Q2 2026 ATRenew Inc Earnings Call

August 20, 2026

Speaker #1: Good morning and good evening, ladies and gentlemen. Thank you for standing by, and welcome to ATRenew Inc.'s second quarter 2026 earnings conference call. At this time, all participants are in listen-only mode.

Operator: Good morning and good evening, ladies and gentlemen. Thank you for standing by, and welcome to ATRenew Inc.'s Q2 2026 earnings conference call. At this time, all participants are in listen only mode. We will be hosting a question and answer session after management's prepared remarks. Please note today's event is being recorded. I will now turn the call over to the first speaker today, Ms. Jeremy Ji, Head of Investor Relations. Please go ahead, ma'am.

Operator: Good morning and good evening, ladies and gentlemen. Thank you for standing by, and welcome to ATRenew Inc.'s Q2 2026 Earnings Conference Call. At this time, all participants are in listen only mode. We will be hosting a question and answer session after management's prepared remarks. Please note today's event is being recorded. I will now turn the call over to the first speaker today, Ms. Jeremy Ji, Head of Investor Relations. Please go ahead, ma'am.

Speaker #1: We will be hosting a question-and-answer session after management's prepared remarks. Please note today's event is being recorded. I will now turn the call over to the first speaker today, Ms. Jenny Jin, Head of Investor Relations.

Speaker #1: Please go ahead, ma'am.

Speaker #2: Thank you. Hello, everyone, and welcome to ATRenew's second quarter 2026 earnings conference call. Speaking first today is Carrie Chen, our founder, chairman, and CEO. He will be followed by Rex Chen, our CFO.

Jeremy Ji: Thank you. Hello, everyone, and welcome to ATRenew's Q2 2026 earnings conference call. Speaking first today is Kerry Chen, our Founder, Chairman, and CEO, and he will be followed by Rex Chen, our CFO. After that, we will open the call to questions from the analysts. The Q2 2026 financial results were released earlier today. The earnings press release and investor slides accompanying this call are now available at our IR website, ir.atrenew.com. There will also be a transcript following this call for your convenience. For today's agenda, Kerry will share his thoughts of our quarterly performance and business strategy, followed by Rex who will address the financial highlights. Both Kerry and Rex will participate during the Q&A session. Please note our safe harbor statement.

Jeremy Ji: Thank you. Hello, everyone, and welcome to ATRenew's Q2 2026 earnings conference call. Speaking first today is Kerry Chen, our Founder, Chairman, and Chief Executive Officer, and he will be followed by Rex Chen, our Chief Financial Officer. After that, we will open the call to questions from the analysts. The Q2 2026 financial results were released earlier today. The earnings press release and investor slides accompanying this call are now available at our IR website, ir.atrenew.com. There will also be a transcript following this call for your convenience. For today's agenda, Kerry will share his thoughts of our quarterly performance and business strategy, followed by Rex who will address the financial highlights. Both Kerry and Rex will participate during the Q&A session. Please note our safe harbor statement.

Speaker #2: After that, we will open the call to questions from the analysts. The second quarter 2026 financial results were released earlier today. The earnings press release and investor slides accompanying this call are now available on our IR website, ir.atrenew.com.

Speaker #2: There will also be a transcript following this call for your convenience. For today's agenda, Carrie will share his thoughts on our quarterly performance and business strategy, followed by Rex, who will address the financial highlights.

Speaker #2: Both Carrie and Rex will participate during the Q&A session. Please note our safe harbor statements: some of the information you will hear during our discussion today will consist of forward-looking statements.

Jeremy Ji: Some of the information you will hear during our discussion today will consist of forward-looking statements, and I refer you to our safe harbor statements in the earnings press release. Any forward-looking statements that management makes on this call are based on assumptions as of today, and ATRenew does not take any obligations to operate our assumptions on the statements. Also, this call includes discussions of certain non-GAAP financial measures. Please refer to our earnings press release, which contains a reconciliation of non-GAAP measures to GAAP measures. Finally, please note that unless otherwise stated, all figures mentioned during this conference call are in RMB and all comparisons are on a year-over-year basis. I would now like to turn the call over to Kerry for business and strategy updates.

Speaker #2: And I refer you to our safe harbor statements in the earnings press release. Any forward-looking statements that management makes on this call are based on assumptions as of today.

Speaker #2: And that ATRenew does not take any obligation to operate or make assumptions on the statements. Also, this call includes discussions of certain non-GAAP financial measures.

Speaker #2: Please refer to our earnings press release, which contains a reconciliation of non-GAAP measures to GAAP measures. Finally, please note that unless otherwise stated, all figures mentioned during this conference call are in RMB, and all comparisons are on a year-over-year basis.

Speaker #2: I'd now like to turn the call over to Carrie for business and strategy updates.

Speaker #3: Okay.

Kerry Xuefeng Chen: Okay.

Kerry Chen: Okay. [Foregn language]

Speaker #4: 各位投资者和分析师大家好，欢迎参加万物星辰集团2026年第二季度业绩电话会。我们很高兴与各位交流本季度的经营成果，以就行业趋势和公司战略分享我们的思考。

Speaker #2: Hello everyone, and thank you for joining ATRenew's second quarter 2026 earnings conference call. We are pleased to review our operating results for the quarter and share our views on industry trends and our strategy.

Jeremy Ji: Hello, everyone, and thank you for joining ATRenew Q2 2026 earnings conference call. We are pleased to review our operating results for the quarter and share our views on industry trends and our strategy. In Q2, total net revenues exceeded the high end of our guidance, increasing 32.4% year-over-year to RMB 6.61 billion. Our continued focus on 1P has strengthened our end-to-end capabilities and driven rapid growth in product revenue of 35.9% year-over-year to RMB 6.19 billion. Non-GAAP operating profit grew 70.1% year-over-year to RMB 210 million, while non-GAAP operating profit margin expanded by 69 basis points year-over-year to 3.1%. First of all, I would like to share four key external shifts and trends. The first dynamic is the year-over-year decline in new device sales. The intuitive thinking is that this could drag our recycling business.

