. This September hosted at the junction studying China. During this event, we signed a cooperation agreement with <unk>.
We see advanced commercial functionality softer throughout to develop a platform at our disposal well collaborate easily guiding us wrong in developing their own distinctive hardware and software integration is also on brand new solution encompasses areas such as entire homes and real assets hotels ran.
Speaker 1: This awesome branded solution encompasses areas such as entire homes and real estate.
Speaker 1: hotels, rentals, commercial lighting and building management around others.
<unk> commercial lighting and building management around others.
Speaker 2: If you like this video, please subscribe to our channel. Please subscribe to our channel.
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Speaker 1: In conclusion, I have shared with you today the concrete outcomes of our strategic initiatives in business and product development.
In conclusion I have shared with you today, the concrete outcomes of our strategic initiatives in business and product development. This.
Speaker 1: This accomplishment is a testament to Tuiya's dynamic response and strategic recalibration in response to the challenges we have faced over the past few years.
Accomplishments are a testament to <unk> dynamic response, and the strategic Recalibration in response to the challenges we have faced over the past two years.
Speaker 1: As we approach the final stage of inventory normalization and win this LTC consumer electronics sector steadily finding its footing, we're confident that our persistent efforts will yield and sustain the positive results.
As we approach the final stage of inventory normalization and when the OE consumer electronics sector steadily finding its footing. We're confident then that our persistent efforts will yield sustained the positive results.
Speaker 1: These strategies are set to guide to get back to a path of house growth, ensuring we are profitable and efficient.
This strict strategies are set to guide that we are back to a path of house growth, ensuring we are profitable and efficient.
Speaker 1: Going forward, we are focused on striking a balance between growth and profitability, thus ensuring we create enduring value for our customers, the wider industry, our shareholders, and our dedicated employees.
Going forward, we are focused on striking a balance between growth and profitability.
Ensuring we create enduring value for our customers the wider industry, our shareholders and our dedicated employees.
Speaker 1: That concludes my remarks. Next, I will hand over to my staff on Jesse to introduce our financial day.
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I am <unk> CFO, Jeff isn't that yourself that concludes my remarks net next our Hanover, our CFO chassis to introduce our financial data.
Speaker 3: That concludes the remarks by Jerry. As I review our results and provide more colors on the numbers, please note that all amounts are in US dollars and all comparisons are on a year-over-year basis unless otherwise stated.
That concludes the remarks by Gerry as I review, our results and provide more color on the numbers. Please note that all amounts are in U S dollars and all comparisons.
The year over year basis, unless otherwise stated.
In the third quarter of.
Speaker 3: 2023, our total revenue reached 61.1 million, up 35.7% year-over-year, and continue to show a strong sequential improvement over the past four consecutive quarters.
Our total revenue reached $61 1 million up 35, 7% year over year and continue to show a strong sequential improvement over the past four consecutive quarters.
Speaker 3: Similarly, during the quarter, we were still under depreciation impact of the RMB against the USD, which adversely hits our total revenue by 7.3%.
Similarly during the quarter, we will see.
On the depreciation impact of the RMB against the USD, which adversely hit.
Total revenue by seven 3%.
Speaker 3: Our IoT past revenue in the third quarter was $45.8 million, a year-over-year increase of 48.1%.
Oh Iot past revenue in the third quarter was.
$45 8 million a year over year increase of 48, 1%.
Speaker 3: In terms of categories, in the third quarter, the most impacted discretionary consumer electronics categories over the past two years, smart lighting and electrical products.
In terms of categories.
In the third quarter is the most impacted discretionary consumer electronics categories over the past two years smart lighting and electrical product.
Speaker 3: constituted the main force of this year-over-year rebound, with the segment revenue growth about 140% year-over-year.
Computed the main course of this year over year with bump with the second one to revenue grow about 140% year over year.
Speaker 3: Small and big home appliances grow by 50% year over year. The third quarter of last year was the most severe time for downstream desoxing.
More on the Big home appliance grew.
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First quarter of last year with the most severe time for downstream destocking.
Speaker 3: and the growth of this quarter benefited greatly from the end of this docking cycle.
And the growth of this quarter benefited greatly from the end of Destocking cycle.
Speaker 3: Moreover, with the execution of product focus and enhancement strategies, our core product has been left to respect lines such as PDF music and sections of native sound quality with sound.
Moreover, with the execution of product.
And enhancement strategies, our core product.
Lines, such as vacuum robots.
Speaker 3: breakers and homologues with technological steps have grown by approximately 100% to 180% over the years.
Breakers and hemlock.
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Speaker 3: Regarding customers, our third quarter revenue primarily driven by the recovery in customer order size and improved customer revenue efficiency.
Regarding customers, our third quarter revenue, primarily driven by the recovery in customer order site.
And improved customer revenue efficiency.
Speaker 3: Taking our main IoT path business as an example, our premium customers' IoT path revenue per customer in the third quarter increased by 56% year over year. And the same matrix for ordinary customers also grew by about 49%.
