Q1 2025 Uxin Ltd Earnings Call
[inaudible]
Hello and welcome to the U-Sheen First Quarter.
Speaker Change: Fiscal Year 2025 earnings conference call participants are in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing star then zero on your telephone keypad.
Speaker Change: after today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. To withdraw your question, please press star then two. Please note this event is being recorded.
Speaker Change: I will now like to turn the conference over to Jack Wang. Please go ahead.
Jack Wang: Alright, thank you, arbiter. Hello, everyone. Welcome to Eugen's earnings conference call for the first quarter and at the June 30, 2024.
Jack Wang: I'm the Paul today with me, we have DK our Thunder and Theo and John Lin our CFO
Speaker Change: DK will review business operations and company highlights followed by Zhang who will discuss financials and guidance.
Speaker Change: are both be available to answer your questions during the Q&A session that follows.
Speaker Change: Before we proceed, I'd like to remind you that it's called making tank forward-looking statements, which are inherently subject to risks and uncertainties that may cost actual results to differ from our current expectations.
Kun Guayi: for detailed discussions of the risks and uncertainties to least referred to our findings with the SEC. And now with that, I will turn the call over to our CEO DK, please go has sir. Thank you for your attention. Hello, everyone. I am Kun Guayi from Zeru, and I will see you in the next video.
Kun Guayi: Thank you for your support, and we will continue to be with you in the future. I will use the important things and share with you the latest news.
Speaker Change: Hello everyone, thank you for joining us today. I am pleased to reconnect with your all on the call and to facilitate communications with both domestic and international investors. I will share our company's latest progress in both Chinese and English.
Speaker Change: 25 years old, the first period was 24 years old, and the first time in the world was born in the 16th century, and the new car's price is still not enough for the second car to be found in the old building.
Speaker Change: However, the business operations of our hypermarket continue to maintain high-speed growth, with retail sales once reaching 4,090 units, a month-on-month increase of 31% and a year-on-year increase of 142%. The efficiency of vehicle turnover remains in a very healthy state, with the turnover days of inventory vehicles around 30 days.
Speaker Change: During the first quarter of fiscal year 2025, which covers April to June 2024, our superstore operations maintain the strong momentum. This flight ongoing disruptions in the use of car market caused by the aggressive pricing and competition in the new car market.
Speaker Change: We achieved the retail sales of 4,000 and 90 units for the quarter, representing a 31% increase sequentially and an impressive 142% growth year over year.
Speaker Change: Our vehicle turnover efficiency, also maintained very healthy with the human tree turnover days at approximately 30 days.
Speaker Change: is also a part of the development of the team, and the development of the team has a great impact on the team.
Speaker Change: [inaudible] We have been working on the radio and the sound of the radio on the radio, and the sound of the radio on the radio is recorded on the radio.
Speaker Change: As the only business companies on this rapid growth trajectory, customers satisfaction has also reached the new heights.
Speaker Change: After maintaining the highest net promoter's scoring human industry for nine consecutive quarters, head around 60, with further improved to this quarter, reaching an NPS of the 65.
Speaker Change: Our customers increasingly recognize the quality of our products and the level of service we provide. Further, solidifying the competitive advantage of the use of line superstore model.
Yue Wu-Chang: We have been working on a new year in 2014, and we have been working on a new year in 2020. Recently, the Yue Wu-Chang, which is now in front of us, will be discussing this issue. I want to share with you all the three of us in the 3rd place.
Speaker Change: He and I were a shareholder later last quarter, we online our expectation to achieve adjusted EBDU profitability company-wide by the December quarter of 2024. The strong business momentum over the past few months has brought us closer to this goal.
Speaker Change: and today I would like to highlight three key areas where focusing on to drive continued a growth.
Speaker Change: First, we will continue to work on the project, and we will continue to work on the project, and we will continue to work on the project.
Speaker Change: is the second-year-old Xiaofei Xu Qiao, who is also not a woman. We start from the birth of a woman. In the past few years, the past two or three years were born. A lot of Xiaofei was born in the past two years. This is also a positive and positive way to make Xiaofei's own decisions.
Speaker Change: First, we are steadily increasing our inventory levels.
Speaker Change: and the intensity of new car price worth has begun to ease, and consumer demand for use cars has gradually picked up.
