Q1 2024 GDS Holdings Ltd Earnings Call

May 22, 2024

Okay.

Operator: Hello, ladies and gentlemen. Thank you for standing by for GDS Holdings Limited's Q1 2024 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 call is being recorded. I will now turn the call over to your host, Ms. Laura Chen, Head of Investor Relations for the company. Please go ahead, Laura.

Okay.

Speaker Change: Hello, Ladies and gentlemen, thank you for standing by for GDS Holdings Limited first quarter 'twenty 'twenty four earnings conference call.

Speaker Change: This time, all participants are in listen only buy it.

Operator: After management's prepared remarks, there will be a question and answer session. Today's conference call is being recorded. I will now turn the call over to your host, Ms. Laura Chen, Head of Investor Relations for the company. Please go ahead, Laura.

Speaker Change: After managements prepared remarks, there will be a question and answer session.

Speaker Change: Today's conference call is being recorded.

Speaker Change: I will now turn the call over to your host Ms. Laura Chen head of Investor Relations for the company. Please go ahead Laura.

Laura Chen: Thank you, operator. Hello, everyone.

Laura Chen: Thank you, operator. Hello, everyone. Welcome to the Q1 2024 Earnings Conference Call of GDS Holdings Limited. The company's results were issued via Newswire services earlier today and posted online. A summary presentation, which we will refer to during this conference call, can be viewed and downloaded from our IR website at investors.gds-services.com. Leading today's call is Mr. William Huang, GDS Founder, Chairman, and CEO, who will provide an overview of our business strategy and performance. Mr. Dan Newman, GDS CFO, will then review the financial and operating results. Ms. Jamie Khoo, CEO of GDS International, is also available to answer questions. Before we continue, please note that today's discussion will contain forward-looking statements made under the Safe Harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties.

Laura Chen: Thank you operator, Hello, everyone welcome to the first quarter of 2020 full earnings conference call of GDS Holdings Limited.

Laura Chen: Welcome to the first quarter 2024 earnings conference call of GDS Holdings Ltd. The company's results were issued via newswire services earlier today and posted online. A summary presentation, which we will refer to during this conference call, can be viewed and downloaded from our IR website at investorsgdsservices.com. Leading today's call is Mr. William Huang, GDS founder, chairman, and CEO, who will provide an overview of our business strategy and performance. Mr. Dan Newman, GDS CFO, will then review the financial and operating results.

Laura Chen: The company's results were issued via Newswire services earlier today posted.

Laura Chen: Alight.

Laura Chen: Summary presentation, which we will refer to during this conference call can be viewed and downloaded from our IR website at investors GDS services dotcom.

Speaker Change: Leading today's call is Mr. William Huang GDS, founder Chairman and CEO, who will provide an overview of our business strategy and performance Mr. Dan Human GDS CFO will then review the financial and operating results Ms. Jamie Cook.

Speaker Change: Oh G. D. S. International is also available to answer questions. Before we continue. Please note that today's discussion will contain forward looking statements made under the safe Harbor provisions of the U S. Private stupid as Securities Litigation Reform Act of 1995 forward looking statements involve in here.

Laura Chen: Ms. Jamie Khoo, CEO of GDS International, is also available to answer questions. Before we continue, please note that today's discussion will contain forward-looking statements made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. As such, the company's results may be materially different from the views expressed today. Further information regarding these and other risks and uncertainties is included in the company's prospectus as filed with the U.S. SEC.

Laura Chen: And the company does not assume any obligation to update any forward-looking statements except as required under applicable law. Please also note that the GDS earnings release, the earnings press release, and this conference call include discussions of unaudited debt financial information, as well as unaudited non-debt financial measures. GDS's press release contains a reconciliation of the unaudited non-debt measures to the unaudited most directly comparable debt measures. I'll now turn the call over to GDS founder, chairman, and CEO, William Huang. Please go ahead, William. Hello.

Daniel Newman: Those risks and the sudden kits as such the company's results may be materially different from the views expressed today further information regarding these and other risks and uncertainties is included in accomplish prospectus as filed with the U S. SEC and the company does not assume any obligation to update any forward.

Laura Chen: As such, the company's results may be materially different from the views expressed today. Further information regarding these and other risk uncertainties is included in the company's prospectus as filed with the U.S. SEC. The company does not assume any obligation to update any forward-looking statements except as required under applicable law. Please also note that GDS earnings release, earnings press release, and this conference call includes discussions of unaudited GAAP financial information, as well as unaudited non-GAAP financial measures. GDS press release contains a reconciliation of the unaudited non-GAAP measures to the unaudited most directly comparable GAAP measures. I'll now turn the call over to GDS Founder, Chairman, and CEO, William Huang. Please go ahead, William.

Daniel Newman: These statements except as required under applicable law. Please also note that GDS earnings release, our earnings press release and this conference call include discussions of unaudited GAAP financial information as well as unaudited non-GAAP financial measures GDS press release contains.

Daniel Newman: A reconciliation of the unaudited non-GAAP measures.

Daniel Newman: Unaudited most directly comparable GAAP measures.

Speaker Change: I'll now turn the call over to GDS founder Chairman and CEO William Huang. Please go ahead with them.

William Huang: Hello everyone, this is William. Thank you for joining us on today's call. The top priority of GDS's senior management team is to create value for our shareholders and drive share price recovery. Our business now has two distinct segments: China and International. For China, we believe that the key to creating shareholder value is, First, to get back onto a higher growth track in terms of EBITDA. Second, to generate a positive free cash flow before financing and reduce debt, and the third to position strategically for the coming AI wave. For international investors, the Series A capital raising sets a benchmark of nearly $4 per GDS share.

William Huang: Hello, everyone. This is William Huang. Thank you for joining us on today's call. The top priority of GDS senior management team is to create value for our shareholders and drive share price recovery. Our business now has two distinct segments, China and International. For China, we believe that the key to creating shareholder value is, first, to get back onto a higher growth track in terms of EBITDA. Second, to generate a positive free cash flow before financing and reduce debt. Third, to position strategically for the coming AI wave. For International, the Series A capital raising sets a benchmark of nearly $4 per GDS share. We believe that this value will appreciate significantly as we build on our initial success. Now, let's review our progress towards these goals in more detail, starting with China on slide 5.

William Huang: Hello, everyone. This is William Thank you for joining us on today's call.

Speaker Change: The top priority of Chile is senior management team is to create value for our shareholders and a jive share price recovery.

Speaker Change: Our business now has two distinct.

Speaker Change: Segments, China and international law.

Speaker Change: For China, we believe that the key to creating shareholder value is.

Speaker Change: First to get back onto a higher growth track in terms of EBITDA.

Speaker Change: Seven.

To generate a positive free cash flow before financing and that would reduce that.

Speaker Change: And the third positioning strategically les for the coming AI wave.

Speaker Change: For international the series a capital raising sets a benchmark.

Speaker Change: Nearly $4 GDS share.

William Huang: We believe that this value will be appreciated significantly as we build on our initial success. Now, let's review our progress towards these goals in more detail, starting with China on slide 5. The key to restoring higher growth in China is the moving rate.

Speaker Change: We believe that this value will.

Speaker Change: <unk> significantly as we build on our initial success.

Speaker Change: Now, let's review our progress towards these goals in more detail starting with China.

Speaker Change: On slide five.

William Huang: The key to restoring higher growth in China is the move-in rate. Over the past couple of years, we focused our sales efforts on opportunities with fast-moving schedules and reasonable pricing. Even though the market as a whole slowed down, we've made good progress with winning this kind of business. The results of our efforts are now starting to become visible in our gross additional area utilized. In Q1 2024, the gross move-in for China was 17,000 square meters, all of which was in Tier 1 markets. It's the highest since 2020.

Speaker Change: The key to restoring higher growth in China is.

Speaker Change: Moving right.

William Huang: Over the past couple of years, we focused our sales efforts on opportunities with fast-moving schedules and a reasonable price, even though the market as a whole slowed down. We've made good progress with winning this kind of business. The results of our efforts are now starting to become visible in our gross additional area utilized.

Speaker Change: Over the past couple of years, we focused.

Speaker Change: We focused our sales efforts.

Speaker Change: Opportunity opportunities with a faster moving schedules and reasonable pricing.

Speaker Change: Even though the market.

Speaker Change: Oh slowdown.

Speaker Change: We've made good progress.

Speaker Change: We need this kind of business that.

Speaker Change: The results of our efforts are now starting to become visible in our gross additional.

Speaker Change: Area utilized.

William Huang: In 1Q24, the gross moving for China was 17,000 sq.m., all of which was in Tier 1 markets, the highest since 2020. Going forward, based on contractual commitments in the backlog, we expect growth move-in to continue at these higher levels. From the beginning of 1Q24, we started recognizing revenue and deducted 12,000 square meters from our area utilized for three BOT data centers, which we plan to transfer to the customer on an accelerated basis.

Speaker Change: A <unk> 24 to <unk>.

Speaker Change: Moving for China was 17000 square meters.

Speaker Change: All of which was in tier one markets.

Speaker Change: It's the highest since 2020.

William Huang: Going forward, based on contractual commitments in the backlog, we expect gross move-in to continue at these higher levels. From the beginning of Q1 2024, we started recognizing revenue and deducted 12,000 sq m from our area we utilize for 3 BOT data centers, which we plan to transfer to the customer on an accelerated basis. During Q1 2024, this was around 60,000 sq m of customer churn, most of which we immediately replaced with new customer commitments in our Q1 2024 bookings. Over the next couple of quarters, we expect the impact of these one-time factors to diminish. As a result, net addition area utilized in China will set up in line with the improved growth moving. How do we achieve steady EBITDA growth while at the same time generating positive free cash flow before financing?

Speaker Change: Going forward.

Speaker Change: Based on <unk>.

Speaker Change: Contractual commitments in the backlog, we expect gross move to continue at this highest higher levels.

Speaker Change: From the beginning of <unk> 24.

Speaker Change: We stopped recognizing revenue and deter.

Speaker Change: 12000 square meters from Andrea we utilize for three <unk> data centers, which we plan to transfer to the customer.

Speaker Change: Accelerated basis.

William Huang: During 1Q24, this was around 60,000 square meters of customer trade, most of which we immediately replaced with new customer commitments in our 1Q24 booking. Over the next couple of quarters, we expect the impact of these one-time factors to diminish.

Speaker Change: During <unk> 2004. So this was around 60000 square meters of customer churn.

Speaker Change: Most of which we immediately replaced with new customer commitments in our <unk> tempting for bookings.

Speaker Change: Over the next couple of quarters, we expect the impact of these one time factors.

Speaker Change: Diminishes diminish.

William Huang: As a result, the net addition area utilized in China will be set up in line with the improved growth strategy. How do we achieve steady EBITDA growth while at the same time generating positive free cash flow before financing? The key is increased utilization of existing assets and to only incur additional capex when needed to deliver capacity to customers with confirmed move schedules. In 1Q24, we brought 14,000 square meters of new capacity into service in China at three data centers in Shanghai, Changshu, and Langfang.

Speaker Change: As a result, net addition added area utilized in China were setup in line with the improved gross movie.

Speaker Change: How do we achieve steady EBITDA growth.

Speaker Change: Yes.

Speaker Change: At the same time generating positive free cash flow before financing.

William Huang: The key is increased utilization of existing assets and to only incur additional CapEx when needed to deliver capacity to customers with confirmed moving schedules. In Q1 2024, we brought 14,000 square meters of new capacity into service in China at three data centers in Shanghai, Changshu, and Langfang. The commitment rate for these three data centers is 100%. By the end of the quarter, the utilization rate was already over 40%. This is the pattern which we are aiming for. In the past couple of years, we've put the brakes on our development program in China, completing around 30,000 square meters of projects per annum in 2022 and 2023. In the current year, we expect higher level of completions at around 60,000 square meters due to the higher level of customer move-in.

Speaker Change: The key is increased utilization.

Speaker Change: <unk> existing assets and to only incur additional cash.

Speaker Change: Capex when needed to deliver.

Speaker Change: <unk> two customers wins confirm that moving schedules.

Speaker Change: In 124.

Speaker Change: We brought 14000 square meters of new capacity into service in China.

Speaker Change: And three data centers in Shanghai chancel and alongside.

William Huang: The commitment rate for these three data sets, Census, was 100% by the end of the quarter, and the utilization rate was already over 40%. This is the patent which we are aiming for. In the past couple of years, we have put the brakes on our development program in China, completing around 30,000 square meters of projects per annum in 2022 and 2023. In the current year, we expect a higher level of completion, at around 60,000 sf.