Taking our main Iot past business as an example, our premium customers Iot pass revenue per customer in the third quarter increased by 56% year over year.
Understood metric for ordinary customers also grew by about 49%.
Speaker 3: Overall, our platform and product served over 3,000 customers in the third quarter, with an average revenue per customer exceeding $2.5 billion.
Overall, our platform and the product served over 3000 customers in the third quarter with an average revenue per customer exiting <unk>.
Speaker 3: $20,000, setting a new historical high.
20000 U S dollars.
Setting a new historical high.
I will not be lost distribution business.
Speaker 3: now maybe more aptly called IoT smart device solutions, achieved a revenue of 6.8 million in the third quarter, a year-over-year increase of 32.1%
Now maybe more aptly called Iot smart device solution.
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Year over year increase of 32, 1%.
Speaker 3: With the continuous advancement and the implementation of the smart device solution strategy, we are now quite proficient in this business model and continue to generate robust, scalable revenue. For instance, the SmartWatch solution alone secured about 3 million US dollars of orders in the form of finished devices in Japan since Q3.
With the continued advancements in the implementation of the smart device solution strategy. We are now quite proficient in this business model and continue to generate robust scalable revenue for instance, the smartwatch solution alone secured.
3 million U S dollar of orders in.
In the form of finished devices in Japan.
With Q3.
Speaker 3: to be delivered according to customer's demand schedule. The SmartTec locator solution also contributed significantly to orders and revenue and so overall.
To be delivered according to customers' demand schedules.
The Smart Tag Locator solutions also contributed significantly to orders and revenue in the film.
Speaker 3: Our thousand other businesses had a revenue of 8.5 million in the third quarter, reflecting a 5% year-reared decline. Excluding the exaggerating impact, the second-month revenue in the third quarter was actually relatively stable, showing a slight increasing trend year-reared. As a collection of...
I'll start and others had revenue of $8 5 million in the third quarter, reflecting a 5% year over year decline, excluding the exchange rate impact. This segment's revenue in the third quarter. It was actually relatively stable stable showing up slight increasing trend year over year.
Yes.
The collection of.
Speaker 3: cube, smart private cloud, value added services, and the customized software and also various subsegment of SAS.
<unk>.
Smart private crowd value added services.
And the customer Master software.
And also various sub segments.
Speaker 3: They show different trends according to business strategy and execution.
They show different trends according to a business strategy and execution for example, the cloud storage value added services.
Speaker 3: For example, the cloud storage value-added services
Speaker 3: contributed about 2.5 million US dollars in revenue in this quarter, maintaining a very robust and continuous month over...
Contributed about $2 5 million U S dollar in revenue in this quarter, maintaining a very robust.
And our continuous month over month growth.
Speaker 3: The acceptance and delivery of the Cube private cloud project generated over 5 million RMB in revenue.
The acceptance and the delivery of the cube private cloud project generated over 5 million RMB in revenue.
Speaker 3: Customer development and some other new customer-number-based one-time value-added services decreased by about 15-20% year-to-year under the execution of our customer-focused strategy. We focus on expanding...
Customer development and some other new customer number based one time value added services decreased by about 15% to 20% year over year and the execution of our customer focused strategy.
We are focusing on expanding high quality customers.
Speaker 3: Going forward, we anticipate a gradual shift in SaaS and others business segments toward a more core business-centric structure.
Going forward, we anticipate a gradual shift in staff and other business segment toward a more patient centric structure.
Speaker 3: Regarding the overall revenue recovery in different regions, we have observed healthy growth in Europe , Southeast Asia and Latin America.
Regarding the overall revenue recovery in different regions, we have observed.
Healthy growth in Europe, Southeast Asia, and Latin America.
Speaker 3: Our blended gross margin in the third quarter was 46.7%, sustaining the historical high level for the second quarter. Each of the three bits and segments exhibited strong margin profiles. Notably, the gross margin of the smart device distribution segment in the third quarter reached
Our blended gross margin in the third quarter was 46, 7% sustaining the historical high level for the second quarter.
The three business segments.
Exhibited strong margin profile.
Notably the gross margin.
Device distribution segment in the third quarter reached two.
Speaker 3: 26.9%, a substantial increase from 12.9% in the same period last year.
26, 9%.
A substantial increase from 12, 9% in the same period last year.
Speaker 3: setting a new historical high. We believe that the growth margin is the most direct reflection of the value of our smart device solution.
Setting a new historical high we believe that the gross margin is the most direct reflection of the value of our multi life solution.
Speaker 3: Moving on to our operating activities and related expenses.
Moving onto our operating activities and related expenses.
Speaker 3: We are presenting our operating expenses on a non-GAAP basis by excluding share-based compensation expenses and credit-related impairment loss from our GAAP numbers.
We are presenting our operating expenses on a non-GAAP basis by excluding share based compensation expenses and the credit related impairment loss from our GAAP numbers.