Speaker Change: In response with the resumed expanding our human trees, and we expect to increase our human tree to 2-3 times its size at the beginning of the year by the end of 2024.
Speaker Change: This will provide a wider selection of vehicles to meet customer demand and choice continued retail sales growth over the next few quarters.
Speaker Change: The second one is to make people feel familiar with the fact that he is the only person who can be familiar with it.
Speaker Change: Who is in the city of Mai Chang, in the city of Zho Bienchen, is the capital of the capital of the capital. We have been living in the city for a long time. There are more opportunities. From the people of Zho, to the capital, to the capital.
Speaker Change: [inaudible]
Speaker Change: Second, we are increasing the proportion of vehicles we acquired from individual colonners.
Speaker Change: As our brand presence grows in the cities where our superstores are located, as well as in the surrounding areas, we're seeing a substantial rise in the organic traffic from individual commonplace looking to sell or trade in their vehicles.
Speaker Change: is currently over 60% of the vehicles we acquire come directly from private owners, placing us at the forefront of the supply chain. This not only helps us to secure better pricing margins, but also strengthens our competitive edge in regional markets.
Speaker Change: 3.提升分之服務的勝投率 1.以脫線下搭乃場和整備工場的一戰時後車場景 不斷拖展金融保險研寶精品為求保養等高貓利演出服務 推動貓利率進一步上擋
Speaker Change: Sir, we're focusing on enhancing the penetration of Ballure Edit services.
Speaker Change: The World War One's fab shopping brand at our offline super stores and recombitioning senders.
Speaker Change: We continue to expand on my margin services such as financing, ensuring that extended warranty is premium accessories and vehicle maintenance. This strategy will further improve our perfect course margin.
Speaker Change: President, you have been working in the U.S. for a long time.
Speaker Change: In the past few years, we had a lot of evidence to prove the truth. We had a lot of evidence to prove the truth.
Speaker Change: [inaudible]
Speaker Change: In addition, we are continuing to expand our network of super stores, building on the success of our current business model.
Speaker Change: in July, we reached a strategic partnership with the local government in Zhengzhou to establish a new superstore in the city. We are also actively engaging with a several other cities and expect to finalize one to two more strategic partnerships with a local government soon.
Speaker Change: This expansion was significantly enhanced using market presence, new regions, driving further sales growth and improving our overall business performance.
Speaker Change: Today, we will discuss about our CPU-like performance, which will help us to improve our performance.
Zhang: I will now turn the call over to our CEO Zhang to discuss the financials in more detail. Zhang please go ahead.
Speaker Change: Because from the past, we have a group of people who have a chance to participate in this event, and we will be able to share with you the second and second stage of the first season of the event.
Zhang: I thank you DK and hello everyone since we have both domestic and international investors joining us today I will be presenting our first quarter financial results for the fiscal year of 2025 in both Chinese and English
Zhang: [inaudible]
Zhang: So, we are going to discuss about our plan, the main plan for the future of our project, and the future of our project.
Speaker Change: is the first to get to know the number of people in the world. The number of people in the world in the world is the first to get to know the number of people.
Speaker Change: Looking back at the first quarter of fiscal year 2025, between April and June of 2024, we continue to experience some market disruption due to the ongoing press wars in the new car market.
Speaker Change: However, the overall use of karma care has strong findings of recovery with a nationwide use of car sales increasing by 6.4% year over year.
Speaker Change: Importantly, our offline SPIRSTROM model is not fully operational and strengthened by our brand, product and service capabilities, enabling us to achieve record sales in the quarter.
Speaker Change: are reportedly retail transaction volume reached 4,000 and 90 units representing a 31% sequential increase and a significant 142% year for year growth.
Speaker Change: [inaudible]
Speaker Change: the total retail vehicle sales revenue for the first quarter was through 125 million RMB, reflecting a 74% year increase.
Speaker Change: The average spelling price of retail vehicles decreased from 111,000 RMB in the same period last year to 179,000 RMB this quarter. The piece of substantial increase in transaction volume offset the impact of the lower ASP on overall revenue.
Speaker Change: The first two p-cells, the first p-cells, is a 151-year-old man, from the second p-cells to the third p-cells, the third p-cells, is a 16,399,000, a total of 4.1 billion people.