Speaker Change: Yes.

Speaker Change: The commitment rate for these three data.

Speaker Change: Sensus is 100%.

Speaker Change: By the end of quarter.

Speaker Change: The utilization rate was already over 40%.

Speaker Change: This is the patent which we are aiming for.

In the past couple of years, we put the brakes.

Speaker Change: Our development program in China.

Speaker Change: Completing around the 30000 square meters of projects.

Speaker Change: Per annum in 2022 and 2023 in.

Speaker Change: In the current year, we expect a higher level of completions.

William Huang: m due to the higher level of customer moving. However, to deliver this capacity, we only need to incur the cost to complete, which works out at around RMB 2.5 billion, or less than U.S. $300 billion for Magwood.

Speaker Change: Around a 60000 square meters due to the high higher level of customer movie.

William Huang: However, to deliver this capacity, we only needed to incur the cost to complete, which works out at around RMB 2.5 billion or less than $333 per megawatt. Slide 8. We have area utilized by over 50%, while only needed to incur costs to complete of around RMB 7.4 billion. Turning to ourselves on slide 9. The current market, we have been selective, which fits our capacity and have the right com. In Q1 2024, new bookings in China were around 9,000 square meters, most of which relates to inventory at data centers in service. So far, there have been a lot of AI-driven demand in Tier 1 markets. However, there have been AI developments in remote locations which are not our focus.

Speaker Change: However to deliver this capacity, we only needed to incurred the cost to compete which works out at around RMB, two 5 billion or less than <unk> 303 industry.

Speaker Change: The megawatts.

Okay.

William Huang: We are E, an area utilized by over 50 percent while only needing to incur costs to complete of around RMB 7.4 billion. Tune into our sales on slide 9. In the market, we have been selective, is which fits our capacity and has the right. In 1Q24, new bookings in China were around 9,000 square meters, most of which relates to inventory at data centers in service. So far, there has been a lot of AI-driven demand in the Tianwen market. However, there have been AI developments in remote locations which are not our focus.

Speaker Change: Slide eight.

Speaker Change: We are.

Speaker Change: Area utilized by over 50%, while only needed to incur cost to compete.

Speaker Change: The Imdb set.

Speaker Change: Seven 4 billion.

Speaker Change: Turning to our sales on slide nine.

Speaker Change: Turning to market, we have been selectively.

Speaker Change: Lease, which fits our capacity and.

Speaker Change: Right.

Speaker Change: In <unk> 24.

Speaker Change: New bookings in China were around 9000 square meters.

Speaker Change: Most of which related as it relates to inventory XD to data centers in service.

Speaker Change: So far.

Speaker Change: A lot of AI driven demand in tier one markets.

Speaker Change: However have been AI departments in remote locations, which are not our focus.

William Huang: These deployments are mainly for AI development and AI-enabled applications. Nonetheless, it is an encouraging lead indicator of latency-sensitive AI demand coming. As we have seen in our international business, AI requires unprecedented scale and fast delivery. We are very well-placed to satisfy this kind of requirement in China's Tier 1 market. Because of the land and power which we have secured at multiple sites, we will use this resource very strategically to capture the AI wave. Turning to international on slide 12.

William Huang: These deployments are mainly for AI development and AI enabled applications. Nonetheless, it is an encouraging lead indicator of latency sensitive AI demand coming to . As we have seen in our international business, AI requires unprecedented scale and faster delivery. We are very well-placed to satisfy this kind of requirement in China Tier 1 markets. Because of the land and power which we have secured at multiple sites, we will use this resource very strategically to capture the AI wave. Turning to international on slide 12. Our international strategy is based on anticipating new waves of demand and evolving requirements, moving decisively to secure land and power with short time to market. Winning game-changing customer orders, leveraging our competitive strengths to execute faster and more efficiently. Financing the business on a standard loan basis.

Speaker Change: These deployments are mainly for AI development.

Speaker Change: Enable enabled applications. Nonetheless, it is an encouraging leading indicator of latency sensitive demand coming too.

Speaker Change: Okay.

Speaker Change: As we have seen in our international business AI required requires.

Speaker Change: And present them.

Speaker Change: Scale and the faster delivery, we are very well paced to satisfy these kind of requirements in China tier one markets.

Speaker Change: Yes.

Speaker Change: The land and power, which we have secured at multiple sites, we will use this.

Speaker Change: Results very strategically to capture the AI wave.

Speaker Change: Turning to turning to international on Slide 12.

William Huang: Our international strategy is based on anticipating new waves of demand and evolving requirements, moving decisively to secure land and power with short time to market, Winning Game-Changing Customer Orders, leveraging our competitive strength to execute faster and more efficiently, and financing the business on a standalone basis. Within a few years of launching our international strategy, we are well on the way to developing a market-leading presence in three of the world's largest data center hubs, namely Singapore, Japan, Hong Kong, and Tokyo. Across these three hubs, we currently have 75 megawatts in service. 196 MW under construction and over 500 MW of land and power supply held for future development, subject to demand.

Speaker Change: Our international strategy is based on.

Speaker Change: Anticipating new waves of demand and evolving requirements.

Speaker Change: Moving decisively to secure.

Speaker Change: Power with short time to market.

Speaker Change: Weaning gaming.

Speaker Change: Winning game changing customer orders.

Speaker Change: Leveraging our competitive strengths to execute faster and more efficiently.

Speaker Change: And the financing the business.

Speaker Change: And the stand alone basis.

William Huang: Within a few years of launching our international strategy, we are well on the way to developing a market-leading presence in three of the world's largest data center hubs, namely Singapore, Johor Bahru, Hong Kong, and Tokyo. Across these three hubs, we currently have 75MW in service, 196MW under construction, and over 500MW of land and power supply held for future development, subject to demands. All of this capacity could be constructed and delivered within three to four years, which is a critical consideration for customers. We currently have 182MW of commitments, which is around 40% from the leading global customers. In Q1 2024, we won an 18MW order from a local cloud player. In the current quarter, we won a 43MW order from a global cloud service provider.

Speaker Change: Within a few years of launching our international strategy.

Speaker Change: We are well underway to developing a market leading.

Speaker Change: Presents in three of the world's largest data center hubs name.

Speaker Change: Namely Singapore to hold pattern.

Hong Kong and Tokyo.

Speaker Change: Across these three hot we currently have 75 megawatts in service.

Speaker Change: 196 megawatts under construction and over five.

Speaker Change: 100, 100 megawatts of land and power supply how that for future development.

Subject to demand.

William Huang: All of this capacity could be constructed and delivered within three to four years, which is a critical consideration for customers. We currently have 100, 82 MW of commitments, which is around 40% from the leading global customers. In 1Q24, we won an 18 MW order from a local cloud player, and in the current quarter, we won a 43 MW order from a global cloud service provider. Both of these orders were for our two Jehovah's campuses.

Speaker Change: All of this capacity could it be constructed and delivered it within three to four four years, which is a critical considerations for customers.

We currently have 100.

Speaker Change: Two megawatts of commitments, which around 40% from the leading global customers in <unk> 2004, we won.

Speaker Change: 18 megawatt order from local cloud player and in the current quarter we won.

Speaker Change: 43 megawatt megawatt order from a global cloud service provider.

William Huang: Both of these orders were for our two Johor campuses. Our pipeline of new business for Johor is exceptionally strong, and I'm pleased to report that we are in the process of contracting our first business for Batam. Meanwhile, in Hong Kong, we are already sold out our first two data centers. In Tokyo, we are partnering for two new data centers, which we believe will be highly marketable. In today's market, it is very typical for customers to require a short lead time to delivery of only a few quarters. They then commit to rapid moving. Our ability to meet these requirements sets us apart. As a proof point, we have already delivered 70MW in Johor, which was 100% revenue generating by the end of Q1 2024.

Speaker Change: Both of these orders were for our two Joel campuses.

William Huang: Our partner in New Business Fortune Hall is exceptionally strong, and I am pleased to report that we are in the process of contracting our first business for Batam. Meanwhile, in Hong Kong, we have already sold out our first two data centers. In Tokyo, we are partnering for two new data centers, which we believe will be highly marketable. In today's market, it is very typical for customers to require a short lead time to delivery within only a few quarters. They then commit to rapid moving.

Speaker Change: Our pipeline of new business for Joel.

Speaker Change: Is exceptionally strong and I am pleased to report that we are in the Prost.

Speaker Change: Process of contacting our first business for pattern.

Speaker Change: Meanwhile, in Hong Kong, we are already sold out our first of two data centers in Tokyo, we are partnering for two new.

Speaker Change: Patterning for two new data centers, which we believe will be a highly marketable.

Speaker Change: In today's market. It is very typical for customers to require a short lead time to deliver.

Speaker Change: Delivery of only a few quarters.

Dave: Dave then commit to rapid moving our ability to meet these requirements.

William Huang: Our ability to meet these requirements sets us apart. As a proof point, we have already delivered 70 megawatts in Juhu, which was 100% revenue-generating by the end of 1Q24. We have another 86 megawatts of backlog in Juhu, most of which is scheduled for delivery and will become revenue-generating over the next six quarters. Due to the accelerated sales pipeline and strong investor demand, we decided to increase the Series A new issue by US$85 million to US$672 million. This successful new issue demonstrates our ability to access capital for international on a standard loan basis. We have now established a channel for future capital raises and future value benchmarking. I will now pass this on to Dan for the financial and operating review.

Dave: Sets us apart.

Dave: As a proof points, we have already delivered 70 megawatts into hall, which was 100% revenue generated by the end of the <unk> 24, we have another 86 megawatts backlog into hall, most of which is scheduled for delivery.

William Huang: We have another 86MW backlog in Johor, most of which is scheduled for deliveries and will become revenue generating over the next six quarters. Due to the accelerated sales pipeline and the stronger investor demand, we decided to upsize the Series A new issue by $85 million to $672 million. This successful new issue demonstrates our ability to access capital for international on a stand-alone basis. We have now established a channel for future capital raises and the future value in benchmark markets. I will now pass on to Dan for the financial and operating review.

Dave: And that will become revenue generating over the next six quarters.

Dave: Due to the accelerated to the sales pipeline and a strong investor demand, we decided to upsize our service a new issue by U S dollar $85 million to.

U S dollar $672 million.

Dave: These successful new issued <unk> demonstrates our ability to access capital for international.

Dave: <unk> stand alone basis.

We have now established channel for future capital raise it raises and the foot.

Speaker Change: Sure the value bench markets.

Daniel Newman: I will now pass on to Dan for the financial and operating review.

Dan Newman: Thank you, William. Turning to slide 15. From Q2 2024, we will start to provide segment reporting in our earnings release. As you can see, excuse me, we have already included most of the segment information in our Q1 2024 earnings presentation. We will define two segments. DigitalLand Holdings Limited and its subsidiaries, which comprises all of our business and assets outside of mainland China, except for some minor third-party data centers in Hong Kong, will be referred to as GDSI or International. GDS Holdings Limited and all of its subsidiaries, excluding GDSI, which comprises our ultimate holding company and all of our business and assets in mainland China, will be referred to as GDSH or China. Turning to slide 16. In Q1 2024, consolidated revenue increased by 9.1% and adjusted EBITDA increased by 4.7% year on year.

Speaker Change: Thank you.

Daniel Newman: Turning to slide 15, from 2Q24, we will start to provide segment reporting in our earnings release. As you can see, we have already included most of the segment information in our 1Q24 earnings presentation. We will define two segments.

Speaker Change: Turning to slide 15.

Speaker Change: For the <unk> 'twenty four we will start to provide segment reporting in our earnings release.

Speaker Change: As you can see.

Daniel Newman: We have already included most of the segment information in our <unk> 24 earnings presentation.

Daniel Newman: We will define two segments.

Daniel Newman: Digital Land Holdings Ltd and its subsidiaries, which comprise all of our business and assets outside of mainland China, except for some minor third-party data centers in Hong Kong, will be referred to as GDSI or international, and all of its subsidiaries, excluding GDSI, which comprises our ultimate holding company and all of our business and assets in mainland China, will be referred to as GDSH or China. Turning to slide 16. In 1Q24, consolidated revenue increased by 9.1%, and Adjusted EBITDA increased by 4.7% year-on-year. Starting with the China segment, in 1Q24, GDSH revenue increased by 1.8%, and Adjusted EBITDA decreased by 1.6% year-on-year.

Daniel Newman: Digital land Holdings limited and its subsidiaries.

Daniel Newman: Which comprises all of our business and assets outside of mainland China.

Daniel Newman: For some minor third party data centers in Hong Kong.