Speaker 3: We believe this provide a better clarity on the chances of our operating expenses aligning with how our management team reviews our performance.
We believe this provides a better clarity on the churn.
Our operating expenses aligning with how our management team reviews our performance.
Speaker 3: In the second quarter of 2023, our non-GAAP
In the second quarter of 2023, our non-GAAP.
Speaker 3: Total operating expenses decreased by 26.2% to 32 million from 43.4 million in the same period last year. Our employee related costs, excluding share-based compensation, declined by 28.9% year-over-year in Q3. Troops and costs are related to officers work outside to ensure upper hand of increase
Total operating expenses decreased by 26, 2% to 32 million from $43 4 million in the same.
Last year.
Our employee related costs, excluding share based compensation declined by 28 nine.
The year over year in Q3, and the costs related to offices.
Speaker 3: and the property leasing concurrently decreased by 13.9%. Collectively, this cost request represented about 74% of the total of our non-GAAP operating expenses in Q3.
And the property leasing concurrently decreased by 13, 9% collectively this car to request represented about 74% of the total of our non-GAAP operating expenses in Q3.
Speaker 3: As of now, our team size has been adjusted to a relatively stable state at just under 1,500 headcount.
Now our team size has been adjusted to a relatively stable state.
Just under 500 head count.
Speaker 3: Boxing and promotion expenses decreased by 23.9% year over year. This disciplined approach to cost control of promotion expenses, coupled with the noteworthy rebounding revenue, served as a testament to the importance of operating with efficiency.
Marketing and promotion expenses decreased by 29% year over year.
Disciplined approach to cost control off promotion expenses, coupled with the note worthy rebounding revenue.
A testament to the importance of operating with efficiency.
Speaker 3: Travel related expenses also decreased 20.4% year over year. As revenue returned to growth, we are ready to make investments in the business as needed to further pursue business opportunities.
Travel related expenses also decreased 24% year over year.
As revenue returned to growth.
We're ready to make the investments in the business as needed to further pursue business opportunities.
Speaker 3: But the overarching premise is always to maintain a balance between business investment and profitability.
The overarching premise is always to maintain a balance between business investment and the profitability.
Speaker 3: Additionally, in the third quarter, non-GAAP G&A related expenses overall increased, mainly due to routine compliance related professional services projects such as consulting fees, legal at risk, advisory fees, et cetera. In the third quarter, we obtained about $13.1 million in financial income, mainly interest income. Our net cash included cash bank demand deposit as well as time deposit.
Additionally, in the third quarter non-GAAP G&A related expenses overall increased.
Increased mainly due to routine compliance related professional services project, such as consulting fees legal at birth.
Advisory fees possession in the third quarter, we obtained about $13 1 million in financial income mainly interest income, our net cash, including cash bank demand deposit as well as time deposits.
Speaker 3: recorded as short-term and long-term investments totally nice.
Recorded as short term and long term investments totaling nicely.
Speaker 3: We believe these funds can well balance the company's short-term business working capital needs and the long-term development requirements. For example, we are evaluating some feasible plans related to our own office buildings and the land use rights with objective of achieving long-term cost saving and supporting the company's long-term. We believe these funds can well balance the company's long-term development requirements
$61 million, we believe that funds, Ken well balanced the Companys short term business working capital needs and the long term development requirements.
Sample, where you evaluate some feasible clients related to our office buildings and land use rights with the objective of achieving long term cost saving and supporting the company's long term.
Operational need.
Speaker 3: Finally, as a result of our consistent efforts over several quarters, the company's non-GAAP net income expanded significantly by 567% to 10 million.
Finally, as a result of our consistent effort over several quarters, the company's non-GAAP net income expanded significantly by.
567% to $10 million.
Speaker 3: in the next third quarter, a substantial turnaround from the negative 15.3 million in the same period last year.
A dollar in the third quarter, a substantial turn around from the negative $15 3 million in the same period last year.
Speaker 3: Similarly, our net operating cash flow also showed same trend increasing by 114% to 16 million in the third quarter, a huge improvement from the spend of 13.5 million in the same period last year. Overall, the comprehensively improved financial results not only means that the major strategic direction we set last year and this year has helped us achieve continuous improvement.
Similarly, our net operating cash flow also showed same churn increasing by 114% to 16 million.
In the third quarter, a huge improvement from the spend of $13 5 million in the same period last year.
Overall, the comprehensively improved financial results not only means that the major strategic direction, we set last year and this year has helped us achieve continuous improvement.
Speaker 3: in quarterly financial results, but also indicates the companies on the right check.
In quarterly financial results, but also indicates the company's on the right checks.
Speaker 3: With that operator, we're now ready to take questions. Thank you.
With that operator, we're now ready to take questions. Thank you.
Yes.
Thank you.
Speaker 4: Additionally, when asking a question, please state your questions in Chinese first, then immediately translate them into English for the confidence of everyone on the call. Thank you.
Additionally, when asking a question. Please state your questions in Chinese first then immediately.
Into English.
So thanks for the call. Thank you.