Speaker #4: 二季度集团的总收入超出了指引的区间高端，同比增长32.4%至66.1亿元，其中我们以优先EP发展产业链端到端的战略，持续实现了产品收入的快速增长。在二季度同比增长35.9%至61.9亿元，non-GAAP的经营利润同比增长70.1%至2.1亿元，non-GAAP的经营利润率同比提升69个基点至3.1%。

Jeremy Ji: In Q2, total net revenues exceeded the high end of our guidance, increasing 32.4% year-over-year to RMB 6.61 billion. Our continued focus on 1P has strengthened our end-to-end capabilities and driven rapid growth in product revenue of 35.9% year-over-year to RMB 6.19 billion. Non-GAAP operating profit grew 70.1% year-over-year to RMB 210 million, while non-GAAP operating profit margin expanded by 69 basis points year-over-year to 3.1%. First of all, I would like to share four key external shifts and trends. The first dynamic is the year-over-year decline in new device sales. The intuitive thinking is that this could drag our recycling business.

Speaker #2: And in the second quarter, total net revenues exceeded the high end of our guidance, increasing 32.4% year-over-year to RMB 6.61 billion. Our continued focus on 1P has strengthened our end-to-end capabilities and driven rapid growth in product revenue.

Speaker #2: Revenue was up 35.9% year-over-year to RMB 6.19 billion. Non-GAAP operating profit grew 70.1% year-over-year to RMB 210 million, while non-GAAP operating profit margin expanded by 69 basis points year-over-year to 3.1%.

Speaker #4: 首先和大家分享一下我们近期看到的四个外部环境的变化和趋势。第一个变化是新机的销售同比下降。很多人的第一反应是新机销售下降，回收也不会好。但是这里有一个反共识的现象，当新机好卖的时候，回收和以旧换新只是一个锦上添花的增值服务，并不是那么重要。当新机不好卖的时候，以旧换新就是最重要、最有效的促销方式。各大厂商、各大平台会更加重视以旧换新并加大投入。这个情况从我们过去这几年的业务发展节奏和趋势可以看到。

Speaker #2: First of all, I'd like to share four key external shifts and trends. The first dynamic is the year-over-year decline in new device sales. The intuitive thinking is that this could drag our recycling business.

Speaker #2: But counterintuitively, when new devices are selling well, recycling and trading programs are just supplementary value-added services and are not a top priority. Conversely, when new device sales soften, trading programs become the most critical and effective promotional tool.

Jeremy Ji: But counterintuitively, when new devices are selling well, recycling and trade-in programs are just supplementary value-added services and are not a top priority. Conversely, when new device sales soften, trade-in programs become the most critical and effective promotional tool. Major manufacturers and platforms place greater emphasis on and allocate more resources to trade-in initiatives. We have seen this clearly in our business trends over the past few years.

Speaker #2: Major manufacturers and platforms are placing greater emphasis on, and allocating more resources to, trade-in initiatives. We have seen this clearly in our business trends over the past few years.

Speaker #4: 第二个变化是消费大环境承压。用户对于低价格高品质的二手手机以及其他二手产品的需求在显著增长。这个情况从我们的严选B2C业务的持续高速增长可以看到。

Kerry Xuefeng Chen: 第二个变化是消费大环境承压，用户对于低价格高品质的二手手机以及其他二手产品的需求在显著增长。这个情况从我们的严选B2C业务的持续高速增长可以看到。

Kerry Chen: 第二个变化是消费大环境承压，用户对于低价格高品质的二手手机以及其他二手产品的需求在显著增长。这个情况从我们的严选B2C业务的持续高速增长可以看到。

Speaker #2: Second is the microeconomic headwinds in consumption and significant growth in demand for high-quality, affordable pre-owned smartphones and other secondhand products. This is clearly reflected in the sustained robust growth of our curated B2C business.

Jeremy Ji: Second, is microeconomic headwinds in consumption and significant growth in demand for high quality, affordable pre-owned smartphones and other second-hand products. This is clearly reflected in the sustained, robust growth of our curated B2C business.

Speaker #4: 第三个变化是行业合规越来越严格，包括税务合规、翻新合规。亚非洲长期秉承合规经营，行业合规对于行业的分散的小商家和不合规商家影响较大，但是有利于亚非洲的EP自营业务发展。

Kerry Xuefeng Chen: 第三个变化是行业合规越来越严格，包括税务合规、翻新合规。爱回收长期秉承合规经营。行业合规对于行业分散的小商家或不合规商家影响较大，但是有利于爱回收的1P自营业务发展。

Kerry Chen: 第三个变化是行业合规越来越严格，包括税务合规、翻新合规。爱回收长期秉承合规经营。行业合规对于行业分散的小商家或不合规商家影响较大，但是有利于爱回收的1P自营业务发展。

Speaker #2: The third shift is increasingly strengthened regulation, including taxation and device refurbishment. AHS has always been committed to compliant operations, while tighter regulations disproportionately impact fragmented, small-scale, and non-compliant operators.

Jeremy Ji: The third shift is increasingly strengthened regulation, including taxation and device refurbishment. AHS has always been committed to compliant operations, while tighter regulations disproportionately impact fragmented small scale and non-compliant operators. They benefit from our 1P business.

Speaker #2: The benefit from our business. The benefit of our 1P business.

Speaker #4: 第四个变化是国内的货源出口趋势明显。随着国内以旧换新和回收的渗透率的提升，国内的货源越来越多。中国已经从过去的二手手机的进口国逐步成为了出口国。出口的趋势越来越明显，已经形成了高端机型内销，次高端和低端机型出口的行业趋势。接下来我们来讲一下我们业务的各项进展。

Kerry Xuefeng Chen: 第四个变化是国内的货源出口趋势明显。随着国内以旧换新和回收的渗透率的提升，国内的货源越来越多，中国已经从过去的二手手机的进口国逐步成为了出口国，出口的趋势越来越明显，已经形成了高端机型内销，次高端和低端机型出口的行业趋势。接下来我们来讲一下我们业务的各项进展。

Kerry Chen: 第四个变化是国内的货源出口趋势明显。随着国内以旧换新和回收的渗透率的提升，国内的货源越来越多，中国已经从过去的二手手机的进口国逐步成为了出口国，出口的趋势越来越明显，已经形成了高端机型内销，次高端和低端机型出口的行业趋势。接下来我们来讲一下我们业务的各项进展。

Speaker #2: The fourth shift is the accelerating trend of exporting domestic pre-owned devices. As the penetration rate of trade-in and recycling programs continues to rise in China, domestic supply is expanding rapidly.