Daniel Newman: It will be referred to as GSI or international.

Daniel Newman: GDS Holdings Ltd, and all of its subsidiaries.

<unk> GTS side.

Daniel Newman: Which comprises our ultimate holding company and all of our business and assets in mainland China.

Daniel Newman: Without the BOT transfers, GDSH revenue would have increased by 3.4%, and GDSH adjusted EBITDA would have increased by 1.4% year on year. GDSH revenue growth was mainly driven by an increase in total area utilized of 7.5% year-on-year, offset by a reduction in MSR. GDSH's adjusted EBITDA growth was further impacted by higher power tariffs during the past year, which resulted in a decrease in GDSH's adjusted EBITDA margin from 48.6% in 1Q23 to 46.9% in 1Q24.

Daniel Newman: We refer to as GDS H or China.

Daniel Newman: Turning to slide 16.

Daniel Newman: In <unk> 'twenty for consolidated revenue increased by nine 1%.

Daniel Newman: Adjusted EBITDA increased by four 7% year on year.

Dan Newman: Starting with the China segment. In Q1 2024, GDSH revenue increased by 1.8% and adjusted EBITDA decreased by 1.6% year on year. Without the BOT transfers, GDSH revenue would have increased by 3.4% and GDSH adjusted EBITDA would have increased by 1.4% year on year. GDSH revenue growth was mainly driven by an increase in total area utilized of 7.5% year on year, offset by reduction in MSR. GDSH adjusted EBITDA growth was further impacted by higher power tariffs during the past year, which resulted in a decrease in GDSH adjusted EBITDA margin from 48.6% in Q1 2023 to 46.9% in Q1 2024.

Starting with the China segment.

Daniel Newman: <unk> 24, <unk> revenue increased by one 8%.

Daniel Newman: And adjusted EBITDA decreased by one 6% year on year.

Daniel Newman: Without the <unk>.

Daniel Newman: Transfers.

Daniel Newman: Gsh revenue would have increased by three 4% and.

Daniel Newman: <unk> adjusted EBITDA would have increased by one 4% year on year.

Daniel Newman: DSA revenue growth was mainly driven by an increase in total area utilized with seven 5% year on year.

Daniel Newman: Offset by reduction in MSR.

Daniel Newman: <unk> adjusted EBITDA growth was further impacted by higher power tariffs during the past year.

Daniel Newman: Which resulted in a decrease in GDS age adjusted EBITA margin.

Daniel Newman: For 48, 6% and <unk> 23 to 46, 9% and <unk> 24.

Daniel Newman: In 1Q24, net additional area utilized for China, before the BOT transfers, was 10,858 square meters, which is slightly higher than the average for the prior four quarters. Looking forward, we expect net additional area utilized for China to step up over the next few quarters, as a result of higher gross move-in and a reduced Impact from One Time Fact. We also expect the reduction in MSR to slow down, assuming that power tariffs remain at current levels.

Dan Newman: In Q1 2024, net additional area utilized for China before the BOT transfers was 10,858 sq m, which is slightly higher than the average for the prior four quarters. Looking forward, we expect net additional area utilized for China to step up over the next few quarters as a result of higher gross move-in and reduced impact from one-time factors. We also expect the reduction in MSR to slow down, and assuming that power tariffs remain at current levels, we expect GDSH adjusted EBITDA margin to stabilize with just the usual seasonal fluctuations. Turning to international, GDSI recorded strong revenue growth and adjusted EBITDA growth as its first data centers enter service and began to ramp up with nearly 20,000 sq m of net additional area utilized in a single quarter.

And <unk> 24, net additional area utilized for China.

Daniel Newman: Before the transfers.

Daniel Newman: Was 10858 square meters.

Daniel Newman: Which is slightly higher than the average for the prior four quarters.

Daniel Newman: Looking forward.

We expect net additional area utilized for China to step up over the next few quarters.

Daniel Newman: As a result of higher gross smoothing.

Daniel Newman: And reduced impact from onetime factors.

Daniel Newman: We also expect a reduction in MSR to slow down.

Daniel Newman: And assuming that power tariffs remain at current levels.

Daniel Newman: We expect GDSH's adjusted EBITDA margin to stabilize with just the usual seasonal fluctuation. Turning to international, GDSI recorded strong revenue growth and adjusted EBITDA growth as its first data centers entered service and began to ramp up, with nearly 20,000 square meters of net additional area utilized in a single quarter. Because of the scheduled delivery and moving commitments, we expect the numbers for GDSI to increase rapidly. Turning to slide 19.

Daniel Newman: <unk> adjusted EBITDA margin to stabilize with just the usual seasonal fluctuations.

Daniel Newman: Turning to international.

Daniel Newman: Gtsi recorded strong revenue growth.

Daniel Newman: <unk> EBITA growth.

Daniel Newman: As its first data centers into service.

Daniel Newman: It began its ramp up.

Daniel Newman: With nearly 20000 square meters.

Daniel Newman: Net additional area utilized in a single quarter.

Dan Newman: Because of the scheduled delivery and moving commitments, we expect the numbers for GDSI to increase rapidly. Turning to slide 19. In Q1 2024, our China CapEx totaled RMB 894 million. CapEx during Q1 is usually elevated as payables are settled on an accelerated basis before Chinese New Year. We expect lower CapEx per quarter over the rest of the year and still maintain our RMB 2.5 billion guidance for China CapEx for the full year. In Q1 2024, our international CapEx was around RMB 702 million. As William mentioned, we have an 87 MW backlog to deliver over the next six quarters. In addition, we plan to purchase additional land in Johor and Singapore and to commence new projects as we win customer commitments. Our CapEx guidance for international in 2024 is RMB 4 billion.

Daniel Newman: Because of the scheduled delivery and moving commitments.

Daniel Newman: Expect the numbers for GSI to increase rapidly.

Daniel Newman: Turning to slide 19.

Daniel Newman: In 1Q24, our China CapEx totaled RMB894 million. CapEx during the first quarter is usually elevated as payables are settled on an accelerated basis before the Chinese New Year. We expect lower capex per quarter over the rest of the year and still maintain our 2.5 billion RMB guidance for China Capex for the full year. In 1Q24, our international capex was around 702 million RMB. As William mentioned, we have an 87 megawatt backlog to deliver over the next six quarters.

Daniel Newman: <unk> 24 hour, China, Capex totaled 894 million RMB.

Capex during the first quarter.

Daniel Newman: Easily elevated those payables are settled on an accelerated basis before Chinese new year.

Daniel Newman: We expect lower capex per quarter over the rest of the year is still maintain $2 5 billion RMB guidance.

Daniel Newman: China Capex for the full year.

Daniel Newman: And <unk> 24 hour International Capex was around 702 million RMB.

Speaker Change: As William mentioned, we have an 87 megawatt backdrop.

Speaker Change: To deliver over the next six quarters.

Daniel Newman: In addition, we plan to purchase additional land in Johor and Singapore and to commence new projects as we win customer commitments. Our CapEx guidance for international in 2024 is 4 billion RMB. Based on the strong sales pipeline, international capex may accelerate over the next few quarters. Turning to slide 20.

Speaker Change: In addition, we plan to purchase additional land and Joel and Singapore and to commence new projects as we wind customer commitments.

Speaker Change: Our capex guidance for international in 2020 for this.

Speaker Change: 4 billion RMB.

Dan Newman: Based on the strong sales pipeline, international CapEx may accelerate over the next few quarters. Turning to slide 20. Cash flow before financing for the China segment has fluctuated between positive and negative for the past 5 quarters. It was negative in Q1 2024 due to slower connections and faster payments, which follows the same pattern for the past 3 years. We still expect to be close to or break even for the full year. We expect to receive proceeds from the BOT transfer in the second or third quarter. In Q1 2024, international on a standalone basis had negative cash flow before financing of over RMB 730 million. With the proceeds of Series A, we have enough capital to complete all of the current projects. Turning to slide 22.

Speaker Change: Based on our strong sales pipeline international Capex may accelerate over the next few quarters.

Speaker Change: Turning to slide 20.

Daniel Newman: Cash Flow Before Financing for the China Segment has fluctuated between positive and negative for the past five quarters. It was negative in 1Q24 due to slower collections and faster payments, which follows the same pattern for the past three years. We still expect to be close to or breakeven for the full year. We expect to receive proceeds from the BOT transfer in the second or third quarter. In 1Q24, International, on a stand-alone basis, had a negative cash flow before financing of over 730 million RMB. With the proceeds of Series A, we have enough capital to complete all of the current projects. Turning to slide 22.

Speaker Change: Cash flow before financing for the China segment.

Speaker Change: Has fluctuated between positive and negative for the past five quarters.

Speaker Change: It was negative <unk> 24.

Speaker Change: Due to slower collections and foster payments, which follows the same pattern for the past three years.

We still expect to be close to <unk>.

Breakeven for the full year.

Speaker Change: We expect to receive proceeds from the <unk>.

Speaker Change: Transfer.

Speaker Change: Second or third quarter.

Speaker Change: And <unk> 24 international on a standalone basis.

Speaker Change: Negative cash flow before financing.

Speaker Change: 730 million RMB.

Speaker Change: With the proceeds of series a.

Speaker Change: We have enough capital to complete all of the current projects.

Speaker Change: Turning to slide 22.

Daniel Newman: On 26th March, we announced that we had entered into definitive agreements with certain private equity investors to subscribe for 587 million US dollars of Series A convertible preferred shares newly issued by GDSI. On 13th May, we entered into amendments to the Definitive Agreements, which included increasing the size of the Series A in US dollars to US$672 million at the same pre-money equity valuation of US$750 million. We expect the Series A new issue to close on the 4th of June, post-closing and on an as-converted basis.

Dan Newman: On 26 March, we announced that we had entered into definitive agreements with certain private equity investors to subscribe for $587 million of Series A convertible preferred shares newly issued by GDSI. On 13 May, we entered into amendments to the definitive agreements, which included increasing the size of Series A new issue to $672 million at the same pre-money equity valuation of $750 million. We expect the Series A new issue to close on 4 June. Post-closing, and on an as-converted basis, GDSH will own approximately 52.7% of the equity interest of GDSI in the form of ordinary shares. The remaining 47.3% equity interest will be held in the form of Series A shares by the private equity investors.

Speaker Change: On 26th of March we announced that we had entered into definitive agreements with certain private equity investors.

Speaker Change: To subscribe five for $587 million of series a convertible preferred shares.

Speaker Change: Newly issued by GSI.

Speaker Change: On 13th of May we entered into amendments to the definitive agreements.

Speaker Change: Which included increasing the size to if there is a new issue.

Speaker Change: 672 million U S dollars at the same pre money equity valuation of 750 million U S dollars.

Speaker Change: We expect the series a new issue to close on fourth of June.

Speaker Change: Post closing.

Speaker Change: And on as an as converted basis.

Daniel Newman: GDSH will own approximately 52.7% of the Equity Interest of GDSI in the form of ordinary shares. The remaining 47.3% equity interest will be held in the form of Series A shares by the private equity investors. Turning to slide 23.

Speaker Change: GDS H will own approximately 52, 7% of.

Speaker Change: So the equity interest of GSI.

Speaker Change: In the form of ordinary shares.

Speaker Change: The remaining 47, 3% equity interest will be held in the form of series a shares by the private equity investors.

Dan Newman: Turning to slide 23. The proceeds of the equity capital raised by GDSI is ring-fenced. We therefore believe that it makes more sense to look at our leverage on a segment basis. After closing of Series A, GDSI will repay all shareholder loans and other amounts due to GDSH. At the end of Q1 2024, this totaled RMB 1.7 billion. On a pro forma basis, the cash balance of GDSH will increase to RMB 9 billion, all of which is available to support the China business. The net debt to last quarter annualized adjusted EBITDA multiple for GDSH was 7.7 times. This calculation does not take into account the value of GDSH's equity interest in GDSI. Turning to slide 24. During the period from Q2 2024 to Q4 2024, we have RMB 1.7 billion of project loan amortization for China.

Speaker Change: Turning to slide 23.

Daniel Newman: Proceeds of the equity capital raised by GDSI are ring-fenced. We therefore believe that it makes more sense to look at our leverage on a segmented basis. After closing Series A, GDS-I will repay all shareholder loans and other amounts due to GDS-8. At the end of 1Q24, this totaled 1.7 billion RMB. On a pro-forma basis, the cash balance of GDSH will increase to 9 billion RMB, all of which is available to support the China business. The net debt to last quarter annualized adjusted EBITDA multiple for GDSH was 7.7 times. This calculation does not take into account the value of GDSH's equity interest in GDSI.