Okay.
Speaker 4: We have our first questions from the Ming-Nuan from CICC. Please go ahead.
So first question's from the mean some see ICC.
Please go ahead.
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Sure.
Yes, Josh.
So do I.
What would you be willing to.
Sure.
Oh Wow.
Okay.
Hum.
Thanks, Tom.
Thank you.
Excellent. Thank you. Thank you.
Speaker 5: Gave she cannot work that if I want to issushould gr that inside chincheill, who told the J D chea jy of greenquack was own P the jamber.
Okay. This is Dan.
Sure Glenn.
So bedroom.
Bedroom Medici Jonathan Gould.
Yeah.
Speaker 5: Let me translate myself. Thank you, management, for taking my questions. First off, congrats on your strong performance. My query primarily concerns my design and my questions are as follows. First is about the outlook for downstream demand in next year. And second is about the path in past which category shows
So let me translate myself.
Thank you management for taking my questions.
First off congrats home.
Strong performance on my quick primer.
All right.
From my side.
My questions are as follows.
Thank you Bob.
Thanks for that.
That's great.
Our next year and second is about Uh huh.
In past, which calculation.
Speaker 5: growth potential and in our staff which don't bring scenarios are comparatively more promising. My recipe for polling.
Oh growth potential.
Yes.
Which dumping scenario comparatively more promising.
My third question is that.
Speaker 5: What are the strategic claims and growth outlook across different global regions?
What are the strategic.
<unk>.
Hi, Kristen.
Thank you.
Speaker 3: Okay, thank you. Firstly, overall, we have found that IoT consumer electronics are highly sensitive to inflation. During the year of high inflation from last year to early this year, the growth trend in discretionary electronic consumption, which including IoT devices, slowed down significantly compared to 2021.
Okay. Thank you.
Firstly overall, we have found that Iot consumer electronics.
Our highly sensitive to inflation.
Yeah, Hi inflation from last year to early this year the growth trend in this questionary electronics consumption, which including Iot devices.
Significantly compared to 2021.
Speaker 3: Afterward, although it reached a relatively stable new balance as inflation slowed.
Afterward, although it reached a relatively stable new balance that's in <unk>.
<unk> slowed it was suppressed again with a sharp rebound on inflation.
Speaker 3: It was suppressed again with a short rebound of inflation in July , August , and September this year. However, at present, we observe the end purchase...
In like July August.
August.
End of September.
However at present, we observe.
And the purchase of consumer electronics.
Speaker 3: is in a moderately positive direction, which is in line with our expectation for long-term growth in IoT penetration.
That's in a monetarily positive direction, which is in line with our expectation for long term growth in Iot penetration.
From the perspective of and the sale.
Speaker 3: specifically by region and categories. We observe
Specifically by region and category.
Observe the following.
Speaker 3: By categories since October , end sales in all categories have recovered to some extent, with household appliances, especially robotic vacuum cleaners and security sensors, performing very well. Electrical products also showed a good recovery trend.
Categories.
Since October and the cells in all categories have recovered to some extent.
With household appliances, especially real real robotic vacuum cleaners.
And security sensors, performing very well electrical product also showed a good recovery trend.
Speaker 3: However, lighting devices, is there a pretty weak demand situation?
However, liking AR devices.
It's still in it.
Weak demand situation.
Speaker 3: In terms of the region, we found out South East Asia, South America.
In terms of the region.
We found out Southeast Asia South America.
Speaker 3: and also in Europe , the safety products do in pretty well. And also other categories are gradually recovering in a pretty healthy direction.
And also.
In Europe the <unk>.
<unk> products are doing pretty well.
And also other categories are gradually recovering in a pretty healthy direction.
Speaker 3: In China, apart from home appliance and the robotic vacuum, other categories are relatively weak. But the trend is upward since Q4. The US region shows overall relatively weak performance, but electrical and security categories are showing good signs of recovery.
In China apart from home appliance in the robotic vacuum other categories a relatively weak.
But I can't.
Upward since Q4.
The U S region shows overall.
Right.
<unk>, a weak performance, but electrical and the security categories are showing good.
Good signs of recovery.
Speaker 3: Overall, each region according to its economy and the environment characteristics has different chances in IoT electronics consumption. And we will continue to maintain communications with downstream customers to actually respond and sick opportunities according to different market situation.
Overall each region according to its economy and the environment characteristics has different trends.
Trends in and Iot electronics consumption.
We will continue to maintain.
Communications with downstream customers.
Activity respond and seek opportunities according to different market situations.
Speaker 3: However, it should be noted that our IoT path revenue is affected by both the de-stocking cycle and end sales. We observed that the year-over-year performance of end sales in some categories.
However, it should be noted that all Iot past revenue.
It's affected by both the Destocking cycle and sales.
We observed that the year over year performance of <unk> cells in some categories.
Speaker 3: does not completely align with our shipment downstream.
That's not completely aligned with our shipment downstream.
Speaker 3: For example, the lighting categories showed relatively weak end cells.