Jeremy Ji: The fourth shift is the accelerating trend of exporting domestic pre-owned devices. As the penetration rate of trade-in and recycling programs continues to rise in China, domestic supply is expanding rapidly. China has shifted from a net importer to a net exporter of pre-owned smartphones, establishing a clear industry trend where high-end models are sold domestically, while mid to high-end and low-end modules are exported. With that, let us now move to our business update.

Speaker #2: China has shifted from being a net importer to a net exporter of pre-owned smartphones, establishing a clear industry trend where high-end models are sold domestically, while mid- to high-end and low-end models are exported.

Speaker #2: With that, let us now move to our business updates.

Speaker #4: 近年来，基于二手手机、三星行业对于信任与效率要求高的特质，我们坚定优先发展EP业务，以C2B一手货源为基础，通过合规翻新增加产业链的厚度，加强B2C严选的零售，并反哺回收价格回收端的价格和用户体验，以此深耕产业链端到端。

Kerry Xuefeng Chen: 近年来，基于二手手机3C行业对于信任与效率要求高的特质，我们坚定优先发展1P业务，以C2B一手货源为基础，通过合规翻新增加产业链的厚度，加强B2C严选的零售，并反哺回收端的价格和用户体验，以此深耕产业链端到端。

Kerry Chen: 近年来，基于二手手机3C行业对于信任与效率要求高的特质，我们坚定优先发展1P业务，以C2B一手货源为基础，通过合规翻新增加产业链的厚度，加强B2C严选的零售，并反哺回收端的价格和用户体验，以此深耕产业链端到端。

Speaker #2: In recent years, we have firmly prioritized our 1P business because trust and efficiency are critical in the secondhand consumer electronics industry. Our 1P model starts with first-hand supply from C2B channels.

Jeremy Ji: In recent years, we have firmly prioritized 1P business because trust and efficiency are critical in the second-hand consumer electronics industry. Our 1P model starts with first-hand supply from C2B channels. We add depth to the value chain through compliant refurbishment, strengthen B2C retail for premium curated products, and leverage B2C retail pricing capabilities to offer better pricing and user experience on the recycling side. Together, those efforts enhance our end-to-end capabilities across the value chain.

Speaker #2: We add depth to the value chain through compliant refurbishment, strengthen B2C retail for premium curated products, and leverage B2C retail pricing capabilities to offer better pricing and user experience on the recycling side.

Speaker #2: Together, those efforts enhance our end-to-end capabilities across the value chain.

Speaker #4: 在回收端，我们抓住品牌方、电商平台和线下渠道重视和加大以旧换新的行业机会。通过更加密集的AR回收的履约交付网络，力争做好用户体验，结合618期间大618大促期间用户旺盛的以旧换新和回收的需求，截止6月末，全国包含弹性运力在内的上门交付总人数近3,000名，较3月末大幅增长。此外，叠加2,117间AR回收门店，让我们实现远超行业的货源获取能力和用户服务能力。在5月13日至6月18日的主流大促期间，AR回收手机、三星品类的回收额同比增长57%。上门和到店的回收订单量均实现了45%的同比增长。全渠道回收和全渠道回收的面对面订单量占比达到80%以上。多项用户体验指标持续优化。

Kerry Xuefeng Chen: 在回收端，我们抓住品牌方、电商平台和线下渠道重视和加大以旧换新的行业机会，通过更加密集的爱回收的履约交付网络，力争做好用户体验。结合618大促期间用户旺盛的以旧换新和回收的需求，截止六月末，全国包含弹器运力在内的上门交付总人数近3000名，较三月末大幅增长。此外，叠加2117间爱回收门店，让我们实现远超行业的货源获取能力和用户服务能力。在5月13日至6月18日的主流大促期间，爱回收手机三星品类的回收额同比增长57%，上门和到店的回收订单量均实现了45%的同比增长。全渠道回收的面对面订单量占比达到80%以上，多项用户体验指标持续优化。

Kerry Chen: 在回收端，我们抓住品牌方、电商平台和线下渠道重视和加大以旧换新的行业机会，通过更加密集的爱回收的履约交付网络，力争做好用户体验。结合618大促期间用户旺盛的以旧换新和回收的需求，截止六月末，全国包含弹器运力在内的上门交付总人数近3000名，较三月末大幅增长。此外，叠加2117间爱回收门店，让我们实现远超行业的货源获取能力和用户服务能力。在5月13日至6月18日的主流大促期间，爱回收手机三星品类的回收额同比增长57%，上门和到店的回收订单量均实现了45%的同比增长。全渠道回收的面对面订单量占比达到80%以上，多项用户体验指标持续优化。

Speaker #2: On recycling, we capitalized on opportunities as brand e-commerce platforms and offline retailers prioritized and invested in trading programs. We leveraged AHS Recycle's increasingly extensive fulfillment network to enhance the user experience.

Jeremy Ji: On recycling, we capitalized on opportunities as brand e-commerce platforms and offline retailers prioritize and invest in trade-in programs, leveraging AHS Recycle's increasingly extensive fulfillment network to enhance the user experience. Trade-in and recycling demand was strong during the 618 Shopping Festival. In response, we expanded our nationwide two-door fulfillment team, including flexible capacity to nearly 3,000 by the end of June, up sharply from the end of March. Together with our 2,117 AHS stores, this gave us strong advantages in sourcing and customer service over industry peers. During the major promotional period from 13 May through 18 June, the recycling value of mobile phones and consumer electronics at AHS Recycle increased 57% year-over-year. Both two-door and in-store recycling orders grew 45% year-over-year, while face-to-face orders accounted for 80% of recycling orders across all channels. Multiple user experience metrics also continued to improve.

Speaker #2: Trading and recycling demand was strong during the June 18 shopping festival. In response, we expanded our nationwide two-door fulfillment team, including flexible capacity to nearly 3,000 by the end of June, up sharply from the end of March.

