Q4 2023 JD.com Inc Earnings Call

March 6, 2024

Operator: Hello, and thank you for standing by for JD.com's fourth quarter and full year 2023 earnings conference call. At this time, all participants are in listen-only mode.

Operator 2: Hello, and thank you for standing by for JD.com's Q4 and full year 2023 earnings conference call. At this time, all participants are in listen-only mode. After management's prepared remarks, there will be a question and answer session. Today's conference is being recorded. If you have any objections, you may disconnect at this time. I would now like to turn the meeting over to your host for today's conference, Sean Zhang, Director of Investor Relations. Please go ahead.

Hello, and thank you for standing by for JD, Com's fourth quarter and full year 2023 earnings conference call.

At this time all participants are in listen only mode. After management's prepared remarks, there will be a question and answer session. Today's conference is being recorded if you have any objections you may disconnect at this time.

Operator: After management's prepared remarks, there will be a question and answer session. Today's conference is being recorded. If you have any objections, you may disconnect at this time. I would now like to turn the meeting over to your host for today's conference, Sean Zhang, Director of Investor Relations. Please go ahead.

I would now like to turn the meeting over to your host for today's conference Sean Zhang Director of Investor Relations. Please go ahead.

Sean Zhang: Thank you, good day everyone, and welcome to JD.com's Q4 and full year 2023 earnings conference. For today's call, CEO of JD.com, Ms. Sandy Xu, will share her opening remarks, and our CFO, Mr. Ian Shan, will discuss the financial results. Then we will call in to questions from analysts. Before turning the call over to Sandy, let me quickly cover the safe harbor.

Sean Zhang: Thank you. Good day, everyone. Welcome to JD.com Q4 and Full Year 2023 Earnings Conference Call. For today's call, CEO of JD.com, Ms. Sandy Xu, will share her opening remarks, and our CFO, Mr. Ian Shan, will discuss the financial results. Then we'll take the call to questions from analysts. Before turning the call over to Sandy, let me quickly cover the safe harbor. Please be reminded that during this call, our comments and responses to your questions reflect management's view as of today only and will include forward-looking statements. Please refer to our latest safe harbor statement in the earnings press release on the IR website, which applies to this call. We'll discuss certain non-GAAP financial measures. Please also refer to the reconciliation of non-GAAP measures to the comparable GAAP measures in the earnings press release.

Sean Zhang: Thank you good day, everyone and welcome to continue to come in Q4, and full year 2023 earnings conference call.

Today's call CEO of TD, they'll calm mutant issue.

Sean Zhang: For opening remarks.

Speaker Change: Our sample is.

Speaker Change: Mr. Yan Shannon will discuss the financial results.

Yan Shannon: The call to questions from analysts.

Yan Shannon: Before turning the call over to Cindy Let me quickly cover the safe Harbor. Please be reminded that during this call our comments and responses to your questions reflect management's view as of today only and will include forward looking.

Sean Zhang: Please be reminded that during this call, our comments and responses to your questions reflect management's view as of today only and will include forward-looking statements, and please refer to our latest safe harbor statement in the earnings press release on the IR website, which applies to this. We will discuss certain non-GAAP financial measures. Please also refer to the reconciliation of non-GAAP measures to the comparable GAAP measures in the earnings price release. Also, please note that all figures mentioned in this call are for R&D unless otherwise stated. Now, let me turn the call over to our CEO, Sandy. Thanks, Sean. Hello, everyone.

Yan Shannon: Statements and please refer to our latest safe Harbor statement in the earnings press release on the IR website, which applies to this call will discuss certain non-GAAP financial measures. Please also refer to the reconciliation of non-GAAP measures to the comparable GAAP measures in the earnings press release.

Sean Zhang: Please refer to our latest safe harbor statement in the earnings press release on the IR website, which applies to this call. We'll discuss certain non-GAAP financial measures. Please also refer to the reconciliation of non-GAAP measures to the comparable GAAP measures in the earnings press release.

Sean Zhang: Also, please note, all figures mentioned in this call are in RMB unless otherwise stated. Now let me turn the call over to our CEO, Sandy.

Yan Shannon: Also please note all figures mentioned in this call are in RMB, unless otherwise stated now let me turn the call over to our CEO Sandy.

Sandy Xu: Thanks, Sean. Hello, everyone, and thanks for joining us today to discuss our Q4 and full year 2023 results. In Q4, we delivered healthy top line and bottom line growth and made solid progress on operations, finishing off a productive 2023. In the past year, we stayed focused on constantly improving user experience, lowering costs, and increasing efficiency amidst evolving opportunities and challenges. Guided by our business philosophy, we carried out a set of proactive moves to drive more sustainable growth for the long term, mainly in the areas of user experience improvement, low price offerings, and platform ecosystem strategy. Despite some short-term impact in 2023, our strategic refocus has successfully steered key operating metrics in a positive direction. 2024 will be a year of execution.

Sandy: So hello, everyone.

Lei Xu: And thanks for joining us today to discuss our Q4 and Q2 2023 results. In Q4, we delivered healthy top-line and bottom-line growth and made solid progress on operations. Finishing off a productive 2023.

Sandy: So it's all about taking cost.

Sandy: Our Q4 and Coca Cola without.

Sandy: In Q4.

Sandy: To live a healthy pipeline of long haul almost followed Pogo all coastal finishing.

Speaker Change: Finish it off.

Speaker Change: Okay cool.

Lei Xu: In the past year, we stayed focused on constantly improving the user experience, lower costs, and increasing efficiency amidst evolving opportunities and challenges, guided by our business philosophy. We carried out a set of proactive moves to drive more sustainable growth for the long term, mainly in the areas of user experience improvement and Platform Ecosystems. Despite some short-term impact in 2023, our strategic refocus has successfully steered key operating metrics in a positive direction. 2024 will be a year of executions.

Speaker Change: In the park.

Speaker Change: Okay.

Speaker Change: Okay, Okay, Okay, Hello, Laura.

Speaker Change: Uh huh.

Speaker Change: And it looks like all the patients who are low evolving.

Speaker Change: On the talent.

Speaker Change: Guided by our philosophy at all.

Speaker Change: He's out of backlog.

Speaker Change: No.

Speaker Change: That's why multiple scalable called a longtime mainly in the area of workers' comp.

Speaker Change: Okay awesome.

Speaker Change: Ecosystem.

Sandy Xu: Despite some short-term impact in 2023, our strategic refocus has successfully steered key operating metrics in a positive direction. 2024 will be a year of execution.

Speaker Change: I Unfortunately had to pause.

Speaker Change: Always talking to folks.

Speaker Change: Definitely yeah he.

Speaker Change: Yeah positive direction.

Speaker Change: And he said before.

Speaker Change: Execution.

Lei Xu: Our team will take firm and steady steps to execute our existing strategy and push forward our two priorities for the new year, namely user experience improvement and market share expansion. We are encouraged by what we've seen and are confident that we are on the right path. Let me share some details.

Sandy Xu: Our team will take firm and steady steps to execute our existing strategies and push forward our two priorities for the new year, namely, user experience improvement and market share expansion. We are encouraged by what we've seen, and are confident that we are on the right path. Let me share some details. First, user engagement. In Q4, we saw the number of quarterly active customers accelerate at JD Group level. If looking at JD Retail alone, the growth was at an even faster pace in Q4, particularly in new users. We are excited to see our user momentum keep up in Q1. User behavior also trended better. For example, user shopping frequency on JD continued to rise both in Q4 and the full year. This increase was particularly driven by the growth of our loyal existing users and JD PLUS members.

Speaker Change: Our total take from that is that.

Speaker Change: Alright.

Speaker Change: And push forward, our two colleagues are all well mainly.

Speaker Change: Mainly tariff improvement.

Speaker Change: My perfect harmful.

Speaker Change: We are you probably are whatsoever.

Speaker Change: I'll come to.

Speaker Change: That's we are on the right path.

Speaker Change: That means some people.

Speaker Change: Hi.

Lei Xu: User engagement. In Q4, we saw the number of culturally active customers accelerate at the safety group level. If looking at JD Ritual alone, the growth was at an even faster pace in Q4, particularly among new users. We are excited to see our user momentum keep up in Q1, and user behavior also trended better. For example, user shopping frequency on JD continues to rise, both in Q4 and the full year. This increase was particularly driven by the growth of our loyal existing users and trust members. This means if users stay longer with us, they tend to shop more frequently with us, a validation of our focus on user experience and strengthening user mindshare.

Speaker Change: Okay.

Speaker Change: Well Q4, we saw the number of quarterly active cosmetics.

Speaker Change: All of us at technical puzzle.

Speaker Change: At this point.

Speaker Change: Along the coast with Alcoa, even fossil.

Speaker Change: Ballclub coal and so forth.

Speaker Change: Particularly when you use okay.

Sandy Xu: We are excited to see our user momentum keep up in Q1. User behavior also trended better. For example, user shopping frequency on JD continued to rise both in Q4 and the full year. This increase was particularly driven by the growth of our loyal existing users and JD PLUS members.

Speaker Change: We are excited to see our user momentum hip hop hold for one.

Speaker Change: User behavior also tend to backhaul.

Speaker Change: Example, you can shop more frequently.

Speaker Change: Are you comfortable right.

Speaker Change: For the full year.

Speaker Change: This increase was particularly driven by the growth of our loan yield.

Speaker Change: And lumpy.

Sandy Xu: This means if users stay longer with us, they tend to shop more frequently with us, a validation of our user focus on user experience and strengthening user mindshare. In addition, the set of growth also translated to a robust order volume growth, hitting double digits year-on-year in Q4 and accelerating for three consecutive quarters. In terms of JD PLUS, we saw another quarter of robust growth of its member base, and GMV contributed by PLUS members grew faster than our total GMV in Q4. The promising progress in user engagement is a result of our stepped-up efforts in improving user experience, low price offerings, and implementing platform ecosystem strategy. Looking at our efforts in improving user experience, in addition to our previously launched popular initiatives such as free shipping, instant refunds, and one click for best price guaranteed.

Speaker Change: That's cool.

Speaker Change: They long ago with that they tend to shop more frequently.

Speaker Change: A validation of our LUPA, okay, I'll leave it to them and helping them with their mindshare.

Lei Xu: In addition, the fact of growth also translated to robust older volume growth, teaching double digits here on Year in Q4 and accelerating for three consecutive quarters. In terms of JB+, we saw another quarter of robust growth in its number base, and GMV contributed by plus members grew faster than our total GMV in Q4. The promising progress in U.K. engagement is the result of our stepped-up efforts in improving user experience, low-price offerings, and implementing platform ecosystem strategies. Looking at our efforts in improving user experience, in addition to our previously launched popular initiatives, such as free shipping, instant refunds, and one click for best price guaranteed. We have also recently launched new customer services, such as free doorstep pickup for return and Cash Back for Delayed Shipping.

Speaker Change: Yeah Christian.

Speaker Change: That's helpful also translated to a robust although volatile nickel.

Speaker Change: Yeah, Yeah in Q4.

Speaker Change: And Ah salary pool for three consecutive quarters.

Speaker Change: In terms of kidney plus.

Speaker Change: So another quarter of robust go a whole month of base.

Speaker Change: And it's really contributed by plus members grew faster than our cocoa tea and be into Clos.

Sandy Xu: The promising progress in user engagement is a result of our stepped-up efforts in improving user experience, low price offerings, and implementing platform ecosystem strategy. Looking at our efforts in improving user experience, in addition to our previously launched popular initiatives such as free shipping, instant refunds, and one click for best price guaranteed.

Speaker Change: The promising progress.

Speaker Change: Great.

Speaker Change: It doesn't solve all our stepped up efforts.

Kevin No class offering and incremental pipe on ecosystem type of thing.

Speaker Change: Looking at our airports improving real says is true.

Kevin: Yeah addition to our published the lungs, how can that improve.

Kevin: Hunter Green tea.

Kevin: In St Paul and one for best price guarantee.

Sandy Xu: We also recently launched new customer services such as free doorstep pickup for returns, cash buyback, cash back for delayed shipping. As a result, our net promoter score, the NPS, for both our 1P and 3P business, have improved substantially in Q4. As we are generating great momentum with our users, it's important to continue to build on these initiatives, which we believe will help to propel growth in 2024. Also, as an important part of our holistic approach to improving our user experience, we will continue to step up efforts in building our price competitiveness and platform ecosystem. For low price offerings, from day one, we've been pushing forward our price competitiveness for branded products and a broader selection of value-for-money products.

Kevin: We also recently launched new customer service Center.

Kevin: Pest free doorstep pickup for return cash.

Kevin: Cash buyback cashback for delayed people, you'll see something called the harpoon.

Lei Xu: As a result, our Net Promoter Score, the NPS, for both our 1P and 3P business improved substantially in Q4, as we are generating great momentum with our users. It's important to continue to build on this initiative, which we believe will help to propel growth in 2024. Also, as an important part of our holistic approach to improving our user experience.

Kevin: Wasn't felt our net promoter score.

Kevin: For both our one tier three pizza huts.

Kevin: Have they improved sequentially from Q1.

Kevin: And we are generating great momentum with our users.

Kevin: Important to continue to build on this wuxi.

Kevin: Which we believe will help to propel go hopefully come to school.

Sandy Xu: Also, as an important part of our holistic approach to improving our user experience, we will continue to step up efforts in building our price competitiveness and platform ecosystem. For low price offerings, from day one, we've been pushing forward our price competitiveness for branded products and a broader selection of value-for-money products.

Oh, so that's an important part of our holistic approach to improving our user experience.

Lei Xu: We will continue to step up efforts in building our price competitiveness and platform ecosystem for low-priced offerings. From day one, we've been pushing forward our price competitiveness for branded products and a broader selection of value-for-money products. During the past year, we have further enhanced our ability to offer great value in branded products and expanded our selection of white label products.

Kevin: We will continue to step off airport.

Kevin: Our price competitiveness and platform ecosystem.

Kevin: Hello class offering some.

Kevin: From day, one we've been crucial for what our price competitiveness for branded product.

Kevin: And a broader selection of value for money product.

Sandy Xu: During the past year, we have further enhanced our ability to offer great value in branded products and expanded our selection for white label products. Our price competitiveness has notably improved according to our customer survey and in-house price comparison. We are glad to see our price NPS increased both sequentially and year-on-year in Q4, a proof that user experience and mindshare for JD's low price offerings is picking up. We also note other key metrics are trending well. The number of our users from lower-tier markets grew faster in Q4 compared to previous quarters, and growth of order volume and shopping frequency generated by lower-tier market users reached double digits year-on-year, outpacing that of our total users.

Kevin: During the past year, we have for that and he has our ability to offer a great value in front of you called that.

Kevin: And expanded our selection for white label product.

Lei Xu: Our price competitiveness has notably improved, according to our customer survey and in-house price comparison. We are glad to see our price NPS increased both sequentially and year-on-year in Q4, a proof that user experience and mindshare for JD's low-priced offerings are picking up. We also note other key metrics are trending well. The number of our users from lower-tier markets grew faster in Q4 compared to previous quarters, and growth of order volume and ship shopping frequency generated by lower-tier market users reached double digits year-on-year, outpacing that of our total users. We also note that growth of low-ticket size orders further sped up and far exceeded the growth of our total order volumes. I want to highlight again that our price competitiveness is not supported by subsidies.

Kevin: Our price competitiveness has notably improved according to our customer survey and in house type comparison.

Kevin: We are glad to see our Pos and Pms increased both sequentially and year on year in Q4.

Kevin: Cool that Hilton, Paris, and Moshe well no class offerings.

Kevin: It up.

Kevin: We also note other key metrics are trending well.

Sandy Xu: The number of our users from lower-tier markets grew faster in Q4 compared to previous quarters, and growth of order volume and shopping frequency generated by lower-tier market users reached double digits year-on-year, outpacing that of our total users.

Kevin: The number of our users from lower tier market coupons hurt in Q4 compared to previous quarter.

Kevin: And the goal of all their volume and she's shopping frequency generated by lower to a market.

Kevin: The double digit year over year outpacing that of our total linzess.

Sandy Xu: We also note growth of low ticket price orders further sped up and far exceeded the growth of our total order volume in Q4. I want to highlight again that our price competitiveness is not supported by subsidies. The bedrock for JD's business model is always the supply chain capabilities, which enable us to generate scale efficiency and lower product costs so that we can provide better value to users while maintaining healthy financial performance. Switching to platform ecosystem strategy. The number of active JD merchants on our platform delivered another stellar growth both in Q4 and on a full year basis, as the team did a great job onboarding and supporting them. Meanwhile, 3P users and 3P order volume both saw accelerated growth year-on-year in Q4 and in the full year of 2023.

Kevin: We also note goes off low ticket size okay.

Speaker Change: That's helpful.

Speaker Change: And I think that the growth of our total order volume.

Speaker Change: I want to highlight that our price come up to me it's not.

[laughter] quoted by subsidies.

Lei Xu: The bedrock for JD's business model is always the supply chain capability, which enables us to generate very efficient and lower product costs so that we can provide better value to users while maintaining healthy financial performance. 15 to Platform Ecosystems Strategy The number of active 3P merchants on our platform delivered another stellar growth both in Q4 and on a full-year basis, as the team did a great job onboarding and supporting them. Meanwhile, 3P users and 3P order volume both saw accelerated growth year-on-year in Q4 and in the full year of 2023. That said, we are still at an early stage of building our platform ecosystem, and we are not prioritizing monetization of our young and rapid-growing ecosystem at this stage. Therefore, we are not taken by surprise when revenue generated from our 3P marketplace is lagging the growth of our 3P merchant base and orders in Q4, which was also partially driven by one-off factors. You will elaborate on this later.

Speaker Change: The paywall, particularly special small don't always apply.

Speaker Change: Jane capability.

Speaker Change: Which enable us to generally daily nutrition.

Speaker Change: And the lower backhaul.

Speaker Change: So that we can provide better value to use it while maintaining healthy financial performance.

Speaker Change: 15, two powerful ecosystem type of thing.

Sandy Xu: The number of active JD merchants on our platform delivered another stellar growth both in Q4 and on a full year basis, as the team did a great job onboarding and supporting them. Meanwhile, 3P users and 3P order volume both saw accelerated growth year-on-year in Q4 and in the full year of 2023.

Speaker Change: The number of active merchants on our platform they live with another pellicle, Oh, Thank Q4, and a full year basis.

Speaker Change: As the team did a good job onboarding and supporting them.

Speaker Change: Meanwhile, whose he nurofen and see all the volatile okay. So accelerated well yeah, yeah cool pool.

Speaker Change: And in the full year, Okay people people.

Sandy Xu: That said, we are still at an early stage of building our platform ecosystem, and we are not prioritizing monetization of our young and rapid growing ecosystem at this stage. Therefore, we are not taken by surprise when we see revenue generated from our 3P marketplace is lagging the growth of our 3P merchant base and orders in Q4, which was also partially driven by one-off factors. Yu will elaborate on this later. We believe this is only temporary. In fact, Q1 quarter to date, we've seen marketplace and marketing revenues bouncing back to a stronger momentum. As shared before, our platform ecosystem encourages 1P and 3P to develop their complementary way. Our 1P business also continued to make solid progress thanks to our core capabilities in supply chain. In particular, users responded well to our nonstop services during the Chinese New Year holiday.

Speaker Change: That said, we're still at the early stages using our platform ecosystem.

Speaker Change: We are not quite all of HIFU and completion of our young and rapidly growing ecosystem at this dose.

Speaker Change: Therefore, we have not taken by surprise when we see revenue coming.

Speaker Change: From our cookie marketplace.

Speaker Change: In the growth of our merchant base and all the cool pool.

Speaker Change: Which.

Speaker Change: Which was also partially driven by one off factors.

Speaker Change: You will elaborate on this later.