For example, the lighting category showed relatively weak and sales.
Speaker 3: in Q3, basically from our brand to consumers. But our shipments achieved a significant year-over-year growth in Q3 in terms of IoT paths. This is mainly due to the downstream repression in their lighting inventory.
In Q3, basically from our brands to consumers, but our shipments achieved a significant year over year growth in Q3 in terms of Iot path. This is mainly due to <unk>.
The downstream I'll be passionate.
Likely inventory.
Speaker 3: As lighting products due to the large price difference between smart and non-smart versions were the most affected categories in terms of inventory dislocking Q3 last year.
Lighting products due to the large price difference between smart and non consumer non.
Martin announced macro wishes were the most affected categories in terms of inventory destocking.
Q3 last year.
Speaker 3: In terms of the downstream inventory, the overall situation is in line with our expectations. Combining Tuya's IoT path shipments and the end sales in the same way as we previously did, we estimate that inventory held by downstream business, which includes OEMs, brands, and retail channels.
In terms of the downstream inventory the overall situation is in line with our.
Our expectations.
Combining two yes, Iot Pos shipments and sales in the same way as we previously.
Uh huh.
The NFL team the same way as we previously did.
We estimate that inventory held by downstream business.
Which include Oems brand and the retail channel.
Speaker 3: has decreased from over a year at its peak time to about 4 to 5 months now and will further reduce by the end of this year, returning to a level of 2019.
Has decreased from over a year at its peak times to about four to five months now and were further reduced by the end of this year returning to a level of 2019.
Speaker 3: Therefore, we feel that inventory, this blocking cycle is nearing its end and returning to a relatively normal state.
Therefore, we feel that inventory destocking cycle is nearing its end.
Returning to a relatively normal state.
Speaker 3: And in terms of
And in terms of.
Speaker 3: The SAS part, as we mentioned, the SAS and others revenue have including several different products.
The first part.
As we mentioned the stuff and the others.
Revenue I have including several.
Several different products.
Speaker 3: We have seen...
We have we have seen them.
Speaker 3: great growth potential in Cube, which we promoted this new product. It's a private cloud IoT software we prepared for large groups globally for those companies who realize their own IoT capabilities.
Great growth potential in cube, which we promoted this new product, it's a private cloud Iot.
Software, we are prepared for large groups globally for those companies to realize their own Iot capabilities.
Speaker 3: This potential stems partly from Kube Smart Private Cloud, serving those large conglomerates.
This potential stems partly from cube smart private cloud serving those large conglomerates.
Speaker 3: allow it to reach revenue levels in millions of US dollars when it's implemented to those large cooperates. Additionally, CUBE's strategic position is not only limited to just one-time private cloud deployment.
Hum.
It's rich revenue levels in millions of U S dollar.
When.
Implemented to those large cooperate additional additionally, cube strategic position is not only limited to just one time private cloud deployment.
Speaker 3: But in the long term, CUBE is a tour and a bridge for establishing a long-term cooperation relationship with large key accounts for TUYA. And once those large corporate...
But in the long term cube is the tour and the bridge for establishing a long term cooperation relationships with large key accounts with two yep.
And once those large corporate.
Speaker 3: installed the cube cloud for themselves. They would start to connect the IoT devices.
And start the cube.
For themselves they would start to connect the Iot devices.
Speaker 3: which are all powered by Tuya to their own cube. So we're confident that after the private IoT platform is built for those large cooperates, we can unleash the value of Tuya's IoT capabilities and solutions, and we're also generating subsequent long-term IoT services-related revenues.
Which all powered by two young to their own cube. So we're confident that after that.
The private the Iot platform is built for those.
Corporate we can unleash the value of <unk> Iot capabilities, and our solutions generating subsequent long term Iot.
Is this related revenues.
Speaker 3: In SAS and others products, we are also optimistic about the hotel SAS, commercial lighting SAS, CFS for third floor second floor.
In fact in all of those products. We are also optimistic about the hotel staff.
Commercial lighting fast.
And lots of real estate full house.
Speaker 3: The hotel industry with its massive room demand and the multi-segmentation offers immersed potential for a vast number of non-luxury hotel brands seeking competitive differentiation. Not hotel experiences such as intelligent ordering, contactless checking and whole management are significant competitive advantages.
Our SaaS products.
Telling that say with its massive room demand in the market segmentation offers immersed potential well, what's the number of.
Non luxury hotel brands staking competitive differentiation, so not hotel experiences such as intelligent ordering.
Contact less checking and hold management.
Significant competitive advantages.
Speaker 3: Commercial lighting is given specific lighting needs and the potential for expansion beyond lighting to include energy savings, conservation and management. Undoubtedly has a huge market space.
Commercial lighting, scheming, especially I'm glad he needs and the potential for expansion beyond lighting to include energy savings.
Conservation in our management undoubtedly has a.
Huge market space.
Speaker 3: The real estate industry has been subdued in China in recent years.
The real estate industry has been.