Speaker #2: Together with our 2,117 AHS stores, this gave us strong advantages in sourcing and customer service over industry peers. During the major promotional period from May 13 through June 18, the recycling value of mobile phones and consumer electronics at AHS Recycle increased 57% year over year.

Speaker #2: Both two-door and in-store recycling orders grew 45% year over year, while face-to-face orders accounted for 80% of recycling orders across all channels. The multiple user experience matrix also continued to improve.

Speaker #4: 在供应链和用户增值方面，合规翻新业绩加速发展。EP的翻新收入同比增长，同比提升87.8%。结合新机价格上涨、二手行业稳定、操盘定价精细度提升，提高等因素，二季度EP2C零售收入同比增长92.4%。EP2C占比环比增加3.6%至48.8%，进一步满足用户对于严选二手手机、电脑、智能设备等产品的购买需求。

Kerry Xuefeng Chen: 在供应链和用户增值方面，合规翻新业绩加速发展，1P的翻新收入同比增长87.8%。结合新机价格上涨、二手行业稳定、操盘定价精细度提高等因素，二季度1P2C零售收入同比增长92.4%，1P2C占比环比增加3.6%至48.8%，进一步满足用户对于严选二手手机、电脑、智能设备等产品的购买需求。

Kerry Chen: 在供应链和用户增值方面，合规翻新业绩加速发展，1P的翻新收入同比增长87.8%。结合新机价格上涨、二手行业稳定、操盘定价精细度提高等因素，二季度1P2C零售收入同比增长92.4%，1P2C占比环比增加3.6%至48.8%，进一步满足用户对于严选二手手机、电脑、智能设备等产品的购买需求。

Speaker #2: Our compliant refurbishment business also continued to accelerate. Revenue from 1P refurbished products increased 87.8% year over year. With higher new device prices, stable pre-owned market sentiment, and more refined pricing strategies and operations, 1P2C retail revenue grew 92.4% year over year in the second quarter.

Jeremy Ji: Our compliant refurbishment business also continued to accelerate. Revenue from 1P refurbished products increased 87.8% year-over-year. With higher new device prices, stable pre-owned market sentiments and more refined pricing strategies and operations, 1P 2C retail revenue grew 92.4% year-over-year in Q2. As a percentage of product revenue, 1P 2C retail revenue increased 3.6 percentage points sequentially to 48.8%, allowing us to meet user demand better for curated pre-owned phones, computers, smart devices and other products.

Speaker #2: As a percentage of product revenue, 1P2C retail revenue increased 3.6 percentage points sequentially to 48.8%, allowing us to better meet user demand for curated pre-owned phones, PCs, computers, smart devices, and other products.

Speaker #4: 在平台业务方面，二季度的服务收入同比下降4.2%，其中在我们在B2B领域继续保持行业的龙头优势。在B2C的三方业务方面，确实面临一些平台商家侧的挑战。在多平台业务上，抵抗金价的逆风，做好继续做好服务能力提升和经济化运营。

Kerry Xuefeng Chen: 在平台业务方面，二季度的服务收入同比下降4.2%。其中我们在B2B领域继续保持行业的龙头优势。在B2C的三方业务方面，确实面临一些平台商家侧的挑战，在多品类业务上抵抗金价的逆风，继续做好服务能力提升和精细化运营。

Kerry Chen: 在平台业务方面，二季度的服务收入同比下降4.2%。其中我们在B2B领域继续保持行业的龙头优势。在B2C的三方业务方面，确实面临一些平台商家侧的挑战，在多品类业务上抵抗金价的逆风，继续做好服务能力提升和精细化运营。

Speaker #2: Turning to our three key businesses: service revenue decreased 4.2% year over year in the second quarter. Within our three key businesses, we maintained our industry-leading position in B2B, while B2C's 3P services faced pressure from merchant activity.

Jeremy Ji: Turning to our 3P businesses. Service revenue decreased 4.2% year-over-year in Q2. Within 3P business, we maintained our industry leading position in B2B, while B2C 3P services faced pressure from merchant activity. In multi-category recycling, we navigated the headwinds from gold price fluctuations and continued to focus on more refined operations.

Speaker #2: In multi-category recycling, we navigated the headwinds from gold price fluctuations and continued to focus on more refined operations.

Speaker #4: 具体来看，拍机行的平台继续推进分散下沉，面向区域的市场的小币夫妻老婆店，带头达人等用户拓展。截止6月末，拍机行的注册商家总数超过227万人，再拓展平台卖家的过程中，我们采用了前三单免邮和前置标准对齐等方式，降低了新手小币的卖货成本与试错门槛。在买家拓展方面，我们在抖音的等平台发起拍机行淘机等话题，视频播放量陡峭增长，带头业务得以快速发展，结合一箭齐飞服务，拍机行通过多种方式降低小币买家的入行门槛，首单成交后，我们看到用户循序渐进地向复购、VIP会员、亮机场等进行成熟化迁移。交易粘性稳步提升。在以上的用户拓展和扶持过程中，拍机行3P的入仓质检比例本季度达到84.4%，同比提升约11.5%。业务规模快速增长，平台服务收入扎实增长。

Kerry Xuefeng Chen: 具体来看，拍即到的平台继续推进分散下沉，向区域市场的小B、夫妻老婆店、带淘达人等用户拓展。截止6月末，拍即到的注册商家总数超过227万人。在拓展平台卖家的过程中，我们采用了前三单免邮和前置标准对齐等方式，降低了新手小B的卖货成本与试错门槛。在买家拓展方面，我们在抖音等平台发起拍即到带淘姬等话题，视频播放量陡峭增长，带淘业务得以快速发展。结合一键起批服务，拍即到通过多种方式降低小B买家的入行门槛。首单成交后，我们看到用户循序渐进地向复购、VIP会员、量起赏等进行成熟化迁移，交易粘性稳步提升。在以上的用户拓展和扶持过程中，拍即到3P的入仓自检比例本季度达到84.4%，同比提升约11.5%，业务规模快速增长，平台服务收入扎实增长。