Speaker Change: Proceeds of the equity capital raised by GSI is ring fenced.

Speaker Change: We therefore believe that it makes more sense to <unk>.

Speaker Change: Look at our leverage on a segment basis.

Speaker Change: After closing our series E G.

Speaker Change: DSI will repay all shareholder loans and other amounts due to <unk>.

Speaker Change: At the end of <unk> 'twenty four this totaled $1 7 billion RMB.

Speaker Change: On a pro forma basis, the cash balance of TSH will increase two 9 billion RMB.

Speaker Change: All of which is available to support the China business.

Speaker Change: The net debt to last quarter annualized adjusted EBITDA multiple for GDS H was seven seven times.

This calculation does not take into account the value of <unk> equity interest in GSI.

Daniel Newman: Turning to slide 24, during the period from 2Q24 to 4Q24, we have 1.7 billion RMB of project loan amortization for China. We continue to successfully refinance GDSH onshore project loans, extending maturity and lowering costs. We are also able to draw down on existing project loan facilities to finance a substantial part of GDSH's incremental capital. As you can see in the loan maturity schedule, GDSI has obtained five-year project term loans to finance its development.

Speaker Change: Turning to slide 24.

Speaker Change: During the period from <unk> 24 to <unk> 24.

Speaker Change: We have $1 7 billion RMB.

Speaker Change: Loan amortization to China.

Dan Newman: We continue to successfully refinance GDSH onshore project loans, extending maturity and lowering cost. We are also able to draw down on existing project loan facilities to finance a substantial part of GDSH incremental CapEx. As you can see in the loan maturity schedule, GDSI has obtained 5-year project term loans to finance its developments. Turning to slide 25, we are not changing our formal guidance for FY24 consolidated revenue, adjusted EBITDA and CapEx. We'd now like to open the call to questions. Operator?

Speaker Change: We continue to successfully refinance.

Speaker Change: <unk> onshore project loans.

Speaker Change: Extending maturity.

Speaker Change: <unk> cost.

We are also able to draw down on existing project loan facilities.

Speaker Change: To finance the substantial part of TSH incremental capex.

Speaker Change: As you can see in the loan maturity schedule Gtsi has obtained five year project term loans to finance its developments.

Daniel Newman: Turning to slide 25, we are not changing our formal guidance for FY24 consolidated revenue, adjusted EBITDA, and CAPEX. We'd now like to open the call to questions. Operator? Thank you.

Speaker Change: Turning to slide 25, we are not changing our formal guidance for FY 'twenty for consolidated revenue adjusted EBITDA and Capex.

Speaker Change: We'd now like to open the call to questions operator.

Operator: Thank you. To ask a question, you will need to press star 1 and 1 on your telephone and wait for your name to be announced. To withdraw your question, please press star 1 and 1 again.

Operator: Thank you. To ask a question, you will need to press star one and one on your telephone and wait for your name to be announced. To withdraw your question, please press star one and one again. For the benefit of all participants on today's call, please limit yourself to one question. If you have more questions, please re-enter the queue. Thank you. We will now go ahead with our first question, which is from Jonathan Atkin from RBC Capital Markets. Please go ahead.

Speaker Change: Thank you.

Speaker Change: Ask a question you will need to press star one and one on your telephone entre.

Speaker Change: To withdraw your question. Please press star one on one again.

Operator: For the benefit of all participants on today's call, please limit yourself to one question. If you have more questions, please re-enter the queue. Thank you. We will now go ahead with our first question, which is from Jonathan Atkin from RBC Capital Markets. Please go ahead. Thanks. I have one question around.

Speaker Change: The benefit of all participants on today's call. Please limit yourself to one question. If you have more questions. Please reenter the queue.

Speaker Change: Thank you.

Speaker Change: We will now go ahead with our first question, which is from Jonathan Atkin from RBC capital markets. Please go ahead.

Jonathan Atkin: I got one question around China's domestic business and then maybe one international if I could throw that in. Inside of China, what are you seeing, apart from the utilization rate on a square meter basis that you have reported, what are you seeing with respect to power draw and customer behavior around, you know, increasing the draw power that they are to utilize any trend there that might be instructive in terms of increasing demand or maybe follow-on demand from customers?

Jonathan Atkin: Thanks. I got one question around China domestic business and then maybe one international, if I could throw that in. Inside of China, what are you seeing apart from the utilization rate on a square meter basis that you have reported, what are you seeing with respect to power draw and customer behavior around, you know, increasing that, increasing the draw of power that they're contractually able to to utilize, any trend there that might be instructive in terms of increasing demand or maybe follow on demand from customers. My question on international is that the GDSI, you know, appears they have a lot of project loans. I wonder if you could provide a little bit of color on cost of capital and just the sort of counterparties that you have for these loans.

Jonathan Atkin: I got one question around China domestic business and then maybe one international if I could if I can throw that in.

Jonathan Atkin: Inside of China, what are you seeing apart from the utilization rate on a square meter basis that you have reported what are you seeing with respect to power draw and customer behavior around.

Jonathan Atkin: Increasing that.

Jonathan Atkin: Increasing the dry power that they are contractually able to.

Jonathan Atkin: To utilize any any trend there that might be instructive in terms of.

Speaker Change: Increasing demand or maybe follow on demand from customers and then my question on the international GSI appears they have a lot of project loans and I'm wondering if you could provide a little bit.

Jonathan Atkin: And then my question on internationals is that GDSI appears to have a lot of project loans, and I wonder if you could provide a little bit of color on the cost of capital and just the sort of counterparties that you have for these loans, are they domestic, international, et cetera. Thank you.

Speaker Change: Color on cost of capital and just sort of Counterparties that you have for these loans are the domestic international et cetera. Thank you.

Jonathan Atkin: Are they domestic, international, et cetera? Thank you.

Speaker Change: Okay.

Daniel Newman: Yeah, John, hi, it's Dan. I'll try to answer your questions. The first one is about the power draw in China. Most of our established data centers, which are utilized by the large cloud and internet customers, are already operating at maximum power levels. The entire available power capacity of the data centers is committed to the customers, and they, of course, operate their own business at a very high level of operating efficiency. So we don't have a situation in which there is spare power capacity that is not being utilized or monetized.

Dan Newman: Yeah. Jonathan. Hi, it's Dan. I'll try to answer your questions. For the first one about the power draw in China. Most of our established data centers, which are, you know, utilized by the large cloud and internet customers, are already operating at maximum power levels. You know, the entire available power capacity of the data centers is committed to the customers. They, of course, operate their own business at a very high level of operating efficiency. We don't have a situation in which there is a spare power capacity which is not being utilized or monetized. On the other hand, for new data center developments, we are typically constructing at a higher power density.

Speaker Change: Okay.

Speaker Change: Yes.

Speaker Change: I'll try to.

Speaker Change: No questions.

Speaker Change: So the first one about the power draw.

Speaker Change: China.

Speaker Change: Most of our established data centers, which are utilized by then.

Speaker Change: But our <unk>.

Speaker Change: Cloud and Internet customers.

Speaker Change: Already operating at maximum.

Speaker Change: Excellent.

Speaker Change: Yes.

Speaker Change: Available power capacity of the data centers is committed to the customers.

Speaker Change: They of course.

Speaker Change: Great.

Speaker Change: Business.

Speaker Change: Very high level of operating efficiency. So we don't have a situation in which there is.

Speaker Change: Power capacity, which is not being utilized or monetize.

Daniel Newman: On the other hand, for new data center developments, we are typically constructing at a higher power density. The power density for new developments is quite often over 3 kilowatts per square meter, so that may be an indicator of what is behind what you're asking. Behind your question.

Speaker Change: On the other hand.

Speaker Change: For our new data center developments.

Speaker Change: We are typically.

Speaker Change: Construction at our higher power density.

Dan Newman: You know, the power density for new developments is quite often over 3kW per sq m. That may be an indicator of what is behind, you know, what you're asking, behind your question. For the project loans in international business, we're taking similar approach to the way in which we finance China business, which is to allocate capital project by project, and then to leverage that with debt at the local level. The customer contracts which have been signed, most mainly in Malaysia, are priced either in US dollars or in Malaysian ringgit. Our income is both US dollar and Malaysian ringgit. So far we are borrowing in Malaysian ringgit, and we are aiming to minimize the FX exposure to that.

Speaker Change: Yes.

Speaker Change: The power density for new development is.

Speaker Change: Quite often over three kilowatts per square meter so that may be an indicator of.

Speaker Change: What is behind what Youre asking.

Daniel Newman: For the project loans in in international business, we're taking a similar approach to the way in which we finance our Chinese business, which is to allocate capital project by project, and then to leverage that with debt at the local level. The customer contracts which have been signed, most mainly in Malaysia, are priced either in US dollars or in Malaysian Ringgit. So our income is both the U.S. dollar and Malaysian ringgit. So far, we are borrowing in Malaysian ringgit, and we are aiming to minimize the FX exposure to that.

Speaker Change: Behind your question.

Speaker Change: The project loans.

Speaker Change: In the international.

Speaker Change: Business.

Speaker Change: We're taking a similar approach to the way, which we financed China business, which is to allocate capital.

Speaker Change: Project by project, and then to leverage that with.

Speaker Change: Yes.

Speaker Change: At the local level.

Speaker Change: <unk> customer contracts, which are being signed.

Speaker Change: Meaning in Malaysia.

Speaker Change: <unk> priced either in U S dollars and Malaysian ringgit.

Speaker Change: Our income is both U S dollar and Malaysian ringgit.

So far we are.

Speaker Change: Borrowing and Malaysian ringgit.

Speaker Change: We are aiming to.

Speaker Change: Minimize the FX exposure to that.

Daniel Newman: The loans are from a syndicate of banks, who are already very familiar with us, and we expect to go through the same pattern that we did in China of establishing a structure, developing relationships with local banks, and, over time, transitioning to having very predominantly local bank relationships.

Dan Newman: The loans are from a syndicate of banks who are already very familiar with us, and we expect to go through the same pattern that we did in China of establishing a structure, developing relationships with local banks, and over time transitioning to having very predominantly local bank relationships.

Speaker Change: Loans are with.

Speaker Change: From a syndicate of banks.

Speaker Change: Who are already very familiar with us.

Speaker Change: We expect to go through the same pattern that we did in China.

Speaker Change: Establishing a structure.

Speaker Change: Developing relationships with local banks and.

Over time.

Speaker Change: Transitioning to having very put on the local by local bank relationships.

Xinyi Wang: Thank you. And then for Japan, the 36 megawatts, can you give us a sense of when you would intend to start construction?

Jonathan Atkin: Thank you. For Japan, the 36MW, can you give us a sense of when you would intend to start construction?

Speaker Change: Thank you and then.

Speaker Change: Japan 36 megawatt can you give us a sense of.

Speaker Change: When you would intend to starts construction.

Speaker Change: Okay.

Jamie Khoo: Yeah. Jonathan, this is Jamie. On the Japan side, our partner, which is Global Capital, will be doing up the construction of the core and shell. That will be completed and passed on to us by 2025. End 2025 or early 2026. We will start our approach, our M&E construction, and that will bring us to Q4 2026 for deliveries. Yeah.

Speaker Change: Okay.

Xinyi Wang: So Jonathan, this is Xinyi. So on the Japan side, our partner, which is Broadcaster, will be doing up the construction of the core and shell. So that will be completed and passed on to us by 2025 or early 2026. Then we will start our M&E construction, and that will bring us to Q4 2026 for delivery.

Speaker Change: Sure.

Speaker Change: So.

Operator: We will now take our next question. This is from the line of Yang Liu from Morgan Stanley. Please go ahead.

Jamie Cook: Jonathan This is Jamie.

Jamie Cook: On the defense side.

Jamie Cook: Now.

Our our partnership.

Jamie Cook: <unk>.

Jamie Cook: Moving up the construction of the current shell so that will be complete.

Jamie Cook: And for Us.

Speaker Change: Thank you.

Speaker Change: Since <unk> <unk>.

Speaker Change: Five and 10 to 25.

Speaker Change: So in terms of risk on our price.

Speaker Change: E.

Speaker Change: Construction and that will bring us through Boston.

Speaker Change: Yes.

Jonathan Atkin: Thank you.

Speaker Change: Thank you.

Operator: Thank you. We will now take our next question. This is from the line of Yang Liu from Morgan Stanley. Please go ahead.

Speaker Change: Thank you.

Speaker Change: We will now take our next question.

Speaker Change: This is from the line of Yang Liu from Morgan Stanley. Please go ahead.