Subdued in China in recent years.
Speaker 3: But looking abroad, leveraging our strong influential outside of China, we have identified the demands for smart real estate and full home IoT solutions needed this year in Southeast Asia and Australian market.
But looking abroad leveraging our.
Strong and influential outside China, we have identified the demands for smart real estate and for home Iot solution needed. This year in southeast Asia, and Australia markets and we plan to start serving this regional customers next year.
Speaker 3: And we plan to start serving this regional customers next year with QProducts combined with 4.0 IoT solutions and smart real estate solutions.
With kids products combined with <unk>, Iot solution, and a smart real estate solutions, and we have been signing contract with.
Speaker 3: and we have been signing contract with several large customers in Southeast Asia and Australia including some very large distributor channel and real estate conglomerate companies in those regions.
With several large customers in southeast Asia, and Australia, including some very large distributor channel in the real estate conglomerate companies in those regions.
Speaker 3: So this is my question, my answers for the first question. Operator, you can move to next question.
So this is my question.
Our first question operator, you can move to next question.
Okay.
Speaker 4: Thank you. As a reminder, ladies and gentlemen, if you would like to ask a question, please press star followed by one on your telephone keypad now. If you change your mind, please press star followed by two to answer your question.
Thank you.
As a reminder, ladies and gentlemen, if you would like to ask a question. Please press star followed by one on your telephone keypad now.
If you change your mind. Please press star followed by two two of your question.
Speaker 4: If you are streaming via web browser, can you press the Q&A button and type in your question?
If you're a streaming so web browser can you press the Q&A button and typing your question.
Speaker 4: When preparing to ask your question, please ensure your phone is muted locally. And additionally, when asking a question, please state your question in Chinese first, then immediately translate them into English for the convenience of everyone on the call. Thank you.
When preparing to ask your questions. Please I'm sure you'll suddenly some motor locally.
Additionally, but asking a question. Please state your question in Chinese first then immediately translate them into English so the confidence of EXPAREL Nicole. Thank you.
Speaker 4: We have our next question from Niu Yang from Morgan Stanley . Please go ahead.
We have next question from young from Morgan Stanley. Please go ahead.
Speaker 6: Gentlemen, let me introduce our panel.
Hi, guys.
202.
Actually I'm going to go through.
Thanks, John.
Or would you build out <unk> do you go when tissue Guangzhou.
Sure Judah commentary.
Two things.
Did you break down that Jacob.
Michelle.
<unk> arranged.
Speaker 6: craz goes and badget sequal through other tissues. Try and show you the bely about her. Don Jo nothingarding my jojke.
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She worked for other tissues.
Shoot.
Solar PV.
But core domains.
Regarding my tool.
Speaker 6: Dylan chair trying to Okay. Here Laura Fanz andÖ
Okay.
Do you.
When two or two.
<unk> Oh guang.
So is that true or Iot.
Also other Jacob.
Are you essentially do wheelchair told you on the.
Speaker 6: Let me translate my question to English. The first one is regarding the geographic breakdown. I would like the argument to provide more color on the contribution, geographic contribution to Tuyà.
Phone chili's.
Good question.
Trading in Sharjah Portland killed off.
Sure.
Just how are you.
Sure.
Sure.
Let me translate my question to English the first one is regarding the geographic.
Brookdale.
I would like to.
Ask management to provide more color on the contribution of geographic contribution to.
True.
Speaker 6: especially like Southeast Asia, China, US, Latin America.
Especially like in Southeast Asia, China U S and Latin America.
Speaker 6: The second question is regarding the IoT SaaS.
Areas.
Second question is regarding the Iot sauce business.
Speaker 6: Because this quarter, to strategically give up some of the non-core SaaS and other business, I would just like to confirm whether the approaches have come to an end or there is still ongoing discussion.
Because this quarter, we are strategically gave up some of the non core sauce and other business.
Just like to confirm whether the approaches come to it has come to a head or does do some.
Ongoing impact in the fourth quarter.
Okay.
Speaker 3: Okay, thank you, Yang. Yes, I'm happy to answer about regional revenue contribution question. Before that, I want to...
Okay. Thank you yeah.
Yes, I'm happy to answer about our original revenue contribution question before that I want to crisp.
Speaker 3: give a background. When we talk about the regional revenue contribution, we actually, companies do a lot of analysis to go to the fundamental revenue contribution. For example, European brands using Tuya's IoT path to realize their IoT devices.
Give a background when.
When we talk about the regional revenue contribution we actually.
Company do a lot of analysis to go.
Go to the the fundamental revenue contribution for example, our European brands.
Using twist Iot paths are.
To realize their Iot devices.
Speaker 3: and then sell in Europe region, we will consider its ultimate revenue from Europe . But from a financial statement, the...
And then sell in Europe region, we will consider it ultimate revenue from Europe, but from a financial statement.
