H1 2024 Lotus Technology Inc Earnings Call
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Speaker Change: Good day and thank you for standing by. Welcome to the Global Technology in 1st half and 2024 for the next conference call.
Speaker Change: At the same old participants are in the listen only mode. After the difficult presentation, they will be a question and answer session. Those are the questions you may decision, you need to press star 1-1 on your telephone.
Speaker Change: You can hear an automatic message advising you hand me a trace. This will advise that today's conference is being recorded. I would like to call over to your host today, this Debbie Chang, from the company.
Debbie Chang: Thank you, Desmarne. Good morning. Good afternoon. Good evening, everyone. Thank you for joining Modest Taxes Second Collider and the first half 2020 for in the call.
Danny John: I'm Danny John, the head of IRR at Lotus tag. I'm honored to introduce Company Management with us today, CEO Jean von Phone and CFO Alexis V.
Speaker Change: On today's call, we'll start with the prepare remarks from staff of Alexis Rist and the CEO of Mesa Soundwood John Clark UA.
Speaker Change: Before we continue, please be reminded that today's discussion will continue while looking statements pursuant to the SISHABA provisions of the US private security selectation reform act of 1995.
Speaker Change: For what, looking for that month involving her and her risks and her certainties.
Speaker Change: As a study, the company's actual results may be matured like the front-of-the-views express today.
Speaker Change: Further information regarding risk is on that certain testing included in relevant following solves, but not just that, with that you as security semifz change conditions. The company undertakes no obligation to update any forward-looking statements except as required and applicable.
Speaker Change: Please also be noted that our earnings press release and this conference call will include this closure of an updated GAPE financial information as well as a audited non-GAPE financial measures.
Speaker Change: Please refer to our press release, which contains a reconciliation of an audited and an anchor measures to comparable gap measures, which you can find at IR.groupslashloadess.com.
Alexis V: With that, I'd like to turn the call over to our staff, O'Lexers, please. Thank you, Jeremy. Good morning, we are Fulton and welcome to everyone for your attendance today. My name is Alexis V, and I'm the CFO of LHS Hacking.
Speaker Change: So, let me go to the slide street. Thank you.
Speaker Change: I want to begin by saying the company delivers approximately 4,000 million units of vehicles, a free 100 million in the house. Of which both are records, first half, year numbers in the 76 years of the local history.
Speaker Change: Just under 2700 units with the labor in second quarter, up 128% year and 22% quarter in quarter.
Speaker Change: If you look at that center, you will see that 2nd quarter sales revenue was about 205 million up 103% year on year and 30% Q1Q.
Speaker Change: Most notable is the new revenue stream from ADA's technology related income, which is very high in margin.
Speaker Change: Besides lotus models, other reputable brands of passenger and commercial vehicles will be rolling with our in-house developed ADAs across the world.
Speaker Change: To your right hand side, you will see that gross profit module was 13% in the first half, a step-up versus the 5% achieved in first half, 23.
Speaker Change: But this number is lower than the 15% by the end of last year.
Speaker Change: To quantify the decline, it was mainly due to the inflationary impact to the cause of the neurospolskar.
Speaker Change: Notable Grove comes from Grossmargin of Service.
Speaker Change: Revening, which was about 58% in the first half of this year. For the 16% same pure Lassia.
Speaker Change: This is mainly conspulared by A.S. Reliance Revenue.
Speaker Change: Next slide, please.
Speaker Change: To your left, you'll see that our EVs, which is mainly electric as you'll be model and partly IMAIA, the GDC-Done model, contributes approximately 50% of total volume. While the Emirates Postcast sales contributes the remaining.
Speaker Change: The amount for email our sports car in the US market is strong, given well as establish sales network and brand recognition.
Speaker Change: The chart in the middle and the right shows a very balanced C-code delivery and the retail network distribution across the world.
Speaker Change: Europe, including UK, is home base. It remains the biggest contributors to volume and revenue, given our British heritage.
Speaker Change: China is new market to Lotus.
Speaker Change: and contribution expanded from 1% in 2018 to 25% of photo-b code delivery and retail source up to 60 years of continuous investments and efforts.
Speaker Change: Convusions from the rest of the world is training up from recent deliveries of electric SUV model in many new markets.
Speaker Change: A new production orders for the third quarter deliveries likely to further increase this weightage contribution.
Speaker Change: Next slide please.
Speaker Change: In terms of global distribution, China is the only market operator under direct customer model, whether others operate true retailers and wholesalers, many with long standing relationships with the company.
Speaker Change: The U.S. Marker remains as the key market for heritage of Moscow's.
Speaker Change: Given the tree uncertainties, the company will target the ultra-fluffery segment with limited additions and performance various ED models for brand positioning and profitability.
Speaker Change: Europe, including UK, is home-based and through our arrangements, more than 300,000 charging stations are now accessible for low-toned drivers to charge the vehicles.
Speaker Change: Given that Lotus is early mover in the electrification.
Speaker Change: ESG sensitive conglomerate for fleet purchase of luxury, courtesy, cars, and potential growth opportunity for the company.
Speaker Change: China is new market to Lotus.
Speaker Change: and only mark the operator at the direct customer model.
Speaker Change: Contributions in terms of volume and revenue exceeded 25% are the sixiest of intense investments.
Speaker Change: Cappac cycle already peak out and choose strategic partnership with Neil. Lotus drivers can set 23,000 charges across China, of which some of them are fully robotics.
Speaker Change: Lotus is well-recognized in the rest of the world regions.
Speaker Change: Voice everyone heritage and racing history, especially in the GCC region and other parts of Asia.
Speaker Change: The marquee is fragmented and operates under the distribution model, which is as I like, with very fast growing generation X customers for growth.
Speaker Change: The market is also less impacted by any trade uncertainties.
Speaker Change: In the face.
Speaker Change: Coming to our financial highlights, total revenue for the first half was $308 million, a 26% year of increase. Sales of goods was $383 million.
Speaker Change: 27% over your increase sales revenue was 15 million
Speaker Change: 104 percent year will increase. Gross margin for the first half was 13 percent versus 5 percent in the first half last year.
Speaker Change: Cosmaging of Fields of Goose
Speaker Change: 11% vs 4% vs half-lacia Cosmodia of service revenues was 58% vs 16% in the same year last year
Speaker Change: Opening loss was 438 million for first half this year, 27 percent year of the increase.
Speaker Change: Net loss was 40, 460 million, including share-based conversations and expenses adjusted in net loss non-gab was 424 million, a 20% year will increase.
Speaker Change: Adjusted EBITDA LOST on GIF
Speaker Change: It was 382 million, 15% of the year of the increase.
Speaker Change: So the right hand side is the quality numbers.
Speaker Change: Total Delaries
Speaker Change: It was 2699 units, 128% U.V. increase.
Speaker Change: Total revenue was 225 million, 100 and 3% year increase.
Speaker Change: Grossmargin was 9% versus 5% same period last year.
Speaker Change: Net loss was 202 million, a 4% year old increase. Now, excluding share-based compensation expenses and adjusted net loss, non-gab was just 201 million.
Speaker Change: I just the EBITDA lost non-get was 177 million, a 1% year decline.
Speaker Change: Next slide, please.
Speaker Change: In the first six months of this year, Lotus is the fastest growing British luxury heritage brand. With delivery is just behind Bentley and a head of Rothweiss.
Speaker Change: I'm Martin, and I like some McLaren.
Speaker Change: This is mainly driven by four models in delivery, an include our Glacier SUV model, our E-Mira Sposka model, our E-Maya GPC-Dem model, and E-Vaya, our Hello Sposka Hypercar.
Speaker Change: Despite faster than segment and industry growth, we've kept our ESP above $100,000 US dollar per unit.
Speaker Change: to protect our pricing integrity and brand equity value.
Speaker Change: We not only launch the bespoke development bespoke services, which offers personalization and customization services to our customers.
Speaker Change: But also, began the production of the one of Ivaya 50-paldi model and the delivery of the Ivaya Blossom Limited Edition model.
Speaker Change: Both the led tree SUV model and the EMEA GTC model won the red dot awards for product design and other achievements to add to the model's desirableity with our customers.
Speaker Change: Business sustainability wise, the company was nominated as the finalists in the Reuters sustainability award 2024 in two categories. Number one for business transformation and number two for operations transformation.
Speaker Change: Last but not least, our holy-owned subsidiary Lotus Robotics has to capitalize on years of investments by providing end to any intelligent driving solutions.
Speaker Change: and are in the services to multiple leading OEMs.
Speaker Change: Next one please.
Speaker Change: Decides embracing on electrification.