Yang Liu: Thanks for the opportunity. I have two questions here. The first question is regarding asset monetization in China because management has previously mentioned this strategy. What are the opportunities you are seeing in the market and what is the current plan or what should we expect on this front? And should we think the transfer of BOT is part of that or not? That is the first question.

Yang Liu: Thanks for the opportunity. I have two questions here. The first question is regarding the asset monetization in China, because previously management mentioned about this strategy. What are the opportunities you are seeing in the market and/or what is the current plan or what should we expect on this front? And should we think the transfer of BOT is a part of that or not? That is the first question.

Yang Liu: Thanks for the opportunity.

Yang Liu: I have two questions here. The first first question with regarding the.

Yang Liu: Assam monetization in China, because previously management mentioned about this strategy.

Yang Liu: Whats.

Yang Liu: Opportunities youre seeing in the market.

Yang Liu: Or what is.

Yang Liu: Our current plan or what should we expect.

Yang Liu: On this front.

Speaker Change: Understood ways.

Speaker Change: So the way to think of the transfer of a part of that or not.

Speaker Change: That is.

Speaker Change: That is the first question.

Speaker Change: Yeah.

Dan Newman: Shall I answer?

Daniel Newman: Yang Liu, let me ask that question and then you can ask your next question. First of all, on the BOT transfer, this is very specific. We have 15 BOT data centers. This transfer involves three of them. One of the three is at a campus where it is the only data center that we have invested in and operate. So that is being transferred really for the sake of operational efficiency. The other two data centers, the customer has a change in plan in terms of how they wish to utilize those data centers, which includes the way in which they are fitted out. So this is not a... This is not any change of strategy.

Yang Liu: Yeah.

Speaker Change: Yes, yes.

Dan Newman: Yeah. Yang, let me answer that question, then you ask your next question. First of all, on the BOT transfer, this is very specific. We have 15 BOT data centers. This transfer involves three of them. One of the three is at a campus where it is the only data center that we have invested in and operate. That is being transferred really for the sake of operational efficiency. The other two data centers, the customer, you know, has had a change in plan, then, in terms of how they wish to utilize those data centers, which includes the way in which they are fitted out. This does not involve any change of strategy.

Speaker Change: Yes.

Speaker Change: Let me ask that question and then you also.

Speaker Change: The next question.

Speaker Change: First of all on the <unk> trials.

Speaker Change: This is very specific.

Speaker Change: <unk>.

Speaker Change: 15 data centers.

Speaker Change: This transfer of all three of them.

Speaker Change: Of the three is kind of campus, where it is the only data center that we have invested in operate so that is being transferred to liberty for the sake of opera.

Speaker Change: Operational efficiency.

Speaker Change: The other two data center customer.

Speaker Change: Have a change in plan.

Speaker Change: In terms of.

Speaker Change: How they wish to utilize those data centers, which includes the way in which they are.

Speaker Change: Figure it out.

Speaker Change: So this is not a.

Speaker Change: Sure.

Okay.

Speaker Change: Involve any change of strategy.

Dan Newman: It's not something that we expect to happen in future. We came to a mutual agreement. We will recover our investment, plus a reasonable return over the period of time in which our capital has been invested. It will make a small positive co-contribution to our cash flow before financing when the proceeds are received, either in this quarter or next quarter. We talked more generally about asset monetization. Yes, I appreciate, you know, we have talked about that for some time, and it is most definitely a strategic objective of ours. I think that we are moving in the right direction. We have not ceased to make efforts, and currently we have a number of projects ongoing, including at one end of the spectrum, C-REIT or China REIT.

Speaker Change: Something that we expect to happen in future.

Daniel Newman: It's not something that we expect to happen in the future. We came to a mutual agreement. We will recover our investment, plus a reasonable return over the period of time in which our capital has been invested. And it will make a small positive contribution to our cash flow before financing when the proceeds are received either in this quarter or next quarter. They talk more generally about asset monetization. Yes, I understand.

Speaker Change: We came to a mutual agreement, we will recover our investment plus a reasonable return over the period of time, which how capital is being invested and it will make a small positive contribution to our.

Speaker Change: Cash flow before financing when the proceeds are received either.

Speaker Change: This quarter or next quarter.

Speaker Change: They talk more generally about asset monetization you guys I appreciate it.

Daniel Newman: Yeah, we have talked about that for some time, and it is most definitely a strategic objective of ours. And I think that we are moving in the right direction. We have not ceased to make efforts, and currently, we have a number of projects ongoing, including one end of the spectrum, C-REIT, the China REIT. A degree over from that is what's referred to in China as a private REIT, which involves exactly the same.

Speaker Change: <unk> talked about that.

Speaker Change: Time and it is most definitely.

Speaker Change: Our strategic objective of ours.

Speaker Change: And I think the.

We are moving in the right direction, we have not cease to make.

Speaker Change: And currently we have a number of projects ongoing.

Speaker Change: Including the one end of the spectrum series, China rights.

Dan Newman: One degree over from that is what's referred to in China as a private REIT, which involves exactly the same structure as a public REIT but doesn't have the public REIT at the top of it. That is a stepping stone in terms of monetizing an asset, which can then subsequently be injected into a public REIT. We also have other structures which are more like financing. We're dealing with China's leading insurance companies, leading RMB private equity funds, and even some US funds who are looking at assets in China. I think, William, we're very determined about this, and I think there's a chance we get something done before the end of this year.

Sure.

Speaker Change: One.

Speaker Change: Degree over from that.

Speaker Change: What's referred to in China, as a private REIT, which involves exactly the same.

Daniel Newman: Structure is a public REIT but doesn't have the public REIT at the top of it. But it is a stepping stone in terms of... monetizing an asset which can then subsequently be injected into it. [inaudible] China's leading insurance companies, R&B private equity funds, and even some US funds who are looking at assets in China.

Speaker Change: Structure as a public REIT, but doesn't have the <unk>.

Speaker Change: Publicly to the top of it.

Speaker Change: As a stepping stone in terms of.

Speaker Change: Monetizing an asset which can then subsequently be injected into <unk>.

Speaker Change: Public REIT.

Speaker Change: We also have other.

Speaker Change: Structures, which are more like financing and we're dealing with.

Speaker Change: China's leading insurance companies.

Speaker Change: Leading.

Speaker Change: RMB private equity funds and even some U S.

Speaker Change: Funds, who are looking at assets in China.

Daniel Newman: I think, William, we're very determined about this, and I think there's a chance we get something done for the end of this year. Yeah, because it's not in any of the numbers or guidance that we've provided. But clearly, you know, it would make a contribution to our free cash flow before financing, and I'm quite sure it will be accreted.

Speaker Change: Hi.

Speaker Change: I think what im.

Speaker Change: Yeah.

Speaker Change: Very determined about their center I think there is a chance we get something done before the end of this year.

William Huang: Yeah.

Dan Newman: Of course, it's not in any of the numbers or guidance that we've provided, but clearly, you know, it would make a contribution to our free cash flow before financing. You know, I'm quite sure it will be accreted.

Speaker Change: Because it's not in any of the numbers.

Speaker Change: So our guidance that we've provided to clearly.

Speaker Change: It would make a contribution to al.

Speaker Change: Free cash flow before financing.

Speaker Change: Yes.

Speaker Change: Price sure it will be accretive.

Yang Liu: Thank you. I have another question in terms of the CAPEX outlook beyond 2024. Do you think the Chinese part of the CAPEX can further come down next year? If the demand stays at the current level or if the growth moving stays at the current pretty good run rate.

Yang Liu: Thank you. Yeah, I have another question in terms of the CapEx outlook beyond 2024. Do you think the China part of the CapEx can further come down next year? If the demand stay at current level or if the growth momentum stay at current pretty good run rate. Thank you.

Speaker Change: Thank you.

Speaker Change: Yeah I have another question in terms of.

Speaker Change: Capex outlook beyond 2024, how do you think the China part of our Capex cap further come down next year.

Speaker Change: If the demand stay at current level or <unk>.

Speaker Change: Uh huh.

Speaker Change: Graph.

Speaker Change: Moving to current.

Daniel Newman: Thank you.

Speaker Change: Pretty good run rate.

Speaker Change: Sure.

Daniel Newman: You know, we know how this is planned and assumes that our growth rate picks up, mainly because of the contracts in the backlog. So we're not taking a view on broader market developments.

Dan Newman: Yeah, our business plan assumes that our growth rate picks up mainly because of the contracts which are in the backlog. We're not taking a view on broader market developments. We're simply basing that on, you know, what we already have secured and are working to deliver. We expect the move-in to go, you know, it already has at a growth level, to go to a high level and to continue at that level, you know, for the foreseeable future. The CapEx guidance for this year was CNY 2.5 billion. Well, it's too early to give guidance, but in our business plan, CapEx in each of the next, you know, one or two years is around that same level or lower.

Speaker Change: Yes.

Speaker Change: Sure.

Speaker Change: Yes.

Speaker Change: The business plan.

Speaker Change: Assumes that out.

Speaker Change: The growth rate picks up.

Speaker Change: Mainly because of the contracts between the backlog so we're not taking.

Daniel Newman: We're simply basing that on what we already have secured and are working to deliver. So we expect the move in to go, you know, what it has at a gross level to go to a high level and to continue at that level for the foreseeable future. The CAPEX guidance for this year was 2.5 billion RMB. Well, it's too early to give guidance, but in our business plan. CAPEX in the next, each of the next, you know, one or two years is around that level or lower.

Speaker Change: You on broader.

Speaker Change: Broader market developments.

Speaker Change: Simply.

Basing that on.

Speaker Change: We already have secured.

Speaker Change: We're working to deliver.

Speaker Change: So we expect to move in to go.

Speaker Change: Where they have set a gross level to go to a high level.

Speaker Change: To continue at that level for the foreseeable.

Speaker Change: Favorable future.

Speaker Change: The.

Speaker Change: Our capex guidance for this year was $2 5 billion.

Speaker Change: RMB.

Speaker Change: It's too early to give guidance, but in our business plan Capex.

Speaker Change: Capex in the next each of the next one or two years.

Speaker Change: Around that level or lower.

Yang Liu: Yes, thank you.

Speaker Change: Okay. Thank you.

Speaker Change: Yeah.

Operator: Thank you. We will now take our next question. This is from Frank Louthan from Raymond James. Please go ahead.

Speaker Change: Thank you.

Operator: We will now take our next question. This is from Frank Louthan on behalf of Draymond James. Please go ahead.

Speaker Change: Okay.

Speaker Change: We will now take our next question.

Speaker Change: This is from Frank Louthan from Raymond James. Please go ahead.

[Analyst] (Raymond James): Hey, guys. This is Rob on for Frank. You might have touched on this a little bit earlier, but, you know, what's the impact of higher interest rates on your customers' business?

Rob Palmisano: Hey, guys. This is Rob on for Frank. You might have touched on this a little bit earlier, but, you know, what's the impact of higher interest rates on your customers' business?

Rob: Hey, guys. This is rob on for Frank.

Rob: You might have touched on this a little bit earlier, but what's the impact.

Rob: Higher interest rates on your customers business.

Yang Liu: How should we think about that impact going forward?

Rob: How should we think about that.

Rob Palmisano: How should we think about that impact going forward?

Rob: How should we think about that impact going forward.

Daniel Newman: Yeah, Rob, I have to tell you, in China, the interest rate trend has been the opposite of what you've seen in the U.S. Most of the most developed markets, there are three of them. The reference interest rate for us, which we refer to as the over-five-year loan prime rate, is the lowest that it's been since we started our business. Not only that, but the margin that banks charge in our project financing facilities, which is a spread over the over five-year loan prime rate, has come down to either just a few basis points over or, quite often now, several tens of basis points under the loan prime rate.

Yeah.

Dan Newman: Yeah. Well, I have to say, in China, the interest rate trend has been the opposite of what, you know, what you've seen in the US and most of the developed markets. Because to you the reference interest rate for us, you know, which we refer to as the over 5-year Loan Prime Rate, is the lowest that it's been in since we started our business. Not only that, but the margin that banks charge in our project financing facilities, which is a spread over the over 5-year Loan Prime Rate, has come down to either just a few basis points over or quite often now several tens of basis points under the Loan Prime Rate.

Yes, Rob I have to say in China the interest rate.

Rob: Trend has been.

Rob: The opposite of what <unk> seen in the U S.

Rob: So the.

Speaker Change: Philip markets.

Speaker Change: <unk>.

Speaker Change: The reference interest rate for us.

Speaker Change: <unk> two is the over five year loan prime rate.

Speaker Change: It's the lowest it's been.