Speaker 3: because all the brands, they provide orders usually to China OEMs, and China OEMs give orders to us. So from a financial statement, it will be a revenue from a China OEM customer, but ultimately it's from Europe . So right now when we're talking about the revenue contribution from region, we're talking about the ultimate revenue is from which region. So this is the revenue transfer cost tracker.
M D.
Does the Audi brand they provide orders usually to a China.
Oems and China Oems keep all those to us so from a financial statement.
It will be a revenue from a China OEM customer, but ultimately from Europe. So right now when we're talking about are the.
The revenue contribution from region, we're talking about the ultimate revenue is from which region. So this.
It is.
Speaker 3: an analysis done by a company. It's not 100% accurate, but it largely reflects the trend. So based on our calculation analysis in Q3, Europe has become the largest revenue contribution region. It's around 30%.
Analysis done by a company, it's not 100% accurate, but it largely.
Reflect.
The trend so based on our calculation analysis in Q3.
Europe has becoming the largest revenue contribution region.
It's around 30%.
And.
Speaker 3: And China and the United States each contribute to just less than 20%, close to 20%.
And China, and the United States, each contribute to just less than a 20% to close to 20%.
Speaker 3: And the Southeast Asia and also Australia, we call this region that basically excludes China, the Asia Pacific, excludes China region, has grown pretty well in Q3 and has grown to around 15% revenue contribution. And also the entire Latin America has shown a pretty good trend in the last few years. So Latin America now contributes to the revenue just more than 10%. For more information, visit www.aclu.org
In Southeast Asia, and also Australia, we call this region that basically exclude China Asia Pacific exclude China region.
It's grown pretty well in Q3 and has grown to around 15% of revenue contribution and also the entire locking America has shown.
A pretty good trend in the last few years. So Latina America now contribute to the revenue just more than 10%.
Speaker 3: So that's the overall region contribution. And we think this is a relatively balanced contribution and we will continue to use our technology to serve the clients from all the regions and to have the corporates and the consumers enjoy the value from the IoT technology. In terms of the...
So that's the overall region contribution and we think this is a relatively balanced the the contribution and we will continue to.
To use our technology to serve the clients are from all the regions and to.
To have the corporate and the consumers enjoy the value from the Iot technology.
In terms of the second.
Second questions. The the major the major transition in the SaaS businesses in the past we have we have a certain.
Speaker 3: The major transition in the soft businesses in the past...
Speaker 3: We have certain revenue related to one time customers needs, for example, OEMF. Usually new brands.
Revenue related to one time a.
Customers need for example, OEM up.
Usually new brands, a huge percentage of new brands, they would like to pay a onetime fee of one OEM.
Speaker 3: a huge percentage of new brands, they would like to pay a one-time fee for OEM app services. and also there's a customized
Services and also there's a customized.
Speaker 3: software revenue from brand customers. So in the last two years we have been focusing on to
Software.
Revenue from brand customers. So in the last two years.
We have been focusing on to firstly is to focus on high quality customer rather than a huge numbers of new customers. So this one time, new customer related OEM ad revenue.
Speaker 3: First is to focus on high quality customer rather than huge numbers of new customers.
Speaker 3: So this one time, new customer related, OEM app revenue decrease. And this will maybe continue one or two more quarters than would be stable.
Kris and this will maybe continue one or two more quarters than would be stable.
Speaker 3: And in terms of the customization software revenue, and we feel recurring...
And in terms of the customization software revenue.
Revenue and we feel recurring.
Speaker 3: software revenue, for example, like the cloud storage and fast revenue, more high value software revenue we wanted. And also we want more devices.
Software revenue for example, like the cloud storage and fast revenue.
On a more high value software revenue we wanted.
Also we want more developers.
Speaker 3: to do the one-time customization work for brands, for conglomerate customers. So we also have introducing those one-time revenue opportunities to developers. So that's why one-time revenue.
To do the onetime customization work.
For brands.
For calling rates customers so.
We also have introducing those onetime revenue opportunities to developers.
So that's why one time revenue.
Speaker 3: customized software income also decreasing. This is pretty much stabilized by now. And going forward, we believe when the transition of 1000 others business stabilized, it will still continue a healthy growth. So that's my answer to.
[noise] customize the software.
Income also decreasing this is this is pretty much stabilized by now and going forward, we believe Wendy.
The transition of South and other business stable lifetime, It will still continue a healthy growth.
So that's my answer to your question.
Thank you.
Speaker 4: Thank you. We have our next question from Timothy Zhao from Goldman Sachs. Please go ahead.
Thank you.
We have next question from Timothy Zhao from Goldman Sachs. Please go ahead.
Okay.
Speaker 5: confiring. How should go, man that I ING a P out T. well, Lam and TE Gran number woman down there, as in inteiggrantch had I OT T higher in jump in the bwa. We did two add in joce the other andtet go to the Ian D on Shan ocean GU. Let me translate myself: how does mentionment see the competitive landscaping I OT T industry and two as competitive advantage?
Oh go ahead, turning policies that don't well completion Timothy shocks.
Well, Angolan THR, Glenn if I remember well.