Speaker Change: Notice is also the pioneer amount traditional luxury OEMs to spearhead into digitalization and smartification.
Speaker Change: For you understand the fun in driving any past and present lotus models, we also want to accept the right level of technologies to enhance loading safety for our drivers and our passengers, the riders.
Speaker Change: As flag previously, our customers can opt for level 4, it has hardware on their new orders of electric SUV model and the Gmi A-G-C-C-C-Dard model.
Speaker Change: With that, they can subscribe to Highway HNLE, or the Urban HNLE, to enjoy the right after T.D.S.D.S.D.S.
Speaker Change: More importantly
Speaker Change: Program updates are done through OTA.
Speaker Change: and they are has a free.
Speaker Change: As announced recently, our holy, honest subsidiary, the Lotus Robotics, started to deliver and to answer intelligent driving solutions and are these services to leading OEMS.
Speaker Change: For both the passenger vehicles and commercial vehicles segment, such as the heavy-duty trucks for interstate logistics and events for interstate service services.
Speaker Change: Sales revenue from this high margin business was slightly more than 10 million USD in the first half this year and it's likely to fall between 30 to 50 million USD for this year.
Speaker Change: Future growth for business will be driven by income from more paid subscriptions of our aiders across the world.
Speaker Change: We very will, next part, please.
Speaker Change: We value our for the driver's transmission.
Speaker Change: and put them into action. We not only launched the Chapman Dispoch in the first quarter, which offers personalization and customization services, but also began the production of the pinkish in the next quarter.
Speaker Change: This collection features rare gradient painting and for two naturalifiers on the instrumental panel.
Speaker Change: which got in a lot of attention from our customers.
Speaker Change: We also began the production of the one of Evaya 50-pildy model to celebrate race legend Emerson for the Paldis 50 years of achievement and hope to reconnect the F1 passion with tens of millions of fans across the world.
Speaker Change: Thanks for watching.
Speaker Change: Coming to our guidance, we advise our FY24 full-year guidance to target to.
Speaker Change: 12,000 units to reflect the latest assessments of the market conditions and treat usidenties posed by the new tariffs in the US and the EU region.
Speaker Change: Our latest target pointed to more than 30% y'all year growth.
Speaker Change: Making Lotus Potentially the fastest growing heritage luxury car brand in the market.
Speaker Change: We aim for 3,000 to 4,000 units of quarterly deliveries in the second half of this year. A step-up versus the 2,200 and the 2,700 units achieved for first quarter and second quarter respectively.
Speaker Change: This said, the company will keep price discipline to protect our brand equity value and disability.
Speaker Change: More importantly, we still value our parts and present models and to ensure quality customer experiences.
Speaker Change: We are also in the process of recalibrating our product strategy to explore ways for faster and easier go-to-market globally, which we will share more details later.
Speaker Change: See your left are written up this on our model delivery.
Speaker Change: Most notable is the app and calming delivery to the GCC region who use which use to be one of the most popular destinations. Given our F1 heritage and racing BNA.
Speaker Change: Our customers from key markets such as Korea and Japan should also receive their electric SUV model. In the quarter this year, while others can make reservations for the United States and other countries, the United States should also receive their electric SUV.
Speaker Change: Thanks for the please.
Speaker Change: I'm going to go to the doctor.
Speaker Change: Management team initiates on the win 26 plan which targets positive operating cash flow and EBITDA in 2026.
Speaker Change: The plan includes more than 30,000 units of annual deliveries.
Speaker Change: In 2026 with more than 20% gross profit margin.
Speaker Change: in order to achieve.
Speaker Change: This target of better profitability and stronger balance sheets.
Speaker Change: The company will not only adopt price discipline, but also increase blender HST's true mix of more limited edition models and bespoke services.
Speaker Change: Given the maturity of our ADAS, our AI, our SaaS business, our Lotus robotics subsidiary, we'll undertake more high-margin IP licensing and R&D services.
Speaker Change: Give the number of OEMNs we partner and their model launch, the number of cars equipped for readers are expected to model double every year.
Speaker Change: As the cars pulls expense.
Speaker Change: The higher take-up rate of paid sufficient for all haters means potentially more income for the company.
Speaker Change: Coming back to the operation site.
Speaker Change: Scream lining.
Speaker Change: For better efficiencies, we will support our cost measures, as much reach through ways reduction to generate profitability.
Speaker Change: Achieving our win 26 is the base case for the company and the management.
Speaker Change: To deliver our commitments, such as DVD and payouts to our shareholders and investors.
Speaker Change: Next slide, please.
Speaker Change: Coming back to our product pipelines, it's important to flag that four models are currently available.
Speaker Change: Two more models will be launched in 2025 and 2026 respectively.
Speaker Change: This models will begin delivery.
Speaker Change: In 2026 and 2027 respectively, from PRC to UK, EU to rest on the goal, then followed by the US.
Speaker Change: The plan is to work our global regional network for our customers to test right up to the launch and to make reservations for future deliveries.
Speaker Change: To your right is the progressive body expansion of which the yellow highlight marks 100% availability.
Speaker Change: Both models of Sposcar, Yvaya and Imira are available in 100% of the markets today.
Speaker Change: Only 80% of the markets will be able to receive the electric SUV deliveries this year.
Speaker Change: While 50% of the markets will receive the email GTCT until the rest of the year.
Speaker Change: This is sad.
Speaker Change: 100% of the markets will receive the electric SUV model by 2025, and 100% will receive the EMAGDC model by 26.
Operator: After the biggest presentation, there will be a question and answer session. To ask a question during the session, you need to press star 11 on your telephone. You are then here in Automated Message, advising you hand this race.
Speaker Change: instrumental throughout the achievements of the win 26th of the year.
Speaker Change: The Tune of Models
Operator: Please be advised that today's conference is being recorded.
Speaker Change: We'll start the country build in FY26 revenue, but they will be major contributors to the country's profitability and growth.
Desmond: I would not like to hand call over to your host today with Debbie Zhang from the company. Thank you, Desmond.
Debbie Zhang: Good morning. Good afternoon and good evening, everyone. Thank you for joining Lotus Tech, the second quarter, and the first half of 2024 in these calls. I'm Debbie Zhang, the head of IRR at Lotus Tech.
Speaker Change: towards our 80th anniversary in 2028.
Speaker Change: Next, back please.
Speaker Change: Vision 80 starts from 2018.
Debbie Zhang: I'm honored to introduce company management with us today, CEO Jim Fofon, and the CFL electricity. On today's call, we'll start with the prepared remarks from CFL Electricist, and the CEO of Mr. Fenwood joining for QA. Before we continue, please be reminded that today's discussion will attend for well-looking statements, pursuant to the six-hubber provisions of the U.S. Private Security Selectation Reform Act of 1995. For well-looking statements involving inherent risks and uncertainties, as such, the company's actual results may be mature or different from the views expressed today.
Speaker Change: Q2028 and by then, management's view is for 4% market share in the luxury segment.
Speaker Change: which is priced above 80,000 US dollar per unit.
Speaker Change: This is done through product line-up expansion from previously a niche sports class segment player to the full range of SUB GT Cdarn models.
Speaker Change: Webbing profile will expand from just traditional car sales, new and used options at the market.
Speaker Change: So, new high revenue, high margin revenue streams, such as technology, IP licensing, A-dust appreciations, chatmen, bespoke customizations, charging services, and potentially in-car purchases, through our operating system OS.
Debbie Zhang: Further information regarding risks and uncertainties included in relevant fouling cells at Lotus Tech, with the U.S. Securities and Exchange Commision. The company undertakes no obligations to update any forward-looking statements, except as required at an applicable law. Please also be noted that our earnings press release, and this conference call will include disclosure of unobited gap with financial information, as well as audited non-gap financial measures.
Speaker Change: The company aim for 30% gross margin and targets more than 10% EBITDA margin. Management team is committed to the growth and plan to deliver cash and profits to our shareholders.
Operator: Please refer to our press release, which contains a reconciliation of unobited non-gap measures, two comparable gap measures, which you can find at ir.groogcelashlotus.com.
Speaker Change: Thank you for staying with me and we appreciate your kindness today.
Speaker Change: We look to deliver our cost to local strivers and dividends to our shareholders. I'll pass it over to Danny to close the QA session. Thank you.
Damien: With that, I'd like to turn the call over to our staff, O. Elections, please. Thank you, Damien.
Elections C: Good morning, good afternoon, greetings to everyone for your attendance today. My name is Elections, C, and I'm the CFO of Lotus Tech Inc. Now, let me go to the slides, please. Thank you. I want to begin by saying the company delivers approximately 4,900 units of vehicles, a cheap total revenue of 328 million in a half, of which both are records, first half year numbers in the 76 years of the Lotus history.