Kerry Chen: 具体来看，拍即到的平台继续推进分散下沉，向区域市场的小B、夫妻老婆店、带淘达人等用户拓展。截止6月末，拍即到的注册商家总数超过227万人。在拓展平台卖家的过程中，我们采用了前三单免邮和前置标准对齐等方式，降低了新手小B的卖货成本与试错门槛。在买家拓展方面，我们在抖音等平台发起拍即到带淘姬等话题，视频播放量陡峭增长，带淘业务得以快速发展。结合一键起批服务，拍即到通过多种方式降低小B买家的入行门槛。首单成交后，我们看到用户循序渐进地向复购、VIP会员、量起赏等进行成熟化迁移，交易粘性稳步提升。在以上的用户拓展和扶持过程中，拍即到3P的入仓自检比例本季度达到84.4%，同比提升约11.5%，业务规模快速增长，平台服务收入扎实增长。

Speaker #2: Specifically, TJT Marketplace continued to expand into fragmented markets, reaching more small-sized merchants, mom-and-pop shops, and specialty buyers. By the end of June, total registered merchants on the platform exceeded 2.27 million.

Jeremy Ji: Specifically, PJT Marketplace continued to expand into fragmented markets, reaching more small size merchants, mom-and-pop shops, and specialty buyers. By the end of June, total registered merchants on the platform exceeded 2.27 million. For sellers, we offered free shipping on the first three orders and aligned inspection standards upfront, lowering selling costs and barriers through trial and error for new small sized merchants. For buyers, we launched a PJT themed campaign on Douyin and other platforms. Video views rose sharply, driving rapid growth in our specialty buyer model. Together with one piece minimum quantity ordering, these initiatives made it easier for small merchants to start buying on the platform. After their first transaction, buyers gradually become more engaged on the platform through repeat purchases, VIP membership and participation in the like new device marketplace, showing consistent improvement in transaction stickiness.

Speaker #2: For sellers, we offered free shipping on the first three orders and aligned inspection standards upfront, lowering selling costs and barriers to trial and error for new, small-sized merchants.

Speaker #2: For buyers, we launched a TJT-themed campaign on Douyin and other platforms. Video views rose sharply, driving rapid growth in our specialty buyer model. Together with our One Piece minimum quantity ordering, this initiative made it easier for small merchants to start buying on the platform.

Speaker #2: After their first transaction, buyers gradually become more engaged on the platform through repeat purchases, VIP membership, and participation in the like-new device marketplace, showing consistent improvement in transaction stickiness.

Speaker #2: Throughout this process of user expansion and support, TJT's 3P warehousing inspection penetration rate reached 84.4% this quarter, up around 11.5% year over year, delivering rapid-scale expansion with solid growth in service revenue.

Jeremy Ji: Throughout this process of user expansion and support, PJT's 3P warehousing inspection penetration rate reached 84.4% this quarter, up around 11.5% year-over-year, delivering rapid scale expansion with solid growth in service revenue.

Speaker #4: 对于拍拍的平台业务，二季度平台服务收入同比下降，主要是因为我们对于POP商家进行了活动期间的促活补贴，策略性地降低了服务收费。同时我们对于寄卖模式进行打磨，上线了三方商家货源入仓模式，提升了价格的竞争力，改善了动销的优化了财务模型。拍卖寄卖的规模环比增长22.4%。

Kerry Xuefeng Chen: 对于拍拍的平台业务，二季度平台服务收入同比下降，主要是因为我们对于POP商家进行了活动期间的促活补贴，策略性地降低了服务收费。同时，我们对于寄卖模式进行打磨，上线了三方商家货源入仓模式，提升了价格的竞争力，改善了动销，优化了财务模型。拍拍寄卖的规模环比增长22.4%。

Kerry Chen: 对于拍拍的平台业务，二季度平台服务收入同比下降，主要是因为我们对于POP商家进行了活动期间的促活补贴，策略性地降低了服务收费。同时，我们对于寄卖模式进行打磨，上线了三方商家货源入仓模式，提升了价格的竞争力，改善了动销，优化了财务模型。拍拍寄卖的规模环比增长22.4%。

Speaker #2: For PiePie, platform service revenue decreased year-over-year in the second quarter, mainly due to subsidies provided to POP merchants to boost activity during the promotional campaign and our strategic reduction of service fees.

Jeremy Ji: For Paipai, platform service revenue decreased year-over-year in the second quarter, mainly due to subsidies provided to POP merchants to boost activity during the promotional campaign and our strategic reduction of service fees. Meanwhile, we continue to refine the consignment model by introducing warehousing capabilities for third-party merchants, improving price competitiveness and sell-through, and optimizing financial economics. Paipai's consignment business grew 22.4% sequentially.

Speaker #2: Meanwhile, we continued to refine the consignment model by introducing warehousing capabilities for third-party merchants, improving price competitiveness and sell-through, and optimizing financial economics. PiePie's consignment business grew 22.4% sequentially.

Speaker #4: 在多平台回收业务方面，服务收入保持30%以上的同比增长，二季度黄金的价格震荡下行，叠加让利用户的策略，黄金服务收入同比下降35%，同期我们优选少量的爱回收门店，在门店形象和功能分区上改造，升级为奢侈品的主题门店，并结合品类精细化分层定价和专项服务能力提升。二季度奢侈品的回收服务收入同比增长77.3%。基于成功的数据和经验，我们计划在今年会开出更多的多品类主题门店，包括奢侈品主题门店、运动主题门店等，为用户为更多用户提供体验更好、更有趣味性的回收和购买体验。

Kerry Xuefeng Chen: 在多品类回收方面，服务收入保持30%以上的同比增长。二季度黄金的价格震荡下行，叠加让利用户的策略，黄金服务收入同比下降35%。同期，我们优选少量的爱回收门店，在门店形象和功能分区上改造，升级为奢侈品的主题门店，并结合品类精细化、分层定价和专项服务能力提升。二季度奢侈品的回收服务收入同比增长77.3%。基于成功的数据和经验，我们计划在今年会开出更多的多品类主题门店，包括奢侈品主题门店、运动主题门店等，为更多用户提供体验更好、更有趣味性的回收和购买体验。

Kerry Chen: 在多品类回收方面，服务收入保持30%以上的同比增长。二季度黄金的价格震荡下行，叠加让利用户的策略，黄金服务收入同比下降35%。同期，我们优选少量的爱回收门店，在门店形象和功能分区上改造，升级为奢侈品的主题门店，并结合品类精细化、分层定价和专项服务能力提升。二季度奢侈品的回收服务收入同比增长77.3%。基于成功的数据和经验，我们计划在今年会开出更多的多品类主题门店，包括奢侈品主题门店、运动主题门店等，为更多用户提供体验更好、更有趣味性的回收和购买体验。

Speaker #2: In multi-category recycling services, service revenue maintained a year-over-year growth of over 30%. Gold prices were volatile and trended lower in the second quarter. We also chose to give more back to users.