Speaker Change: on the wholesale transaction volume in the quarter, with 1,515 units, representing a slight 3% year decline, with the total wholesale vehicle sales revenue of 63.9 million in R&B.
Speaker Change: at the result of the above, our total revenue using the first quarter were 41 million RMB.
Wang Lin: and Wang Lin is 164, which is the first time in a long time. So, this is the first time in a long time. We are going to discuss with Mr. Feng.
Speaker Change: Our course margin was 4.46.4% which remains stable compared to the previous quarter, with the market gradually covering and the increased penetration of our value added services, we anticipate further room for a course margin improvement going forward.
Speaker Change: So, we will discuss with you the information about the local government. We will discuss with you the information about the government.
Speaker Change: Bendidu, Xing Chaozhouhou's Yubi crisis, Wei Sanxian-3009, Nubi. Bendidu's Yubi, Wu-890, Nubi. Bendidu's Yubi, Yubi, Yubi, Yubi, Yubi.
Speaker Change: As our performance and operational efficiency improved significantly, coupled with our continued focus on strict cost control.
Speaker Change: or adjusted the EBITDA last for the quarter was 33.9 million R&B, reflecting a reduction of 5.9 million R&B from the previous quarter and the reduction of 12.8 million R&B or 27% year over year.
Speaker Change: and the second-year-old Yeji Zheng Wang, who is also the second-year-old Qi Daoxi.
Speaker Change: [inaudible]
Speaker Change: The adjusted EBITDA loss for the second quarter of the fiscal year will significantly narrow to within 10 million RMB. We are very confident that in the third quarter of the fiscal year, which is from October to December 2024, the company will achieve positive EBITDA for a single quarter.
Speaker Change: Looking ahead to the second quarter of fiscal year 2025, between July and September 2024, we expect the retail transaction volume to reach between 5,800 to 600 units.
Speaker Change: representing a sequential growth of over 40%, total revenues are expected to be between 48 million RMB and 500 million RMB.
Speaker Change: We also anticipate that over adjusted EB.Loss will narrow significantly to under 10 million RMB. And we remain confident in achieving possibilities adjusted EB.Loss in the third quarter, which runs from October to December 2024.
Speaker Change: We have recently reached a financing agreement of 7.5 million USD with Dida Chuxing, a company listed on the Hong Kong Stock Exchange. This funding will further support the company in increasing vehicle inventory and driving the continuous growth of our retail sales. In the coming period, our focus for fund usage will be on enhancing inventory.
Speaker Change: [inaudible]
Speaker Change: Recently, we secured a 7.5 million U.S. dollar financing agreement with D.D., company listed on the Hong Kong stock exchange. This capital injection will further support the company's efforts to increase vehicle inventory, driving continuous growth in our retail sales.
Speaker Change: In the new-term, our primary focus for capital allocation will remain increasing inventory. In addition, we have other finance and plans currently in progress, ensuring that we have sufficient capital to support the rapid growth of our future business.
Speaker Change: You are the one who share this video with us today, thanks for your support, and we will start to ask you a question.
Speaker Change: and that concludes the Preparary Marks for today. Thank you all and the operator we're now ready to begin the Q&A session.
Speaker Change: We will now begin the question and answer session. To ask a question, you may press star, then one on your telephone keypad.
Speaker Change: If you're using a speaker phone,
Speaker Change: please pick up your handset before pressing the keys. If at any time your question has been addressed and you would like to withdraw your question, please press star then too.
Speaker Change: At this time, we will pause momentarily to assemble our roster.
Speaker Change: The first question comes from Fei Dai with TF Securities. Please go ahead.
Speaker Change: [inaudible]
Speaker Change: I will take you to the next episode.
Speaker Change: is a major role in the Chinese Communist Party.
Speaker Change: and you've been working on this for a long time. The second question is, we've seen the company's latest company, the company of Samsung's latest product, which is called D-Lay. The company is in a state of mind, and the company is in a state of mind. If you're interested in the company, you'll be able to share your experience with me.
Speaker Change: Translate in English. Congratulations on the drawing quarterly results and positive outlook. Mathiaso question is...
Speaker Change: can you elaborate on those specific factors, proving the stronger tell-sale growth and do you think this growth trade is sustainable? The second question is, will notice the problems of the Quadmi report as the company's cash position as of 2030 is relatively low? Could you provide more detail on your financial management plans? And how you will support future business goals? Thank you.