Danny John: Thank you, Alexis. Hope we're here already for QA. Thank you, Management. I just want necessary my door to ask questions. Please press R11 and wait for our name to be announced.
Speaker Change: Please stand by, while questions are being collected.
Speaker Change: Your first question comes from the line of Edison G of Deutsche Bank. Please go ahead.
Elections C: Just under 2,700 units were delivered in second quarter, up 128% year over year, and 22% quarter on quarter. If you look at the center, you'll see that 2nd quarter sales revenue was about 225 million, up 103% year on year, and 30% Q on Q. Most notable is the new revenue stream from Ada's technology-related income, which is very high margin. Besides Lotus models, other reputable brands of passenger and commercial vehicles will be rolling with our in-house developed Ada's across the world.
Edison G: Hi, thank you for taking our questions, have quite a few.
Speaker Change: One to start on the guidance, the volume guidance, how much would you say of the reduction is related to tariffs and how much is related to other factors?
Shibu-shan: I am Shibu-shan, but now I am going to tell you the truth.
Shibu-shan: so
Shibu-shan: We remember that in the United States, this is 100% of this.
Speaker Change: I'm going to use a little bit of water to make it easier for me to use a little bit of water to make it easier for me to use.
Speaker Change: Hello, Mr. Film CEO of Loutes, who would answer this question. Based on the original plan, the U.S. sells is a hundred percent ability to the tariffs hikes of the U.S. market. And for the EU market, about 30 percent of our sales is ability to the tarot hikes.
Elections C: To your right hand side, you will see that Gross profit margin was 13% in the first half, a step-up versus the 5% achieved in first half, 23. But this number is lower than the 15% by the end of last year. To quantify the decline, it was mainly due to the inflationary impact to the cost of e-neural sports car. Notable growth comes from Gross margin of service revenue, which was about 58% in the first half of this year versus 16% same period last year.
Speaker Change: 美國的因為關稅的因為增長率非常大 所以說今年的修量在美國
Speaker Change: So, we are in the state of China, which is the most important part of our country.
Speaker Change: We will be in the next month of the 19th century, and we will not be able to do the work of our country.
Elections C: This is mainly contributed by Ada's Reliance revenue. Next slide, please. To your left, you'll see that I'll leave these, which is mainly electric, SOV model, and partly EMAIA, the GDC data model, contributes approximately 50% of total volume, while the EMAIA sports car sales contributes the remaining. The amount for EMAIA sports car in the US market is strong, given well-established sales network and brand recognition. The chart in the middle and the right shows a very balanced vehicle delivery and the retail network distribution across the globe.
Speaker Change: In the last video, we will make a report. The report is made from a new territory. This is only a few weeks ago, but we will continue to make a report.
Speaker Change: [inaudible]
Speaker Change: And because of the tariff policies from the U.S. market, it's a dramatically, a factor in sales forecast.
Speaker Change: And we are now planning to have the repositioning of our product in the US market.
Speaker Change: Next month, in September, we are planning on launching our electric in the U.S. market.
Elections C: Europe, including UK, is home base. It remains the biggest contributors to volume and revenue given our British heritage. China is new market to Lotus, and contribution expended from 1% in 2018 to 25% of total of total vehicle delivery and retail stores after six years of continuous investments and efforts. Contributions from the rest of the world is trending up from recent deliveries of electric SOV model in many new markets. And new production orders for the third quarter delivery is likely to further increase its weightage contribution.
Speaker Change: and for such a language and the product as well.
Speaker Change: Have a slight contribution to 2024, and more of the contribution will come in 2025. So, today we are going to discuss about the time of the last year, and the time of the year will continue.
Speaker Change: But this is also a year of the year of the year of the year.
Speaker Change: After the launch event in September in the U.S., the letter will arrive at the, or will enter the U.S. market at the end of this year, or roughly at the end of December. And the products will contribute our 2025 performance mainly.
Elections C: Next slide, please. In terms of global distribution, China is the only market operator under direct customer model, where the others operate through retailers and wholesalers, many with long-standing relationships with the company. The US market remains as the key market for heritage sports cars. Given the tree uncertainties, the company will target the ultra luxury segment with limited additions and performance variance ED models for brand positioning and profitability. Europe, including UK, is home base and through our arrangements, more than 300,000 charging stations are now accessible for Lotus drivers to charge their vehicles.
Speaker Change: In order, we will also be in the 4th year of the 4th year of the World War II.
Speaker Change: So, Europe, we are also contemplate to relaunch or reposition our product in quarter four.
Speaker Change: We will also introduce the new version of the new version of the new version The old version is made by a new version
Speaker Change: Specifically in Europe, we are thinking about to plan to launch a different variant in this particular market.
Speaker Change: 其他的就是整个大事对这个好花车的心影响比如说中国的好花车市场下滑150 但是对路车似来讲还是保持了增长
Elections C: Given that Lotus is early mover in electrification, ESG sensitive conglomerate for fleet purchase of luxury, courtesy across a potential growth opportunity for the company. China is new market to Lotus and the only market operator under direct customer model. Contributions in terms of volume and revenue exceeded 25% after six years of intense investments. Capac cycle already and true strategic partnership with NIO, Lotus drivers can assess 23,000 charges across China offers some of them a fully-reported.
Speaker Change: Besides that, there will also other elements of vaccine luxury premium vehicle segment. For example, in China, in the luxury vehicle segment it has been affected by 50% downwards, but for loters we maintain our growth momentum. Although it is a long time ago, it has been affected by the pandemic.
Speaker Change: However, it does not necessarily mean that he's a telling his own expectation. Thank you.
Speaker Change: Alright, good afternoon.
Speaker Change: I'm sorry if you're going. So follow up to that. I noticed in the press release, you know, you mentioned the company mentioned at the average selling price still is above 100,000.
Elections C: Lotus is well-recognized in rest of the world regions for its F1 heritage and racing history, especially in the GCC region and other parts of Asia. The market is fragmented and operates under the distribution model which is asset-like with very fast-growing generation X customers for growth. The market is also least impacted by any trade uncertainties. Coming to our financial highlights, total revenue for the first half was 308 million, a 26% year of increase.
Speaker Change: Can you just remind us the service counting behind that? Because obviously if you just take the order of revenue and divide it by the units, it's not over 100,000. It's just minus the mechanics behind the ASP again.
Speaker Change: Thank you for watching.
Speaker Change: Thank you so this is on the counting site because on the US side or the Emirates
Speaker Change: is actually accounted for with our gross margin rather than the full ESP of the cars.
Elections C: Sales of goods was 383 million, a 27% year of a year increase, sales revenue was 15 million, 104% year of increase, growth margin for the first half was 13% versus 5% in the first half last year, growth margin of sales of goods was 11% versus 4% versus half last year, growth margin of service revenue was 58% versus 16% in the same year last year, operating loss was 438 million for first half this year, 27% year of increase. Net loss was 460 million, excluding share-based conversation and expenses adjusted net loss non-gap was 424 million, a 20% year of increase.
Speaker Change: So, as you say there, we want to make sure the market is clear that the company is protecting the price in the equity and not involved is solved with this company measures.
Speaker Change: To the market, there will be detrimental to the brand equity value and the broader resale, with the ability of the product. Yes, but from a cutting site, yes, we do not, we treat it in a way whereby the U.S. sales is only on the margin. 5, rather than is the full car sales revenue.
Speaker Change: I'll tell you the truth.
Speaker Change: Thank you.
Speaker Change: On the first revenue, I know it was a bit.
Speaker Change: And gun down a bit sequentially, quarter of a quarter. How do we think about the service revenue for the rest of this year? And I think you had mentioned that longer time it should be what? 30, 50 million from AS?
Speaker Change: I'll try to get a moment in.
Speaker Change: I'm no station.
Speaker Change: I think.
Speaker Change: the same thing as that.
Speaker Change: [inaudible] In a very simple process, it is very simple process. So, we can go to our second and third process.
Elections C: Adjusted EBITDA loss non-gap was 382 million, 15% year of increase. To the right hand side is the quarterly numbers, total deliveries was 2639 units, 128% year of increase, total revenue was 225 million, 103% year of increase, growth margin was 9% versus 5% in the last year, net loss was 202 million, a 4% year of increase, now excluding share-based compensation expenses and adjusted net loss, non-gap was just 201 million. Adjusted EBITDA loss non-gap was 177 million, a 1% year of year decline. Next slide please.
Speaker Change: Because currently in the luxury premium EV segment, particularly we are facing war in country head wings, so we have to find the second or the third challenge to help us to boost their revenues.