Jeremy Ji: In multi-category recycling services, service revenue maintained a year-over-year growth of over 30%. Gold prices were volatile and trended lower in the second quarter. We also chose to give more back to users. Together, these factors led to a 35% year-over-year decline in gold service revenue. During the quarter, we upgraded a select number of AHS stores to luxury-themed stores with improvements to store design and functional areas, together with more refined tiered pricing and enhanced category-specific service capabilities. Luxury recycling service revenue grew 77.3% year-over-year. Building on those positive results and experience, we plan to open more themed multi-category stores this year, including luxury-themed stores and sports-themed stores. This will give more users a better and more engaging experience when recycling and buying pre-owned products.

Speaker #2: Together, these factors led to a 35% year-over-year decline in gold service revenue. During the quarter, we upgraded a select number of AHS stores to luxury-themed stores, with improvements to store design and functional areas.

Speaker #2: Together with more refined tiered pricing and enhanced category-specific service capabilities, luxury recycling service revenue grew 77.3% year over year, building on those positive results and experience.

Speaker #2: We plan to open more themed multi-category stores this year, including luxury-themed stores and sports-themed stores. This will give more users a better and more engaging experience when recycling and buying pre-owned products.

Speaker #4: 爱回收的战略专注且长期保持一致，在此我们继续重申集团的三级发展战略。第一级继续夯实二手手机、三星业务基本盘的健康增长。2026年的智能手机消费电子产品电子市场迎来了上游供应链大幅涨价的挑战，品牌厂商积极调整产品矩阵，重视以旧换新。电商平台也积极采取补贴方案，支持以旧换新。在此背景下，我们已自营模式通过大前端的履约交付能力和精准的以旧换新场景抓住机遇。二手手机、三星业务基本盘快速增长，同时我们已下沉分散的策略，加强商家能力，以AI自动化质检能力巩固我们为行业打造的基础设施能力。

Kerry Xuefeng Chen: 爱回收的战略专注且长期保持一致。在此，我们继续重申集团的三级发展战略。第一级，继续夯实二手手机3C业务基本盘的健康增长。2026年的智能手机消费电子产品电子市场迎来了上游供应链大幅涨价的挑战。品牌厂商积极调整产品矩阵，重视以旧换新。电商平台也积极采取补贴方案支持以旧换新。在此背景下，我们以自营模式，通过大前端的履约交付能力和精准的以旧换新场景抓住机遇，二手手机3C业务基本盘快速增长。同时，我们以下沉分散的策略加强商家能力，以AI自动化自检能力，巩固我们为行业打造的基础设施能力。

Kerry Chen: 爱回收的战略专注且长期保持一致。在此，我们继续重申集团的三级发展战略。第一级，继续夯实二手手机3C业务基本盘的健康增长。2026年的智能手机消费电子产品电子市场迎来了上游供应链大幅涨价的挑战。品牌厂商积极调整产品矩阵，重视以旧换新。电商平台也积极采取补贴方案支持以旧换新。在此背景下，我们以自营模式，通过大前端的履约交付能力和精准的以旧换新场景抓住机遇，二手手机3C业务基本盘快速增长。同时，我们以下沉分散的策略加强商家能力，以AI自动化自检能力，巩固我们为行业打造的基础设施能力。

Speaker #2: Our long-term strategy has remained focused and consistent. Here, we would like to reiterate our three-stage development strategy. Stage one, we continue to solidify the healthy growth of our core secondhand consumer electronics business.

Jeremy Ji: Our long-term strategy has remained focused and consistent. Here, we would like to reiterate our three-stage development strategy. Stage 1, we continue to solidify the healthy growth of our core second-hand consumer electronics business. In 2026, the smartphone and consumer electronics market has faced substantial price hikes across the upstream supply chain. Brand manufacturers are actively adjusting their product portfolios and placing greater emphasis on trade-in programs. At the same time, e-commerce platforms are also introducing subsidy programs to support device upgrades. Against this backdrop, we have captured these opportunities through our 1P model, leveraging our front-end fulfillment capabilities and targeted trade-in scenarios. We drove rapid growth in our core second-hand consumer electronics business. At the same time, we are strengthening merchant capabilities with a decentralized strategy to penetrate fragmented markets, while leveraging AI-powered automated inspection to reinforce the infrastructure we have built for the industry.

Speaker #2: In 2026, the smartphone and consumer electronics market has faced substantial price hikes across the upstream supply chain. Brand manufacturers are actively adjusting their product portfolios and placing greater emphasis on trade-in programs.

Speaker #2: At the same time, e-commerce platforms are also introducing subsidy programs to support device upgrades. Against this backdrop, we have captured this opportunity through our One Piece model, leveraging our front-end fulfillment capabilities and targeted trade-in scenarios.

Speaker #2: We drove rapid growth in our core secondhand consumer electronics business. At the same time, we are strengthening merchant capabilities with the decentralized strategy to penetrate fragmented markets.

Speaker #2: While leveraging AI-powered automated inspection to reinforce the infrastructure we have built for the industry.