Lei Xu: We believe this is only temporary, and so far, in the Q1 quarter to date, we've seen marketplace and marketing revenues bouncing back to a stronger momentum. As shared before, our platform ecosystem encourages 1PM3T to develop in complementary ways. Our 1P business also continues to make solid progress, thanks to our core capabilities in the supply chain. In particular, users responded well to our non-stop services during the Chinese New Year holiday, an offering we've been committed to for 12 consecutive years, also enabled by our supply chain trend. Our Home Appliance and Electronics category continued to gain market share throughout 2023, despite the industry highway. Moving forward, we will further leverage our supply chain capabilities to build up a better service capability, penetrate into lower tier and offline markets, and strengthen our cooperation with suppliers, which would be me, will lead to a continuous expansion in market share in 2024. Moreover, we throw our supermarket category trend in the right direction, as it dedicates itself to optimizing the supply chain and building a better product mix and fulfillment network.

Speaker Change: We believe this is only temporary.

Speaker Change: Is that.

Speaker Change: Quarter to date, we've seen marketplace that market also.

Speaker Change: Well stronger momentum.

Sandy Xu: As shared before, our platform ecosystem encourages 1P and 3P to develop their complementary way. Our 1P business also continued to make solid progress thanks to our core capabilities in supply chain. In particular, users responded well to our nonstop services during the Chinese New Year holiday.

Speaker Change: I shared before our platform ecosystem.

Speaker Change: This lung cancer T could develop yeah complimentary way.

Speaker Change: Oh, one people.

Speaker Change: We'll continue to look solid program.

Speaker Change: Thanks to our core capability.

Speaker Change: Cool.

Speaker Change: In particular.

Speaker Change: Youth is responding well to our non stop services during the Chinese new year holiday.

Sandy Xu: Our offering we've been committed to for 12 consecutive years. Also enabled by our supply chain strengths, our home appliance and electronics category continued to gain market share throughout 2023 despite industry headwinds. Going forward, we will further leverage our supply chain capabilities to build up better service capabilities, penetrate into lower tier and offline markets, and strengthen our cooperation with suppliers, which we believe will lead to a continuous expansion in market share in 2024. Moreover, we saw our supermarket category trend to the right direction as it's dedicated itself to optimizing the supply chain and building a better product mix and fulfillment network. We believe there will be more upside for supermarkets in 2024. Finally, I want to highlight our commitment to shareholder returns.

Speaker Change: Are often we've been committed to for 12 consecutive years.

Speaker Change: Also enabled by our supply chain.

Our home appliance and electronics category.

Speaker Change: Continue to gain market share.

Speaker Change: I'll just touch upon quickly.

Speaker Change: Industrial hygiene.

Speaker Change: For what we will further leverage our supply chain capability to build that capability.

Speaker Change: Penetration into lower tier offline model.

Speaker Change: <unk> chosen our cooperation with suppliers.

Speaker Change: Which we believe will.

Speaker Change: Will lead to a continuous expansion and market share will take some time to work.

Sandy Xu: Moreover, we saw our supermarket category trend to the right direction as it's dedicated itself to optimizing the supply chain and building a better product mix and fulfillment network. We believe there will be more upside for supermarkets in 2024. Finally, I want to highlight our commitment to shareholder returns.

Speaker Change: Moreover, we saw our supermarket petsko chubb's cause that direction.

Speaker Change: I think that's a case of himself to optimizing our supply chain and building a better product mix.

Speaker Change: On the fulfillment network.

Lei Xu: We believe there will be more upside for supermarkets in 2024. Finally, I want to highlight our commitment to shareholder return, as announced in our earnings press release. Our board has approved our 2024 annual cash dividend payment, an aggregate amount of 1.2 billion U.S. dollars, a meaningful increase compared to 2023. The board has also approved a new share repurchase program of 3 billion U.S. dollars over the next 36 months.

Speaker Change: We believe there will be more about close to home market. It's been told many times before.

Speaker Change: Finally, I want to highlight our commitment to shareholder return.

Sandy Xu: As announced in our earnings press release, our board has approved our 2024 annual cash dividend payment in an aggregate amount of $1.2 billion, a meaningful increase compared to 2023. The board has also approved a new share repurchase program of $3 billion over the next 36 months. We are committed to creating more value for our shareholders. To conclude, 2023 was a year of strategic refocus and organizational upgrades which have set the foundation for JD. 2024 will be a year of execution along the strategic roadmap that is in place. We will continue to build upon the good foundation in user experience, low price offerings, and platform ecosystem strategy. We will further build up our core capabilities in supply chain.

Speaker Change: As announced in our earnings press release.

Our board has approved our 'twenty 'twenty four annual cash dividend payment, yeah aggregate amount of $1 2 billion U S dollar.

Speaker Change: A meaningful increase compared to 23.

Speaker Change: The Board has also approved a new share repurchase program.

Speaker Change: In the U S dollar over the next six months.

Ian Su Shan: We are committed to creating more value for our shareholders. 2023 was a year of strategically focused and Organizational Upgrades, which have set the foundation for JD. 2024 will be a year of execution along the strategic roadmap that is in place, and we will continue to build upon the good foundation of user experience, low price offerings, and platform ecosystem strategies, and we'll further build up our core capabilities in supply chain, with market share and user experience at top of mind. We are confident of making steady progress this year. With that, I will turn it over to Ian for our financial highlights. Thank you. Thank you, Sandy, and hello, everyone.

Speaker Change: We are committed to creating more value for our shareholders.

Speaker Change: Accrued 23 with a year of strategic move okay.

Speaker Change: And I'll come back personal upgrades.

Speaker Change: We have set the foundation for taking.

Speaker Change: Huntington, who score will be a year of execution, along our strategic road map that's in place.

Sandy Xu: We will continue to build upon the good foundation in user experience, low price offerings, and platform ecosystem strategy. We will further build up our core capabilities in supply chain.

Speaker Change: We will continue to build upon the good foundation.

Speaker Change: There is no class offering and platform ecosystem type of thing.

Speaker Change: And we'll probably do about our core capabilities and supply chain.

Sandy Xu: With market share and user experience at top of mind, we are confident in making steady progress this year. With that, I'll turn it over to Yu for our financial highlights. Thank you.

Speaker Change: With a market share and look like terrorists at top of mind.

Speaker Change: We are confident in making further progress this year.

Speaker Change: With that I'll turn it over to him for all of our financial highlights.

Speaker Change: Thank you.

Ian Shan: Thank you, Sandy, and hello, everyone. We recorded a set of healthy top and bottom line results in Q4, ahead of our expectations as we focus on user experience improvement, price competitiveness, and platform ecosystem in 2023. We are also committed to sharing our success with our shareholders. The board has approved our annual cash dividend of $1.2 billion for the fiscal year of 2023, representing $0.38 per ordinary share or $0.76 per ADS. Our dividend per ADS increased by 23% compared to the annual dividend paid in 2023.

Speaker Change: Thank you Sandy and Hello, everyone, we recorded a sense off healthy top and bottom line results in Q4.

Ian Su Shan: We recorded a set of healthy top and bottom line results in Q4, ahead of our expectations as we focus on user experience improvement, price competitiveness, and platform ecosystem in 2023. We are also committed to sharing our success with our shareholders. The board has approved an annual cash dividend of 1.2 billion U.S. dollars for the fiscal year of 2023, representing 38 U.S. cents per ordinary share or 76 U.S. cents per ADF.

Speaker Change: Our expectations as we focus on user experience improvement.

Speaker Change: Price competitiveness.

Speaker Change: And platform ecosystem in 10 to 23.

Speaker Change: We're also committed to sharing our success with our shareholders.

Speaker Change: The board has approved our annual cash dividend of $1 2 billion U S dollar for the fiscal year of 23.

Speaker Change: Resenting 38 cents per ordinary share or.

Speaker Change: 76 U S.

Speaker Change: Yes.

Ian Su Shan: Our dividend per ADS increased by 23% compared to the annual dividend paid in 2023. In addition, we stepped up share repurchases in Q4 and bought back 15 million ordinary shares for a total of approximately US$203 million. As the existing program will expire soon, the board has approved a new share repurchase program of 3 billion U.S. dollars over the next 36 months.

Speaker Change: Our dividend has increased by 23% compared to the annual dividend paid in 2023.

Ian Shan: In addition, we stepped up share repurchases in Q4 and bought back 15 million ordinary shares for a total of approximately $203 million. As the existing program will expire soon, the board has approved a new share repurchase program of $3 billion over the next 36 months. This demonstrated our dedication to returning value to our shareholders. Now let me turn to our Q4 and full year 2023 financial performance. Our net revenues grew by 4% year on year to RMB 306 billion in Q4, and RMB 1.1 trillion for full year 2023, as we navigated a mix of macro recovery, seasonality factors, and our strategic refocus. Breaking down the revenue mix, product revenues were up 4% year on year in Q4, and 1% on a full year basis.

Speaker Change: In addition, we stepped up share repurchases in Q4 and bought back 15 million ordinary shares for a total of approximately 200, and the 3 million U S. Dollar.

Speaker Change: As our existing program well at Pascua and the board has approved a new share repurchase program of 3 billion U S. Dollar over the next 36 months.

Ian Su Shan: This demonstrated our dedication to returning value to our shareholders. Now, let me turn to our Q4 and full year 2023 financial performance. Our net revenues grew by 4% year-on-year, to RMB306 billion in Q4 and RMB1.1 trillion for full year 2023, as we navigated a mix of macro recovery, seasonality factors, and our strategic refocus. Breaking down the revenue mix. Product revenues were up 4% year-on-year in Q4 and 1% on a full-year basis. By category, electronics and home appliances revenues were up 6% and 4% year-on-year in Q4 and full-year, respectively.

Speaker Change: This demonstrated our dedication to returning value to our shareholders.

Speaker Change: Now, let me turn to our Q4 and full year 10 to 20 straight financial performance.

Ian Shan: Our net revenues grew by 4% year on year to RMB 306 billion in Q4, and RMB 1.1 trillion for full year 2023, as we navigated a mix of macro recovery, seasonality factors, and our strategic refocus. Breaking down the revenue mix, product revenues were up 4% year on year in Q4, and 1% on a full year basis.

Speaker Change: Our net revenues grew by 4% year on year to RMB 306 billion in Q4, and RMB, one one trillion and for full year 2020 story as we navigated a mix of macro recovery sitting analysis factor and are strategically refocus break.

Speaker Change: Downward revenue mix product revenues were up 4% year on year in Q4, and 1% on a full year basis by category electronic because and home appliances revenue was up 6% in Boston.

Ian Shan: By category, electronics and home appliances revenues were up 6% and 4% year on year in Q4 and full year, respectively. Once again, outpacing industry growth. We have seen solid market share expansion in these categories across every quarter of 2023 and continue to feel confident in this momentum going into 2024. General merchandise revenues saw a turnaround to positive year on year growth in Q4, despite the impact of scaling back of Jingxi and international business, the high base in Q4 2022 due to stockpiling, and the seasonality impact of Chinese New Year shopping festival. On a full year basis, such factors led to a 5% decline in general merchandise revenues. Taking a closer look, categories such as home goods and decoration, sports, and apparel recorded double-digit year on year growth in Q4.

Speaker Change: Q4, and full year, respectively. Once again outpaced the industry group, we have seen solid market share expansion in these categories across every corner of 20th Times' history and continue to feel confident in this momentum going into 'twenty 'twenty four.

Ian Su Shan: Once again, outpacing industry groups, we have seen solid market share expansion in these categories across every quarter of 2023, and we continue to feel confident in this momentum going into 2024. General merchandise revenue saw a turnaround to positive year-on-year growth in Q4, despite the impact of the scaling back of Jingxi and international business, as well as the high base in Q4 2022 due to stockpileing and the seasonality impact of the Chinese New Year shopping festival. On a full year basis, these factors led to a 5% decline in general merchandise revenue.

Speaker Change: General merchandise revenue was up 10 am I wrong to positive year on year growth in Q4, despite the impact of scaling back of tenancy and international business. The high base in coupons tend to send it to due to stockpiling and does the seasonality impact of Chinese New year's shopping festival on a full year base.

Ian Shan: On a full year basis, such factors led to a 5% decline in general merchandise revenues. Taking a closer look, categories such as home goods and decoration, sports, and apparel recorded double-digit year on year growth in Q4.

Speaker Change: Okay.

Speaker Change: Such factors led to a 5% decline in general merchandise revenues.

Ian Su Shan: A closer look. Categories such as Home Goods and Decorations, Sports, and Apparel recorded double-digit year-on-year growth in Q4, as we further enriched our product and service offerings. These categories also attract higher user traffic, conversion rate, and user stickiness in the quarter. As for our supermarket category, we believe it has bottomed out, and its growth trend will continue to strengthen in 2024, driven by its increasing order volume and user shopping frequency. Service revenues grew by 3% year-on-year in Q4 and 18% on a full-year basis, primarily driven by the growth of logistics and other service revenues, which were up 8% and 30% year-on-year for the quarter and full year, respectively. Marketplace and marketing revenues were down 4% year-on-year in Q4 and up 3% on a full-year basis.

Speaker Change: Taking a closer look.

Speaker Change: Categories, such as home goods and decoration.

Speaker Change: And apparel recorded double digit year on year growth in Q4.

Ian Shan: As we further enriched our product and service offerings, these categories also drove higher user traffic, conversion rate, and user stickiness in the quarter. As for our supermarket category, we believe it has bottomed out, and its growth trend will continue to strengthen in 2024, driven by its increasing order volume and user shopping frequency. Service revenues grew by 3% year on year in Q4 and 18% on a full year basis, primarily driven by the growth of logistics and other service revenues, which were up 8% and 30% year on year for the quarter and full year, respectively. Marketplace and marketing revenues were down 4% year on year in Q4 and up 3% on a full year basis.

Speaker Change: We further enriched.

Speaker Change: Rich our product and service offerings. These categories also drove higher user traffic conversion rate and user thickness in the quarter.

Speaker Change: As for our supermarket CAGR rate, we believe it has bottomed out and its growth trend will continue to strengthen intends to plentiful driven by its increasing order volume and the user shopping frequency.

Speaker Change: Service revenues grew by 3% year on year in Q4, and 18% on a full year basis.

Speaker Change: Primarily driven by the growth of logistics and other services revenues, which were up 8% and 30% year on year for the quarter and full year, respectively marketplace and marketing revenues were down 4% year on year in Q4 and up 3% on a full year basis.

Ian Su Shan: The soft performance in the quarter was primarily due to the decline in commission revenues as a result of our intense support for fast-growing new merchants. While advertising revenues also experienced a one-off headwind in Q4, mainly due to the seasonality impact of Chinese New Year shopping festivals, we believe those were short-term fluctuations, and our platform is progressing well under our current strategies, with a fast expanding base of active 3P merchants and accelerated growth in both 3P users and 3P order volumes. In the Q1 quarter to date, we saw that marketplace and marketing revenues have resumed growth. Now, let's turn to our segment performance. JD retail revenues increased by 3% year-on-year in Q4 and 2% on a full-year basis.

Ian Shan: The soft performance in the quarter was primarily due to the decline in commission revenues as a result of our enhanced support for fast-growing new merchants. While advertising revenues also experienced a one-off headwind in Q4, mainly due to the seasonality impact of Chinese New Year shopping festival. We believe those were short-term fluctuations, and our platform is progressing well on our current strategies with a fast expanding base of active 3P merchants and accelerated growth in both 3P users and 3P order volumes. In the Q1 quarter to date, we saw that marketplace and marketing revenues have resumed growth. Now, let's turn to our segment performance. JD Retail revenues increased by 3% year on year in Q4 and 2% on a full year basis. Our retail segment's gross margin continued to increase both in Q4 and full year of 2023.

Speaker Change: Softer performance in the quarter was primarily due to the decline in commission revenues as a result of our enhanced support for fast growing new merchant.

Speaker Change: Advertising revenues also experienced a one off headwinds in Q4, mainly due to the seasonality impact of Chinese new year shopping festival, we believe that those who are sheltering fluctuation on our platform is progressing well on our current strategies with our fast expanding base of active merchants.

Speaker Change: And a salad ready to go impulse three P users and its really all the volume in.

Ian Shan: In the Q1 quarter to date, we saw that marketplace and marketing revenues have resumed growth. Now, let's turn to our segment performance. JD Retail revenues increased by 3% year on year in Q4 and 2% on a full year basis. Our retail segment's gross margin continued to increase both in Q4 and full year of 2023.

Speaker Change: In the Q1 quarter to date, we saw that market place and marketing revenues have resumed cool.

Speaker Change: Now, let's turn to our segment performance J D retail revenues increased by 3% Young you in Q4 and 2% on a full year basis, our retail segment's gross margin continue to increase both in Q4 and full year of 10 to 23. This was driven by our <unk>.

Ian Su Shan: Our retail segment's gross margin continued to increase both in Q4 and the full year of 2023. This was driven by our improved supply chain capabilities, which enabled us to offer more value to our users while recording healthy margin expansion due to increased operating efficiency. Our strategic refocus also brought tailwinds to gross margins throughout 2023. On a full-year basis, retail's fulfilled gross margin was up 39 bits, though in Q4, retail's fulfilled gross margin was down slightly by 7 bits year-on-year due to extended free shipping offerings since late Q3. The retail segment's non-gap operating margin came in at 2.6% in Q4, softer than a year ago but in line with our expectation as we invest in user experience and expanding user base.

Ian Shan: This was driven by our improved supply chain capabilities, which enable us to offer more value to our users while recording healthy margin expansion due to increased operating efficiency. Our strategic refocus also brought tailwinds to gross margins throughout 2023. On a full year basis, Retail's fulfilled gross margin was up 39 bps. Though in Q4, Retail's fulfilled gross margin was down slightly by 7 bps year on year due to extended free shipping offerings since late Q3. Retail segment's non-GAAP operating margin came in at 2.6% in Q4, softer than a year ago, but in line with our expectation as we invest in user experience and expanding user base. On a full year basis, Retail's non-GAAP operating margin continued to improve to a record level of 3.8%, beyond our expectation.

Improved supply chain capabilities, which enable us to offer more value to our users while recording healthy margin expansion due to increased operating efficiency.

Speaker Change: Strategically we are focused also brought tailwind to gross margins throughout 2023 on a full year basis retail fulfilled gross margin was up 39 states, though in Q4 retail fulfilled gross margin was down slightly by 7% year on year due to extended free shipping offerings.

Things late Q3.

Ian Shan: Retail segment's non-GAAP operating margin came in at 2.6% in Q4, softer than a year ago, but in line with our expectation as we invest in user experience and expanding user base. On a full year basis, Retail's non-GAAP operating margin continued to improve to a record level of 3.8%, beyond our expectation.

Speaker Change: Retail segment non-GAAP operating margin came in at two 6% in Q4 softer than a year ago, but in line with our expectation as we invested in user experience and expanding user base on a full year basis Greathouse non-GAAP operating margin continued to improve to a record level of three.

Ian Su Shan: On a full-year basis, retail's non-gap operating margin continued to improve to a record level of 3.8%, beyond our expectations. We are confident that our continued focus on user experience will lead to a better market position and expanded market share in 2024 and eventually present more headroom for profit expansion. JD Logistics recorded a 10% revenue growth year-on-year in Q4 and 21% on a full-year basis. External revenues accounted for 70% of total revenues in both Q4 and full-year.

Speaker Change: 8% beyond our expectations. We are confident that our continued focus on user experience will lead to a better market position and expanded market share in time sensitive fall and eventually present more headroom for profit expansion.

Ian Shan: We are confident that our continued focus on user experience will lead to a better market position and expanded market share in 2024 and eventually present more headroom for profit expansion. JD Logistics recorded a 10% revenue growth year on year in Q4 and 21% on a full year basis. External revenues accounted for 70% of total revenues in both Q4 and full year. In terms of profitability, JDL's non-GAAP operating margin picked up meaningfully with a 73 bps expansion year on year to 2.8% in Q4 and a 22 bps expansion to 0.6% on a full year basis. Before moving on to the next section, please note that following Dada's announcement in January, we are reporting the aggregated results of Dada and new business on the other segment this time.

Speaker Change: JD logistics recorded a 10% revenue growth year on year in Q4, and 21% on a full year basis.