So glad to have all Iot hunger.
All lines in the P&L class <unk> yeah.
Yeah go on please.
The compensation ratio shall.
Let me translate myself, how does management see the competitive landscaping Iot and <unk>.
<unk> competitive advantage and also the second question is what's the company's plan inclusive of all capital.
Speaker 5: And also the second question is, what's the company's plan in using of capital? Thank you.
Capital. Thank you.
Speaker 3: Okay, thank you. We believe IoT market is locked with extensive future potentials.
Okay. Thank you we believe Iot market.
What with extensive future potentials.
Speaker 3: So we have been keep learning from the environment and improving our business model. And we believe TUYAH occupy a unique position in the IoT industry. And our advantages in the developer and open ecosystem are primarily reflected the following perspective.
So we have been keep learning from the environment and improving our business model and we believe two year occupy a unique position in the Iot industry and our advantages in the developer and the old Tech ecosystem.
Our primarily.
Reflected the following prospect.
And we are broadly and inclusively supports various devices types and the protocols.
Speaker 3: cloud access models and OEM app developments, offering this to developers, customers, and partners with zero technical barriers for them, make it very user-friendly, and open for our customers and developers.
Access models and OEM App developments offering this to developers customers and pass partners was zero.
Technical barriers for them make it very user friendly open for our customers and developers so to your position as a neutral technology provider supports customer and the brand.
Speaker 3: So Tuiya position as a neutral technology provider supports customer and brand.
Speaker 3: in establishing their own IoT business and joining our huge ecosystems.
Establishing their own Iot business and are joining our huge ecosystems of four.
Speaker 3: inter-operation user experiences. This comprehensiveness and the compatibilities allowed Tuya to serve 95% of the global markets of independent commercial and brand customers.
Into operation user experiences this comprehensiveness and the Compatibilities allowed AR to yeah to serve 95% of the global market of independent commercial and a brand customers.
Yes.
Speaker 3: We also tailor our own capabilities to customer needs with a variety of products generating long-term revenue. This approach is not confined to the OS-based model of cloud license module in IoT Path products.
We also tailor our own capabilities to customer needs with a variety of products.
<unk> a long term revenue.
This is our main product strategy. This approach is not confined to the Oh S. Based model of cloud license module in Iot past products.
Speaker 3: or key categories IoT device solutions, nor is it limited to purely cloud development capabilities for fast development or private cloud deployment.
All key categories, our Iot device solutions, nor is it limited to purely called the development capabilities with fast development or a private cloud.
Speaker 3: TUER prioritized its platform ecosystem and customer service strategy over rigid constraints of revenue model amongst a performance matrix.
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Two young prioritized.
Her form ecosystem and our customer service strategy.
Richard the constraints of a revenue model among our performance metrics.
Speaker 3: This allows us to cover a broader range of global customers with more diverse developer products, making the platform more user-friendly and open.
This allow us to cover a broad a broad array of global customer with more diverse.
Developer products, making the platform more user friendly and open.
Yeah.
Speaker 3: So we believe this has been our key positioning and the value in terms of our accumulation in this industry for almost nine years.
So we believe this has been our key positioning.
And the values.
In terms of our accumulation in this industry for almost nine years.
Yeah.
Speaker 3: And regarding the second question for the use of capital, in terms of capital usage, we maintain a rigorous approach in our operations, managing our funds and the budget.
And regarding the second question for the use of capital in terms of capital usage, we maintain a rigorous approach in our operations managing our funds and the budgets.
Speaker 3: strictly and striving to preserve cash through safe, highly liquid fixed deposits or other monetary fund instruments, meeting the needs of daily operations and long-term plans.
<unk> and striving to preserve cash through safe highly liquid fixed deposits or other money monetary.
Monetary fund instruments meeting the needs of daily operations, and a long term plan.
Speaker 3: Regarding capital expenditures, we will cautiously watch for suitable merger acquisition opportunities.
Regarding capital expenditures, we were cautiously watch.
For a suitable a merger acquisition opportunities.
Speaker 3: Additionally, we might like other companies in West in necessary fixed assets for long-term operations.
Additionally, we mined like other companies in west in a necessary fixed assets for long term operations.
Speaker 3: So that's my answers for Goldman Sachs questions. buzzing
That's my questions.
But that's my office for a Goldman Sachs question.
Operator can move to next question.
Yeah.
Thank you.
Speaker 4: There are no additional questions at this time. And I will now hand back to the management team for any closing remarks.
Yeah, no additional questions at this time and I'll now hand back to the management team for any closing remarks.
Speaker 3: Okay, thank you again all for joining our call. If you have further questions, please feel free to contact us or request through our IR website. We look forward to speaking with everyone in our next earning course. Have a good day.
Okay. Thank you again I'm all for joining our call. If you have further questions. Please feel free to contact us.
I'll request through our IR website, we look forward to speaking with everyone. In our next earnings call have a good day.
Yes.
Okay.
Speaker 7: No.
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