Speaker #4: 第二级持续加强爱回收国民第一回收品牌的定位，在二手行业里耳熟能详，值得信赖的品牌依然是稀缺的。爱回收保持对品牌建设、审慎的投入，结合成立15周年的契机，我们邀请了吴磊作为爱回收全球代言人，以青春活力、时尚、环保的形象，倡导用户一起参与减法新生活与二手优品的购买，得到了用户的广泛好评与互动。从二手手机、三星回收到多品的回收，到更多的C端零售，我们期待以爱回收品牌为用户打造更好的回收和购买体验。

Kerry Xuefeng Chen: 第二级，持续加强爱回收国民第一回收品牌的定位。在二手行业里，耳熟能详这个信赖的品牌依然是稀缺的。爱回收保持对于品牌建设审慎的投入。结合成立十五周年的契机，我们邀请了吴磊作为爱回收全球代言人，以青春活力、时尚环保的形象，倡导用户一起参与减法新生活与二手优品的购买，得到了用户的广泛好评与互动。从二手手机3C回收到多品的回收，到更多的C端零售，我们期待以爱回收品牌为用户打造更好的回收和购买体验。

Kerry Chen: 第二级，持续加强爱回收国民第一回收品牌的定位。在二手行业里，耳熟能详这个信赖的品牌依然是稀缺的。爱回收保持对于品牌建设审慎的投入。结合成立十五周年的契机，我们邀请了吴磊作为爱回收全球代言人，以青春活力、时尚环保的形象，倡导用户一起参与减法新生活与二手优品的购买，得到了用户的广泛好评与互动。从二手手机3C回收到多品的回收，到更多的C端零售，我们期待以爱回收品牌为用户打造更好的回收和购买体验。

Speaker #2: Stage two, we are strengthening AHS Recycle’s position as China’s leading recycling brand. In the pre-owned industry, word-of-mouth brand names remain scarce. We continue to make prudent investments in building the AHS Recycle brand.

Jeremy Ji: Stage 2. We are strengthening AHS Recycle's position as China's leading recycling brand. In the pre-owned industry, word-of-mouth brand names remain scarce. We continue to make a prudent investment in building the AHS Recycle brand. As ATRenew marks its 15th anniversary, we invited Wu Lei to serve as AHS Recycle's global brand ambassador. Through his youthful, energetic, stylish, and environmentally conscious image, we encourage users to embrace a simpler lifestyle and choose high-quality pre-owned products. This initiative has generated broad positive feedback and engagement from users. From second-hand consumer electronics recycling to multi-category recycling and further into consumer retail, we aim to leverage the AHS Recycle brand name to provide users with better recycling and purchasing experiences.

Speaker #2: As ATRenew marks its 15th anniversary, we invited Liu Wu to serve as AHS Recycle’s global brand ambassador. Through his youthful, energetic, stylish, and environmentally conscious image, we encourage users to embrace a simpler lifestyle and choose high-quality pre-owned products.

Speaker #2: This initiative has generated broad, positive feedback and engagement from users. From secondhand consumer electronics recycling to multi-category recycling and further into consumer retail, we aim to leverage the AHS Recycle brand name to provide users with better recycling and purchasing experiences.

Speaker #4: 第三级推进海外业务发展，做出有中国特色的循环经济模式。过去一年，海外业务高速健康增长，今年6月实现了单月1.2亿港币的外销业绩突破。基于一些扎实的进展，7月28日我们在香港首次举办了海外战略发布会，更新了我们的海外发展战略。

Kerry Xuefeng Chen: 第三级，推进海外业务发展，做出有中国特色的循环经济模式。过去一年，海外业务高速健康增长，今年6月实现了单月HK$1.2亿的外销业绩突破。基于一些扎实的进展，7月28日我们在香港首次举办了海外战略发布会，更新了我们的海外发展战略。

Kerry Chen: 第三级，推进海外业务发展，做出有中国特色的循环经济模式。过去一年，海外业务高速健康增长，今年6月实现了单月HK$1.2亿的外销业绩突破。基于一些扎实的进展，7月28日我们在香港首次举办了海外战略发布会，更新了我们的海外发展战略。

Jeremy Ji: Stage 3. We continue to advance breakthroughs in our overseas strategy. Over the past year, our overseas export business has grown rapidly. in June this year, we hit a milestone with HK$120 million in monthly sales. Building on our solid progress, on 28 July, we held our overseas strategy launch event in Hong Kong and updated our global expansion strategy.

Speaker #2: Stage three, we continue to advance breakthroughs in our overseas strategy. Over the past year, our overseas export business has grown rapidly. In June this year, we hit a milestone with HK$120 million in monthly sales.

Speaker #2: Building on our solid progress, on July 28th, we held our overseas strategy launch event in Hong Kong and updated our global expansion strategy.

Kerry Xuefeng Chen: 首先，我们看到在全球范围内，以香港、迪拜、迈阿密为关键节点，长期存在一个千亿美金规模的二手手机大市场。中国正在从需求方转型为输出方。在此机会下，基于国内拍机堂平台的成功经验，我们看到一个更大的海外版拍机堂的机会。因此，我们发布了海外版B2B的交易平台FoneSquare。这个平台的发展基于两个核心能力：一个是日益增长的一批货源出口的能力，另一个是自动化质检技术能力。基于国内的经验，我们会逐步从1P货源到3P货源构建全球标准，并通过自动化质检大幅优化成本效率，提升交易透明度，搭建起一个区别于现有传统的贸易形式的更加高效的B2B交易平台，致力于实现让二手商品流通全球的目标。当然，FoneSquare平台还需要更多的时间打磨和发展，也希望得到大家的耐心支持。同时，我们也发布了海外的C端品牌ReRe，以科技重估消费者手中旧物的价值，用严选二手更新用户在购买时的选项。以ReRe手机自助回收机、ReRe门店的形式，少量资源投入，谨慎探索海外C端业务的模式。海外业务的进展，我们后面会再逐步同步。