Speaker Change: There are no revenues accounted for 17% of total revenues in both Q4 and full year in terms of profitability.

Ian Su Shan: In terms of profitability, JDL's non-gap operating margin picked up meaningfully, with a 73-bit expansion year-on-year to 2.8% in Q4 and a 22-bit expansion to 0.6% on a full-year basis. Before moving on to the next section, please note that, following Dada's announcement in January, we are reporting the aggregated results of Dada and New Business on the other segment this time. We've adjusted the results of this segment in Q4 to reflect DADA's impact. Revenues of the segment were down 9% and 11% year-on-year in Q4 and full-year respectively, primarily due to DADA's impact and the scaling back of Jingxi and international business, excluding the disposal gain and the impairment loss of long-lived assets of JD property. Non-gap operating loss of the segment was RMB 474 million in Q4 and RMB 1.5 billion in full-year, both representing a substantial narrowing on a year-on-year basis as a result of the scaling back of Jingxi and international business.

Ian Shan: In terms of profitability, JDL's non-GAAP operating margin picked up meaningfully with a 73 bps expansion year on year to 2.8% in Q4 and a 22 bps expansion to 0.6% on a full year basis. Before moving on to the next section, please note that following Dada's announcement in January, we are reporting the aggregated results of Dada and new business on the other segment this time.

Speaker Change: non-GAAP operating margin picks up meaningfully with 73 bps expansion year on year to 2.8% in Q4, and the 22 basis expansion, 2.6% on a full year basis.

Speaker Change: Before moving on to the next section. Please note that following the announcement in January were reporting the aggregate to the results of that in new business on the other segment. This time.

Ian Shan: We've adjusted the results of this segment in Q4 to reflect Dada's impact. Revenues of the segment were down 9% and 11% year-on-year in Q4 and full year, respectively, primarily due to Dada's impact and the scaling back of Jingxi and international business. Excluding the disposal gain and the impairment loss of long-lived assets of JD Property, non-GAAP operating loss of the segment was RMB 474 million in Q4 and RMB 1.5 billion in full year, both representing substantial narrowing down on a year-on-year basis as a result of the scaling back of Jingxi and international business. Moving to the consolidated bottom line. In Q4, we recorded RMB 8.4 billion non-GAAP net income attributable to ordinary shareholders, with non-GAAP net margin expanding 16 bps to 2.7%.

Speaker Change: We've adjusted the results of this segment in Q4 to reflect startup impact revenues of the sacraments was down 9% and 11% year on year in Q4, and full year, respectively, primarily due to bad <expletive> impact under the scaling back of Kinky and international business excluding that.

Speaker Change: Disposal gain and the impairment loss of long lived assets of J D property.

Speaker Change: non-GAAP operating loss of the settlement was RMB 474 million in Q4, and RMB, one 5 billion in full year, both representing substantial narrow down on a year on year basis. As a result of the scaling back of Kinsey our international business.

Ian Shan: Moving to the consolidated bottom line. In Q4, we recorded RMB 8.4 billion non-GAAP net income attributable to ordinary shareholders, with non-GAAP net margin expanding 16 bps to 2.7%.

Ian Su Shan: Moving to the consolidated bottom line, in Q4, we recorded RMB 8.4 billion non-GapNet income attributable to ordinary shareholders, with the non-GapNet margin expanding 16 bits to 2.7% on a full-year basis. Our non-gap net income attributable to ordinary shareholders was RMB 35.2 billion, and the non-gap net margin was up 55 bps year-on-year to an all-time We continue to generate healthy cash flow. Our last 12-month free cash flow as of the end of Q4 was RMB41 billion, an increase of 14% from a year ago. This was driven by our improved profitability and the further optimized cash conversion cycle. By the end of Q4, our cash and cash equivalents, restricted cash, and short-term investment added up to a total of RMB 198 billion.

Speaker Change: Moving to the consolidated bottom line in Q4, we recorded RMB 8.4 billion non-GAAP net income attributable to ordinary shareholders with non-GAAP net margin expanding 16, bips to 2.7% on a full year basis.

Ian Shan: On a full-year basis, our non-GAAP net income attributable to ordinary shareholders was RMB 35.2 billion, and non-GAAP net margin was up 55 bps year on year to an all-time record of 3.2%. We continue to generate healthy cash flow. Our last twelve-month free cash flow as of the end of Q4 was RMB 41 billion, an increase of 14% from a year ago. This was driven by our improved profitability and further optimized cash conversion cycle. By the end of Q4, our cash and cash equivalents, restricted cash, and short-term investments added up to a total of RMB 198 billion. To conclude, we have taken proactive actions and delivered a set of solid financial and operating results in Q4 and full year of 2023, amid evolving external environment and our business refocused.

Our non-GAAP net income attributable to ordinary shareholders was RMB $35 2 billion.

Speaker Change: non-GAAP net margin was up 55, bips, yeah on yet to all time record of three 2%.

Speaker Change: We continue to generate healthy cash flow, our last 12 months' free cash flow as of the end of Q4 was RMB 41 billion.

Speaker Change: An increase of 14%, but yeah. So this was driven by our improved profitability and further optimize cash conversion cycle.

Speaker Change: At the end of Q4, our cash and cash equivalents restricted cash and short term investments.

Speaker Change: Got it up to a total of RMB 198 billion to conclude we have taken proactive actions and delivered a set of solid financial and operating results in Q4, and full year of 2023 amid evolving external environment and our opinions to refocus.

Ian Shan: To conclude, we have taken proactive actions and delivered a set of solid financial and operating results in Q4 and full year of 2023, amid evolving external environment and our business refocused.

Ian Su Shan: To conclude, we have taken proactive actions and delivered a set of solid financial and operating results in Q4 and the full year of 2023 amid an evolving external environment and our business refocus. Going into 2024, we are well positioned to continue to execute the strategies we have in place. We feel confident in making further progress towards our operating priorities of user experience improvement and market share expansion, and we are committed to sharing our success with our shareholders. With that, I will turn it over to Sean. Thank you.

Ian Shan: Going into 2024, we are well set to continue to execute the strategies we have in place. We feel confident in making further progress towards our operating priorities of user experience improvement and market share expansion, and we are committed to sharing our success with our shareholders. With that, I will turn it over to Sean. Thank you.

Speaker Change: Going into 'twenty, 'twenty, four well well set to continue to execute the strategies. We have in place we feel confident in making further progress toward our operating priorities of user experience improvement and market share expansion and we're committed to sharing our.

Speaker Change: That was our shareholders.

Speaker Change: With that I will turn it over to Sean Thank you.

Sean Zhang: Thank you, Sandy and Ian. For the Q&A session, you are welcome to ask questions in Chinese and English, and our management will answer your questions in the language you ask. We will provide English translation when necessary only for convenience purposes only.

Sean Zhang: Thank you, Sandy and Ian. For the Q&A session, you're welcome to ask questions in Chinese and English, and our management will answer your question in the language you ask. We'll provide English translation when necessary for convenience purpose only. In the case of any discrepancy, please refer to our management statement in the original language. Okay, operator, we can open the call for Q&A session.

Sean Zhang: <unk> for the Q&A session, you're welcome to ask a question in <unk>.

Sean Zhang: Chinese and English and our management will answer your question in the language you al will provide English translation when necessary for convenience purpose only.

Operator: In the case of any discrepancy, please refer to our management statement in the original language. Okay, operator, we can open the call for a Q&A session. The question and answer session of this conference call will start in a moment. In order to be fair to all callers who wish to ask questions, we will take one question at a time from each caller. If you have more than one question, please request to join the question queue again after your first question has been addressed.

Sean Zhang: The case of any discrepancy please refer to our management's didn't mean the origin of language.

Sean Zhang: Operator, we can open the call for Q&A session.

Operator 2: The question and answer session of this conference call will start in a moment. In order to be fair to all callers who wish to ask questions, we will take one question at a time from each caller. If you have more than one question, please request to join the question queue again after your first question has been addressed. Your first question comes from Ronald Keung with Goldman Sachs.

Sean Zhang: The question and answer session of this conference call will start in a moment.

Sean Zhang: In order to be fair to all callers, who wish to ask questions. We will take one question at a time and each contract.

Sean Zhang: If you have more than one question. Please your question to join the question queue again. After your first question has been addressed.

Ronald Keung: Your first question comes from Ronald Keung with Goldman Sachs. Thank you, Sandy, Ian, and Sean. Congratulations on your stable performance in the 4th quarter.

Sean Zhang: Your first question comes from Ronald Keung, that's called when shocks.

Ronald Keung: 谢谢Sandy、Ian和Sean，也恭喜这个业绩，非常稳定的一个四季度的表现。那想问呢，我们看到京东和其他的电商公司今年都对这个增长和市场，可能这两个都比较是个重点的一个战略来发展，要保住市场率或者提高市场率，回到增长。那这个电商市场目前增速也已经放缓，那这就比较zero-sum了。那我们应该，今年在推动增长的情况下，我们会怎么balance，怎么平衡这个增长和利润。这个利润的话，从一个除了利润绝对额或者利润，有没有一个目标。那在这个股东回报方面，也看到我们有这个股息，现在差不多USD 12亿的这个regular dividend。那想知道我们对这个整个overall的这个股东回报，我们也看到我们的自由现金流，2023年有差不多USD 60亿，所以我们对于未来这个潜在的dividend和buyback overall的这个回报，会不会以今年看到这个数，未来的这个空间还是有提高的这个空间。那谢谢，我先翻译一下。Thank you Sandy, Ian and Sean. Two questions: one is that JD and other e-commerce companies has focused on defending market share, reigniting growth, as kind of key focuses in this increasingly zero-sum e-commerce market. So how will management strike the balance between growth and absolute profit or growing profits in the year ahead?

Ronald Keung: Yeah, Sandy and Shaun Nah, Yeah going T J good to go yet.

Ronald Keung: You know when when when when did you guys see your doorbell Shan Shan.

Ronald Keung: JD.com and other e-commerce companies are focusing on growth and market share this year. Their strategy is to keep the market share or increase it. However, the increase in the e-commerce market is slowing down, which is a zero-sum game. How do we balance growth and profit this year? Is there a profit target? We have a regular dividend of $1.2 billion.

Ronald Keung: No woman kind of dollars you can do.

Ronald Keung: Ah the alcohol, Mr. Jin Yan door to Egypt didn't drop Bush country, along the beach.

Ronald Keung: P J I'll shoot it won't get Uh Huh, John do it and I found that CIT bullish about you should I don't know what he calls she's telling me Oh no.

Ronald Keung: Do good Dan how should how much went to school yet.

Ronald Keung: Not would you just be zero Osama now Wolverine Guy, Jim Yeah, and say that treat answer and John do you want to have a balanced them up here, okay cool dozen jobs or leave it.

Ronald Keung: We have a free cash flow of $1.6 billion in 2020-2021. Will we see more dividends and buybacks in the future? Thank you, Sandy, Ian, and Sean.

Ronald Keung: And our Hearts go out to the leeway to do well with it even if it moved out no. It's Andrew Gogo don't Quip, All Oh man you kind of let me know Truecar Gucci and TV shy you, maybe I'm not sure it's a regular dividend.

Lei Xu: One is that JD.com and other e-commerce companies have focused on defending market share, and reiniting growth as key focuses in this increasingly zero-sum e-commerce market. How will management strive to balance growth and absolute profit or growing profits in the year ahead? With the profit and cash flow generation, we've seen the regular dividend of $1.2 billion in 2023.

Ronald Keung: A woman to jugal, Joe go over or that you don't play ball well come out more minutes deals and you know gene Daniel ours that Daniel.

Ronald Keung: Steve will mean to you when I drew cool Shanghai, deepen as well, but I think overall, that's going to play ball with you.

Lei Xu: We've seen the free cash flow for the business was nearly close to $6 billion in 2023. So, do we see room to further increase total shareholder return given the strong free cash flow of the business in the years ahead? Thank you. Thank you, Ronald.

Ronald Keung: And I know that you go through.

Ronald Keung: Cones and actually all what he called digital content are not you know if I use I think you said Ian and Sean.

Ronald Keung: I have two questions. One is that J D and E. Commerce companies has focused on defending market share reigniting growth.

Lei Xu: I will answer the first question, and Ian will answer the second question about the return. First of all, the balance between growth and profit has always been a very good issue. As you can see, in 2023, we have taken a lot of action on the basis of our business health. For example, in the past year, we have continuously increased the number of customers' shopping experiences and services. We have expanded the price protection range, free delivery, and gradually expanded our 3P business. In addition, we have not only increased the number of customers' shopping experiences and services but also increased the number of customers' shopping experiences and services in JD. In fact, we can see that the number of customers' shopping experiences increased rapidly in the fourth quarter, especially the growth of new customers, and the trend of growth has continued into the first quarter. At the same time, we have not seen a significant decline in our profits, although our services and experiences are constantly increasing. This is why we are trying to find a balance.

Ronald Keung: Just kind of keep leukocyte in this increasingly zero sum ecommerce market. So I will manage been strikes a balance between growth and absolute profit or growing profits in the year ahead and with that with the profit and cash flow generation than we'd seen the regular dividend of a 1.2 billion.

Ronald Keung: With that, with the profits and kind of cash flow generation, then we've seen the regular dividend of $1.2 billion in 2023. We've seen the free cash flow for the business was nearly close to $6 billion in 2023. Do we see room to further increase total shareholder return, given the strong free cash flow of the business in the years ahead? Thank you.

Ronald Keung: 2023, and we've seen the free cash flow for the business was nearly close to 6 billion U S dollars.

Ronald Keung: 2023 so do we see room to further increase our total shareholder return.

Ronald Keung: Given the strong free cash flow of the business in the years ahead. Thank you.

Ian Shan: 好的，谢谢Ronald。好，我来回答第一个问题，然后Ian来回答第二个关于这个回报的问题。那首先第一个，这个增长与利润的平衡其实一直都是一个就是非常好的问题。那2023年其实大家可以看到，就是我们在持续聚焦我们业务健康度的基础上，其实我们采取了很多的动作，那包括这个用户体验方面、低价心智，还有这个平台生态的建设。那这个比如说我们其实大家也看到，在过去一年我们在用户的购物体验上和服务上是在不断地加码的。

Ronald Keung: How about teaching I dunno, how well are we thought either in T. I got you and lastly, backyard can claim you think oh, he bothering him Mr. Tim do you guys see that come down in the Midland up here she needs. It though she got cause she feeds her Halloween yeah, no I mean, I suddenly take a walk me come back just one more.

Ronald Keung: Paul places to sell them and you know, we're still hungry for transmission how shall I put it on tour now Paul Correct me if I'm.

Ronald Keung: He's asking sort of held to the professional guidelines to ensure that took them to show them that you see that's all kind of coaching element child, who shall she thought but.

Lei Xu: At the same time, we are also optimizing our own purchasing costs and enriching our low-price goods. While emphasizing low-price quality, on the one hand, we are strengthening the supply of low-price goods. We have also launched a series of measures, such as a hundred-yuan subsidy, a 9.9-dollar subscription channel, and a reduction in the purchase threshold.

Sandy Xu: 那包括就是推出和升级，我们扩大了这个价格保护的范围。然后呢，这个免费上门退换货，这个从自营也逐步在扩展到我们的这个3P的业务，那然后还有这个退款不退货这些服务，其实都在不遗余力地去提升用户的购物体验和服务水平，也在不断地提升我们京东差异化的这个购物和服务体验。那么这个到四季度，其实我们看到就是购物用户数在加速增长，特别是新用户的增长，而这个增长趋势也持续到一季度。那么，这个与此同时呢，其实大家并没有看到，相信大家并没有看到我们的利润出现了大幅的下降，就是虽然我们的服务和体验在不断加码，这就是我们在试图寻求这个平衡点。那么同时呢，我们也在优化我们自己的采购成本和丰富我们的低价货盘。那么这个在强调低价性质的同时，就一方面是加强低价商品的供给，那我们也推出了比如说百亿补贴，比如说九块九的包邮频道，还有我们免邮门槛下调这一系列的措施，其实呢，都是在用户感受到这个低价品质好货的同时，也带动了用户的购物频次的提升。那我们也相信，就是我们一方面这个通过持续地去提升用户的体验，那么它可以让我们获得更加健康的用户增长以及购物频次的提升，从而呢，这个自然而然带动我们业务规模和市场份额的增长。

Ronald Keung: My phone call just two questions here with my style I took a soccer ball, who doesn't know a whole lot in waukesha mentor, Oh, we got to put that question to the hoops that.

Ronald Keung: And I have two quick ones.

Ronald Keung: That's cool, especially those that are going to be bad sheets mission critical yeah, hopefully that shouldn't cool with that.

Ronald Keung: Predominately shall woman syndrome, Chinese wire Oh, yeah.

Ronald Keung: M. A C pulse system to a tissue on the combos of Chicago's own pushes on Castleton job publisher, that's one Josh I'd say they'll somehow tissue. She thought you could do some.

Ronald Keung: Hum.

Ronald Keung: She's our use of wholesale that she thought that female condom something that I've been able to find out what maybe you're going to see on a basketball hockey on social selling.

Lei Xu: In fact, while users feel the low-price quality of good goods, it also drives an increase in the user's shopping quality. We also believe that, on the one hand, by continuously improving the user experience, it can help us achieve healthier user growth and better shopping quality. Therefore, it naturally drives the scale of our business and our market share.

Ronald Keung: We ended up with a demo to show up in a bunch of school central pick up here.

Ronald Keung: No matter, who should I want me, probably youll column, what Pablo Tampa, Portland, but I can tell offhand no magic I'll talk about that since you are cautious because it's only in ships that Townsend Josh Nichols.

Ronald Keung: It's a whole lot about April here.

Ronald Keung: Sure.

Ronald Keung: Now I don't want midnight woman, that's how can you see it that's for sure.

Ronald Keung: Natasha cocoa cashew about people peace apps and job for their cushy a python.

Speaker Change: Okay stop he showed.

Lei Xu: Thank you, Ronald. I will answer your first question, and Ian will answer the second question. So the questions on growth and versus profits have always been a good question. And in 2023, while firmly focusing on the health of our business, we made many efforts and took action to further enhance our user experience, low-priced mindshare, and platform ecosystem. So, for example, last year, we stepped up our efforts to improve the user shopping experience and services by introducing or expanding a series of differentiated shopping and customer services, such as our price guarantee service, a free doorstep pickup service for returns and exchanges, the service extending from our 1P to our 3P businesses, and also a refund without return service, and more. We've seen an accelerated growth in quarterly shopping users in Q4, especially in the number of new users, and we expect the growth trend to continue in Q1.

Speaker Change: My assumption to share with you found me into that too much to see that she keeps coming up with it yeah, no matter, how clean out whatnot koto contesting comedy the opportune time to cope with T cell poor or not.

Speaker Change: And based on what May you know clean washed out.

Speaker Change: Yeah.

Speaker Change: Uh huh.

[Company Representative 1] (JD.com): Thank you, Ronald Keung. I will answer your first question and Ian Shan will take the second question. The question on growth and versus profit has always been a good question. In 2023, while we're firmly focusing on the health of our business, we made many efforts and took action to further enhance our user experience, low-price, high-share and platform ecosystem. For example, last year we stepped up our efforts on user shopping experience and services by introducing or expanding a series of differentiated shopping and customer services, such as our price guarantee service, a free doorstep pickup service for returns and exchanges. This service expanding from our 1P to our 3P businesses and also a refund without return services and more. We've seen an accelerated growth in quarterly shopping users in Q4, especially in the number of new users, and we expect the growth trend to continue in Q1. At the same time, we don't see any major drop of our profits, which also reflects our efforts on maintaining a balance between growth and revenues and profits. We continue to optimize procurement costs and expand our range of low-cost products. In addition, we have introduced a series of measures, including the RMB 10 billion discount program, the 99 RMB items with free shipping channel, and a lower order value threshold for free shipping. Our goal is to provide high quality products at affordable prices to increase user purchase frequency. We believe that continuous improvement of user experience will promote healthy user growth and purchase frequency, which in turn will help us to increase business scale and market share.