Speaker Change: We have been through a long period of time. We have heard about the building of the building. We have heard about the building of the building of the building.
Speaker Change: I have a CD party to go to the building.
Speaker Change: 得到了不仅仅是中国用户 包括中东亚太和美国用户的喜欢 我们也会霸这样的高定推向中东亚太和美国 会先覆盖这个三个市场
Elections C: In the first six months of this year, Lotus is the fastest growing British luxury heritage brand, with deliveries just behind Bentley and ahead of Rolls-Royce, Asamartin and Lexo McLaren. This is managed driven by four models in delivery and includes our Electric SUV model, our Emirat Sportcar model, our Emea GP-CDA model, and Ivaia, our Hello Sportcar Hypercar. Despite faster than segment and industry growth, we cam our ASP above $100,000 USD per unit, to protect our pricing integrity and brand equity value.
Speaker Change: For example, we have a launch server, chatmen, b-spoke services, and a different models to the China market first, like email, a lot of them in Chantement, and also our future-party version, they have been...
Speaker Change: But the draw interests from customers from China, 8 pack and a U.S., and currently we are planning to cover those just three market-list.
Speaker Change: We are in the United States, and we are going to take a look at the history of the world, and we are going to take a look at the history of the world.
Speaker Change: During the electrical lock prevention of the U.S. we are going to be planning to also empower the lock child-based service staff. We will not give the free-time of our free-time data, but we will give the free-time of our free-time mobile data.
Elections C: We not only launched the bespoke Chapman bespoke services, which offers personalization and customization services to our customers, but also began the production of the one-off Yvaya 50-party model and the delivery of the Yvaya Blossom Limited Edition model. Both the luxury SUV model and the Yvaya GT Citadel model won the red dot awards for product design and other achievements to add to the models desirability with our customers. Business sustainability wise, the company was nominated as the finalist in the Reuters sustainability award 2024 in two categories.
Speaker Change: Although such models are variants or a bespoke service want to give us a huge boosting sales volume, it will give us a...
Speaker Change: strong
Speaker Change: [inaudible] of the state
Liumlutus Guncheng: Liumlutus Guncheng, this is one of the...
Liumlutus Guncheng: 信牌在全球的影響力
Speaker Change #101: We are a traditional, a traditional, a traditional.
Speaker Change #102: The first question is whether we should start the second round, or whether we should start the second round.
Elections C: Number one for business transformation and number two for operations transformation. Last but not least, our wholly-owned subsidiary Lotus Robotics started to capitalize on years of investments by providing end-to-end intelligent driving solutions and R&D services to multiple leading OEMs. Next slide please. Besides embracing on electrification, Lotus is also the pioneer among traditional luxury OEMs to spearhead into digitalization and smartification. While you understand the fun in driving any part in present Lotus models, we also want to accept the right level of technologies to enhance roading safety for our drivers and our passengers, the riders.
Speaker Change #103: Another revenue stream I want to elaborate on is our aiders or intelligence driving services
Speaker Change #104: As we all know that a lot of engineering had a long experiences of offering services globally, and they have a great caliber in Shastituning and Lightway to Calibration, and currently we are developing another revenue stream through intelligence-driving solutions.
Speaker Change #105: [inaudible] this year, this year, we are in the same place as in the past. This is a very good, a very high-morty building.
Speaker Change #105: By the end of this year, we project the revenue from this stream is roughly around 400 billion R&B. And it is a business that it can give us a greater growth margin.
Speaker Change #105: [inaudible]
Elections C: As flag previously, our customers can opt for level four ADA hardware on their new orders of electric SUV model and the Yvaya GT Citadel model. With that, they can subscribe to Highway NOA or the Urban NOA to enjoy the ride after tedious days. More importantly, program updates are done through OTA and their hassle-free. As announced recently, our wholly-owned subsidiary, the Lotus Robotics started to deliver end-to-end intelligent driving solutions and R&D services to leading OEMs.
Speaker Change #105: In China, we all know that in this particular area that our fierce competition for Lotus, we are unique as we can offer this solution globally. This is the first time we have the opportunity to make a decision. We have the opportunity to make a decision in China, in the United States.
Elections C: For both the passenger vehicles and commercial vehicles segment, such as the heavy-duty trucks for interstate logistics and vans for intracity-dispatch services. Sales revenue from this high-margin business was slightly more than $10 million in the first half this year, and it's likely to fall between $30 to $50 million in US dollars for this year. Future growth for our business will be driven by income from more paid submissions of our ADA across the world.
Speaker Change #106: 中农亚太,也都是可以覆盖的 这得到了很多欧严们的喜欢
Speaker Change #107: Our solution can not only cover China market, but also Europe, Middle East and A-Pag, and we have already gained a lot of interest on other OEMs.
Speaker Change #108: We've been doing a lot of research on this. We've also known that we've been doing a lot of research on this. We've been doing a lot of research on this.
Speaker Change #109: This is also used by the company.
Speaker Change #109: In addition to creating internal solutions for Geely and providing technical services to Geely, we also offer autonomous driving solution services to external clients, especially European OEMs.
Elections C: We value our drivers' grand mission and put them into action. We not only launched the Chapman bespoke in the first quarter, which offers personalization and customization services, but also began the production of the pinkish e-mail blossom This collection features rare gradient painting and 42 natural suppliers on the instrumental panel, which got a lot of attention from our customers. We also began the production of the one-off Yvaya 50-Paldi model to celebrate race legend Emerson, Philip Aldi's 50 years of achievement and hope to reconnect the F-1 passion with tens of millions of fans across the world. Next slide, please.
Speaker Change #110: Besides offering intelligence or driving services internally, we've been truly holding groups such as Verizon, Commercial Vehicle and also Lincoln, Co. 10. Vehicle, we are also offering services to non-gile bands in New York, particularly.
Speaker Change #111: We have already secured the nomination for three models from a very large European OEM. In the future, there are four more models currently in the nomination process.
Speaker Change #112: Currently, we have already acquired a nomination of three models from one of the renamed OEMs in Europe. And there are four models by applying this intelligence driving solution on going. So, this is the most important solution. You can use a one-part of these strategies. You can use a 4-gauge control.
Elections C: Coming to our guidance, we revised our FY-24 full-year guidance delivery target to 12,000 units to reflect the latest assessments of the market conditions and treat uncertainties posed by the new tariffs in the US and the EU region. Our latest target pointed to more than 70% year-year growth making Lotus potentially the fastest-growing heritage luxury car brand in the market. We aim for 3,000 to 4,000 units of quarterly deliveries in the second half of this year.
Speaker Change #112: And I believe this is the unique edges for losses. We can offer one intelligence-driving solutions to cover global market.
Speaker Change #113: Today, we can answer the number of people in the world who will be in the future, who will be in the future and who will be more mature. This is the first time we will be able to understand this.
Speaker Change #114: This year, again, as I previously mentioned, we've projected 400 billion RMB revenue next year and the year after next year, we believe the revenue will keep growing and this is another important revenue channel that we are currently exploring. All doors to the OEM, the two good.
Elections C: A step-up versus the 2,200 and the 2,700 units achieved for first quarter and second quarter respectively. This set, the company will keep price discipline to protect our brand equity value and desirability. More importantly, the resale value of our parts and present models and to ensure quarterly customer experiences. We are also in the process of recalibrating our product strategy to explore ways for faster and easier go-to-market globally. Which we will share more details later.
Speaker Change #115: In this video, we will be in the next video, which will be the purpose of this video.
Speaker Change #116: And we were disclosing more information regarding the nomination or the collaboration with the particular OEM from the URA. So, let's move on to the next question. Let's move on to the next question.
Speaker Change #117: There is a lot of money in this country. This will be the main thing. We need to go to the main market. We need to learn these OEMs. To let them come. I hope that 60-40 people will get married.
Elections C: So your left are recent updates on our model delivery. Most notable is the up and calming delivery to the GCC region which use to be one of the most popular destinations given our F1 heritage and racing DNA. Our customers from key markets, such as Korea and Japan, should also receive their electric SUV model. In the quarter this year, while others can make reservations for the EMA EMA GT sedan model. Thanks a lot, please.
Speaker Change #118: For our intelligence-driving solutions we believe we are very competitive in three markets, including the U.S.
Speaker Change #118: We are planning to Japan and those three markets will be our current focus and we will keep exploring any potential opportunities with those three markets.
Speaker Change #119: This is a series of experiences, a lot of U.S.U.M.參加,包括美國現在,包括奔恥,包括阿sund馬丁等等這些品牌,也包括握握握.