Speaker Change: Since we started our business.

Speaker Change: Not only that but the <unk>.

Speaker Change: Margin.

Speaker Change: Thanks charge.

Speaker Change: Project finance facilities, which is spread over the.

Speaker Change: Over five year loan prime rate has.

Speaker Change: Has come down too.

Speaker Change: Just a few basis points over all.

Speaker Change: Quite often now.

Speaker Change: Several tens of basis points.

Dan Newman: Our financing costs in China, debt financing costs in China, is the lowest, it's the lowest it's ever been. Our customers are mainly large cloud and internet companies, which in China, most of them don't have any debt. I don't think that probably affect our customers' business very much either way.

Speaker Change: The loan prime rate so.

Daniel Newman: Our financing costs in China, debt financing costs in China, are the lowest they've ever been. Our customers are mainly large cloud and internet companies, which in China, most of them don't have any debt. So I don't think that probably affects our customers' business very much either way.

Speaker Change: Our financing costs in China that financing cost in China.

Speaker Change: Is the lowest is the lowest it's ever been.

Speaker Change: <unk>.

Speaker Change: Our customers.

Speaker Change: Mainly large cloud and internet companies switched in China, most of them don't have any debt.

Speaker Change: So.

Speaker Change: The thing that probably affect our cost plus business very much either way.

Operator: Thank you. We will now take the next question. This is from the line of Michael Elias from TD Cowen. Please go ahead.

Speaker Change: Thank you.

Speaker Change: I will now take the next question.

Operator: We will now take the next question. This is from the line of Cooper Elias from TD Cowan. Please go ahead.

Speaker Change: This is from the line of Cooper from TD Cowen. Please go ahead.

Cooper Bellinger: Hi, everyone. You have Cooper Bellinger on here for Michael Elias. I wanted to ask a quick question regarding the segmentation. You know, obviously, you provide guidance for GDSI and GDSH, CapEx separately. Should we expect the same thing going forward in terms of revenue, adjusted EBITDA, et cetera?

Cooper Belanger: Hi, everyone. You have Cooper Bellinger on here for Michael Elias. I wanted to ask a quick question regarding the segmentation. You know, obviously, you provide guidance for GDSI and GDSH, CapEx separately. Should we expect the same thing going forward in terms of revenue, adjusted EBITDA, et cetera?

Speaker Change: Hi, everyone you have Cooper Belden, John here for Michael Elliot.

Speaker Change: I wanted to ask a quick question regarding segmentation.

Speaker Change: Obviously, you provide guidance for GSI in Gsh cap.

Cooper Belanger: Capex separately should we expect the same thing going forward in terms of revenue adjusted EBITDA et cetera.

Daniel Newman: Thank you. For the time being, the answer is not in a formal sense, but during the prepared remarks, we will continuously update and give some direction on the key performance indicators, both operating and financial KPIs. Maybe after a few quarters, you know, we might revisit that. But for now,

Dan Newman: Yeah. Thank you, Cooper. For the time being, the answer is not in a formal sense, but during the prepared remarks, we will continuously update and give some direction on the key performance indicators, both operating and financial KPIs. Maybe after a few quarters, you know, we might revisit that. For now, I think we split out on a historical basis all the numbers that really matter. I think the only one which we have not split is MSR because for now it's not material to look at China and international MSR because there's not enough difference. But when there is, we will split that out, and then we will provide commentary on each of these metrics on a China and international basis.

Speaker Change: Thank you.

Speaker Change: For the time being.

Speaker Change: It is not in a formal sense.

Speaker Change: But during the prepared remarks, we will continuously update and.

Speaker Change: Give some direction.

Speaker Change: On the key performance indicators, both both are operating in.

Speaker Change: And financial.

Speaker Change: Yes.

Speaker Change: Maybe.

Speaker Change: After a few quarters.

Speaker Change: We might revisit that.

Daniel Newman: I think we split out, on a historical basis, all the numbers that really matter, and the only one which we have not split out is MSR because, for now, it's not material to look at. China and International MSR because there's not enough difference, but when there is, we will split that out. And then we will provide commentary on each of these metrics on a Chinese and international basis. So I think that will probably get you a long way until we provide formal guidance for GDSH and GDSI.

Speaker Change: To now.

Speaker Change: I think we split out.

Speaker Change: On a historical basis.

Speaker Change: All the numbers.

Speaker Change: That really matter I think the only one which we have not.

Speaker Change: As MSR because for now it's not material to look at.

Speaker Change: China in this national MSR, because as well.

Speaker Change: Not enough difference.

Speaker Change: But when there is we will split that out.

Speaker Change: And then we will provide commentary on each of these metrics.

Speaker Change: China and international basis, So I think that will probably get you a long way until we provide formal guidance for.

Dan Newman: I think that will probably get you a long way, until we provide formal guidance for GDSH and GDSI, separately.

Speaker Change: Gsh from GSI separately.

Cooper Bellinger: Thank you.

Cooper Belanger: Thank you.

Speaker Change: Thank you.

Operator: Thank you. We now have a follow-up question. This is from the line of Yang Liu from Morgan Stanley. Please go ahead.

Speaker Change: Thank you.

Operator: And we now have a follow-up question. This is from the line of Yang Liu from Morgan Stanley. Please go ahead.

Speaker Change: We now have a follow up question.

Speaker Change: This is from the line of Yang Liu from Morgan Stanley. Please go ahead.

Yang Liu: Thanks for the opportunity to ask a question again. Yeah, I would like to ask first on the demand side. Do you see that the demand from Chinese customers is getting better maybe than three or six months ago? Because we saw that leading internet companies are increasing their capex meaningfully in the recent quarter. I'm not sure if that is transferring to GDS demand. And, of course, previously, we saw that overseas demand was pretty good. But I just want to have an update on that front compared with three months ago. Is it getting better or worsening a little bit?

Yang Liu: Thanks for the opportunity to ask a question again. Yeah, I would like to ask first on the demand side. Do you see that the demand from China customers are getting better maybe than three or six months ago? Because we saw that leading internet companies increasing their CapEx meaningfully in recent quarter. Not sure if that is transferring to GDS demand. Of course, previously we saw the overseas demand is pretty good, but I just want to have an update on that front compared with three months ago. Is it getting better or moderate a little bit? Another question I also would like to ask because we saw the financing PE financing got upsized.

Speaker Change: Okay.

Speaker Change: Thanks, Philadelphia is for optical question Ken.

Yang Liu: Yes, I would like to ask for.

Speaker Change: <unk>.

Speaker Change: Tmall side.

Speaker Change:

Speaker Change: Do you see.

Speaker Change: Demand from China customers, now getting better maybe three or six months ago.

Speaker Change: Because we saw that.

Speaker Change: Leading internet companies.

Speaker Change: Increasingly our capex meaningfully in recent quarter not sure if that is transferring to GDS demand and of course.

Speaker Change: Previously it was towards the overseas demand was pretty good but I just want to.

Speaker Change: Update on that front.

Speaker Change: Compared with the.

Speaker Change: Three months ago is it getting better or.

Speaker Change: Moderate a little bit.

Yang Liu: And another question I also would like to ask because we saw the financing, the PE financing got upsized. So that means the GDS holding, or stakes in GDSi, will further decline to 52 something. I just want to ask whether GDS has a strategy to consolidate GDSI in the long run. Do you feel comfortable if in the future financing round you will... The stakes dropped below 50%. Yeah, that is my question. Or, if another thing, do you have a firm plan to spin off GDS? Thank you.

Speaker Change: And then another question I also would like to ask because we saw the.

Speaker Change: Our financing refinancing could upsized.

Yang Liu: That means the GDS Holdings stakes in GDSI will further decline to 52 something, right? I just want to ask whether GDS has a strategy to consolidate GDSI in the long run. Do you feel comfortable if the future financing round, you know, the stakes drop below 50%? Yeah, that is my question. Or another thing, do you have a firm plan to spin off GDSI? Yeah. Thank you.

Speaker Change: So that means the GDS.

Speaker Change: Holding.

Speaker Change: Stakes in GDS.

Speaker Change: We'll further declined to 52.

Speaker Change: But I just want to ask.

Speaker Change: GDS has this strategy strategy too.

Speaker Change: To consolidate the GSI in the long rock.

Do you feel comfortable the future financing round.

Speaker Change: No.

Speaker Change: Uh huh.

Speaker Change: The stakes dropped below 50%.

Speaker Change: Yes that is.

Speaker Change: My question or if it's another thing to have a firm plan to spin off gtsi. Okay. Thank you.

William Huang: Okay, I think I answered the demand question. In China, I think that we are seeing demand start to recover. But I think it's already implicated in us because if you see our first quarter moving, uh, uh, speeding up, and since 2020, it's the highest quarter uh in the last two years, uh, last four years, even right, so this is already where we expect it, And for the new incremental, I think we already saw some of the new incremental, mainly driven by the AI, right? Maybe it's for training purposes.

Dan Newman: Okay, Yang Liu. I think I answered the demand question. I mean, in China, I think that we see the demand, it's starting to recover. It's already implicated to us because if you see our Q1 moving

William Huang: Okay, Yang Liu. I think I answered the demand question. I mean, in China, I think that we see the demand, it's starting to recover. It's already implicated to us because if you see our Q1 moving

Speaker Change: Okay.

Speaker Change: I'll answer the demand question.

Speaker Change: In China, I think that we see the demand.

Got to recover.

Speaker Change: But I think.

Speaker Change: It's already.

Speaker Change: Great impact.

Speaker Change: Key to us.

Speaker Change: If you see our first quarter moving.

William Huang: Speed up. It's since 2020, it's the highest quarter in last 2 years, last 4 years even, right? This is already. That's where we expect and we will benefit from that. For the new incremental, I think we already seen some of the new incremental demand driven by the AI, right? Maybe it's training purpose. This is also as I just mentioned, some deal is to go to the remote area, which is not our focus. We will see the demand will follow up, the demand will from the, let's say, inference or AI-enabled application. We will see.

Speaker Change: Speed up and it seems.

Speaker Change: It seems that 2020 is the most the highest quarter.

Speaker Change: In last two years.

Speaker Change: Lastly for years, even right. So this is already <unk>.

Speaker Change: We expect.

Speaker Change: And we will benefit on that and for the new incremental I think.

Speaker Change: We have already seen some of the new incremental mainly driven by the AI right.

Speaker Change: <unk> training.

William Huang: This is also, as I just mentioned, some deal is to go to the remote areas, which is not our focus. But we will see the demand will follow up is follow up the demand from the, let's say, inference or AI-enabled application. So we will see, this trend will definitely benefit us in the near future. So I think, in general, demand has started to recover. And our target is to get more customers moving more fast. This is what we expect.

Speaker Change: Our purpose is also.

Speaker Change: As I just mentioned.

Speaker Change: Do you is to go to the.

Speaker Change: It would be more area, which is not our focus but we will see the demand will follow up please follow up for up for a follow up with the demand from the <unk>.

Speaker Change: Let's say influence or.

Speaker Change: AI enabled application.

William Huang: This trend definitely will benefit us in the near future. I think in general the demand starts to recover. Our target is to get more customers moving faster. This is what we expect. This is what's happening in China. For the international, I think the simple answer is that demand is getting stronger than three months ago. Number one, there's more different multinational customers coming to discuss with us or try to find some resources in Johor and Batam as well. The deal size is getting bigger.

Speaker Change: So we will see this trend definitely will benefit.

To us.

Speaker Change: In.

Speaker Change: The near future So I think.

Speaker Change: In general the demand has recovered.

Speaker Change: Actually recover and we our hour.

Speaker Change: <unk> added more customer.

Speaker Change: Moving more fast business of what we expect is it what's happening in China.

William Huang: This is what is happening in China. For international students, I think the simple answer is that demand is getting more strong. So then, three months ago, and this is number one, there are more different customers, multinational customers coming to discuss with us or try to find us some resources in Juhu and Bacan as well. And the deal size is getting bigger. So I think we are very, very confident we will get more deals in the next year. Thomas, let's see.

Speaker Change: For the international I think the simple answer is the demand is getting most drunk so.

Speaker Change: Three months ago and this.

Speaker Change: Is it number one is there.

Speaker Change: He has more different customer multinational customer coming to.

Speaker Change: <unk> discussed with us or try to find some resource in <unk> and <unk> as well and the deal size is getting more bigger.

William Huang: I think we have very, very confident we will get more deal in the next 12 months. Let's see. I think that's what's happening. It's happening in the international market. Even in Japan, I think. After we just announced that there's a lot of sales leads coming up. I think if we deliver that by the end of 2026, definitely we have some presale in Japan.