Speaker Change: I'm just kidding.
Speaker Change: I'll say that I'm going to be the first one to be the first one to be the second.
Speaker Change: by Xiong Liang's Afti Xiong.
Speaker Change: We are now at the 3rd of the first 12th of September, the first time in the world to start the war, the young father, the young father, the father of the family.
Speaker Change: is the most important part of the story.
Speaker Change: [inaudible] The next few years, we will be going back to the next few years.
Speaker Change: In the first three years, we will start with a new project, which will be released in the future, and will be released in the future. So, we will be able to make a lot of improvements in the future.
Speaker Change: So this is DK. I will address your first question and then Zhang will address the second. So there are three key factors driving the significant increase in sales.
Zhang: First, the overall use car market is starting to recover. Earlier in the year, the aggressive pricing competition in the new car market had a severe impact on the use car sector and with many consumers hesitant to make purchasing decisions.
Zhang: However, as we moved into mid-ear, the press wars had begun to ease, and we've seen a notice but rebound in demand for use cars.
Zhang: Second, as our operations have matured, we've built a stronger presence in the cities where our superstores are located. Our brand product offerings and service capabilities have all improved significantly, leading to higher sales conversion rate.
Zhang: We've reached a tipping point where our growth is now accelerating.
Zhang: and third, as we observed the market recovering, we practically expanded our inventory levels, providing customers with a wider selection of vehicles. And this enabled us to better meet consumer demand, resulting in higher sales conversions.
Speaker Change: We will continue to be a part of the development of the Chinese government, and we will continue to work together for the first time in the world. We will continue to work together for the first time in the past two days.
Speaker Change: [inaudible]
Speaker Change: and looking ahead a week-fact sales world to remain strong.
Speaker Change: For the next quarter, we are forecasting a sequential growth of over 40%. And by the end of the year, it was planned to increase inventory by 1 to 2 times compared to the beginning of the year, with total inventory reaching 3,000 to 4,000 units.
Speaker Change: At the same time, we're confident in maintaining high-umintory-turn-over levels, keeping us on a sustained growth trajectory.
Speaker Change: OK, then I will answer the question, the question of the Communist Party and the Communist Party, which is the most important, is the most important, the most important, the most important, the most important, the most important, [inaudible]
Speaker Change: [inaudible]
Speaker Change: So, let's take a look at our latest news, but the news is that our customers are in charge of our business, and we also have to take care of our customers in the future. We have to take care of our customers in the future, including the development of the company, and the needs of our customers.
Speaker Change: Hi, this is Zhang, I will address your second question about cash. It is true that our cash levels have been relatively low over the past few quarters. However, our operating cash flow has improved significantly, and with secured new investments to further enhance our liquidity.
Speaker Change: We are also very efficient with our cash usage. And so while ensuring operational stability, the majority of our funding has been directed towards increasing retail inventory.
Speaker Change: That's why our cash balance may seem low, it's important to know that our human levels have been steadily raising.
Speaker Change: has field continued to sell scroll. Over the coming quarters, our primary focus for cash allocation, including the recent financing, will remain on boosting inventory levels.
Speaker Change: [inaudible]
Speaker Change: and overall, we operate under two quarter financial principles.
Speaker Change: First, ensuring the company's financial position is cure, and second, fully supporting our business growth. This demands a high level of financial management, and with made substantial efforts to both increase our cash inflow and manage expenses.
Speaker Change: [inaudible]
Speaker Change: [inaudible]
Tong Zhitong: and Tong Zhitong, who is the head of our team, and we are very happy to be able to continue our new role. We are now at the first stage of the first round of the year, which is the role of the team, and the role of the team, and the role of the team, and the role of the team, is the role of the team.
Speaker Change: and Soru's fails and profitability has improved. Both of ours first force are now adjusted even at positive.
Speaker Change: We are transitioning from Burning Cash to Generating Cash. Meanwhile, our investors continue to show strong confidence in Ushin's business prospects.
Speaker Change: In early September, we secure the $7.5 million US dollars in financing from Dida, and we have additional financing plans currently progressing as scheduled.