Speaker Change: Thank you Lou next I won't ask you I will answer your first question Andrew.

Speaker Change: Second question. So on the question on the gross profit.

Conflict has always been a good question and in 2023, Oh, Wow, a friend, who keep focusing on the health of.

Speaker Change: I'm on my business. He made many offers hunger took actions to further enhance user experience.

Speaker Change: Mindshare and platform ecosystem.

Speaker Change: At some point.

Speaker Change: Last year, we stepped up on stepping up our efforts on user shopping experience and services by introducing we're expanding our theory for a differentiated shopping and customer experiences, especially with summer Ah price guaranteed service and a free doorstep pick up service with returns on.

[Company Representative 1] (JD.com): This service expanding from our 1P to our 3P businesses and also a refund without return services and more. We've seen an accelerated growth in quarterly shopping users in Q4, especially in the number of new users, and we expect the growth trend to continue in Q1. At the same time, we don't see any major drop of our profits, which also reflects our efforts on maintaining a balance between growth and revenues and profits. We continue to optimize procurement costs and expand our range of low-cost products.

Speaker Change: Exchanges these previous expanding from a one P two or three P businesses and a refund without return services and more at.

Speaker Change: And we've seen an accelerated growth in quote.

Speaker Change: Shopping users from Q4, and especially in the new now.

Speaker Change: New users and we expect the growth trends to continue in Q1 at the same time you do.

Lei Xu: At the same time, we don't see any major drop in our profits, which also reflects our efforts in maintaining a balance between growth, revenues, and profits. Furthermore, we continue to optimize procurement costs and expand our range of low-cost products. In addition, we have introduced a series of measures, including the 10 billion yuan discount program, the 99 yuan items with free shipping channel, and a lower order value threshold for free shipping.

Speaker Change: Any major jump off on a coffee, which is also a reflection.

Speaker Change: It reflects all the efforts and maintain a balance between growth and revenues and profit.

Speaker Change: And I'm also a we continue to optimize procurement and expand our range of low cost products.

[Company Representative 1] (JD.com): In addition, we have introduced a series of measures, including the RMB 10 billion discount program, the 99 RMB items with free shipping channel, and a lower order value threshold for free shipping. Our goal is to provide high quality products at affordable prices to increase user purchase frequency. We believe that continuous improvement of user experience will promote healthy user growth and purchase frequency, which in turn will help us to increase business scale and market share.

Speaker Change: In addition, we have introduced a series of measures, including the 10 billion discount program 19, neither items with free shipping channel and a lower order value threshold for free shipping.

Lei Xu: Our goal is to provide high-quality products at affordable prices to increase user purchase frequency. We believe that continuous improvement of user experience will promote healthy user growth and purchase frequency, which in turn will help us to increase business scale and market share. From the perspective of the platform ecosystem, more and more new business owners are joining our platform, and the business is also growing rapidly.

Speaker Change: Our goal is to provide high quality products at affordable prices to increase user purchase frequency.

Speaker Change: Leave that continuous improvement.

Speaker Change: Their experience, where promote healthy user growth and purchase frequency, which in turn will help us to increase scale and market share.

Speaker Change: <unk>.

Sandy Xu: 然后，从这个平台生态的角度来看，在我们的平台上也有越来越多的新商家加入，那业务也进入轨道的活跃商家数也是在加速增长的，那它也给我们带来了更好的、更丰富的商品供给，然后也带动我们3P业务的用户数和订单量取得了加速的增长。所以在2024年，我们也会继续地去关注用户体验，继续去聚焦在价格竞争力和完善我们平台生态建设这几个重点的方向上，更加关注去把这些战略落地执行好，那我们也有信心继续去获取市场份额。

Speaker Change: Well not posers apartheid, sometimes I talk like huh.

Speaker Change: Okay sounds good.

Speaker Change: Sounds that sounds all right.

Speaker Change: To go to.

Speaker Change: Two real quick.

Lei Xu: It also brings us better and richer product supply and led to the rapid growth of the number of users and orders for our CP business. So in 2024, we will continue to pay attention to the user experience, focus on price competitiveness, and improve the key directions of our platform eco-construction and pay more attention to implementing these strategies on the ground. We also have confidence to continue to gain market share. So from a platform ecosystem perspective, we have seen more and more new merchants joining JD's marketplace, and the number of active merchants whose business is growing on our platform is increasing at an accelerated rate.

Speaker Change: Yes, I'm not sure yeah, she thought possible.

Speaker Change: Oh Cool Menthol Atlanta took a co hotdogs go home for them.

Speaker Change: Uh-huh Piper wanted here, which I won't go shore downtown.

Speaker Change: She got a lot of times with a phone call Hooper.

Speaker Change: Awesome.

Speaker Change: He shouldn't sequentially yeah.

Speaker Change: Telecom sockets and tell me if I'm sure I won't mention Hasan hopefully shorten that talking about the wholesale shop number comstock onto a cheap option can you tell me now.

Speaker Change: Hello, Neil who since which of course for so long.

[Company Representative 1] (JD.com): From a platform ecosystem perspective, we have seen more and more new users, new merchants are joining JD's marketplace, and the number of active merchants whose business growing on our platform is increasing at an accelerated rate. Their participation has greatly improved the diversity of product offerings on the platform, leading to accelerated growth in both the number of users and orders on our marketplace. In 2024, we will prioritize improving user experience, price competitiveness, and platform ecosystem. We will make unswerving efforts to execute on these key areas with confidence that we will continue to gain market share.

Speaker Change: So from a platform ecosystem perspective.

Speaker Change: We have seen a more and more new use new merchants are joining Jay this marketplace and the number of active merchants, whose business growing on my platform is increasing at an accelerated rate.

Lei Xu: Their participation has greatly improved the diversity of product offerings on the platform, leading to accelerated growth in both the number of users and orders on our marketplace. So in 2024, we will prioritize improving the user experience, price competitiveness, and the platform ecosystem. We will make unswerving efforts to execute on these key areas with confidence that we will continue to gain market share. What I want to emphasize is that our business model itself determines that the increase in business scale and technical level will inevitably lead to efficient improvement. And the benefits of these improvements can allow us to continue to invest in them in the user experience, thereby bringing better user flexibility, user shopping frequency, and user growth, and thus continuing to bring business scale growth. This is a continuous positive cycle, and it does not necessarily have a major impact on profits.

Speaker Change: Their participation has greatly improved the diversity of product offerings on the platform leading to accelerated growth.

Speaker Change: In both the number of users and borders my marketplace. So in 2024, where they'll prioritize improving user experience price competitiveness and a platform ecosystem.

Speaker Change: We will make our suburban efforts to execute on these key areas with confidence that we will continue to gain market share.

Sandy Xu: 所以我想强调的是，我们的商业模式本身决定着业务规模的提升，技术水平的提升必然会带来效率的提升，而这些提升所带来的收益可以让我们把它们持续地用于投入到用户体验中去，从而带来更好的用户粘性、用户的购物频次以及用户增长，从而持续带来业务规模的增长。这是一个可以持续的正向循环，并不一定会对利润有大幅的影响。其实这个也是我们这么多年其实持续在跟市场沟通的这个我们商业模式本身的逻辑哈。而这个利润呢，其实自然而然就会来自于我们持续提升的市场份额和对用户的价值创造。那么从管理层的角度，我们也会去平衡好这个投入和增长的节奏，那么会去关注为股东带来更好的回报。

Speaker Change: So what I'm kind of got US now Orlando showing them more shipping so taking the Queen mother, who shall tissue shops and that he shouldn't be though with that lifestyle need X. Michele I just think he shows that let US show you cleaned out what month.

Speaker Change: I'm interested if they're going to be totally without real quick.

Speaker Change: I felt like a lot of local news.

Speaker Change: We'll put a cold too.

Speaker Change: I'm, John Huston, Chicago Blue microphones tissue culture, that's sometimes Shanghai.

Speaker Change: Because their needs are you comfortable with that he took over a short man automaton limited choices that those should have gotten up to go well.

Lei Xu: In fact, this is also the logic of our business model itself, that we have been communicating with the market for so many years. And this profit will naturally come from our continued increase in market share and value creation for users. From a management point of view, we will also balance the pace of investment and growth and will pay more attention to bringing better returns to shareholders.

Speaker Change: Some of them are sufficient number of pool.

Speaker Change: And that's just to say I ran into her lifestyle interpretation, there Chicago Philadelphia.

Speaker Change: You talked about that much on quality.

Speaker Change: So hard to the cool pool.

Speaker Change: That's all my motto sequentially don't alcoholic football.

[Company Representative 1] (JD.com): Here I want to re-emphasize that our business model decides that business efficiency comes from enhancing business scale and technological development. With these enhancements, we receive increased revenue that we can invest in enhancing user experience. This in turn leads to increased user engagement, shopping frequency, and user growth, ultimately resulting in business scale growth. This creates a sustainable and virtuous cycle. Although it may not have a significant impact on profit, this is the point we are constantly communicate with our investors, and this is the logic of our business model. The profits are a natural result of our expanding market position and value creation for our users. During this quarter cycle, our management team will strive to maintain a balance and a good pace between investment and growth, while creating good returns for our shareholders. Thank you.

Speaker Change: So here I want to reemphasize that our business model decides that business efficiency comes from enhancing business scale and technological development.

Lei Xu: So here I want to re-emphasize that our business model decides that business efficiency comes from enhancing business scale and technological development. Thus, with these enhancements, we receive increased revenue that we can invest in enhancing user experience. This, in turn, leads to increased user engagement, shopping frequency, and user growth, ultimately resulting in business-scale growth. Thus, this creates a sustainable and virtuous cycle, although it may not have a significant impact on profits.

Speaker Change: These enhancements will receive increased revenue that we can impact enhancing user experience.

Speaker Change: This in turn leads to increase the user engagement shopping frequency and user growth ultimately, resulting in business scale growth.

Speaker Change: This creates a sustainable engine virtuous cycle, although it may not have a significant impact on profits. So this is the point we are constantly communicate with knowledge of doctors.

[Company Representative 1] (JD.com): Although it may not have a significant impact on profit, this is the point we are constantly communicate with our investors, and this is the logic of our business model. The profits are a natural result of our expanding market position and value creation for our users. During this quarter cycle, our management team will strive to maintain a balance and a good pace between investment and growth, while creating good returns for our shareholders. Thank you.

Lei Xu: So this is the point we constantly communicate with our manufacturers, and this is the logic of our business model. So profits are a natural result of our expanding market position and value creation for our users. So, during this course and cycle, our management team will strive to maintain a balance and a good pace between investment and growth while creating good returns for our shareholders. Thank you. Thank you, Ronald.

And the system largely come out of a business model, where the profits are a natural result of our expanding market position and value creation for our users. So during these calls the cycle of our management team will strive to maintain a balanced and a good pace between investments in growth, while creating a good return.

Speaker Change: Thanks to our shareholders.

Speaker Change: Thank you.

Speaker Change: Oh no need to go.

Ian Shan: 谢谢 Ronald，多谢你对股东回报的关注，我借此机会向大家汇报一下我们的想法和我们正在执行的动作。首先，京东关注业务的长期健康发展，包括业务规模的健康扩张，以及利润和现金流的长期的稳定的增长。在这个基础上，我们重视长期的股东回报，会通过不同的方式去回馈我们的股东，我们的资产负债表也是非常强劲，我们认为保持良好的股东回报和对业务的持续投入都是我们的重点。

Ian Su Shan: Thank you for your attention to shareholder returns. I would like to take this opportunity to report on our thoughts and actions. First, JD focuses on the long-term healthy development of the business, including the healthy expansion of the business scale and the long-term stable growth of profits and cash flows. On this basis, we value long-term shareholder returns. We will respond to our shareholders in different ways. Our asset-asset ratio is also very strong. We believe that maintaining a good shareholder return and continuous investment in the business are our focus. This is Ian.

Speaker Change: Could also have all gone through a whole or just with you with John definitely bothers, how often does jump out of home and genzyme choosing the Guangdong.

Speaker Change: So again seeing don't come to you with a chance to get him back on the ground hauling the bulk or you know grim.

Speaker Change: Graeme or the gym, Concordia I don't know how you deliver.

Speaker Change: Other times, you know one thing the Xinjiang hold steady with tissue on the woman cone sure Chancellor, who don't play ball got hole when it's when you go up with all the furniture Triple Chromebook, who don't got whole woman who.

Speaker Change: Yeah. She unchallenging.

Speaker Change: Sure now how those who don't play ball, so Oh, yeah, well does she total doorwoman joined here.

Ian Su Shan: Thank you, Rana, for asking about shareholder returns. I'd like to take this opportunity to update investors on our current thoughts and moves. Firstly, JD focuses on the long-term healthy development of our business, aiming for healthy scale expansion and stable growth in profits and cash flow. On top of this, we're committed to long-term shareholder return and will continue to give back to our shareholders in various ways. Our balance sheet is strong, and we believe that maintaining a good return to shareholders and continuous investment in our business are not contradictory.,,,,,,,,,,,,,,,,,,,,,,, This is thanks to last year's rapid earnings growth, which yielded solid returns for our shareholders. So, over the past three years, we have returned a total of 4.2 billion US dollars in dividends.

[Company Representative 1] (JD.com): This is Ian. Thank you, Ronald, for asking about our shareholder returns. I like to take this opportunity to update investors on our current thoughts and moves. Firstly, JD focuses on the long term healthy development of our business, aiming for healthy scale expansion and stable growth in profits and cash flow. On top of this, we are committed to long term shareholder returns and will continue to give back to our shareholders in various ways. Our balance sheet is strong and we believe that maintaining a good return to shareholders and continuous investment in our business are not contradictory.

Speaker Change: Biggest ear. Thank you for.

Speaker Change: So asking about her on shareholder returns.

Speaker Change: I like to take this opportunity to upgrading factories are kind of thoughts and move on.

Speaker Change: Firstly E J D. A poker sits under long term healthy development of our business.

Speaker Change: An important healthy scale expansion and stable growth in profits and cash flow.

On top of it we're committed to long term shareholder return and we will continue to give back to our shareholders in various ways.

Speaker Change: From a balance sheet is strong and we believe that maintaining a good returns for shareholders and to continue with investments in our business are not contradictory.

Ian Shan: 然后我们刚刚宣布了今年会派发十二亿美金的年度股息，股息金额的增长得益于去年利润的快速增长，那会为我们的股东创造实在的这个现金收益。然后目前呢，我们已经连续三年累计分红四十二亿美金。那接下来我们的目标也是持续进行的年度分红，然后与股东共享这个公司的价值创造。

Speaker Change: Our whole woman Dongguan Shimbun, Gmail, whereas a charlotte managing the.

Speaker Change: C Corp, sitting or are there things out until each union, leaving the classes and job Oh boy, we want when they'll go with one trumps all shares that you guys see neutral we got onboard you know them by using their shoes, Danielle. It's almost majority of amazing no doubt I'll know more valued shoes teaching and learning from home now how you call Don Queens Challenge of Gulf Coast.

Speaker Change: The chapter Townsville.

[Company Representative 1] (JD.com): We have just announced an annual cash dividend of $1.2 billion. This is thanks to last year's rapid earnings growth, which yielded solid return for our shareholders. Over the past three years, we have returned a total of $4.2 billion in dividends, and we plan to continue pay annual dividends going forward, sharing the company's value creation with our shareholders.

Speaker Change: We have just announced an annual cash dividend of 1.2 billion left on it.

Speaker Change: Thanks to lots of its rapid earnings growth, which are good solid return for our shareholders.

Speaker Change: So over the past three years, we have returned a total of $4.2 billion do different things.

Ian Su Shan: And we plan to continue to pay annual dividends going forward, sharing the company's valuation with our shareholders.,,,,, Also, our board of directors has approved a new repurchase program to buy back up to $3 billion U.S. dollars worth of company shares over the next three years. We will firmly execute the buyback and communicate with investors regularly. We believe that investors will recognize the company's tangible efforts to share its value with shareholders. Thank you. Okay. Thank you. Thank you, Ronald.

Speaker Change: We plan to continue paying annual dividends going forward sharing the company's value creation with all of our shareholders.

Ian Shan: 同时，我们董事会也批准了新的回购计划，那公司计划在未来三年回购三十亿美金，我们将坚定地执行回购，并且定期地与投资人沟通。那相信市场会看到公司在股东分享公司价值方面做出的实实在在的努力。

Porsche woman Tongs, you'll play Pedro thing, though if we go too far now goes to see if I have that with US and you know for the Golar bunch of amazing well, then jumped anything they're choosing where to go.

Speaker Change: Pinch hitting she the you told them go to the challenging Chicago It kind of goes to that who don't infringe on constant chatter from you and so to that sure that that doesn't only.

[Company Representative 1] (JD.com): Our board of directors have approved a new repurchase program to buy back up to $3 billion worth of company shares over the next three years. We will firmly execute the buyback and communicate with investors regularly. We believe that investors will recognize the company's tangible efforts to share its value with shareholders. Thank you.

Speaker Change: Also our board of directors have approved a new repurchase program to buy back two and three.

Speaker Change: $3 billion worth of company shares over the next two or three years.

Speaker Change: We will firmly execute the buyback and communicated with investors, making money with the reef that investors will recognize the company's tangible efforts to share its value with shareholders.

Speaker Change: Thank you.

Ian Shan: Okay, any question?

Speaker Change: Okay.

Ian Shan: Thank you, Ronald.

Speaker Change: Yeah.

Thank you Ronald.

Kenneth Fong: Your next question comes from Kenneth Fong with UBS. Hi Sandy Chong, Ian, Sean, hello everyone. Thank you for your questions. I have two questions. The first one is about the ecosystem of the platform. Our company has invested in the banana industry. The number of banana trees and fruit trees in Xinjiang has been growing well.

Operator 2: Your next question comes from Kenneth Fong with UBS.

Speaker Change: Your next question comes from Kenneth Fong with UBS.

Kenneth Fong: Sandy 总，Ian，Sean，大家好，谢谢接受我的提问。我有两个问题啊。第一个是关于这个平台生态，我们公司以及投入这个 3P 的商家，从新增的商家数，活跃的商家数量也取得了不错的成效，管理层在什么前提以下，或者什么情况以下，我们会加速加快对 3P 商家的变现呢？然后，二四年我们 3P 的策略有什么改变以及更新吗？然后我第二个问题就是关于海外的策略。我们看到不少的电商平台在海外也已经开始加大投入，可以分享一下 JD 在海外一些想法以及策略吗？我机翻一下。Thank you very much for taking my question. My first question is on the platform ecosystem. We have been investing to build our 3P ecosystem. Judging from the total and active merchants, we have received very solid results. Can management share with us under what circumstances we will start to accelerate monetization of the 3P merchants?

Kenneth Fong: Hi, sandstone and Sean that's at a house as you just saw that you weren't willing to go into your do you guys see why don't you do losing time, sometimes a woman goes to EG told them to go see Peter Sonya tone. She go away sometime soon.

Speaker Change: Yeah, it shoot up which all of us in one tongue tied so much hinchey Shaw, who do so much in Guangzhou.

Kenneth Fong: What are the conditions and conditions under which we will speed up the development of the banana industry? Is there any change or update in our 3P strategy in 2020? My second question is about the overseas strategy. We have seen that many e-commerce platforms have started to invest overseas. Can you share some of your thoughts and strategies for overseas? Let me give you an example.

Speaker Change: Josh to Shanghai.

Speaker Change: And as you know now I seen in one where there's particular trulia, you'll smoked chicken Shimon.

Speaker Change: Now once you have the one she Jewish you're going to use high while each oh.

Speaker Change: Well, it's kind of up with that which I didnt touch on why you didn't catch it.

Speaker Change: Are you fishing J D J highlighted it sounds like you're putting them Oh, what do you find you shop.