So I think.

Speaker Change: We have very very confident.

Speaker Change: We will get more deal in the next or.

Thomas: Thomas let's see.

Thomas: I think as that.

Thomas: Thats what happening.

William Huang: I think that's what's happening. It's happening in the international market. Even in Japan, I think after we just announced that there are a lot of sales leads coming up. So I think if we deliver that by the end of 2020, definitely, we have some pre-sale in Japan.

In the international market event in Japan, I think.

After we just announced the that there is a lot of D. A sales lease is coming up so I think.

Thomas: If we deliver that by the end of 2020.

Thomas: Definitely we have some pre sell in Japan.

Thomas: Okay.

Daniel Newman: So I'll see y'all later. Now, let me answer the other part of your question.

Dan Newman: Let me answer the other part of your question. I think from the perspective of GDS Holdings, I think what really matters is that GDS International is as successful as possible, and that the value of our investment in GDS International appreciates as much as possible. In order to optimize the success of GDS International, it is highly likely that GDS International will undertake further capital raisings. When that happens, we have seen what the consequences are in terms of our ownership percentage and ability to consolidate. To some degree, we already anticipated this when we structured the Series A new issue.

Thomas: So also.

Thomas: Hey.

Speaker Change: Let me answer the other part of your.

Daniel Newman: So from the perspective of GDS Holdings, I think what really matters is that GDS International is as successful as possible and that the value of our investment in GDS International increases as much as possible. In order to optimize the success of GDS International, it is highly likely that GDS International will undertake further capital raisings. When that happens, we have to see what the consequences are in terms of our Ownership Percentage and ability to consolidate.

Thomas: Question.

Lou: Thanks Lou.

Lou: With respect to the GDS holdings.

Lou: Hey, what really what really matters is the <unk> international.

Lou: Is as successful as possible.

Lou: The value of our investment in GDS International.

Lou: Appreciates as much as possible.

Lou: No.

Lou: In order to optimize the success of <unk> International.

Lou: It is highly likely that GDS international will undertake.

Lou: Further capital Raisings.

Lou: When that happens we have see what the consequences are in terms of <unk>.

Lou: Ownership percentage.

Speaker Change: Uh huh.

Speaker Change: The ability to consolidate.

Daniel Newman: To some degree, we already anticipated this when we structured the series, a new issue. We included certain unique rights to protect the position of GDSH but also to ensure that in the future, we are able to initiate an IPO and spin-off, meaning distribute the shares to our shareholders if we think that that is in the best interest of our shareholders. Because it's important not only that the value of our investment in international increases, but that that value accrues to our shareholders.

Speaker Change: To some degree we already anticipated this.

Speaker Change: When we structured the series.

Dan Newman: We included certain unique rights to protect the position of GDSH, but also to ensure that in future, we are able to initiate an IPO and spin-off, meaning distribute the shares to our shareholders if we think that that is in the best interest of our shareholders. Because it's important not only that the value of our investment in International increases, but that that value accrues to our shareholders. If it's not reflected in our share price, then we have to find another way to ensure that the value accrues to our shareholders. That was, you know, that was one of the things that we have a unique right to make a decision in the future on whether we wish to go down that path.

Speaker Change: A new issue we included certain unique rights.

Speaker Change: To protect the position of <unk>.

Speaker Change: But also to ensure that.

Speaker Change: In future, we are able to.

Speaker Change: Yes.

Speaker Change: Initiate an IPO.

Speaker Change: And spinoff, meaning distributed the shares to our shareholders.

Speaker Change: If we think that that is.

Speaker Change: And the best in the best interest of our shareholders.

Speaker Change: Because it is important not only that the value of our investment.

Speaker Change: And international increases.

Speaker Change: That value accrues to our shareholders.

Daniel Newman: If it's not reflected in our share price, then we have to find another way to ensure that the value accrues to our shareholders. So that was, you know, that was one of the things that. We have a unique right to make a decision in the future on whether we wish to go down that path.

Speaker Change: It is not reflected in our share price then we'd have to find another way to ensure that the value.

Speaker Change: Accrues trial to our shareholders.

Speaker Change: That was that was one of the things that.

We have a unique right.

Speaker Change: To make a decision.

Speaker Change: In the future on whether we wish to go down that path.

Speaker Change: Yes.

Yang Liu: Thanks. It's quite, quite encouraging to hear the plan. Thank you.

William Huang: Thanks. Quite encouraging to hear the plan. Thank you.

Yang Liu: Thanks. Quite encouraging to hear the plan. Thank you.

Thanks quite.

Speaker Change: Quite encouraging to hear.

Speaker Change: Yeah.

Speaker Change: Thank you.

Operator: Thank you. As a reminder, if you would like to ask a question, you can press star one and one on your keypad. We will now take our next question. This is from the line of Gokul Hariharan from JPMC. Please go ahead.

Speaker Change: Thank you.

Operator: As a reminder, if you would like to ask a question, you can press stars 1 and 1 on your keypad. And we will now take our next question. This is from the line of Gokul Hariharan from JPMC. Please go ahead.

Speaker Change: As a reminder, if you would like to ask a question you can press star one and one on your keypad.

Speaker Change: And we will now take our next question.

Harry: This is from the line of Harry.

Harry: Harry <unk> from J P. M. C. Please go ahead.

Gokul Hariharan: Hi, thanks for taking my question. William, you did talk about some of the initial AI demand that is starting to show up in China, especially for training. Could you talk a little bit about what kind of data center capacity or power profile you need to prepare? Are there distinct differences in terms of the kind of data centers required for AI workloads? What you are hearing from your customers compared to the regular cloud data centers that you've always had. And do you feel that you'll have to start increasing to build some of these data centers eventually? Or do you not think that you can accommodate them in the existing data centers?

Gokul Hariharan: Yeah, hi. Thanks for taking my question. William, you did talk about some of the initial AI demand that is starting to show up in China, especially for training. Could you talk a little bit about what kind of data center capacity or power profile that you need to prepare? Are there distinct differences in terms of the kind of data centers required for AI workloads that you are hearing from your customers compared to the regular cloud data centers that you've always had? Do you feel that you'll have to start increasing to build some of these data centers eventually, or you don't think that the necessary can accommodate them in the existing data centers themselves?

Harry: Yeah, Hi, Thanks for taking my question you.

Speaker Change: You did talk about some of the initial AI demand.

Speaker Change: It's starting to show up in China for Q4 training.

Speaker Change: Could you talk a little bit about.

Speaker Change: What kind of data.

Speaker Change: Capacity.

Speaker Change: Bob.

Speaker Change #100: Profile that you need to put that out of that distinct differences in terms of the kind of data centers acquired for AI workloads.

Speaker Change #100: That you are hearing from your customers compared to the regular cloud mix and does that you've always had.

Speaker Change #100: And.

Speaker Change #100: Do you feel that you will have to start increasing.

Speaker Change #100: To build some of these data centers eventually.

Speaker Change #101: You don't think that.

Speaker Change #101: You can accommodate them into existing units.

Speaker Change #101: Yes.

Speaker Change #101: Okay.

William Huang: A.I.D. All day, all day.

Laura Chen: AI DC

Speaker Change #101: Okay.

William Huang: Okay.

Speaker Change #101: Okay.

Laura Chen: Which is what she got in.

William Huang: Yeah, I think the AIDC depends on how you define it, right? So I think if you think the data center that hosts the GPU is the AIDC, yeah, actually, we're already there, right? But typically, I think our existing data centers in all tier one markets or in the edge top of the tier one market, the big city already have enough power capacity to fulfill the high-density server.

William Huang: Yeah. I think the AI DC is, it depends on how you define it, right? If you think the data center host the GPU is AI DC, yeah, actually we're already there, right? Typically, I think our existing, let's say, data center in the Tier one market or in the edge of the Tier one market, the big city, it's already has enough power capacity to fulfill the high density server. That's the configuration we already set up a couple of years ago.

Speaker Change #102: Yeah, I think <unk>.

Speaker Change #102: It depends on how you.

Speaker Change #102: Define it right so.

Speaker Change #102: If you think.

Speaker Change #102: The betas in our wholesale GPU is <unk>, yes, actually we're already there right, so but typically I think yes.

Speaker Change #102: Existing.

Speaker Change #102: Ah.

Speaker Change #102: Let's see.

Speaker Change #102: Data center or the tier one market or in the edge of town tier one month.

Speaker Change #102: The big CD so already.

Speaker Change #102: Yes.

Speaker Change #102: Has enough.

Speaker Change #102: Power capacity to fulfill the high density.

William Huang: That's the configuration we already set up a couple of years ago. So our new data center, in the last, let's say, at least in the last five or six years, we have already built a very high power density data center. This is number one.

Speaker Change #102: Server.

Speaker Change #102: That's.

Speaker Change #102: Sure.

Speaker Change #102: Thats configuration, we already setup.

Speaker Change #102: A couple of years.

William Huang: Our new data center in the last 5 or 6 years, we already built a very high power density data center already. This is number one. Number two, I think in terms of the differences, maybe it's not popular right now, but I think China's AI data center requirements require more, maybe in the future, more air cooling system to calibrate the cooling stuff. This is nothing new for us. We already build a liquid cooling type data center 4 years for our top two of the largest customers as well. I think this is already.

Speaker Change #102: So our new data center in Alaska.

Speaker Change #103: And listen and Lifelock.

Speaker Change #103: Six.

Speaker Change #103: Five or six years, we're already build very high power.

William Huang: Number two, I think in terms of the differences, maybe it's not popular right now, but I think the China AI data center request required more, maybe in the future, more cooling, air cooling systems, to calibrate the cooling stuff. But this is nothing new for us. We already built a liquid cooling-type data center four years ago for our two of the largest customers as well. So I think this is already, for us, I think, AI data sets are nothing. This is new for us, right? We also build a lot of similar things.

Speaker Change #103: Power density data center already still number one the material I think in terms of the differences maybe.

Speaker Change #103: Not as popular right now, but I think.

Speaker Change #103: China Data Center AI data center.

Speaker Change #103: Request required a more maybe in the future more clearly.

Speaker Change #103: Cooling and air.

Speaker Change #103: System.

Speaker Change #103: Two.

Speaker Change #103: <unk> cooling.

Speaker Change #104: But this is nothing new for us we already build a cooling type.

Speaker Change #104: Type data nickel coding type of data center.

William Huang: as well as our two largest customers as well. So I think this is already, for us. I think AI data says nothing. This is new for us, right? We have also built a lot of similar liquid cooling data centers in the last year. So, there are many differences. Number one, I think in terms of the profile is that number one is that larger scale, and number two is the high power. Maybe in the future.

Speaker Change #104: Four years.

Speaker Change #104: Our 212.

Speaker Change #104: Two of the largest customer as well so I think the this is already for us.

William Huang: For us, I think AI data center is nothing new for us, right? We also build a lot of the similar liquid cooling data center in Johor, since last year. This is mainly difference. Number one, I think in terms of the profile, number one is larger scale, number two is high power, maybe future.

Speaker Change #104: This is nothing.

Speaker Change #104: <unk> new for us.

Speaker Change #104: We also build us a lot of <unk> and <unk> data center in the chalk.

Speaker Change #104: Since last year. So this is many difference number one I think in terms of D. A.

Speaker Change #105: Profile, you said number one is that larger scale number two the high powered.

Speaker Change #105: Maybe in future.

Speaker Change #105: Okay.

Speaker Change #105: No.

Gokul Hariharan: Hello?

Speaker Change #105: Okay.

Speaker Change #105: Loans.

William Huang: Yeah, yeah, with their hair. Okay, sorry, I missed the last part of William's answer. Sorry about that. My next question is about national business. Oh, okay. Go ahead, William. Sorry. Yeah, Google. I think, yeah.

William Huang: Yeah.

Laura Chen: Yeah, we're still here.

Speaker Change #105: Yes, yes, yes, we are still here.

Gokul Hariharan: Okay. Sorry, I missed out the last part of William's answer. Sorry about that. My next question is on the-

Speaker Change #105: Okay.

Speaker Change #105: The last part of <unk>, sorry about that.

Speaker Change #105: My next question is on <unk>.

William Huang: I mean, I missed-

Speaker Change #105: Back to business.

Gokul Hariharan: Oh, okay. Go ahead, William. Sorry.

Speaker Change #105: Okay, sorry, yes.

William Huang: Yeah, Google, I think my conclusion is that... start to implement a couple of years ago for the Thank you. Thank you, the data center. This is mainly what now everybody calls this an AI data center, right? So we already have most of our tier one market data centers suited for this kind of requirement. Yeah. Got it.