Speaker Change: and Lin Fang, the company is currently working on the economic growth of the Chinese government. The Chinese government has been working on the economic growth of the Chinese government. It has been working on the economic growth of the Chinese government.
Speaker Change: Also, we've implemented multiple runs of car-saving and efficiency and hunting initiatives, resulting in a reduction of approximately a million iron being fixed. Monthly explosives compared to the same period last year.
Speaker Change: [inaudible]
Speaker Change: [inaudible]
Speaker Change: I've heard the news for stories in other regions, we will require additional funding for their launch and human tribute up, which will primarily be supported through a combination of local government investment and our own capital.
Speaker Change: Based on a rake that the extensive experience in building and operating the cafe and she on super stores as well as Super Bowl local policies, the startup cost for new stores are entirely manageable and remain at a very reasonable level.
Speaker Change: Song Tiang Yan, Xiuxin's own relationship is quite serious. So, the company's investigation is very serious. We will continue to make it clear to the end.
Speaker Change: So to summarize the answer, although financial management remains solid and stable, as we continue our path towards long-term sustainable growth, we are confident in the ongoing instrument of our cash position.
Speaker Change: I'll wait a minute, can we move on to the next?
Speaker Change: Again, if you have a question, please press star than one.
Speaker Change: Hi, we have a question we received, so I'll just take the opportunity to ask.
Speaker Change: Since the company has been talking about the price compensation, the new car market has eased somewhat. Can you share more about your recent observations on market conditions and how consumer demand for use cars has been evolving in the current economic environment?
Speaker Change: We have a group of directors, Gary, who wants to share with you the new story of Jack Zhang.
Speaker Change: Please share this video with your friends and friends.
Speaker Change: Hello, I'm Dai. I'm Wen Qi. The new year of the past year is very long. The new year's latest news is a little short. The new year of the year's news has been completed.
Speaker Change: We've been working on some of the new products from the past few years, and we've been working on a new product. We've been working on a new product for over 30% of the time.
DK World: Hi, this is DK World, write a bit of a question.
Speaker Change: So, that is correct. The price was in the new Karmarka had been quite intense over the past year. And this year's economic conditions have posed.
Speaker Change: and a significant challenges, sales growth for new cars in the first half of this year was only around 5%. And we've observed several popular models, the experience in price cuts 3 to 4 times since the first quarter of last year.
Speaker Change: with the press cause reaching around 30%.
Speaker Change: [inaudible]
Speaker Change: [inaudible]
Speaker Change: and these are the greatest pricing strategies in the new car market have naturally led to a continuous decrease in the average transaction prices in the new car market, where our current average price per vehicle is just over 70,000 R&B.
Speaker Change: We believe that in the long run, these lower vehicle prices have opened up a broader market enabling more consumers to produce better vehicles with smaller budgets. And this dynamic is also causing consumers to increasingly view use cars as a high-value purchasing option.
Speaker Change: [inaudible]
Wu: Wu is also the leader of Xiao Wei's life. We are in a group of brothers and sisters, who are the three of us. So far, we are in a group of 5-6th brothers and sisters.
Speaker Change: and Xiao Lang, Feng Suyue and Chao Guo, Hanien Feng Yushi, and Keiko Mai Yudu, MPS, and Hanyi.
Speaker Change: [inaudible]
Speaker Change: Regardless of the economic situation or market environment, consumer expectations for product and service quality are consistently increasing, within the barring for superior use-card dealerships.
Speaker Change: A reintegrated model of offline super stores and online national sales capacities can fulfill the broadest consumer needs and where highly recognized for our services.
Speaker Change: with an average of self-turnovers of about 30 days, which is significantly faster than the industry average of 50 points to 60 days.
Speaker Change: A results world and customer satisfaction as measured by our industry leading my promoter story.
Speaker Change: both consistently exceed industry averages, and therefore, no matter how market conditions fluctuate, we are confident in our personal operations, maintaining a trajectory of continuous improvement with a new breakthroughs each month.
Speaker Change: and that's our answer to what it's our research question operator can we move on? Yes, this concludes our question and answer session. I would like to turn the conference back over to management for any closing remarks.
Speaker Change: Good night.
Speaker Change: Thank you again for joining today's call and for your continuous support in the future.
Speaker Change: the conference has now concluded. Thank you for attending today's presentation. You may now disconnect.