Kenneth Fong: Thank you, Management, for taking my question. My first question is about the platform ecosystem. We have been investing to build our free P ecosystem, and judging from the total number of total merchants and active merchants, we have received very solid results. Can Management share with us under what circumstances we will start to accelerate monetization of the free P merchants? And also for 2024, any changes and updates for our free P strategy? And my second question is for overseas.

Speaker Change: Thank you management for taking my question. My first question is on the platform ecosystem.

Speaker Change: Investing to build our free P ecosystem stretching from the total active merchants. We have received very solid result can management share with us under what circumstances, we will start to accelerate monetization of the three P merchant and also for 2024 and the change in uptake for our free T shirts.

[Company Representative 1] (JD.com): Also for 2024, any change and update for our free strategy? My second question for overseas, we see a lot of e-commerce platforms are investing overseas. Can management share with us your thoughts on our overseas expansion? Thank you.

Speaker Change: And my second question people overseas are we.

Lei Xu: We see a lot of e-commerce platforms investing overseas. Can management share with us their thoughts on our overseas expansion? Thank you.

Speaker Change: See a lots of E. Commerce platform are investing overseas can management share with us your thoughts on our overseas expansion. Thank you.

Lei Xu: Thank you, Kenny. Let me answer the first question about the ecosystem of the platform. If we talk about the ecosystem of JD's platform, which includes Zilin and 3P, and they are interwoven, this is to provide a better user experience of JD's platform. NPS is also improved in Q4. ???????????????????????????????????????????? ??3P??????????????????? ??3P??????????????????? ???????????? ???????????? ??????????? ??????????? ??????????????? ??????????????? ?????????????? ?????????????? ??????????? ??????????????? ??????????? ??????????????? ???????????? ???????????? ????????????????? ????????????????? ??????????????? ????????????????????? ????????????????????? ???????????? ??????????????? ????????????? ????????, Transcribed by https://otter.ai, Thank you, Kenny.

Ian Shan: 谢谢Kenny。然后我来回答第一个关于平台生态的问题。如果之前跟大家沟通，京东的平台生态包含了自营和3P，两者是相辅相成的，这个都是为了提供更好的京东平台的用户体验。NPS在Q4也是同比提升的。平台生态也是我们一直以来重点投入的战略方向。就3P的发展来说，我们还是有很多需要提升的地方。第一步还是增加招商和供给，吸引更多的用户、商户，帮助他们在京东平台上更好地运营，为我们的用户提供更丰富的商品，也形成全平台的良性竞争。过去的一年，我们加大了招商的力度，简化了商家的入驻流程，也加大了对中小商家的扶持和费用减免，带动了平台上商家规模的快速增长。到目前为止，我们的有效商家数已经接近了百万，基本达到了我们去年初给我们自己设定的目标。活跃商家数是在加速增长的，越来越多的新商家在京东平台也逐步找到了有效的经营方式，不断地成长和扩大。

Speaker Change: Oh says you can't eat a whole lot off without ego guang team hadn't had it wasn't here Oh, no I was just saying that Apple's own thing Don the passion type all I love seeing coarse M P.

Speaker Change: Yeah, Josh it sounds with Samsung.

Speaker Change: Got hooked to the Doescher whaler Hugo can halt the kingdom Kintigh, though you don't have T. N N P. S that chose their at home being shunned up teen fashion paranoia Shawarma EG Lightroom del Toro the general phones down no Joe Santee, the farther out I wish you all well know actually opened those shell teach them. The depot enable has shared thing Jack I was also going to go.

Speaker Change: Halsey and couldn't bother you own a whole shrunk down towards him and say I don't think that I can't go harder you hanging with them. They don't you won't get a phone call.

Speaker Change: Yeah sanctioned champion's had allowances zynga culture, the Union woman sat out our charts on the needle downhaul, while are shown data truly ultra yeah sat out on its own cell phones out of food shoe for film Jim Yeah, but I don't want to pin Hashana Shanghai grandmother Classic syndrome, No doubt, we'll chat with you a woman does your cell phones.

Speaker Change: We didn't say anything about what the different that other woman Xi'an Chongqing Wuhan city shutting the mobile well, yeah, Shaun Josh will shoot that Johnson <unk> Johnson that Oh, yeah that your daughter syndromes outside it seemed daunting pie if you will.

Speaker Change: Our dollar you'll show the kidney function well done the change also in Chicago called out.

[Company Representative 1] (JD.com): Thank you Kenny. To your first question about platform ecosystem, as I have previously mentioned, JD's platform ecosystem includes both our self-operated and third-party models. The tools are complementary to each other and jointly contribute to create good user experience. Our Net Promoter Score has improved substantially in Q4 for both 1P and 3P. We have been investing in platform ecosystem as a long-term strategic direction, so there is still a lot of room for improvement in our 3P business development. Our first step is to increase the number of merchants and their product offerings. We need to attract more merchants and help them succeed on the platform in order to enrich the platform's product offerings for our shoppers and foster positive business competition across the platform. Over the past year, we have increased our efforts to recruit merchants, simplified their onboarding processes, and provided more support and fee reductions for small and medium-sized merchants. To date, the number of effective merchants on our platform is close to 1 million, reaching the goals we set for ourselves at the beginning of last year. The number of active merchants have accelerated. More and more merchants, new merchants are finding effective ways to do business on our platform and continue to grow.

Hmm mm.

Speaker Change: Thank you Kenny.

Speaker Change: Your first question about platform ecosystem.

Speaker Change: As I have learned previous connection Jd's platform ecosystem includes both our self operated and third party motors to choose our complementary other and joined three country teams to create good user experience.

Speaker Change: Match promoter score has improved substantially in Q4.

Speaker Change: For both one P. M. Three P. We have been investing in platform ecosystem as a long term strategic direction.

Speaker Change: Is there are there is still a lot of room for improvement in our three key business development.

[Company Representative 1] (JD.com): Our first step is to increase the number of merchants and their product offerings. We need to attract more merchants and help them succeed on the platform in order to enrich the platform's product offerings for our shoppers and foster positive business competition across the platform. Over the past year, we have increased our efforts to recruit merchants, simplified their onboarding processes, and provided more support and fee reductions for small and medium-sized merchants.

The first attack is to increase the number of merchants and their product offerings, we need to attract more merchants and help them succeed on our platform in order to enrich the platforms product offering for our shoppers and foster positive business competition across the platform.

Speaker Change: Over the past year.

Speaker Change: We have increased our efforts to recruit merchants simplifying their onboarding processes.

And provided more support and fee reductions for small and medium sized merchants.

[Company Representative 1] (JD.com): To date, the number of effective merchants on our platform is close to 1 million, reaching the goals we set for ourselves at the beginning of last year. The number of active merchants have accelerated. More and more merchants, new merchants are finding effective ways to do business on our platform and continue to grow.

Speaker Change: To date, the number of active merchants on our platform, it's close to 1 million, reaching the goals we set for ourselves at the beginning of last year.

Lei Xu: To your first question about the platform ecosystem, as I have previously mentioned, JD's platform ecosystem includes both our self-operated and third-party models. The tools are complementary to each other and jointly contribute to creating a good user experience. Our match promoter score has improved substantially in Q4. For both 1P and 3P, we have been investing in the platform ecosystem as a long-term strategic direction. So there is still a lot of room for improvement in our 3P business development.

Speaker Change: The number of active merchants have accelerated more and more new merchants baidu effective way to do business on our platform and continue to grow.

Ian Shan: 然后第二步呢，我们也看到用户端的积极反馈，然后我们有更多的3P成交用户，3P的订单量也在不断地增长，同时3P的用户体验也在持续提升，3P以及整体的GMV逐步进入健康增长的轨道。

Speaker Change: Oh, Dear Oh, Bruno well me a kind of you don't have to Wonder did you found quick Oh, a meal couldn't order, some pizza and Julian who San Pedro downtown Yes, I put on the Xinjiang pulses I'm, Peter I O T. A S. I Tricia T shirt, some PG turnkey that Jeremy with Jim you Jim comes in ground up with Dol.

[Company Representative 1] (JD.com): At the same time, we've received positive feedback from users. The number of our shopping users and order volume on 3P platform continue to grow, with users NPS for 3P rising at the same time. Both our 3P and overall GMV have gradually entered a trajectory of healthy growth.

Speaker Change: At the same time.

Speaker Change: We've received positive feedback from users.

Speaker Change: After a shocking to users in order volume I'm Sleepy platform continues to grow.

Lei Xu: Our first step is to increase the number of merchants and their product offerings. We need to attract more merchants and help them succeed on the platform in order to enrich the platform's product offerings for our shoppers and foster positive business competition across the platform. Over the past year, we have increased our efforts to recruit merchants, simplified their onboarding processes, and provided more support and fee reductions for small and medium-sized merchants. To date, the number of merchants on our platform is close to one million, reaching the goals we set for ourselves at the beginning of last year.

Speaker Change: With the users and he asked for three P. Rising at the same time those other three P and L. G. M. D has gradually entered a trajectory of healthy growth.

Ian Shan: 构建京东独特的平台生态是一项长期工程，我们还处于早期的阶段。当前3P的快速变现不是我们短期内的首要任务。2024年的重点仍是吸引更多的商家，特别是产业带的中小商家，丰富我们的商品供给，同时不断优化平台生态的商家成长和治理的工具。继续优化流量分发机制，为商家创造清晰的成长路径和公平的竞争生态，提升用户在3P业务上面的体验，推动自营和POP的共同繁荣发展。

Speaker Change: Oh Damn thing Don could I shouldn't actually sound transit contract got hold of my High School you talk to that you're doing now downtown San Pedro quite simple Shulman. Once you know you don't show it all real alrighty Orange vanilla drone Darren choose seeing couldn't do the sounds yeah.

Speaker Change: Kobe should try it out at Georgetown strong gasoline for them in the Shanghai going to you got hold hoelscher, Buda and you'll have some passion had some jobs and jobs. So actually the ones you alcohol not tissue Europe auto down since our teacher, a whole way Shanghai trumps all changed the Qingdao looting.

Lei Xu: The number of active merchants has accelerated, and more and more new merchants are finding effective ways to do business on our platform and continue to grow. On the second part, we saw positive feedback from users, and we have more 3P users, and the order volume of 3P is also increasing. At the same time, the user experience of 3P is also continuously improving. 3P and the overall GNV are gradually entering the path of health growth.

Speaker Change: The change in tax TJ on your own thoughts as N P O T.

Our whole trade on C Corp, popped up a hometown saga.

Speaker Change: Yeah.

[Company Representative 1] (JD.com): Building JD's unique platform ecosystem is a long-term project; we're still in the early stages. Our focus is not on a fast monetization of 3P in the short term. Instead, our priority in 2024 will be to attract more merchants, especially the small- and medium-sized merchants in the industrial belts to enrich our product offerings. At the same time, we will continue to foster merchants' growth, the platforms, governance, and operating tools. We will also further optimize the traffic distribution mechanism to create a clear growth path and a fair business environment for merchants and to provide better user experience on 3P platform, promoting a prosperous growth for both our 1P and 3P businesses.

Speaker Change: Building JD unique platform ecosystem is a long term project, we're still in the early stages of it.

Speaker Change: It's not foster monetization of screen Pee in a short term he's got other priorities in 2024 will be to attract more merchants, especially the small and medium sized merchants in the industrial bounce to enrich our product offering and at the same time, we're looking.

Lei Xu: At the same time, we've received positive feedback from users. The number of shopping users and order volume on the 3P platform continues to grow, with users' NPS for 3P rising at the same time. Both our 3P and overall GMV have gradually entered a trajectory of healthy growth. Building JD's unique platform ecosystem is a long-term project, and we are still in the early stages. The rapid development of 3P is not our primary task in the short term.

Speaker Change: Can you just talk to a merchant growth.

Speaker Change: Covenants and operate them.

Speaker Change: Well the answer to further optimize the traffic distribution mechanism to create a clear growth path and their business environment for merchants and to provide better user experience on three P platform.

Speaker Change: Any crosscurrents close.

Speaker Change: Both our <unk> and Threep businesses.

Ian Shan: 我们相信通过更繁荣的平台生态，然后更丰富的优质商品供给，然后结合更加准确的用户匹配，我们将吸引更多的用户满足不同用户的多样化需求，然后形成良性循环，帮助商家把生意做大做好，而3P的变现也将自然提升，这也将是我们长期收入和利润持续提升的重要增长驱动力之一。短期来看，公司的整体经营状况良好，并不着急提升变现率，但长期增速稳步提升的趋势不会改变。

Speaker Change: Oh on the accounting, Paul Wogan, founder compassion, Hi, Joe Hogan phone for the ultrasound Hill country got hooked vehicle conjecture and ensure the full PMA woman Johnson controls or your portmanteau petroleum.

Speaker Change: She took a St John balancing Xinhua Banca we found out about sharing your thought I saw a stampede of pinching Johnson around Tisha tree of Joshua woman chances showroom earlier and I'm sure that's going out there now so you don't need to eat.

Lei Xu: The focus of 2024 is to attract more small and medium-sized businesses, especially small and medium-sized businesses in the industrial zone, to enrich our product supply. At the same time, we will continue to optimize the tools for business growth and management of the platform ecosystem. We will continue to optimize the distribution mechanism of traffic and create a clear growth path and a fair business ecosystem for businesses. We will improve the experience of users in the 3P business and promote the common prosperity of Zilin and Pub. Building JD's unique platform ecosystem is a long-term project, and we're still in the early stages.

Speaker Change: It all kind of goes to the transgene drunk holiday alcohol being push out teach you shouldn't be as L band transceiver sensor when boutiques and the tissue boycott there.

[Company Representative 1] (JD.com): We believe that, you know, the platform ecosystem offering a wide range of high-quality goods and improving user product matching accuracy, we can attract more users and meet diverse needs. This will create a virtuous cycle that help merchants succeed, and as a natural result, VP monetization will increase. Such virtuous cycle will form one of the key drivers of our long-term revenue and profit growth. We're in good shape now and not in a rush to increase monetization in the short term, but the trend of steady improvement remains unchanged in the long run.

Speaker Change: We believe.

Speaker Change: That's correct.

Speaker Change: System offering a wide range here for a high quality goods.

Speaker Change: And improving our user products matching accuracy, we can attract more users and diverse needs.

Speaker Change: This will create a virtuous cycle that how can merchants succeed and as a natural result, maybe monetization will increase that's virtue of cycle will form one of the key.

Lei Xu: Our focus is not on fast monetization of 3P in the short term. Instead, our priority in 2024 will be to attract more merchants, especially small and medium-sized merchants in the industrial belt, to enrich our product offering, and at the same time, we will continue to foster merchant growth, the platform's governance, and operations. We will also further optimize the traffic distribution mechanism to create a clear growth path and a fair business environment for merchants and to provide better user experiences on 3P platforms, promoting prosperous growth for both our 1P and 3P businesses. We believe that through a more prosperous platform ecosystem, a richer supply of high-quality products, and a more accurate user-to-user compatibility, we will attract more users, meet the diversified needs of different users, The 3P trend will also naturally improve.

Speaker Change: Key drivers of our long term revenue and profit growth. We're at a good shape now and not in a rush to increase monetization in the short term, but the trend of steady improvement.

Speaker Change: It is unchanged in the long run.

[Company Representative 2] (JD.com): Um,

Speaker Change: So what killed the pin pads equal golf will show law schools had enough time to yourself for the portal.

Speaker Change: We are seeing where our opinions, but sadly.

Speaker Change: I hope you're happy with where you sit here that you should use for the whole scene comes out and then you'll have a full 17 right.

[Company Representative 1] (JD.com): In addition, marketplace and marketing revenues experienced short-term fluctuation in Q4. This was primarily due to our effort to develop the platform ecosystem. We launched a set of supporting initiatives, including commission-free offerings for new merchants, and proactive commission reductions in certain categories and programs. These initiatives resulted in a decline in commission revenues. Additionally, advertising revenue growth slowed slightly in Q4 due to the late start of the Chinese New Year promotion compared with the previous year, and a high base of the previous year driven by people's stockpiling behavior in December. With the ease of seasonality factors in Q1, we expect that advertising revenues will return to healthy growth. Overall, looking at 2024, as user and traffic improve, we expect growth of our ad revenues to gradually accelerate. Thank you. Hi, Kenny.

Speaker Change: In Cal Counsel Don Julio.

Speaker Change: Sure do you want in a showroom with home be shutdown.

Speaker Change: Meanwhile, our Guangdong, so the trend towards that Q.

Speaker Change: So we all in wage telephone Jack on eating called tissue culture.

Speaker Change: <unk> do you think that.

Speaker Change: For shell to Oklahoma Gaucho rule, if you don't like Gencon the same job.

Speaker Change: A whole bunch of your own portfolio down to capture something Army hospital.

Speaker Change: Absolutely.

Speaker Change: In addition, our multi play centered marketing revenues experience short term fluctuations in Q4. This was primarily due to all the effort to develop the platform ecosystem.

Speaker Change: A set of supporting initiatives, including commission free offering for new merchants and proactive commission reductions in certain categories and programs. These initiatives resulted in a decline in commission revenues. Additionally, advertising revenue growth.

Lei Xu: This will also be one of the important driving forces for our long-term income and profits to continue to grow. In the short term, the overall business situation of the company is good. We are not in a hurry to increase the conversion rate, but the trend of long-term growth and steady growth will not change.

[Company Representative 1] (JD.com): Additionally, advertising revenue growth slowed slightly in Q4 due to the late start of the Chinese New Year promotion compared with the previous year, and a high base of the previous year driven by people's stockpiling behavior in December. With the ease of seasonality factors in Q1, we expect that advertising revenues will return to healthy growth. Overall, looking at 2024, as user and traffic improve, we expect growth of our ad revenues to gradually accelerate. Thank you. Hi, Kenny.

Speaker Change: Slightly in Q4 due to the start of the Chinese new year.

Speaker Change: It compares with the previous year and highlights of the previous year driven by people stockpiling behavior in December he's there for seasonality factors in Q1, we expect that advertising revenues will return to healthy growth.

Lei Xu: We believe that by taking the platform of the platform system, offering a wide range of high-quality goods, and improving user product matching accuracy, we can attract more users and meet diverse needs. This will create a virtuous cycle that helps merchants succeed, and, as a natural result, VP monetization will increase. Such a virtuous cycle will form one of the key drivers of our long-term revenue and profit growth. We're in good shape now and not in a rush to increase monetization in the short term. But the trend of steady improvement remains unchanged in the long run.

Speaker Change: Overall looking at 2020 four.

Speaker Change: User and traffic improve we expect to close on the ads.

Speaker Change: Revenues to gradually accelerate thank you.

Speaker Change: Hi, Paul.

Speaker Change: Thank god for that.

Speaker Change: Uh huh.

Paul Wogan: So not all of them.

Paul Wogan: You don't go too quickly.

Paul Wogan: E coupons.

Paul Wogan: Sure.

Paul Wogan: Uh huh.

Paul Wogan: Yeah.

Paul Wogan: Especially when you know what my Gosh I am most of Asia.

Oh sure sure.

Paul Wogan: It's a hot topic.

Paul Wogan: They don't want.

Paul Wogan: And talk with him out of China in China.

Speaker Change: Hi, Bill.

Bill: It's about a happier.

Bill: She is helpful.

Bill: Oh sure light sort of Coke wants to do it with a cookie.

Bill: Oh gosh I am not sure she can really teach.

Bill: A quick one.

Speaker Change: No change.

Speaker Change: No no not punchy Hello, but what's your thought on what you said.

Lei Xu: ??,Q4???????????????????,??,Q4???????????????????, ?????????????????,?????????????????, ???????????????,???????????????, ???????,??????????????,???????????????????,??????????????,???????????? ??,????????Q4?????,??????????????????????????? Q1 is coming up, and with the seasonal reduction of factors, advertising revenue is expected to return to a healthy growth, and with the improvement of users and traffic, I believe that our advertising revenue will gradually accelerate in 2024. In addition, marketplace and marketing revenues experienced short-term fluctuations in Q4. This was primarily due to our effort to develop the platform ecosystem. We launched a set of supporting initiatives, including commission-free offerings for new merchants and proactive commission reductions in certain categories and programs. These initiatives resulted in a decline in commission revenues.