William Huang: Yeah, I think my conclusion is we started to implement a couple of years ago for the data center. This means now everybody calls this the AI data center, right? We already have most of our Tier 1 market data centers suited for this kind of requirement. Yeah.

Speaker Change #106: Yes, I think my conclusion, you said.

Speaker Change #106: Start to.

Speaker Change #106: Impermanent, a couple of years ago.

Speaker Change #106: Hi.

Speaker Change #106: Okay.

Speaker Change #106: The.

Speaker Change #107: The data center. This is meaning now everybody call. This is AI data centers right. So we already have most of our chiller market data index.

Speaker Change #107: Super.

Speaker Change #107: This kind of.

Speaker Change #107: Yes.

Gokul Hariharan: Got it. My second question is on international travel, maybe to William and Jimmy. What are you seeing in terms of local competitors, especially in Malaysia? And to some extent, we are also seeing in Indonesia; there are a lot of announcements coming through from local competitors, coming from the digital industry, coming from other utility industries as well. Are you starting to see them in some of the bids that you're participating in? Or is this still a separate market for you compared to the local players who are announcing big data civility?

Gokul Hariharan: Got it. My second question is on international, maybe to William and JB. What are you seeing in terms of the local competitors, especially in Malaysia and to some extent we are also seeing in Indonesia? There's a lot of announcements coming through from local competitors, coming from the data center industry, coming from other utility industries as well. Are you starting to see them in some of the bids that you're participating in, or this is still a separate market for you compared to these local players who are announcing big data center deals?

Speaker Change #108: Got it.

Speaker Change #109: Second question is on internationally.

But let me Jamie.

What are you seeing in terms of the.

Speaker Change #110: Our local competitors.

Speaker Change #111: In Malaysia.

Speaker Change #112: And Indonesia again lot of announcements coming through from.

Speaker Change #113: Local competitor.

Speaker Change #113: Coming from Gleevec in the industry coming from other industries as well.

Speaker Change #115: Are you starting to see them.

Speaker Change #114: The Bedford Youre participating in.

Speaker Change #114: The print market for you.

Speaker Change #116: They ask about announcing a big deal.

Speaker Change #116: Okay.

Speaker Change #116: Yes.

William Huang: So I think in Malaysia, typically, let's say Malaysia or Indonesia at that time, right? I think we definitely have the first mover advantage, number one. I think because we are the pioneers to step into this market, and because we already know, we know better than anyone else in this region about the technology trends. And we know we are much better at understanding our customer needs. So we know where, where, where, where they will go, and when they will go, and how, how, how we will do it, right.

William Huang: I think in Malaysia, typically, let's say Malaysia or Indonesia, Pattaya, right? I think we definitely have the first mover advantage, number one. I think because we are the pioneer to step in this market, and because we already know, we know better than anyone else in this region about the technology trend. We know we are much better understanding our customer needs. We know where they will go and when they will go. How we will do, right? I think this is a different advantage we already have than anyone else in this market.

Speaker Change #116: Sure.

Speaker Change #116: So I think in Malaysia, typically less M&A sale.

Speaker Change #116: In the Liza.

Speaker Change #116: I think India, we definitely have.

Speaker Change #116: <unk>.

Speaker Change #116: Our first mover advantage number one I think because we are there.

Speaker Change #116: Two.

Speaker Change #116: Step in this market and because we already know we know better than anyone else in distributing about it.

Speaker Change #116: Technology trend and we know we have much.

Speaker Change #116: Better understanding our customer needs, so we know well.

William Huang: So I think this is a different advantage we already have than anyone else in this market. So if, Frankly speaking, before 2028, I think most of the power in this region will have already secured most of the power. So I think even a lot of new players will jump into this market. I think the time to market will be way behind us.

Speaker Change #116: Where they will go and when they will go and how.

Speaker Change #116: How the how how we would do.

Speaker Change #116: So I think this is.

Speaker Change #116: Different advantage, we already have an NOL.

William Huang: If, frankly speaking, before 2028, I think the most of the power in this region, we already secured most of the power. I think even a lot of the new player jump into this market. I think the time to market were way behind us.

Speaker Change #116: Anyone else in this market.

Speaker Change #116: No.

Speaker Change #116: Frankly speaking before the 2028 I think the most of the power.

Speaker Change #116: In this region, we already secured most of the power So I think.

Speaker Change #116: Even a little not allowing new AR.

Speaker Change #116: Jumping to this market.

Speaker Change #116: Yes.

Speaker Change #116: I think the time to market we behind us.

William Huang: Pardon me. Yeah.

Gokul Hariharan: Got it. Yeah. Thank you very much. Thanks.

Speaker Change #117: Got it thank you very much.

William Huang: Thank you very much. Thank you. Thank you.

Operator: Thank you. We will now take our next question. Please stand by. Next question is from the line of Sarah Wang from UBS. Please go ahead.

Speaker Change #117: Okay.

Speaker Change #118: Thank you.

Speaker Change #119: We will now take our next question.

Speaker Change #120: Please standby.

Operator: We will now take our next question. Please stand by. The next question is from the line of Sarah Wang from UBS. Please go ahead. Thank you. Just one quick question. So, for the China business, given the backlog, maybe a couple of the deals might be signed a couple of the

Speaker Change #121: Next question is from the line of Sara Wang from UBS. Please go ahead.

Operator: Thank you.

Xinyi Wang: Thank you. Just one quick question. For the China business, given the backlog might have been signed a couple of years ago, so I'm just wondering if the AI-driven demand will simply drive acceleration of execution of the previous backlog, or will there be any changes to the contract terms signed, maybe, previously?

Sara Wang: Thank you. Just one quick question. For the China business, given the backlogs might be signed a couple of years ago, I'm just wondering if the AI-driven demand will simply drive acceleration of execution of the previous backlog or will there be any changes to the contract terms signed maybe previously? Thank you.

Xinyi Wang: Thank you just one quick question, so part of the China business, given the backlog might be signed a couple of years ago. So.

Xinyi Wang: Just wondering if the AI driven demand will simply drive acceleration of I think he was not being previous backlog or will there be any changes to the contact hand, alright, maybe previously thank you.

Xinyi Wang: Okay.

Xinyi Wang: Yes.

Xinyi Wang: Okay.

Xinyi Wang: Yeah.

Operator: Thank you. If there are any further questions, you can press stars 1 and 1.

Operator: Thank you. If there are any further questions, you can press star one and one on your keypad.

Xinyi Wang: Thank you.

Speaker Change #123: Yes, so Robert any further questions you can press star one on your keypad.

Dan Newman: Sorry, we tried to answer this question, operator.

Laura Chen: Sorry, we tried to answer this question, operator.

Daniel Newman: Sorry, we'll try to answer this question, operator. Backlog of the AIT Manifold could drive China to backlog everything in the world. Yeah, of course, I think the moving, I think in China, the main driver is the internet plus the traditional cloud and AI. Traditional cloud grows very slow, and now most of the demand is driven by AI. Yeah, and the internet. So I think the we we have, as I mentioned, we are already starting to benefit from that, right? So our first quarter revenue is mainly driven by the AI and internet company.

Scott: Thank you Scott.

Speaker Change #125: So we try to answer this question operator, yes, okay.

Operator: Yeah. Thank you. Line is open.

Speaker Change #126: Your line is now.

William Huang: What question? I missed it, too.

Sara Wang: Backlog in AI demand for China backlog.

Laura Chen: Backlog in AI demand for China backlog.

Speaker Change #127: Because I missed the backlog.

Speaker Change #126: Yes.

Speaker Change #126: On China.

Speaker Change #126: Sure.

William Huang: Yeah. Of course. I think in China, the main driver is the internet and plus the traditional cloud and AI. Traditional cloud growth still very slow. Now the most of the demands are driven by the AI. Yeah, and the internet. As I mentioned, we are already start to benefit on that, right? Our Q1 moving is mainly driven by the AI and internet company. We expect that it will continue. Yeah.

Speaker Change #126: Sure.

Speaker Change #126: Yes.

Speaker Change #126: Of course I think.

Speaker Change #126: Moving I think in China. The main driver is the internet and the prestige.

Speaker Change #126: Traditional crop and AI tradition growth across steel Barry.

Speaker Change #126: Slow and now the most of the demand is driven by the AI.

Yes, and the Internet. So I think we are.

Speaker Change #126: As I mentioned, we are already.

Speaker Change #126: That's a benefit on that right. So our first quarter movie is mainly driven by the AI.

Speaker Change #126: Internet company.

Daniel Newman: And we expect that it will...

Speaker Change #126: And we expect that it will continue.

Xinyi Wang: Is that your question? Yeah, not really. So I'm just wondering if the AI-driven demand will simply drive acceleration of the backlog ramp-up, or will there be any, you know, changes to the contract terms given the backlog might have been fine a couple of years ago?

Sara Wang: Got it.

William Huang: Is that your question?

Yeah.

Speaker Change #128: Got it.

Sara Wang: Yeah. Not really. I'm just wondering if the AI-driven demand will simply drive acceleration of backlog ramp-up or will there be any changes to the contract terms given the backlog might be signed a couple of years ago?

Speaker Change #129: Great. Thank you.

Speaker Change #128: Yes.

Speaker Change #130: So I'm just wondering.

Speaker Change #131: <unk> is now.

Speaker Change #132: <unk> backlog ramp up or will there be any changes to the contract terms given the pool pump might be signed couple of years ago.

Daniel Newman: Yeah, obviously, our backlog is mainly cloud service providers, so I listened to China's largest cloud service provider, Zernan, on their call, and they talked about how they're integrating AI into their cloud business and how AI development is driving demand for their cloud business. So I think if you have cloud service providers in your backlog, then yes, you know, their successful development and bring to market AI enabled products and services will contribute to, you could call it, AI growth but also to demand for cloud services.

Dan Newman: Yeah. Let me have a go. Yeah. Obviously, our backlog is mainly cloud service providers.

Speaker Change #131: Yes.

Speaker Change #133: Yes, obviously, our backlog is mainly cloud service providers.

William Huang: Yeah. Yeah.

Dan Newman: I listen to China's largest cloud service providers earnings call, and they talk about how they're integrating AI into their cloud business and how AI development is driving demand for their cloud business. I think if you have cloud service providers in your backlog, then yes, you know, their successful development and bringing to market AI-enabled products and services will contribute to, you could call it AI growth, but also to demand for cloud services.

Xinyi Wang: Okay, I got it. Thank you.

Speaker Change #134: I listened to China's largest cloud service providers earnings call.

They talk about.

Speaker Change #134: How the integration.

Speaker Change #134: And to their cloud business and how AI development is driving demand for the cloud business. So I think if you have cloud.

Speaker Change #134: Cloud service providers in your backlog.

Speaker Change #134: Yes.

Speaker Change #134: The successful development and.

Speaker Change #134: Bring to market.

Speaker Change #134: <unk> enabled products and services we.

Speaker Change #134: We will contribute to call.

Speaker Change #134: Call It AI growth, but also to demand for cloud services.

Speaker Change #134: Okay.

Sara Wang: Okay, got it. Thank you.

Speaker Change #135: Okay got it thank you.

Speaker Change #135: Yes.

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

Speaker Change #135: Thank you.

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

Speaker Change #135: Yeah.

Speaker Change #136: No further questions I'd like to now turn the call back over to the company for closing remarks.

Operator: Thank you all once again for joining us today. If you have further questions, please feel free to contact GDS Investor Relations through the contact information on our website or Pisanti Financial Communications. See you next time.

Dan Newman: Thank you all once again for joining us today. If you have further questions, please feel free to contact GDS Investor Relations through the contact information on our website or the Piacente Financial Communications. See you next time.

Laura Chen: Thank you all once again for joining us today. If you have further questions, please feel free to contact GDS Investor Relations through the contact information on our website or the Piacente Financial Communications. See you next time.

Speaker Change #137: Thank you all once again for joining US today. If you have further questions. Please feel free to contact GDS investor relations through the contact information on our website or the <unk> financial Communications you next time.

Operator: This concludes this conference call. You may now disconnect your line. Thank you.

Speaker Change #136: Okay.

Speaker Change #138: This concludes this conference call you May now disconnect. Your line. Thank you.

Okay.

Speaker Change #138: [music].

Speaker Change #138: Okay.

Speaker Change #138:

Speaker Change #138: Okay.

Speaker Change #138: [music].

Speaker Change #138: Yes.

Q1 2024 GDS Holdings Ltd Earnings Call

Request a DemoDemo

GDS

GDS Holdings

Earnings