Elections C: Management team initiated on the win 26th plan, which targets positive operating cash flow and EBITDA in 2026. The plan includes more than 30,000 units of annual deliveries in 2026 with more than 20% gross profit margin. In order to achieve this target of better profitability and stronger balance sheets, the company will not only adopt price discipline but also increase blender ASPs through mix of more limited edition models and bespoke services. Given the maturity of our AIDAS, our AI, our SaaS business, our Lotus Robotics subsidiary will undertake more high margin IP licensing and R&D services.
Speaker Change #120: At this moment, we are carrying out to test the driving and the riding experiences of our intelligence driving solutions in Frankfurt. A lot of OEMs actually have a participating in including Hellen Die, Mercedes-Benz, Arsenal, Martin and Volvo.
Speaker Change #120: There are a lot of other OEMs, and many other OEMs are also in the Falan Kofu. We will continue to work on the development of the world.
Speaker Change #120: More UOMs will join this 15-day test driving and test the riding experiences.
Speaker Change #121: So in summary, non-channel market will give voters and its intelligence-driving solutions edges. Just you know, we are your heads for the Liang Liang, let's look down to you. And those two are extra revenue streams I'd like to share with you. Thank you.
Elections C: Given the number of OEMNs we partner and their model launch plans, the number of cars equipped for AIDAS are expected to more than double every year. As the cars pull expense, the higher take-up rate of paid sufficient for AIDAS means potentially more income for the company. Coming back to the operating site, streamlining for better efficiencies will support our cost measures, especially through waste reduction to generate profitable demand. Achieving our win-26 is the base case for the company and the management. To deliver our commitments, such as dividend payouts to our shareholders and investors. Next slide, please.
Speaker Change #122: I don't know what to do.
Speaker Change #123: That's a great, that's a great and very comprehensive.
Speaker Change #124: Or you quick follow up on that specific point. How are we thinking about the economics? Is it a unit-based? Is it licensing? How does the 400 million relate relate to the number of cars those customers would tell?
Speaker Change #125: Please give me a little to see if you're so young, so you don't want to see.
Speaker Change #126: We are going to talk about this story, which is the title of the title of the title.
Speaker Change #126: [inaudible]
Elections C: Coming back to our product pipeline is important to flag that four models are currently available. Two more models will be launched in 2025 and 2026 respectively. These models will begin delivery in 2026 and 2027 respectively from PRC to UK, EU, to the rest of the world then followed by the US. The plan is to work with our global retail network for our customers to test right after the launch and to make reservations for future deliveries.
Speaker Change #127: 1.8, 1.8, 1.8. It is said that this link is released in the LL0. They have already been released. Of course, there is no need to be released. They will be released soon.
Speaker Change #127: In the past, we had already started China.
Speaker Change #127: 全不高架高快路
Speaker Change #128: 接下来我们也逐步逐步回开放这个城市 到今年底明年初的时候 我们将会开放到100个城市的城市NLA
Elections C: To your right is the progressive body expansion of which the yellow highlight marks 100% availability. Both models of Sposka, Divaya and the Emirate are available in 100% of the markets today. Only 80% of the markets will be able to receive their electric SUV deliveries this year, while 50% of the markets will receive their EMAIA GTC-DAN deliveries this year. This said 100% of the markets will receive the electric SUV model by 2025, and 100% will receive the EMAIA GTC-DAN model by 2026, instrumental to our achievements of the wind 26th of May. The two new models will start to contribute in FY26 revenue, but they will be major contributors to the company's profitability and growth. To us, our ADF anniversary in 2028.
Speaker Change #129: So, in this way, we will also be able to do lessons, but every teacher will give us lessons. We all use this kind of teacher. So, all the teachers use this kind of teacher.
Speaker Change #130: In summary, it will be 50% of development payments and also 50% through per vehicle license in cost. To take a return model from link, co-exant, as an example, we have already started to collect the development cost.
Speaker Change #130: And we have already provided the support of intelligence, driving solutions to freeways in China. And by the end of this year, we are going to cover more cities about 100 cities and offer NOA capabilities on the vehicle.
Speaker Change #130: So developing a payment and also licensing payment to the vehicle would be our common proposal to all OEMs.
Speaker Change #130: This is a report from the Department of Defense, and we will not agree with it.
Elections C: Next slide please. Vision 80 starts from 2018 till 2028. And by then, management's view is for 4% market share in the luxury segment, which is priced above $80,000 USD per unit. This is done through product lineup expansion from previously a niche Sposka segment player to the full range of SUV GTC-DAN models. Revenue profile will expand from just traditional car sales, new and used, options of the market, to new high revenue, high margin revenue streams such as technology IP licensing, ADA submissions, checkman bespoke customizations, charging services, and potentially incur purchases through our operating system of OS. The company gained 40% growth margin and targets more than 10% habitat margin. Management team is committed to the growth and plan to deliver cash and profits to our shareholders.
Speaker Change #131: We will talk about the future of the future. We will talk about the future of the future of the future.
Speaker Change #132: If you want to make this video, we will talk more about the K-Fafei. And I will show you the video.
Speaker Change #133: You will have the two shots.
Speaker Change #134: And for different, we will also be flexible with our strategies for return in the future. They may have a lot of sales holding, so when it comes to development costs or development payment, you just relatively less.
Speaker Change #135: come here to with their license and her vehicle and for commercial vehicles.
Speaker Change #135: The development payment or the quotation is relatively higher compared with the license interview cost.
Speaker Change #136: In the next episode, we are going to talk about the future of the Ziaolin War. We will also talk about the link in the link in the description box.
Speaker Change #137: Of course, we are now in a way to understand a movie called Ying He is a new movie.
Speaker Change #137: 也正在拿这个定的
Speaker Change #138: Currently, with the Injuli Holding Group, it decides that as the attend that I previously mentioned, we have also acquired the nomination for other three models and also one extra potential monomination or collaborative opportunities with a new brand called Galaxy Underjuli Holding Group.
Elections C: Thank you for staying with me and we appreciate your attendance today. We look to deliver our costs to Lotus drivers and dividends to our shareholders.
Danny: I'll pass it over to Danny to host the QA session. Thank you. Thank you, Alexias.
Speaker Change #138: Of course, we can't say a few words, but we hope in 2020, 2020.
Operator: Operator, we're ready for QA. Thank you, management. At this time as a reminder to ask questions, please press bell 11 and wait for a name to be announced. Please stand by while questions are being collected.
Speaker Change #139: So, we are going to take a look at the number of questions that we are going to answer. So, we are going to answer the number of questions that we are going to answer.
Speaker Change #140: But for sure, we are not the solely relying on Julie Business, where our target is started by 2027, the revenue brought to by intelligence driving, well, from non-Geli side of county to 470%.
Edison G: Your first question comes from the line of Edison G of Deutsche Bank. Please go ahead. Hi. Thank you for taking our questions. I have quite a few. I wanted to start on the guidance, the volume guidance.
Speaker Change #141: Yes, thank you.
Speaker Change #142: Thank you for the questions.
Mr. Fum: How much would you say of the reduction is related to tariffs and how much is related to other factors?
Speaker Change #142: Our next question comes from Lin Jo from UE Capital Disaster Quest.
Speaker Change #142: Bye!
Lin Jo: Hello, Hello, Hello, Hello, Hello, [inaudible]
Speaker Change #144: This is the one who said that the government is in the middle of the day, and there is a problem.
Speaker Change #144: [inaudible]
Mr. Fum: Hello, Mr. Fum, CEO of Lotus without this question. Based on the original plan, the US sells is 100% related to the tariffs of the US market and for the EU market, about 30% of our sales is related to the tariff hikes. In the past few years, the sales of the US market has never been successful.
Speaker Change #144: This is the first time we have seen the show. But the show will be more beautiful, beautiful, beautiful, and beautiful.
Speaker Change #144: Ah!
Speaker Change #145: 比如說路徒司的自動駕事我就打個比方吧 路徒司的自動駕事解決在路徒司車上的自動駕事解決方案是雙澳論駕事可即光類打 那麼在領澳的藥領上我們是一顆澳論的芯片 一個即光類打我們照樣能夠做
Mr. Fum: Our business in the US market is going to start from a new point of view. In the next month, in the 90th century, the sales of the US market will start from a new point of view. In the US, the sales will start from a new point of view. [inaudible] In the 20th century, the sales of the US market will start from a new point of view. After the launch event in September in the US, Electra will arrive at the end of the US market at the end of this year, or roughly at the end of the December, and the products will contribute our 2025 performance mainly.
Speaker Change #146: So, Routes-Siddong-Jaz is a very powerful and powerful way. We can say that there are three ways to go through the three ways.