Speaker Change: Cause sort of like more of them.

Speaker Change: Oh sure sure that my cheat sheet I'll show on without of course, my talk with temperature.

Speaker Change: Oh, Hi, Kenny let me share some thoughts regarding on the overseas business strategies for first couple.

[Company Representative 1] (JD.com): Let me share some thoughts regarding our overseas business strategies. First of all, we are always on the lookout for overseas opportunities and take pilot steps to establish our presence. Given that our business model and advantages are distinct from other platforms, our approach to global expansion will likewise be different. We aim to leverage our competitive strengths to establish our international presence. As you know very well, JD's business model is built on supply chain capabilities and is centered around user experience. Supply chain is the cornerstone of our international business development, and we will continue to focus on this to expand our capabilities on the global market. To share some examples for JD Retail, our outbound e-commerce platform is actively improving shopping experience by offering high quality products and services to global users.

Kenny: We are always on the outlook for overseas opportunities and take a pilot study to establish a presence.

Kenny: Given that type of a business model and advantages are distinct from other platforms.

Kenny: Our approach to global lineup to global expansion will likewise be different.

Kenny: We aim to leverage our competitive strengths to establish our international presence.

Kenny: As you know very well Gee this is mario dispute on supply chain capabilities.

Kenny: Centered around user experience.

[Company Representative 1] (JD.com): Supply chain is the cornerstone of our international business development, and we will continue to focus on this to expand our capabilities on the global market. To share some examples for JD Retail, our outbound e-commerce platform is actively improving shopping experience by offering high quality products and services to global users.

Kenny: Supply chain is the cornerstone of our international business development, and we will continue to focus on it.

Kenny: To expand our catastrophe abilities on the global market.

Gee: Gee I hope that's not unusual for me and I know, you're probably going to hustle show just zoom phone.

Speaker Change: That's well put.

Speaker Change: I should take him come home from Hotwire.

Speaker Change: No.

Speaker Change: Hi.

Speaker Change: He nailed it that probably there's no problem in their coats yeah.

Speaker Change: I want to cancel they know who like who can contribute to the company.

Somebody that whole thing classes.

Speaker Change: Oh, Yeah, no, it's a little girl that Transocean lifetime backlist titles.

Speaker Change: Cool and then of course, Nickelodeon like tell me some of the hospitals I think are cautious ASCII something come out.

Speaker Change: Yeah to share some examples.

Speaker Change: Genie retail our outbound e-commerce platform.

Speaker Change: Actively improving shopping experience by offering high quality products and services to global users in the meantime, it's Uh huh.

[Company Representative 1] (JD.com): In the meantime, it also assists Chinese companies in expanding their business and brand to overseas markets. We're still in the early stage for all these efforts, and at the same time, we're increasing our efforts in inbound cross-border business. JD Worldwide has established three direct procurement centers worldwide so far to improve cross-border supply chain efficiency, offering consumers in China a wider range of imported products at lower costs while ensuring product safety.

Speaker Change: Chinese companies expanding their business and brand to overseas market, we're still in the early stage Oh this effort.

Speaker Change: And at the same time, we're increasing our efforts in inbound cross border business JD worldwide has established.

Lei Xu: Additionally, advertising revenue growth slowed slightly in Q4 due to the late start to the Chinese New Year and promotions compared with the previous year and a high rate of the previous year driven by people's stockpiling behavior in December. With the ease of seasonality factors in Q1, we expect that advertising revenues will return to healthy growth. And overall, looking at 2024, as user and traffic improve, we expect growth of our ad revenues to gradually accelerate. Thank you.

Speaker Change: Direct procurement centers worldwide, so far to improve cross border supply chain efficiency.

Speaker Change: The link consumers in China, a wider range of imported product and lower cost, while ensuring kodak the 15th.

Sandy Xu: 然后京东物流呢，是以仓为核心，在布局他们的海外供应链，延伸到整体的这些供应链服务的交付。那目前呢，京东物流在全球拥有近90个保税仓、海外仓和直邮仓，管理的面积接近90万平方米，那也服务了很多的海外客户和中国的出海品牌。还有京东产发，他们在深耕东南亚，也布局了欧洲的市场，那目前业务拓展到了越南、印尼、新加坡、英国、荷兰等海外市场。那服务的客户呢，既包括国际的物流快消品的巨头，也有一些中国的新兴出海企业。但因为这个物流和产发的业务主要是To B的业务，所以可能从这个C端用户的角度大家感受不深。

Speaker Change: Wow.

Speaker Change: Hum.

Speaker Change:

Speaker Change: He got to see it.

Speaker Change: That's helpful.

Speaker Change: Paul Cheng, who she got Apache at home, how long Tonkotsu hotel.

Speaker Change: Hum.

Speaker Change: Cool a door.

Speaker Change: Uh huh.

Speaker Change: Hi.

Speaker Change: Uh huh.

Lei Xu: Okay, let me talk about the second question, which is about the Overseas Business Department. First of all, we have always been very concerned about the opportunity for internationalization, and we will continue to strengthen the Overseas Business Department in this small way. However, our business model and our advantages are different from other brands, so we have a big difference in our international strategy from other brands. But we will also use our competitive advantage to make the layout of the entire international business. JD's business model is based on the supply chain, and the user experience is the core business. Everyone knows that

Speaker Change: Bob Tom and caution comes on that yard.

Speaker Change: Oh total should have one more thing.

Speaker Change: Goodbye.

Speaker Change: It's a whole new pool collateral how that should help us with a coconut cheap alcohol of course, he thought Oh I talked in Wichita.

Speaker Change: Yeah. Thank.

Speaker Change: Hey, you mentioned how about you.

Speaker Change: To actually to be bought.

Speaker Change: People don't hold me to that.

Speaker Change: Talk to you about that cash flow cushion.

[Company Representative 1] (JD.com): For JD Logistics, it has established a strong overseas supply chain starting from warehouse and now extending to overall supply chain services. Currently, it operates nearly 90 bonded overseas and direct mail warehouses, managing a floor area of almost 900,000 square meters. This enables JD Logistics to serve a large number of overseas customers as well as Chinese brands expanding abroad. Also, JD Property is expanding its business in Southeast Asia and Europe with a focus on markets such as Vietnam, Indonesia, Singapore, UK, and the Netherlands. Its customers include international logistics and FMCG giants, as well as emerging Chinese companies going overseas. As I mentioned, both JD Logistics and JD Property, they are more enterprise service facing. For the to C side customers, they don't have a very strong impression or experience so far.

Speaker Change: So JD logistics it has established a strong overseas supply chain catching some warehouse and now extending to other relative 19 services. Currently operates nearly 19 downgrade overseas in directing their warehouses managing a floor area.

Lei Xu: As our international business develops, we will rely more on our supply chain infrastructure to continue to deepen the supply chain to make an international layout. So, hi, Kenny. Let me share some thoughts regarding our overseas business strategies. First of all, we are always on the lookout for overseas opportunities and take pilot steps to establish our presence. Given that our business model and advantages are distinct from other platforms, our approach to global expansion will likewise be different. We aim to leverage our competitive strength to establish our international presence. As you know very well, JD's business model is built on supply chain capabilities and centered around user experience. Supply chain is the cornerstone of our international business development, and we will continue to focus on this to expand our capabilities in the global market.

Speaker Change: Most 900000 square meters.

Speaker Change: This enables JD logistics to serve a large number of overseas customers, that's where I like Chinese brands expanding our blog.

Speaker Change: Judy property is expanding its business in southeast Asia, and Europe with a focus on my case actually that sounds Vietnam, Indonesia, Singapore U K and the Netherlands. It's customers includes international logistics and F. N C. G. Chinese that's well that's emerging Chinese companies going overseas.

[Company Representative 1] (JD.com): Its customers include international logistics and FMCG giants, as well as emerging Chinese companies going overseas. As I mentioned, both JD Logistics and JD Property, they are more enterprise service facing. For the to C side customers, they don't have a very strong impression or experience so far.

Speaker Change: I mentioned, both sides in the logistics and the property. They are more enterprise service facing so Florida on constitute the <unk> side the customers. They don't have a very strong impression or experiencing.

Speaker Change: Fine.

Sandy Xu: 对，另外我们在欧洲呢，也推出了全渠道的零售平台Ochama。基于我们的这个自动化的物流技术和全球的供应链能力，为欧洲二十四个国家的消费者呢，提供这个更好的购物体验。那不仅服务于海外的本土品牌商家，也正在搭建起中国品牌和商家出海的可靠路径，但是还是在孵化的阶段。

Speaker Change: So new elements that will tell me where to pull that changed at all.

Speaker Change: Hi on tomo.

Speaker Change: No woman.

Speaker Change:

Speaker Change: So Hudson political.

Speaker Change: They also often of course that is pumping cutler, who called to the Coca Cola Yeah.

Lei Xu: In terms of Xindong retail, on the one hand, global retail is helping China's enterprises to expand overseas markets and promote more brands to go overseas. At present, we are still in the early stages, and we are also vigorously optimizing our shopping experience to help global users to provide more high-quality products and services. As for the introduction of cross-border business, JD.com has set up three big value-added centers around the world.

Speaker Change: Okay.

Speaker Change: I will tell her bathroom.

Speaker Change: What some have called some backlog of Congress to pencil has to find some kind of a pick up.

[Company Representative 1] (JD.com): We also introduced an omni-channel retail platform in Europe called Ochama. This business leverages JD's advanced automated logistic technologies and global supply chain capabilities to provide high quality shopping experience for customers across 24 European countries. Not only does Ochama serve European local brands and merchants, it also provides a dependable path for Chinese brands and merchants to expand their business abroad. Certainly Ochama is still our project in the incubation stage.

Speaker Change: So we also introduced an omnichannel retail platform in Europe, or China mist business leverage as JD advanced automated logistic technologies and global supply chain capabilities to provide high quality shopping experience for customers across 24.

Speaker Change: European countries, not only does the China tariffs on European local brands and merchants. It also provides tangible path for Chinese brands and merchants to expand their business with Roger.

Lei Xu: Through the ability of our international supply chain, we can improve the efficiency and richness of the chain and reduce the cost of goods and ensure the safety of goods. To share some examples, for JD Retail, our outbound e-commerce platform is actively improving the shopping experience by offering high-quality products and services to global users. In the meantime, it also assists Chinese companies in expanding their business and brand to overseas markets. We're still in the early stage of all these efforts.

Speaker Change: Oh, China, it's still all the projects in the incubation stage.

Sandy Xu: 对，接下来我们还是会聚焦我们所擅长的这些领域，持续地去布局海外。

Speaker Change: Okay. That's all I want my household since elements like Halliburton oops forgot to put your hand up.

[Company Representative 1] (JD.com): Next, we will continue to focus on these areas, the business layout that we are good at, with the strength to expand our global capabilities.

Speaker Change: And the next day, we will continue to focus on these areas the business play out and that's what we are good attribute the strength to expand our global capabilities.

Speaker Change: Okay.

Sean Zhang: Thank you, Kenneth Fong. Can I have the next question?

Speaker Change: Thank you Kenny and I have the next question.

Lei Xu: And at the same time, we're increasing our efforts in inbound cross-border business. JD Worldwide has established three direct procurement centers worldwide so far to improve cross-border supply chain efficiency, offering consumers in China a wider range of imported products at lower costs while ensuring product safety. Ceng Dong Wuliu is the core of Cangwei and is now setting up their overseas supply chain to extend to the overall delivery of these supply chain services. At present, Ceng Dong Wuliu has nearly 900,000 square meters of management space in nearly 90 jewelry warehouses, overseas warehouses, and oil and gas warehouses around the world.

Operator 2: Our next question comes from Alicia Yap with Citigroup.

Speaker Change: Our next question comes from Alicia Yap with Citigroup.

Alicia Yap: 谢谢管理层接受我的提问，恭喜不错的业绩。两个问题，一个是，鉴于宏观疲软的背景下，其实用户消费转向更理性消费，京东是否需要或者是计划调整任何的策略来满足这个用户需求的转变？如果需要的话，其实会有哪些变化和增长的一些举措？管理层对今年社零总额增速的预期是多少？然后京东能跑赢整体社零增速大概会有多少？然后第二个问题是京东今年其实是否会投资更积极地去获取低线城市的一些新用户？这主要是来自额外的一些补贴呢，还是说通过丰富产品的供给？然后今年有没有一个新用户数量设定的一个目标或KPI？我自己翻译一下。In light of the shift of the consumption preference and also the rational spending behavior amid this soft macro sentiment, will JD need to or plan to adjust any specific strategy to fulfill the demand shift?

Hi, Thank you I should check or any trends you saw what that she won are going to see and we're trying to yeah Chi Oh, Yeah go when he goes sure a J one.

Alicia Yap: Just to Peel and it took us a Beijing chat. She said you shall see a chunk of neat seems I'll say, a Jew Tyndall shuffle shell Oh, well this is Keith what Chau Cheng Yang.

Alicia Yap: I'm not sure it took a young sheetrock chopped yet nor was she.

Alicia Yap: She has a flash issue, where you'll not see it being one ginger, but you said you took a one each in teaching and shelling. So just shoot each he should dwell shops and told them how he joined he shall essential.

Lei Xu: It also serves many overseas customers and Chinese overseas brands.,,, But because this logistics and other business is mainly a 2B business, you may not feel it from the point of view of CTO users. So for GD Logistics, it has established a strong overseas supply chain, starting from the warehouse and now extending to overall supply chain services. Currently, it operates nearly 90 bonded overseas and direct mail warehouses, managing a floor area of almost 900,000 square meters.

Alicia Yap: Our whole Oh go once you should tyndall.

Alicia Yap: G and she says Chipotle told you couldn't chi the cheap cost she can't drink shootings and single a.

Alicia Yap: So actually I feel like Oh, why do they ship with PNR high sure sure Tom Walsh, Thanks to a turnkey technology.

Alicia Yap: Oh Gee annual mail you guys see no Sudan are shutting that you've got moved out what keeps you I Oh excuse me if I am in light of the the shift after consumption preference and also the rationale spending behavior. Amit this soft macro sentiment with J D need to or plan to adjust.

Alicia Yap: Any specific strategy to fulfill that demand shift if so what could be the change and growth initiatives are what is management expectation for China overall retail sales squirrel straight to share how much higher can J D outperformed the overall retail sales squirrel, five well J D E beam.

Alicia Yap: If so, what could be the change and growth initiative? What is management expectation for China overall retail sales growth rate this year? How much higher can JD outperform the overall retail sales growth by? Will JD reinvest to aggressively growing new user in lower tier city? Will that mostly come from additional subsidy or through the improvement of product offering? Do you have a target KPI set for the numbers of new customer that you plan to acquire this year? 谢谢。

Lei Xu: This enables JD Logistics to serve a large number of overseas customers, as well as Chinese brands expanding abroad. Also, JD Property is expanding its business in Southeast Asia and Europe, with a focus on markets such as Vietnam, Indonesia, Singapore, the UK, and the Netherlands. Its customers include international logistics and FMCG giants, as well as emerging Chinese companies going overseas. As I mentioned, both JD Logistics and JD Property are more enterprise service-facing. So for these customers, they don't have a very strong impression or experience so far.

Alicia Yap: That's too aggressively growing new user Ingo, what's yesterday are with.

Alicia Yap: But that mostly come from addition of subsidy or to the improvement of product offering do you have a target kpis check for the numbers of new customer that you plan to acquire this year.

Alicia Yap: Sure.

Sandy Xu: 好，谢谢Alicia。这个就像你说的，在过去一年我们确实看到用户会变得更加理性，那么对于性价比的关注也在增强。用户在关注产品和商品质量的同时，也更加关注价格，去寻找那些更有、更合理价格的商品，那么可能更注重这个实实在在的价值和体验。那对于京东来说，我们其实在二年底也是对消费趋势比较早地做出了预判。那么在二三年一整年，其实我们都在加快推进我们的平台生态的建设，去推进我们的低价心智。同时，也在不断地加码，提升我们的用户的购物体验和差异化我们的服务水平。同时，我们其实也在通过分析最新的这些消费的趋势和洞察，和品牌和商家这些合作伙伴一起去共建，去打造更加符合消费者需求的趋势的新品。所以到目前来看，整体的表现还是符合我们预期的。那接下来在2024年，我们的这个策略在大方向上不会有重大的调整，会继续坚定地沿着之前定的方向不断地优化来推行落地。

Speaker Change: Hi, Michelle T. The Tucson, who shut a hotdog coaching element here comes out question, Don Who'll Quake I'm a conservative.

Lei Xu: In addition, we have also launched a full-channel retail platform in Europe, Ochama. Based on our automated logistics technology and global supply chain capabilities, it provides a better shopping experience for consumers in 24 countries across Europe. It not only serves local brands and merchants overseas but also builds a reliable route for Chinese brands and merchants to go abroad. But it is still in the restoration stage.

Speaker Change: And I might be since I think the country across the country.

Yeah.

Speaker Change: Now you have how is that going to keep at all times something to learn the culture comes back on to the Sakura a Chipotle Theatre should go go go.

Speaker Change: Let me talk like in Shanghai.

Speaker Change: I'm going to finish it sounds like it's off the hook yet.

Speaker Change: And the last one on women's tissue that cause the army.

Speaker Change: Sure sure.

Speaker Change: So when you put them out there.

Speaker Change: I think she shortly.

Speaker Change: Two for a woman that potential type of thing sure.

Speaker Change: So I think that since you're.

Speaker Change: Well Sheila you talk you talked about sort of sandbox assortment I won't quote Oh yeah.

Lei Xu: So we also introduced an omni-channel retail platform in Europe called Ochama. This business leverages JD's advanced automated logistics technologies and global supply chain capabilities to provide a high-quality shopping experience for customers across 24 European countries. Not only does Ochama serve European local brands and merchants, but it also provides a dependable path for Chinese brands and merchants to expand their business abroad. But certainly, Ochama is still our project in the incubation stage. , And next, we will continue to focus on these areas, the business layout that we are good at with the strength to expand our global capabilities. Thank you, Kenny. Can I have the next question?

Speaker Change: Hydropower enough for ships.

Speaker Change: <unk> posted another woman tissue gets at Pogo are forced to take Tinder I think there's hopefully that Tricia, who don't have corruption, hi, crush on bass and cyclical.

Speaker Change: She content should that cellcom basketball herself, she sort of tissue that syndicate.

Speaker Change: So it's almost an icon that don't get up to us yet except for calling me yeah. That's just Hello, Tanya yeah.

Speaker Change: Mentor to the Premier football home for example, talking about its hotel.

Speaker Change:

Speaker Change: Home Center Triple that in a little while I personally go with it.

[Company Representative 1] (JD.com): Thank you, Alicia. As you said, we've seen consumers have become more rational in spending. They pay attention to both the quality and the cost effectiveness of the product. They really value the good products with reasonable price. At the same time, they do care about shopping experience. Last year, we took proactive steps in response to consumer trends. While striving to provide users with better shopping experience and differentiated services, we expanded our platform ecosystem and low cost mindshare. We also studied the latest consumption trends and insights, and we work closely with brands and merchants to jointly develop new products that better meet user demands. Overall, we see our performance so far has met our expectations.

Speaker Change: Thank you Alicia and you said, you've seen consumers have become more rational and spending they pay attention to our move to quality and the cost effectiveness of the products. They really value the good products with reasonable price at the same time, they do care about shopping experience. So lots of year, we took a crack.

Speaker Change: Stocks in response to consumer trends.

Speaker Change: While striving to provide consumer users with a better shopping experience and differentiated services, we expanded on my plate ecosystem and the low cost in mind here are.