Speaker Change #146: In other words, we can use our x and y to use our y to use our a.m. At that time, we were able to find a way to find a way to find a way.
Speaker Change #146: 高充的这个新片的地方也能够信,高充。
Speaker Change #147: So, the question is, well, those intelligence driving solutions that we offer to for loaders and also other OEMs, is there any differences and a misdephones on say that the software is actually the same, based on the same model, the difference is on the hardware, but we've loaded the intelligence driving hardware will be adaptive to different OEMs. For example, for loaders ourselves, we are leveraging two OEM chips and a four-leider, and for our solutions to the 10, they are using one OEM chip and one-leider. So we have three different levels of solutions from high-medium to low, and based on those solutions, they can be adaptive to OEMs.
Speaker Change #147: x, y, and n. In addition to that, we have also come up with the solutions that can be adaptive to call-consolutions.
Speaker Change #148: Thank you very much. So, we are going to talk to you about the topic of the topic. We are going to talk about the topic of the topic of the topic of the topic of the topic of the topic.
Mr. Fum: So, Europe, we are also contemplating to relaunch or reposition our products in forceful. In Europe, we are thinking about to plan to launch different variants in this particular market. Besides that, there will also other elements of faxing luxury premium vehicle segment. For example, in China, in the luxury vehicle segment, it has been affected by 50% downwards, but for Lotus, we maintain our growth momentum. Although it is China, but it has not reached our expectations.
Speaker Change #148: [inaudible]
Speaker Change #148: [inaudible]
Speaker Change #149: The question is, for closest owners
Speaker Change #150: or cast in the shiit.
Speaker Change #151: What's the demand and the house to take major for Adel's function or intelligence driving solutions?
Speaker Change #151: And Mr. Phong says that, so for our Lotus own owners, they actually used this function quite a lot. In our Lotus app, there is a dedicated session to show the tech rage or the use frequency of this particular function, and we have also received a positive feedback from our customers.
Speaker Change #151: 高宿你一个数据在五路车时代自动鸡事排行榜上,我们的用户排行榜有用的总理成的排行榜也有越榜,其中我们以单子无结管的自动鸡事。
Speaker Change #152: This is a very, very high number of data.
Mr. Fum: But can you just remind us the survey counting behind that, because obviously if you just take the order of revenue and divide it by the units, it's not over 100,000. So it is minus the mechanics behind the ASP again. Thank you. So, this is on accounting site, because on the US site, all the Emirats is actually accounted for with the gross margin rather than the full ASP of the cost. So, as we said that, we want to make sure the market is clear that the company is protecting the price integrity and not involved itself with discounting measures to the market.
Speaker Change #152: And I can...
Speaker Change #153: We'll operate with a specific number for aiders ranking currently on our latest app.
Speaker Change #153: You can categorize based on the range of data, and also based on the monthly data. And currently, what I can see on this app is that there's a Intelligent-driving solutions used by one of our customers with
Speaker Change #153: are no human interruptions for 533 kilometers.
Speaker Change #153: In other words
Mr. Formation: You charge the vehicle once, and you don't have to interrupt it under the vehicle run by itself for 530 frequently. I would just add a little translation there. Actually, what Mr. Formation was, the non-intervention mileage.
Mr. Fum: That would be detrimental to the brand equity value and the broader resellability of the market. But from accounting site, yes, we treat it in a way whereby the US sales is only on the margin side rather than the full car sales revenue. On the first revenue, I know it was a bit, it had gone down a bit sequentially, quarter over quarter. How do we think about the service revenue for the rest of this year? And I think you had mentioned that longer term, it should be what, 30, 50 million from ASS. So, I am very interested in the amount of social history that you see there.
Mr. Formation: Maximum was 533 kilometers
Speaker Change #155: Yes, for what are the customers? 533 kilometers. Thank you for your support for a single three non-independent distance.
Speaker Change #156: We are going to make this 3-5-year-old, I think in the middle of the day, it's a very good experience. And we believe that Sachi performance will be the benchmark of the Inchana and other markets.
Speaker Change #157: Thank you. My last question is because there are a few of us in the past few years. The result of this year may be in the fourth quarter of the year. So if we look at the results of this year's result, what will be the result of this year's result?
Speaker Change #158: 这个数 rule,我们会在
Mr. Fum: Because currently in the luxury premium EV segment particularly we are facing or encountering headwinds so we have to find the second or the third channel to help us find the second or the third channel. This is a reference. In the middle of the market, we have launched a high-end product and we have also launched a few high-end products. For example, the high-end FD Parties and FD Parties. [inaudible] They have been the draw interests from customers from China, APAC and the US and currently we are planning to cover those three market first.
Speaker Change #159: So I'll just do it.
Speaker Change #159: Thank you very much.
Speaker Change #160: Mali is 60 degrees, our Mali is 60 degrees, 100% is 60 degrees.
Speaker Change #161: Well, the question is from the previous presentation, we know that the latest projection of the ADA's revenue, this is roughly 400,000 RMB. What's the long term, in addition for gross margin and rates of revenue? And it's different than that in the future, the gross margin is expected at 60%.
Speaker Change #162: I'm going to start the game.
Speaker Change #162: wo
Speaker Change #163: Thank you for the questions. One moment for the next question.
Speaker Change #163: Next question comes on Royce Young from Morgan Stanley Investment Management China. Please go ahead.
Royce Young: Hi, thank you for taking my question and I'm congrats on all successful deliverers in this year. My question is about stock trading. I haven't noticed that trading volume has been relatively low ever since the company's lifting.
Speaker Change #165: And I was wondering if there's any actions going to take in regard this liquidity issue.
Mr. Fum: During the electrical launch event in the US we are currently planning we will also in parallel launch our business service there. [inaudible] In China, we all know that in this particular area that our fierce competition, for Lotus, we are unique as we can offer this solution globally. Also, Europe, Middle East, and APEC, and we have already gained lots of interest from other OEMs. Besides the offering intelligence driving services internally within Julie Holding Group, such as Verizon, commercial vehicle, and also Lincoln CoZ10, vehicle we are also offering services to non-July brands in EU particularly.
Speaker Change #166: What are the capsules mean?
Speaker Change #166: So, to fix this problem regarding this liquidity issue, yeah, that's my only question. Thank you.
Speaker Change #166: ouch!
April: Okay, thank you. This is April, actually. I think you mentioned, right? Trading turnover or liquidity for the stock is actually very low.
Speaker Change #168: Given that unlocking of the strictest shares actually happened only when it's the August, which is about just last week or this period.
Speaker Change #169: So, after which we will start the video, see investors on other trading activities, brotherning.
Speaker Change #170: Now, on one end, there's on the timeline basis.
Speaker Change #171: On the other hand, we have very rigid IR plan to go to market. We also work with various institutions in terms of our courage and also communicate having more deployment into the retail market.
Speaker Change #171: So, I think those are fundamentally some of the actions that we actually working on in terms of moving up to our liquidity, broadening our coverage and also assessing the capital market with a different investors and both retail and institutions and investors.
Speaker Change #172: Thank you for the question. Thank you very much. One moment for the next question.
Speaker Change #172: Thank you.
Speaker Change #173: Our next question comes from youngling from Shenzhen, he course at Management Company. Please go ahead.
Wang Lidong: Hello, my name is Wang Lidong. I want to ask you a question about the relationship between Mao Li. As you can see, the relationship between Mao Li and Mao Li will be very high. I want to ask you how the relationship between Mao Li and Mao Li will be.
Speaker Change #175: First of all, we still have to support the government. This is the first time we have to fight against a high-end team. We will not go to the market, and the market will not go to the market. We will not go to the market.
Speaker Change #176: Thank you very much. Thank you.
Speaker Change #177: We also want to make a change in the world.
Speaker Change #178: We are all in this small field, and we are going to make a huge impact on the field.
Speaker Change #178: So, we will continue to make some adjustments.
Speaker Change #179: This is a convenient. The second convenient we have to do in the next lecture. For example, in the past, we had to do a lecture in the next lecture.
Speaker Change #180: This is our, the same thing, we also want to share the experience of our開支.
Speaker Change #180: 能够让我们也
Speaker Change #180: [inaudible]
Speaker Change #180: I hope that in 2020, we will be able to reach the third and last two weeks. In the weeks, we will also be able to reach the third and last weeks. This is a very good example.
Speaker Change #181: The question is, now I'm full.
Speaker Change #182: We can see that the gross margin for 2026 is relatively high and how long is this I'm going to deliver this target. And as they are for loads of such a premium luxury brand, we're not going to or we will secure the price integrity. For example, for Emirat, currently the demand is much bigger than the supply, so we have the plan to increase the price. In addition to that, we are also controlling the cost.
Mr. Fum: We have already taken to Europe, OEM, a very big company, OEM, and three vehicles. There are four vehicles in the future. Currently, we have already acquired a nomination of three models from one of renowned OEMs in Europe and there are four models by applying this intelligence driving solutions ongoing. I believe this is the unique edges for Lotus. We can offer one intelligence driving solutions to cover global markets. This year, I previously mentioned we project a 400 million R&B revenue next year and the year after next year, we believe the revenue will keep growing and this is another important revenue channel that we are currently exploring.
Speaker Change #182: So the bond costs are a full loader, this year is expected to produce 8%.
Speaker Change #182: In addition to that, we are also managing other costs from other areas. Besides, we have also proposed a wing 26 plan. During this plan, we projected to deliver 30,000 vehicle cells in that year, and it will give us more revenue.
Speaker Change #183: ...and you can't stop me.
Speaker Change #184: I'll see you in the next one. I'll play with you.
Speaker Change #185: I want to ask, what is the next generation of young people and young people in the world?
Speaker Change #185: 目標是多少 標對
Speaker Change #185: So, Mohan, I will listen to the guys.
Speaker Change #185: Today, we are also
Speaker Change #187: Sorry, I won't be able to do that.
Speaker Change #188: So sorry, yes, for gross profit margin, we definitely will want to be able to What's the way I do? Don't worry about that.
Speaker Change #189: So, we are going to share with you today's video. We will continue to share with you today's video.
Speaker Change #189: [inaudible]
Mr. Fum: And we will disclose more information regarding the nomination or the collaboration with the particular OEMs from the EU. We believe that in the United States, Europe and Japan will have a very strong economic power. This will become the main goal of our development. We will try to find these OEMs to make them like Lotus. For our intelligence driving solutions, we believe we are very competitive in three markets including the US, Europe and Japan.
Speaker Change #190: The question is for this year and the next year, what's the target of gross margin? And the answer is that this year we have been affected by many elements and that we are going to deliver our target through product and also price increase. And gradually we will deliver the gross margin of 20% in 20% in 20% in 26%.
Mr. Fum: And those three markets will be our current focus and we will keep explore any potential opportunities with OEMs in those three markets. [inaudible] At this moment we are carrying out test driving and riding experiences of our intelligence driving solutions in Frankfurt. A lot of OEMs actually have participated including Hyundai, Mercedes, Benz, Alston Martin and Volvo. There are a lot of other OEMs which are also in Frankfurt. We will continue to work on the market market for half a month. More OEMs will join this 15-day test driving and test riding experiences.
Speaker Change #190: yeah
Speaker Change #191: Thank you. We'll be there for a long time.
Speaker Change #191: Thank you. Thank you for the questions. One more moment for the next question.
Mr. Fum: So in summary, non-China market will give Lotus and its intelligence driving solutions edges. And those two are extra revenue streams I'd like to share with you. Thank you.
Speaker Change #191: that
Speaker Change #191: The next questions come from Yitong Huang. Please ask your question.
Yitong Huang: Hello, everyone. I am a couple of questions. The first question is what you have mentioned earlier. If you are interested in using various techniques, please contact me. Please contact me. Thank you.
Speaker Change #193: Because this whole Russian 4th year of the war, in 2014, it is already a big deal. Because our car is now starting now, and it is starting again.
Speaker Change #194: 啊, sugar-fetching is too true, 来了.
Speaker Change #195: So, from our family and our family and our ancestors, we have completed all of this. Of course, this is still the same as the ancestors.
Speaker Change #195: If it is not a complete pain, it is a pain in the hands of a man. If it is not a complete pain, it is a pain in the hands of a man.
Speaker Change #196: The second, we are now in the position of the 2nd and 6th. The second is the second, a small, beautiful plan.
Speaker Change #197: It's a little bit difficult, but we are going to make a difference between us and the others.
Mr. Fum: That's a great and very comprehensive overview. Quick follow-up on that specific point. How are we thinking about the economics? Is it unit-based? Is it licensing? How does the 400 million relate to the number of cars those customers would sell? It's a great question. I don't understand.
Speaker Change #197: 从而能够保证我们的价格,不去打价格战
Speaker Change #197: Now we are...
Speaker Change #197: [inaudible]
Speaker Change #197: And it's not the same kind of attitude as we can do in two days. This is the fact that we have to protect our eyes and our eyes.
Mr. Fum: The first question is whether this is the type of use or is it the only one? There are two aspects. One is the type of use and the other is the license fee of a car. [inaudible] You will tell them the answer. And for different, we will also be flexible with our strategies for the 10 in the future. They may have a lot of sales volume. So when it comes to development costs or development payment, which is relatively less compared with the license and the vehicle.
Speaker Change #197: So, this is the end of this story.
Speaker Change #198: 当然会用,会用, 各方面都会降低
Li Ren: This afternoon, a company named Li Ren's home, is a special and special event. I said that we will bring two new companies to the new world. Then we will take this company and make it a little beautiful.
Speaker Change #200: The question is
Speaker Change #201: In 2024, how does this improve its cost of the management and also its cost of the structure?
Speaker Change #202: And the answer is that in 2023 and 2024, basically the costs have already picked.
Speaker Change #203: And we have already on a long-term form model supported by the platform and technology that we have previously developed. We will continue to invest in technological development, but the cost is relatively less.
Speaker Change #203: In addition to that in the plan of the wing 26, we've proposed the idea of the small party effective organization. In other words, the company or organization of structure would be less relatively streamlined, and people would be less relatively less.
Speaker Change #203: However, the most important thing is to deliver great quality products and provide excellent accustomed experiences so that we can secure the price integrity.
Speaker Change #204: For our staff and employee at this moment, you'd use relative letters that balance status.
Speaker Change #204: It is less than 2,000 people, but they can support when it comes to commercial R&D and other necessary departments. This is how we keep the cluster at an acceptable status.
Speaker Change #204: So for a company, the most important thing is to explore more revenue streams, which I previously elaborated. And another approach is to reduce the cost.
Speaker Change #204: [inaudible] I'm going to talk about it.
Speaker Change #205: What we have done is that we have done a lot of work, and we have done a lot of work. So we have no other way around the company.
Speaker Change #205: From this point of view, we have a lot of time to go out. The Chinese are the only one that has been overseas, and the whole world has been working together for a long time.
Speaker Change #205: Let's talk about the fact that we have been in the world for more than 10 days. Today's people, who can reach the age of 2026, are the biggest challenges of the world.
Mr. Fum: And for commercial vehicles, the development payment or the quotation is relatively higher compared with the license and the vehicle costs. In the next step, we have already launched the Z10 out of the market. We have also taken another 0.3 out of the market. Of course, we are now also taking another brand called Ying He. It is a new brand. We are also taking this list. Currently within the holding group, designs the E10 that I previously mentioned, we have also acquired the nomination for other three models.
Speaker Change #205: 並不是說公司需要進入什麼大規模的
Speaker Change #205: 点心点人的概念不是而说我们怎么样大见优势?
Speaker Change #206: This system and the government can only support us, not to support many people.
Speaker Change #206: Can you tell us about the existence of the 26-year-old, that is very important.
Speaker Change #207: I'm excited that for Loses, we are operating with a asset-light mode. We don't own any factory. And for the commercial side, only China is operating with a G2C mode for our non-channel market, they are operating with the dealers with the great experiences in the past.
Mr. Fum: And also one extra potential, more nomination or collaborative opportunities with a new brand called Galaxy under Gili Holding Group. Of course, we are not saying that we need to rely on Gili. We hope that when we are in 2017, we will be able to build a 70% of the Z10 out of the market. We will be able to build a 30% of the Z10 out of the market. But for sure, we are also slowly relying on Gili business. Our target is that by 2027, the revenue brought to by intelligence driving well from non-Gili side of County to 470%. Yes, thank you. Thank you for the questions.
Speaker Change #207: For a company, the most important thing is have to keep a streamline, have to keep lean and light.
Speaker Change #207: And have to leverage the existing talent to support our achievements and promise in 2026. So the most important thing is not to, is not about redundancy process. The most important thing is how to establish a good team that can help us to deliver win 26 points.
Mr. Fong: [inaudible] I'm Mr. Fong.
Mr. Fong: 首先我們可以看到我們的產品計畫
Mr. Feng: Our next question comes from Lin Zhou from Yu Yi Capital. Please ask a question. Hi. Hello, Mr. Feng. Hello, Mr. Li. I just mentioned a few questions about the Z10 out of the market. The first one is that we need to understand that there are hundreds of Z10 out of the market that we are going to give to Lin Ke, and the other one called the European Union. From the perspective of technology, we are going to give Lin Ke or other brands[inaudible] So the question is, for those intelligence driving solutions that we offered for Lotus and also other OEMs, is there any differences?