Alicia Yap: Your next question comes from Alicia Yap with Citigroup. Hi, thank you. In light of the shift in consumption preference and also the rational spending behavior amid this macro sentiment, will JD need to or plan to adjust any specific strategy to fulfill the demand shift? If so, what could be the change and growth initiative? What is management's expectation for China's overall retail sales growth rate this year? How much higher can JD outperform the overall retail sales growth by? Will JD reinvest to aggressively grow new users in lower tier cities? Will that mostly come from additional subsidies or through the improvement of product offerings? Do you have a target KPI set for the number of new customers that you plan to acquire this year? That's it.

[Company Representative 1] (JD.com): We also studied the latest consumption trends and insights, and we work closely with brands and merchants to jointly develop new products that better meet user demands. Overall, we see our performance so far has met our expectations.

Speaker Change: We also started the latest consumption trends in each sites and we work closely with brands and merchants to jointly develop new products to better meet user demand.

Speaker Change: We see our performance so far has met our expectations.

[Company Representative 1] (JD.com): In 2024, we will stick to our current strategies and firmly focus on execution and optimization without making major adjustments.

Speaker Change: And in 'twenty 'twenty, four we will speak to our current strategies and firmly focused on execution and optimization without making major adjustments.

Sandy Xu: 对，一方面呢，是刚刚也讲过，就是用户体验和服务上会继续去巩固我们的核心竞争力，要继续去强化我们快和好的用户心智。那另一方面呢，也是这个更加有效率地去推进低价的策略，继续去优化采购成本和丰富低价的商品货盘，然后提升低价补贴的效率，让用户能够更好地感受到省。那么另外呢，这个在这个多的方面，也是会通过进一步扩大商家的规模，来帮助商家更好地成长，丰富我们平台的供给，能够让用户感受到更多的商品供给吧。

Can you tell me I'm not sure.

Speaker Change: So you'll have a cool childhood teacher.

Speaker Change: Cortland, because things will go well.

Speaker Change: Now on the call so I won't go into that.

Speaker Change: Pardon me.

Speaker Change: So that should hopefully plaza Hollywood.

Speaker Change: So you'll have pockets.

Speaker Change: One cool Baba Samsung Qualcomm Y Ho Tucson, poop off a whole, there's probably one don't call them Coco I'm sure they'll shop.

Lei Xu: Thank you, Alicia. As you said, in the past year, users have become more rational and pay more attention to cost-effectiveness. They are paying more attention to the quality of products and their prices. They are looking for more reasonably-priced products. They may pay more attention to the value and experience of real-life products.

Speaker Change: I think that's all.

Speaker Change: So whole cohort I think a clinical call bathroom topically more like uncle Sam's alcoholic.

Speaker Change: Click on a phone call from Hong Kong and it goes a little hole, a console dotcom tol or something.

[Company Representative 1] (JD.com): We will continuously improve user experience and services and strengthen our core competitiveness to further underpin users mindshare towards our fast delivery and high quality reputation. At the same time, we will also optimize procurement costs and enrich our low price product offerings to let people better feel our price competitiveness. On the side of product diversity, we will continue to expand our merchant base and also improve the richness of the low price products of our platform.

Speaker Change: Yeah.

Speaker Change: We will continue with the improved user experience and services and to strengthen our core competitiveness to further underpin users mindshare to work hour faster delivery and high quality reputation at the same time, we will also optimize procurement costs.

Speaker Change: And to enrich our low cost product offerings and to lots of people to Butterfield, our price competitiveness and the underside of product diversity with a contingent continue to expense all of our merchant base and also improved for the enrichment Oscar No price Dakota Overclock.

Lei Xu: As for JD.com, we made an early prediction of the consumer trend at the end of 2022. In the past two or three years, we have been accelerating the development of our platform ecosystem to promote our low-priced quality. At the same time, we are constantly improving the user's shopping experience and differentiating our services. Therefore, at the same time, we are also analyzing the latest consumer trends and observations and collaborating with brands and business partners to create new products that are more in line with consumer demand trends. Thank you, Alicia. As you said, we've seen consumers have become more rational in their spending. They pay attention to both the quality and the cost-effectiveness of the product. They really value good products with a reasonable price. At the same time, they do care about the shopping experience.

Speaker Change: One.

Sandy Xu: 相信大家最近也看到，2024年我们也预期会有一些宏观刺激和促进消费的政策出来，包括以旧换新的力度的加大等等。那这些呢，我们也期待着这个消费的恢复的这个扩大的态势将会得到进一步的巩固和增强。那对我们的一些品类也是比较利好的消息。我们预估全年社零总额还是会有健康的增长，而我们也有信心能够保持超过社零总额的增速，持续去获得市场份额。

Speaker Change: Well, so I think that that's the thing I called out to see Oh, Yeah, Yeah yeah.

Speaker Change: I'm going to put himself that Don Clark, Oh called Silicon, Zimbabwe, South Africa, though nothing has been Oh My God. This is a self paid oh, we've put out to a club Apache yourself about seeing political Coca Cola shall not do a woman who used to play in shaping sounding south alamein.

Speaker Change: Could you nail salons or household so how much I don't want them.

Speaker Change: Cobalt Chicago also means a lot that's all sorts of seats you hurt us at all so long so in 'twenty 'twenty four we've seen there'll be a number I saw and economic stimulus plans then to consumption motion policies coming into place, including a encouragement after treating consumptions et cetera. So.

[Company Representative 1] (JD.com): In 2024, we've seen there will be a number of economic stimulus plans and consumption promotion policies coming into place, including the encouragement of the trade-in consumption, etc. We are seeing this is a healthy recovery trend of the overall economy and consumption, and this will also be helpful in some of our advantages in categories. Overall, we are optimistic for this year's overall retail sales, and we're confident that we will maintain a faster growth rate than that and continue to gain market share. Thank you.

Speaker Change: We are seeing this as a healthy recovery trends of the overall economy and Consumptions and this will also help us to Uh huh.

Lei Xu: So last year, we took proactive steps in response to consumer trends. While striving to provide our users with a better shopping experience and differentiated services, we expanded our platform ecosystem and low-cost mindshare. We have also studied the latest consumption trends and insights, and we work closely with brands and merchants to jointly develop new products that better meet new user demands. So overall, we see that our performance so far has met our expectations. And in 2024, we will stick to our current strategies and firmly focus on execution and optimization without making major adjustments. On the one hand, we think that the user experience and service will continue to consolidate our core competitiveness and continue to strengthen our fast and good user mentality. On the other hand, it is also more efficient to promote low-priced strategies, continue to optimize the purchase cost and enrich low-priced commodity shelves, and then improve the efficiency of low-priced subsidies so that users can better feel the province.

Speaker Change: Some of our constitutes the categories. So overall, we are optimistic for this years overall retail sales and we're confident that we will maintain.

Speaker Change: Maintain a faster growth rates than that and continue to gain market share. Thank you.

Ian Shan: Alicia，你好，我来回答你第二个问题。在用户方面，我们会积极地拉动用户增长和用户频次。我们的主要精力其实一直都是聚焦在提升用户体验上面的，这是我们认为达成用户高质量增长的方式。我们会不断提升供给端产品的丰富度，推进我们的低价策略，然后搭建更适合下沉市场和用户消费习惯的商品池，并且匹配提升匹配的效率和流通的效率。我们也在提升服务，不断地提供更多的售中售后服务和购物保障，例如免费上门的退换货、降低免邮门槛等。同时我们认为，市场营销包括补贴是经营用户的一个工具，可以阶段性地服务一些特殊的目的，我们会有针对性地有纪律地使用。

Speaker Change: And if you had any holiday without jogger ones.

Speaker Change: Oh, no you won't walk down there and while no quake teaches her lago, you'll Hussein giancola youre, hoping for walnuts. We all can lesion. If you don't have to use outside she didn't know who to go to trauma and doctors want a doctor and Yahoo culture centered on the phone as you well know quite a futon adhesion considering changing their phone for dogs are trading well below peak I totally agree.

Speaker Change: Oh.

Speaker Change: Sure close out her childhood, whose office you Kwon the shopping trip things here P pay T. M. P paid their salaries also necessarily well I mean as I teach him for a walk down the coupon couldn't daughter, So don't show hold a vocal about job lumen fish on the Tomahawk down D kind of cultural warm there going away a shy in Sao Paulo.

Speaker Change: Yes, sure Daniel hold or you could go into a whole call you did what I'm seeing the four easier to show the Moody got whole woman Twitter your doesn't do anything to your T V. The shiel.

Lei Xu: In addition, we will expand the scale of the business to help the business grow better and enrich the supply of our platform so that users can feel the supply of more products. We will continuously improve user experience and services and strengthen our core competitiveness to further underpin users' mindshare towards our fast delivery and high-quality reputation. At the same time, we will also optimize procurement costs and enrich our low-price-to-product offerings to let people better feel our price competitiveness.

[Company Representative 1] (JD.com): For the second question on user growth, we will actively drive up user growth and their purchase frequency. Throughout the past year and this year, we have prioritized improving user experience to achieve high quality growth. We will continue to improve the diversity of product offerings, promote low price strategy and expand product pool for users from lower tier markets to better meet their shopping preferences. This helped us to enhance user product matching efficiency and user retention rate. Additionally, we continuously enhance services safeguarding users shopping experience during and after sales, like the free doorstep pickup services for returns and a lower threshold order value for free shipping, et cetera. We believe that subsidizing and other marketing activities are all tools for user operation.

Speaker Change: So I put a second question on user growth.

Speaker Change: We will actively drive up user growth center purchase frequency.

Speaker Change: The party and this year, we have prioritized improving user experience to achieve high quality growth. We will continue to improve the diversity of product offerings and promote low carbon strategy and expands product pool for users from lower tier markets to better meet their shopping preferences. So these.

Speaker Change: To enhance user product matching efficiency and user retention rate. Additionally, we continuously enhance services safeguarding users shopping experience during and after surgery after.

Lei Xu: And on the side of product diversity, we will continue to expand our merchant base and also improve the richness of the low-priced-to-products of our platform. I believe you have seen that in 2020, we expect to see some new policies to stimulate and promote consumers, such as increasing the rate of exchange of new products. We also expect that the expansion of consumer recovery will be further strengthened and supported. This is also good news for some of our categories. We estimate that the total number of consumers will still grow healthily, and we also have confidence that we can maintain a rate of growth of more than 10% and continue to gain market share. This is also good news for some of our categories.

[Company Representative 1] (JD.com): Additionally, we continuously enhance services safeguarding users shopping experience during and after sales, like the free doorstep pickup services for returns and a lower threshold order value for free shipping, et cetera. We believe that subsidizing and other marketing activities are all tools for user operation.

Speaker Change: After sales.

Speaker Change: Like the three doors that pick up services for returns and a lower threshold, our order of value for them free shipping et cetera, where he believes that subsidizing and other marketing activities Oh tools for Houston operation. These measures can serve some special purposes in certain periods of time.

[Company Representative 1] (JD.com): These measures can serve some special purposes in certain periods of time, and should only be used in a targeted and disciplined way. We saw healthy growth in the number of users in Q4, including our new users experienced a strong growth while existing users maintained steady growth. Users from lower tier markets also achieved an accelerated growth. User purchase frequency showed a healthy growth, particularly among existing users. Furthermore, user satisfaction rate has improved with NPS of both self-operated and the marketplace achieving an increase year-on-year. So far in Q1, we've seen user growth has maintained such momentum. This year, JD was selected to be the exclusive interactive partner for China Media Group's Spring Festival Gala. During the show, we offered a variety of gifts to viewers at home and abroad, reaching a wide range of new users.

Speaker Change: And it should only be used in a targeted and disciplined way.

Speaker Change: So of course, she the tusa got whole Kingdom, Keith we'll go we'll for sure Jim Thompson job. She go single source that doctors in La Jolla box should look without being one of them. So oh, yes, I chose to cancel certain job you'll.

Lei Xu: So overall, we are optimistic about this year's overall retail sales, and we are confident that we will maintain a faster growth rate than that and continue to gain market share. Thank you.

Speaker Change: You'll holdco P C L King Hamilton dome publisher loyal for the 14th and Gummies, Yeah. So why I know youll hold or might you do it that should see teacher and seeing who are pop the MDI stream can be keisha.

Speaker Change: And Oh for AR, we saw healthy growth in the number of users in Q4, including a new user experience to.

Lei Xu: Hello Alicia, let me answer your second question. In terms of users, we will actively promote user growth and user evaluation. Our main focus has always been on improving the user experience. This is how we think we can achieve high-quality user growth. We will continue to improve the richness of supply-end products, promote our low-price strategy, and build a commodity pool that is more suitable for the price market and user consumption habits, and improve the efficiency of batching and storage. We are also improving services, constantly providing more after-sales services and shopping insurance, such as free on-demand deliveries, reduction of free-of-charge thresholds, etc. At the same time, we believe that marketing, including subsidies, is a tool for managing users and can serve some special purposes at stages, and we will use it in a targeted and disciplined way.

Speaker Change: Our strong gross well existing users maintained steady growth users from lower tier markets also achieved on accelerated growth user purchase frequency showed a healthy growth, particularly among existing users. Furthermore, user satisfaction rate has improved with M. P. S at for both South Africa and the marketplace.

Speaker Change: Achieving you create your own.

[Company Representative 1] (JD.com): So far in Q1, we've seen user growth has maintained such momentum. This year, JD was selected to be the exclusive interactive partner for China Media Group's Spring Festival Gala. During the show, we offered a variety of gifts to viewers at home and abroad, reaching a wide range of new users.

Speaker Change: Oh 10 kind of kill you don't go to Xinjiang, which subject to ship a kidney a woman's Huawei youngsters from one task would also go Ping pack, Okay fine and they work on go somehow Holly Yeah true that all up and go to a single horse trade. It like element that Youll thingyan box looking thing and so far in Q1, we've seen user.

Speaker Change: Growth has maintained such momentum this year.

Speaker Change: Your G. D was selected to be the exclusive interactive partner for China Media groups Spring Festival gala during the shell operated a variety of kids to be alright, cool mint, a broad reaching a wide range of new users.

Lei Xu: So for the second question on user growth, we will actively drive up user growth and their purchase frequency. Throughout the past year and this year, we have prioritized improving user experience to achieve high quality growth. We will continue to improve the diversity of product offerings and promote the low-price strategy, and expand the product pool for users from lower-tier markets to better meet their shopping preferences. This helps us to enhance user product matching efficiency and user retention rate. Additionally, we continuously enhance services safeguarding users' shopping experience during and after sales, like the free doorstep pickup services for returns, and a lower threshold order value for free shipping, et cetera. We believe that subsidizing and other marketing activities are all tools for user operation. These measures can serve some special purposes for certain periods of time and should only be used in a targeted and disciplined way.

[Company Representative 1] (JD.com): On outlook of the whole year, we're confident in user growth.

Speaker Change: I smoke or for the whole year, we're confident in user growth.

Sean Zhang: Okay. Thank you, Alicia. Let's have the last question.

Speaker Change: Okay. Thank.

Speaker Change: Thank you Alicia.

Speaker Change: Let's have the last question.

Operator 2: Thomas Chong with Jefferies.

Thomas Chong: Thomas Chong with Jefferies.

Thomas Chong: But somehow so I take my name's Tony Okay. So what if you win a what do you go into say a once in Guangdong.

Thomas Chong: You saw a woman.

Thomas Chong: Sure.

Thomas Chong: Thanks, management, for taking my question. My first question is about the consumer sentiment in 2024. How should we think about the trend for different product categories? My second question is related to our thoughts about the competitive landscape in 2024. Thank you.

Thomas Chong: The kind of I O with home convey to you the truth.

Thomas Chong: Sure.

Thomas Chong: Do you see that one year ago, but until 18.

Thomas Chong: It didn't come to issues that you've got kind of a.

Speaker Change: Thanks management for taking my question. My first question is about the consumer sentiment in China, a trend at all and how should we think about the trend for Kathryn.

Speaker Change: Tactically and my second question is do they get to our thoughts about the competitive landscape in trying to kind of cool. Thank you.

[Company Representative 1] (JD.com): Thank you, Thomas, for your question. By 2023, we have seen the society and economy had returned to normal. Although the consumption market showed a recovery trend, people's spending ability and confidence still needed a boost. As we enter 2024 in the current 2 months, as we can observe, the country's national economy is on track for recovery, with the expected effects of the macro stimulus plans and consumption promotion policies, we believe the momentum of consumption recovery and expansion will be further consolidated or strengthened. As from JD's perspective, in 2024, we maintain the confidence to outperform the broader market. Taking a longer term view, we believe that most people's desire for a better life remains unchanged.

Speaker Change: Oh, that's supposed to come out and I think that they're going to have.

Speaker Change: A national thing Oh I.

Lei Xu: In the past, the number of Q4 and JD seasonal shopping users has grown healthily. Among them, new users have increased significantly, and old users have also maintained a relatively stable increase. Low-end users are also increasing rapidly in Q4.

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Speaker Change: She was south of Chicago Holmes, who found him.

Speaker Change: Hum specialty channel and so should that that cause I wont put a huffing and puffing.

Speaker Change: Hi.

Speaker Change: Hi, Sheila that Canpotex is all that material.

Lei Xu: The number of users shopping has grown healthily, especially the number of old users shopping has increased significantly. In addition, user satisfaction is also continuing to improve. Ziyin and Pop's NBS are also improving.

Speaker Change: N Ho Hum remember, yeah like kind of selfish.

Speaker Change: That's done in terms of the Hong Kong closer watch and SEDAR.

Speaker Change: I'll say that no one wants to buy it I used to hear that from going to school.

Speaker Change: Hopefully that phone call.

Lei Xu: And we saw healthy growth in the number of users in Q4, including new users experienced a strong growth, while existing users maintained steady growth. Users from lower tier markets also achieved an accelerated growth. User purchase frequency showed a healthy growth, particularly among existing users. Furthermore, user satisfaction rate has improved with NPS of both self-operated and the marketplace achieving an increase year-on-year. ???,QE????????????,??????????????????,????????????,???????????,???????????????? ???,QE????????????,??????????????????,????????????,???????????,???????????????? Okay, thank you, Alicia. Let's have the last question. Thomas Chong with Jeffreys.

Speaker Change: Lucy Lu of pool at Saldanha.

I'll go to the cellphone wasteful cut off the couch and some of them go to without being put out.

Speaker Change: Uh huh.

Speaker Change: Oh. Thank you Thomas for your question. So by 'twenty two 'twenty three we have seen the society and economy had returned.

Speaker Change: Although the consumption markets showed a recovery trend people spending ability and confidence do you need it a boost as we enter 2024 in the current to manage through this we can observe the countries of the national economy is on track for recovery.

Speaker Change: We think in fact with the expected effects of the micro stimulus plans.

Speaker Change: Plans into consumption promotion policies, we believe the momentum of consumption recovery and expansion will be further hum consolidated where it strengthened.

Speaker Change: So total also say that's L post holiday time, I'll walk through all of them, that's having a home phone to watch it on.

Speaker Change: Talking about loan pool now on the wall.

Speaker Change: Yeah, I mean high school and College Football Club E take a Taco Bell telephone.

Speaker Change: And I'm not talking kind of on a cell phone call I won't go to kill me.

Speaker Change: Nobel smell.

Speaker Change: Well, it's been going on and I hope it will quickly go to the wall comparison shopping something back to the room was <expletive> I will hit on two of them to what's called a notion when cold months put things on hold but footholds hung up on me Nicola Shaw.

[Company Representative 1] (JD.com): As from JD's perspective, in 2024, we maintain the confidence to outperform the broader market. Taking a longer term view, we believe that most people's desire for a better life remains unchanged.

Speaker Change: That's it from a JV perspective in 2024, where you mentioned a confident to outperform the overall or the broader market and taking a longer term view with the leaves that smoked people's desire for a better life remains unchanged.

Thomas Chong: Good evening. Thank you for accepting my question. My first question is related to Hong Kuan. Guan Licheng, can you share with us your views on consumer sentiment in 2024 and the trend of different categories? My second question is about our view on the industry competition pattern this year. Thanks, management, for taking my question.