Speaker Change #209: 除了我们我刚才讲的两个增长 额外的两个增长曲线高定和自动驾驶之外
Speaker Change #210: So, we will see our next episode.
Speaker Change #211: We will be in the second year of the year, we will fall for our new song
Speaker Change #212: In 2020, the first step of the first step of the first step is to make sure that the situation is very important for us to bring in a very large, important step.
Mr. Feng: And Mr. Phones honestly is that the software is actually the same, based on the same model, the difference is on the hardware, but the intelligence driving hardware will be adaptive to different OEMs. For example, for Lotus ourselves, we are leveraging two Orenchips and a four-liter, and for our solutions to Z10, they are using one Orenchips and one-liter. So we have three different levels of solutions from high-medium to low, and based on those solutions, they can be adaptive to OEM, X, Y, and N. In addition to that, we have also come up with the solutions that can be adaptive to Qualcomm solutions.
Speaker Change #213: This is the most important point in the year 2016.
Speaker Change #214: Question is Mr. van Privis, a mention about a revenue exploration and the SAID course. And Lotus has also mentioned about targeted to deliver 30,000 vehicles and to achieve positive EBITDA and how Lotus could deliver that target.
Speaker Change #215: Answer or responses that we have a robust product plan besides two revenue streams that I previously mentioned. We spoke service and also aid as solutions.
Speaker Change #216: In 2024, we are also planning to launch a new vehicle model and this model will go into the markets in Q1, 2021. And this model is going to be the major volume boost for us in 2021.
Speaker Change #217: [inaudible] We have already been in a hurry. We have already been in a hurry.
Speaker Change #217: In our 25th year, we have already completed a very complete. We have already completed a new year. We can make it faster and faster.
Speaker Change #218: In 276, we will have
Speaker Change #218: a strong and comprehensive retail channels unlike when we launched the first and second models years ago, which we didn't have a mature retail channels. So when we launched this new model in 2025 and 2006, it will give us immediate return.
Speaker Change #219: This is the second year of our 25th anniversary, but this is the first anniversary of our debut. We will continue to support the first anniversary of our debut. I hope you can also support the program.
Speaker Change #220: Although this vehicle won't be launched on year 2025, the technology of this vehicle will be released in quarter form, so stay tuned to Guanja Watershow.
Speaker Change #220: oh
Speaker Change #221: Thank you for your support. I'm not going to ask you anything.
Speaker Change #222: Thank you for the questions. If that's our like and go back to management for closing.
Speaker Change #223: Thank you. I'm everyone for your questions and thank you, Management. We'll give you an time to consider and we'll conclude the call. If you have any further questions, please feel free to contact our IT. And this concludes the call. Thank you, everyone, and have a great day.
Mr. Feng: Thank you. So, what is the difference between the two Orenchips and the tech rate now? The use of this Lotus Tech is very, very high. If you look at our APB, in our APB, we can see that the use of the Lotus Tech is very, very high. And now, the use of the Lotus Tech is also very high. The question is for Flux's owners or customers? What's the demand and the health to tech rate for AWS function or intelligence driving solutions?
Mr. Feng: And Mr. Feng's assumption is that for our Lotus owners, they actually use the dysfunction question laws. In our Lotus app, there's a dedicated session to show the tech rate or the use frequency of this particular function. And we have also received a positive feedback from our customers. [inaudible] You can also categorize based on the range of data and also based on the monthly data. And currently what I can see on this app is that there's a intelligence driving solutions used by one of our customers with no human interruptions for 533 kilometers.
Mr. Feng: In other words, you charge the vehicle once and you don't have to interrupt it under the vehicle run by itself for 533 kilometers. I'll just add a little translation. Actually, what Mr. Feng mentioned was the non-intervention mileage maximum was 533 kilometers. We believe that such performance will be the benchmark whether in China and other markets. The question is from the previous presentation when you know that the Lotus projection over ADA's revenue this year is roughly 400 million RMB. What's the long term in vision for gross margin and its revenue? And Mr. Fernandez that in the future the gross margin is expected at 60%. Thank you for the questions.
Operator: One moment for the next question.
Royce Young: Next question comes on Royce Young from Morgan Stanley Investment China. Please go ahead. Hi. Thank you for taking my question. And congrats on all success for delivering this year. My question is about stock trading. I haven't noticed that the trading volume has been relatively low ever since the company's lifting. And I was wondering if there's any actions going to be taken regarding this liquidity issue. And what are the capital needs to fix this problem regarding this liquidity issue? Yes. That's my only question. Thank you. Okay. Thank you.
Mr. Feng: This is a several actually. I think you mentioned right trading turnover or liquidity for the stock is actually very low. Given that the unlocking of the restricted shares actually happened only 23 August, which is about just last week or this probably. Yeah. So after in which we'll start the real estate investors are trading activities, broadening. Now on one end, there's on the timeline basis. On the other end, we have very rigid.
Mr. Feng: I have planned to go to market. We also work with various institutions in terms of our courage and also communicate having more deployment into the retail market. So I think those are fundamentally some of the actions that we are actually working on in terms of moving up our liquidity, broadening our coverage and also assessing the capital market. With our institutional investors and both retail and institutional investors. Thank you for the question. Thank you. Thank you very much.
Operator: One moment for the next question. Oh, the expression comes from Yang Ling from Chen Zhen, who's a management company. Please go ahead.
Yang Ling: First of all, we are still trying to talk about a high-level platform. We are not going to talk about the market economy. We are not going to talk about the price.
Mr. Feng: [inaudible][inaudible] to be able to be able to be able to be able to be able to be able to be able to be able to be able to be able to be able[inaudible] The question is, in 2024, how Lotus improved its cost management and also its cost structure. And the answer is that in 2023 and 2004, basically the cost have already picked and we have already launched the four models supported by the platform and technology that we have previously developed.
Mr. Feng: We will continue to invest in technological developments but the cost is relatively less. In addition to that in the plan of the Wien 26, we proposed an idea of the small-party effective organisation. In other words, the company or organisation of structure would be relatively streamlined and people would be relatively less. However, the most important thing is to deliver great quality products and provide excellent cost and experience so that we can secure the price integrity.
Mr. Feng: For our staff and employee at this moment, it is relatively at a balance status. It is less than 2,000 people but they can support when it comes to commercial R&D and other necessary departments. This is how we keep the cost at an acceptable status. So for company, the most important thing is to explore more revenue streams which I previously elaborated and another approach is to reduce the cost. [inaudible] I don't mean to say that the company needs to go into a large-scale and small-scale concept.
Mr. Feng: Instead, we need to be aware of the cost of the system and the cost and support. We don't need so many people. We need to be aware of how the development needs to be used in the next 26 years.
Mr. Feng: Only China is operating with the D2C mode for our non-channel market. They are operating with the dealers with the great experiences in the past. For a company, the most important thing is how to keep a spring line, how to keep lean and light and how to leverage the existing talent to support our achievement and promise in 2026. So the most important thing is not about redundancy process. The most important thing is how to establish a good team that can help us to deliver the win 26 times.
Mr. Feng: The first thing we can see is our product plan. In addition to what I just said, there are two kinds of products. We can see our product plan. When we are 25 years old, we will develop a new car. When we are in 2020, we will launch a new car. This new car will give us a very big growth. This will become the biggest growth point in 26 years.
Mr. Feng: The question is Mr. Feng previously mentioned about a revenue exploration and the safe cost. Lotus has also mentioned about the target to deliver 30,000 vehicles and to achieve positive EBITDA and how Lotus could deliver that target answer for responses. We have a robust product plan. Besides two revenue streams that I previously mentioned, the Stoke Service and also ADA solutions. In 2024, we are also planning to launch a new vehicle model, and this model will go into the market in Q1, 2026.
Mr. Feng: This model is going to be the major volume boost for us in 2026. [inaudible] this new model in 2025 and 2026 will give us immediate return. Although this vehicle won't be launched until 2025, the technology of this vehicle will be released in quarter-fourth.
Mr. Feng: So stay tuned to Guangzhou Auto Show. Thank you. Thank you for the questions.
Operator: I would like to head back to management for closing. Thank you, everyone, for your questions and thank you, management. Or given the time and time constraint will conclude the call very soon. If you have any further questions, please feel free to contact our IT.
Operator: And this concludes the call. Thank you, everyone, and have a great day. Thank you.