[Company Representative 1] (JD.com): Our business model aims to provide better services and quality products with greater value for money, which has given us unique advantages to satisfy diverse users' needs in various shopping scenarios.

Speaker Change: This model aims to provide better services and quality products with greater value for money.

Speaker Change: Our reach has tomatoes are unique advantages to satisfy diverse users need in there with shopping scenario.

Thomas Chong: My first question is about consumer sentiment in 2024 and how we should think about the trends for different product categories. And my second question is related to our thoughts about the competitive landscape in 2024. Thank you. Okay, Thomas. Let me answer this question.

Sandy Xu: 对，从行业整体来看，其实大家可以看到，就是过去几年，这个食物网上零售额的占比其实是在逐步地提升。那么有一些行业的确已经取得了比较高的渗透率，但是还有很多行业，这个包括商超、运动、家具、家装、汽车，还有服务行业，其实目前这个线上的渗透率还是有提高的空间。

Speaker Change: Yeah, totally I kind of tissue.

Speaker Change: He cannot do show a question from young English Mushroom channel show Little Chunky. She says she tried to put a T. So let.

Speaker Change: Let me go east young it'd be changed.

Speaker Change: So I'll, let him talk although some holding bunch of how often dahan, yeah take Oh cool sound housing down a touch if that's wrong.

Speaker Change: He saw her for her.

Lei Xu: First of all, in 2023, with the comprehensive recovery of our society, the consumer market will continue to recover from the beginning of the year to the end of the year. However, the user's ability to consume and consumer confidence are still improving. In 2024, from the first two months of the year, consumption is stable and good.

Speaker Change: As someone who can do the same kind of simple me of how she or he called a coupon.

[Company Representative 1] (JD.com): From the industry perspective, as we have seen that the proportion of online retail sales of physical goods continue to grow. For some industries they have enjoyed a high penetration rate, whereas for other industries, such as supermarkets, sports, furniture, home, automotive, and other industries, their online sales penetration rates do have plenty of room to improve.

Speaker Change: So from the industry perspective, as we have seen that the proportion of online retail sales of physical goods continue to.

Speaker Change: For some of our industries. They have enjoyed a high penetration rate, whereas for other industry, such as supermarket sports furniture, and home automotive and other industries and their own lifestyle as penetration rates still has.

Lei Xu: The overall macroeconomic situation will continue to recover. As we look forward to a series of macro stimulus and early consumption policies, which can continue to land and take effect, we also look forward to the expansion of the consumption recovery. It will be further strengthened and strengthened. Thank you, Thomas, for your question.

Speaker Change: Plenty of room to improve.

Sandy Xu: 对，从品类维度来看，我们的带电品类在2023年还是持续保持快于大盘的增速。虽然整个行业还是当时面临比较挑战的局面，那么在2024年呢，我们也有信心，这些品类它还是可以继续保持快于行业的增速，特别是在这个中央鼓励和推动消费品以旧换新，鼓励提振电子商品等大宗消费的这个背景下，那我们还是充满信心啊，对这些品类。

Speaker Change: The polka they they go live and our mobile games for Eylea tenure, I should should have Akshay, you pop homophone Centrica home, yeah awesome in used to talk about it yet but my father.

Speaker Change: Hum.

Speaker Change: With me today participating tissue biopsies.

Speaker Change: So a couple of issues that they got thrown called hugel.

Speaker Change: Yeah could eat chicken seems to Samsung Apple sulfate that people think that yeah, no I should tell him I said, yeah. It just takes away.

Lei Xu: So, by 2023, we have seen the society and economy have returned to normal. However, although the consumption market showed a recovery trend, people's spending ability and confidence still needed a boost. As we enter 2024, in the current two months, as we can observe, the country's national economy is on track for recovery. With the expected effects of the micro stimulus plans and consumption promotion policies, we believe the momentum of consumption recovery and expansion will be further consolidated or strengthened. From JD's point of view, our strategy is relatively stable in 2024. We are confident that we can achieve fast growth in the market in 2024. In the long run, we believe that the goal for users to pursue a better life has not changed.

[Company Representative 1] (JD.com): For the category perspective in 2023, we continue to be the market leader in electronic categories and deliver the faster growth rate than the overall market in this area, even though this industry is facing challenges last year. Overall, we are confident to maintain faster than industry growth rate in these categories, especially as you see, the government is promoting the trade-in of consumer goods and stimulating the consumption of electronics and other products. We're confident to maintain a strong growth in this category.

Speaker Change: And Oh boy the category perspective in 2020 three.

Speaker Change: We maintain we continue to be the market leader in electronics categories and deliver the faster growth rates than the other real marketing based on area, even though this industry is facing challenges.

Speaker Change: Challenges last year. So overall, we are confident to maintain a faster than industry growth rates in these categories, especially after you see the government is promoting the treating of consumer goods and to stimulate the consumption of electronics into other products. So we're confident to maintain a strong growth.

Speaker Change: In this category.

Sandy Xu: 然后生鲜超品类呢，在2024年的竞争，还是会非常激烈。那当然不同平台，不同这个零售商的策略也不太一样。那我们的商超业务呢，在过去一年经历了一年的调整，包括聚焦核心赛道，然后提升我们的供应链能力，通过仓网变革这个提升我们的履约效率等等。那么目前我们看已经出现了比较好的一个恢复的趋势。

Speaker Change: And our wholesale talk today, not that I mean off limits until I Shouldnt say tells me.

Speaker Change: I thought I answered homework help at home.

Speaker Change: Yeah, Okay, Yeah, no woman, that's how how you won that that continues.

Speaker Change: Let's I'll talk I'll quote Tcl inside dog that holds for Charlotte Mclaughlin.

Lei Xu: JD will provide users with better services and a more cost-effective business model. We also have the unique advantage of being able to meet the shopping needs of different types of users in different scenarios. As for JD's perspective in 2024, we maintain confidence to outperform the overall broader market and take a longer-term view. We believe that most people's desire for a better life remains unchanged.

Speaker Change: Oh, Hello, whom God.

Speaker Change: Nobody is telling me no.

Speaker Change: Okay I want Mike.

Speaker Change: Yeah, Let me tell her that you go home for the tissue.

[Company Representative 1] (JD.com): The competition in the supermarket category is expected to intensify in this year with various players adopting different strategies. JD supermarket business has undergone some adjustments in the past year. These includes focus on core businesses, improvements in supply chain capabilities, and enhanced fulfillment efficiency through warehouse network reforms. These strategies are gradually coming to fruition. There's been a positive trend of growth recovery for supermarket category.

Speaker Change: The competition in the supermarket category is expected to intensify and this year with various players adopting different strategies JD supermarket business has undergone some adjustments in the past year. These include a focus on core businesses improvements in supply.

Lei Xu: Our business model aims to provide better services and quality products with greater value for money, which has given us unique advantages to satisfy diverse users' needs in various shopping scenarios. In the past few years, the retail price of food online has gradually increased. Some industries have achieved a relatively high penetration rate, but there are still many others, including supermarkets, sports, home appliances, cars, and services. In fact, the penetration rate on the line is still increasing.

Speaker Change: Chain capabilities and in house fulfillment efficiency through warehouse network reforms and these strategies are gradually coming to fruition and theres been a positive trend of growth recovery food supermarket category.

Sandy Xu: 然后在时尚和居家领域，因为这两个品类会更多地依赖于我们的第三方商家，那因为京东这个独特的商业模式，的确在我们做开放生态的时候遇到的挑战和我们所做的方式，可能跟其他平台会略有不一样的地方。那么，在2023年我们也看到我们开放生态的战略，取得了初步的成效。那目前，用户在我们时尚和居家这些品类的心智也在不断地恢复和加强，那我们也有信心在2024年，在这两个品类上继续去保持健康的增长。

Speaker Change: The hotel should how close he said you know you need to live up to that when it comes with a younger women that some promotions yeah.

Speaker Change: Now you need some time to got to cut it.

Speaker Change: Or should we take that one so of course, we'll publish a who's who of names. So it's sort of a function of pops.

Speaker Change: Yeah on the coupons my mom Oh pardon me I don't want maybe a combo with microphones somehow they tell me I'm not sure I like to talk about herself.

Lei Xu: So, from the industry perspective, as we have seen that the proportion of online retail sales of physical goods continues to – for some industries, they have enjoyed a high penetration rate, whereas for other industries, such as supermarkets, sports, furniture, and home, automotive, and other industries, their online sales penetration rate still has plenty of room to improve. From the perspective of the product category, our e-commerce products continued to keep up with the growth of the market in 2023. Although the entire industry was still facing a relatively challenging situation at that time, we are confident that these products will continue to keep up with the growth of the industry in 2024. Especially in the context of the central encouragement and promotion of the exchange of consumer goods, encouraging the promotion of e-commerce products and other major consumer goods, we are still full of confidence in these products.

Speaker Change: And I must say I know you don't put that what makes yourself. So I'll keep that equipment like a hint chips will talk about in a coupon, but that's not that wasn't in your system. Palestinian so to that population. So should you watch istent combo sometime.

[Company Representative 1] (JD.com): On the fashion and home segment, this is more heavily depend on the development of our third-party merchants. Due to our unique business models, the way we foster these two categories will be in with a different approach. So far we have seen our open ecosystem strategy has yielded some initial results and users are becoming more and more aware of JD Fashion and JD Home. We're confident that we will continue to experience healthy growth for these two categories in 2024.

Speaker Change: And especially in home segments.

Speaker Change: So more heavily depends on the development of our third party merchants and due to our unique business model the way we foster these two.

Speaker Change: Great will be with a different approach. So so far we have seen our open ecosystem strategy has yielded some initial results and users are becoming more and more aware of gene expression and JD home. We're confident that we will continue to experience healthy growth for these categories. These two categories from.

Speaker Change: 'twenty 'twenty four.

Speaker Change: So first of all.

Sandy Xu: 对，在这个竞争的问题上，这也是一个永恒的问题。那我们认为中国的零售消费市场还很大，也会存在不同的平台和业务模式，那我们自己看自己更多还是一个零售商。那如果看中国的这个零售商的角度，其实还是分散度比较高的。那么面对持续变化的这些竞争格局呢，我们觉得还是这个如何建立起让用户满意，与合作伙伴共赢的这些能力和更加高效的业务模式才是本质。那在2023年我们的确做了一些战略聚焦的调整，那业绩也受到了一些短期的影响。但是呢，我们自己看，在很多品类上还是在持续地获得市场份额和用户的心智。那团队也做了很多打法上和技术上的创新，去提升我们的转化效率，降低我们的运营成本。所以对于京东来说，我们觉得这个在2024年应该会是逐步能够看到这个之前的一系列调整都释放出来它相应的成果，所以我们还会继续坚定地去围绕同一个战略方向推进吧。那我们也相信京东以供应链为基础的业务模式是能够穿越不同经济周期、可持续增长的业务模式，那我们对自己业务长期持续获得市场份额是很有信心的。

Speaker Change: And so that's something that they're willing to.

Speaker Change: He or she touching or yeah, no yeah, no we're really talking about a new show something should have a.

Lei Xu: And for the category perspective, in 2023, we will continue to be the market leader in electronic categories and deliver a faster growth rate than the overall market in this area, even though this industry faced challenges last year. So overall, we are confident of maintaining faster than industry growth rates in these categories, especially as you see the government is promoting the trading of consumer goods and stimulating the consumption of electronics and other products. So we're confident we can maintain strong growth in these categories. The competition for the commodity in 2024 will be very intense.

Speaker Change: But on that front half of your war <expletive>, no woman husbands and come to a Hershey Golden social cause all kinds of wood to chop.

Speaker Change: Almost all of them to show how sure sometimes talk all about pneumonia.

Speaker Change: How that goes.

Speaker Change: Now, let me say that I see.

Speaker Change: She's a real call might have.

Speaker Change: I'm, calling it doesn't seem the LIFO costar costar to heal more sequential.

Speaker Change: Mom, Sally often element, which is only a timing issue.

Speaker Change: <unk> hotel.

Speaker Change: So.

Speaker Change: Fashion element.

Speaker Change: That's at least how her she said she got her those should help us as well. So you don't put that since you are not putting a pull a broad ballpark how to switch on the tongue in cheek to show them and that's how I felt at.

Speaker Change: They even talk about three things simple I saw a woman. So it does take a couple of housekeeping issue.

Speaker Change: Two clinical conduct cause I took care of the.

Lei Xu: Of course, the strategies of different platforms and retailers are different. Our commodity business has undergone adjustments over the past year, including focusing on the core track, improving our supply chain capability, and improving our retail efficiency through the internet conversion. So far, we have seen a good recovery trend. And the competition in the supermarket category is expected to intensify this year, with various players adopting different strategies.

Hotel, those siobhan fly cross selling with that tool a sale of a house.

Speaker Change: To Kimberly I'll quantify kind of if one of them.

Speaker Change: Now with Samsung.

Speaker Change: [laughter] Wilmore shoes, Oh tie up a consensus does have a cut you see sometimes a little more <expletive> government basically oh, Tom he tissue I should have thought of Russia.

[Company Representative 1] (JD.com): For the question about industrial competition, which is the internal question here. We believe that China's consumer market is vast and various platforms and business models will coexist. As we see ourselves, JD.com, JD, it's a retailer, and this market is quite dispersed. We think the key for a long-term success here is to satisfy users experience and create a win-win collaboration with all kinds of our partners. In that part, we will stick to our strategies and continue to gain market shares. We are optimistic that all the changes we made in the past year will gradually come to show some effects and the fruitions.

Speaker Change: So to the question about industrial competition, we keep internal question here. So we believe that China's retail supermarket consumer market as Marc and various platforms and business models, we will co exist and we see ourselves getting to be it's a a retailer and this market is.

Lei Xu: JD's supermarket business has undergone some adjustments in the past year. This includes focusing on core businesses, improvements in supply chain capabilities, and enhanced fulfillment efficiency through warehouse network reforms. These strategies are gradually coming to fruition, and there's been a positive trend of growth recovery for the supermarket category. In the field of fashion and home appliances, these two categories are more dependent on third-party buyers.

Speaker Change: Quite dispersed we think the key for long term success here is to satisfy users' experience in creating and building collaborations. There's all kinds of other partners. So in that part we will continue to stick to our strategies and continue to gain market shares and we are optimistic.

Speaker Change: That's all the changes we made in the past a year will gradually come to show somebody facts into fruition and I'll start last year or a different J D. Teams have came up with an innovative tactics thunder techniques to improve conversion rates and to reduce operating costs. Therefore, we think.

Lei Xu: JD's unique business model is indeed a challenge for us when we do open ecology, and the way we do it may be different from other platforms. In 2023, we also saw that our open ecology strategy achieved initial results. At present, users' interest in our fashion and home appliances continues to recover and strengthen. We are confident that we will continue to maintain healthy growth in these two categories in the next 27 years. And on the session and home segment, this is more heavily dependent on the development of our third-party merchants. And due to our unique business models, the way we foster these two categories will be with a different approach.

[Company Representative 1] (JD.com): also last year our different JD teams have came up with innovative tactics and techniques to improve conversion rates and reduce operating costs. Therefore, we think by firmly executing our established strategies, so we are on the right track to deliver results this year. As JD.com, we position ourself as a supply chain based company. We have these strengths and capabilities to withstand and navigate through different economic cycles and to deliver a good result this year. Thank you.

Speaker Change: By a friendly executive already established the strategies. So we are on the right track to deliver results. This years and the city dotcom, we prediction on myself as the supply chain based on our supply.

Speaker Change: Supply chain based on our company. So we have these strengths and our capabilities to them, where they stand and maybe gauge through different economic cycles tend to deliver a good rebound this year. Thank you.

Lei Xu: So, so far, we have seen that our open ecosystem strategy has yielded some initial results, and users are becoming more and more aware of JD Session and JD Home. We're confident that we will continue to experience healthy growth for these categories in 2024. In terms of competition, it is a question of eternity. We think that China's retail consumer market is still very large.

Speaker Change: Yes.

Operator 2: We are now approaching the end of the conference call. I will now turn the call over to JD's Sean Zhang for closing remarks.

Operator 1: We are now approaching the end of the conference call. I will now turn the call over to JD's Sean Zhang for closing remarks.

Speaker Change: We are now approaching the end of the conference call.

Speaker Change: Now I'll turn the call over to Jay DS, Sean Zhang for closing remarks.

Sean Zhang: Thank you. Thank you everyone for joining us today on the call and for your questions. If you have further questions, please contact me and our team. We appreciate your interest in JD.com and look forward to talking with you again next quarter. Thank you.

Speaker Change: Thank you. Thank you everyone for joining us today on the call and for your questions. You can have further questions. Please contact me and I are.

We appreciate your interest in JD Com and look forward to talking with you again next quarter. Thank you.

Operator 2: Thank you for your participation in today's conference. That concludes the presentation. You may now disconnect.

Speaker Change: Thank you for your participation in today's conference that concludes the presentation you may now disconnect.

Lei Xu: There are also different brands and business models. We see ourselves as a retailer. From the perspective of China's retailers, there is still a high degree of dispersion.

Speaker Change: Yeah.

Speaker Change: [noise].

Lei Xu: In the face of these constantly changing competition patterns, we think that it is essential to build a business model that satisfies users, which can be shared with partners, and which is more efficient. In 2023, we did make some strategic adjustments, and our performance has also been affected in a short period of time.

Lei Xu: But we see that in many categories, we are still gaining market share and users' hearts. Our team has also made a lot of technological innovations to improve our conversion efficiency and reduce our operating costs. So for JD, we think that in 2024, we will gradually see a series of adjustments to release its corresponding results. And we will continue to push towards the same strategic direction. We also believe that JD's business model based on the supply chain is a business model that can continue to grow through different economic cycles. We are confident that our business will continue to gain market share for a long time. So for the question about industrial competition, which is the internal question here, we believe that China's retail consumer market is vast, and various platforms and business models will co-exist.

Speaker Change: Yeah.

Speaker Change: Okay.

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Speaker Change: [music].

Lei Xu: And as we see ourselves, JD is a retailer, and then this market is quite dispersed. We think the key to long-term success here is to satisfy users' experience and create a win-win collaboration with all kinds of our partners. So in that part, we will stick to our strategies and continue to gain market shares. And we're optimistic that all the changes we made in the past year will gradually come to show some effects and fruition. And also last year, our different JD teams came up with innovative tactics and techniques to improve conversion rates and reduce operating costs. Therefore, we think by firmly executing our established strategies, we are on the right track to deliver results this year. And at JD.com, we position ourselves as a supply chain-based company, so we have these strengths and capabilities to withstand and navigate through different economic cycles and deliver a good result this year.

Speaker Change: Okay.

Speaker Change: Yeah.

Speaker Change: Okay.

Speaker Change: [music].

Speaker Change: Okay.

[music].

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Speaker Change: [music].

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Speaker Change: [music].

Speaker Change: Yeah.

Speaker Change: Okay.

Speaker Change: Yeah.

Speaker Change: Okay.

Speaker Change: [noise].

Speaker Change: Okay.

Sean Zhang: Thank you. We are now approaching the end of the conference call. I will now turn the call over to JD's Sean Zhang for his closing remarks. Thank you. Thank you, everyone, for joining us today on the call and for your questions. If you have further questions, please contact me on IRC. We appreciate your interest in JD.com and look forward to talking with you again next quarter. Thank you. Thank you for your participation in today's conference. That concludes my presentation. You may now disconnect. Transcribed by https://otter.ai, Transcription by Trans-Expert at Fiverr.com Unknown Executive, Kenneth Fong, Ian Shan, JD.com Unknown Executive, Kenneth Fong, Ian Shan, JD.com Transcribed by https://otter.ai Unknown Executive, Kenneth Fong, Ian Shan, JD.com Unknown Executive, Kenneth Fong, Ian Shan, JD.com

Speaker Change: [noise].

Speaker Change: Yeah.

Speaker Change: Okay.

Speaker Change: [music].

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Speaker Change: [noise].

Speaker Change: Okay.

Speaker Change: [music].

Speaker Change: Okay.

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