Kerry Chen: 首先，我们看到在全球范围内，以香港、迪拜、迈阿密为关键节点，长期存在一个千亿美金规模的二手手机大市场。中国正在从需求方转型为输出方。在此机会下，基于国内拍机堂平台的成功经验，我们看到一个更大的海外版拍机堂的机会。因此，我们发布了海外版B2B的交易平台FoneSquare。这个平台的发展基于两个核心能力：一个是日益增长的一批货源出口的能力，另一个是自动化质检技术能力。基于国内的经验，我们会逐步从1P货源到3P货源构建全球标准，并通过自动化质检大幅优化成本效率，提升交易透明度，搭建起一个区别于现有传统的贸易形式的更加高效的B2B交易平台，致力于实现让二手商品流通全球的目标。当然，FoneSquare平台还需要更多的时间打磨和发展，也希望得到大家的耐心支持。同时，我们也发布了海外的C端品牌ReRe，以科技重估消费者手中旧物的价值，用严选二手更新用户在购买时的选项。以ReRe手机自助回收机、ReRe门店的形式，少量资源投入，谨慎探索海外C端业务的模式。海外业务的进展，我们后面会再逐步同步。

Speaker #2: First, we see a huge pre-owned phone market globally, with a scale of over $100 billion. Hong Kong, Dubai, and Miami are key hubs. As China is changing from a consumer to a supplier of pre-owned phones globally, we see a chance to build an international B2B marketplace, leveraging PJT's success domestically.

Jeremy Ji: First, we see a huge pre-owned phone market globally, with a scale of over $100 billion, and Hong Kong, Dubai, and Miami as key hubs. As China is changing from a consumer to a supplier of pre-owned phones globally, we see a chance to build an international B2B marketplace leveraging PJT's success domestically. As such, we launched FoneSquare. It relies on two core strengths of ours: growing 1P for supply and automated quality inspection technology. We will follow our domestic experience and gradually expand from 1P to 3P supply while establishing global standards. We will also optimize costs and efficiency through automated quality inspections, and improve transaction transparency, building a more efficient B2B marketplace than traditional trading platforms, aiming to give pre-owned goods a second life globally. While exports are growing fast, FoneSquare still needs time to improve, and we appreciate your patience and support.

Speaker #2: As such, we launched Foursquare. It relies on two core strengths of ours: growing One Piece export supply and automated quality inspection technology. We will follow our domestic experience and gradually expand from One Piece to Three Piece supply while establishing global standards.

Speaker #2: We will also optimize costs and efficiency through automated quality inspections, and improve transaction transparency, building a more efficient B2B marketplace than traditional trading platforms.

Speaker #2: Aiming to give pre-owned goods a second life globally. While exports are growing fast, Foresquare still needs time to improve, and we appreciate your patience and support.

Speaker #2: We also launched our overseas consumer brand, RERE—named RERE—which stands for 'Revalue What You Own, Renew the Way You Choose.' We will cautiously explore the B2C business model through recycling kiosks and physical stores with a small amount of investment.

Jeremy Ji: We also launched our overseas consumer brand ReRe, named ReRe, that is, revalue what you own, renew the way you choose. We will cautiously explore the To C business model through recycling kiosks and physical stores with a small amount of investment. We will share more updates on our overseas business as appropriate.

Speaker #2: We will share more updates on our overseas business as appropriate.

Speaker #4: 中国2026年全年，我们将继续在货源、用户心智、商家服务、运营效率等维度同步做深能力建设，期待在年内继续给用户带来愉悦、愉快、多元且更有价值的二手交易体验。

Kerry Xuefeng Chen: 纵观2026年全年，我们将继续在货源、用户心智、商家服务、运营效率等维度同步做深能力建设，期待在年内继续给用户带来愉悦、愉快、多元且更有价值的二手交易体验。

Kerry Chen: 纵观2026年全年，我们将继续在货源、用户心智、商家服务、运营效率等维度同步做深能力建设，期待在年内继续给用户带来愉悦、愉快、多元且更有价值的二手交易体验。

Speaker #2: Looking at 2026 as a whole, we will continue to enhance supply sourcing, customer mind share, merchant services, and operating efficiency. We look forward to giving users a better experience, more choices, and more value in pre-owned transactions.

Jeremy Ji: Looking at 2026 as a whole, we will continue to enhance supply sourcing, customer mindshare, merchant services, and operating efficiency. We look forward to giving users a better experience, more choices, and more value in pre-owned transactions.

Speaker #4: 下面有请CFO Rex对财务数据进行进一步解读。

Kerry Xuefeng Chen: 下面有请CFO Rex对财务数据进行进一步解读。

Kerry Chen: 下面有请CFO Rex对财务数据进行进一步解读。

Speaker #2: Now I'd like to turn the call over to our CFO, Rex, for financial updates.

Jeremy Ji: Now I'd like to turn the call over to our CFO Rex for financial updates.

Speaker #1: 各位投资者和分析师大家好，我很高兴向大家分享公司2026年第二季度亮眼的业绩表现。我们收入和盈利水平均创下历史新高，二季度国家消费电子以旧换新政策持续推进，叠加618的打出，进一步释放了消费者的换新需求，也为回收端带来了更充沛的一手货源。我们积极把握市场机会，持续做好回收与以旧换新场景的承接，充分发挥供应链与零售能力的协同优势，延续了稳健向上的增长势头。

Chen Chen: 各位投资者和分析师大家好，我很高兴向大家分享公司2026年第二季度亮眼的业绩表现。我们收入和盈利水平均创下了历史新高。二季度国家消费电子以旧换新政策持续推进，叠加618的大促，进一步释放了消费者的换新需求，也为回收端带来了更充沛的一手货源。我们积极把握市场机会，持续做好回收与以旧换新场景的承接，充分发挥供应链与零售能力的协同优势，延续了稳健向上的增长势头。

Rex Chen: 各位投资者和分析师大家好，我很高兴向大家分享公司2026年第二季度亮眼的业绩表现。我们收入和盈利水平均创下了历史新高。二季度国家消费电子以旧换新政策持续推进，叠加618的大促，进一步释放了消费者的换新需求，也为回收端带来了更充沛的一手货源。我们积极把握市场机会，持续做好回收与以旧换新场景的承接，充分发挥供应链与零售能力的协同优势，延续了稳健向上的增长势头。

Speaker #2: Good day, everyone. I'm pleased to share our outstanding financial performance for the second quarter of 2026. Both revenues and profits reached record highs. During the quarter, the ongoing rollout of China's trade-in programs for consumer electronics, together with the June 18 shopping festival, further boosted consumer demand for device upgrades and expanded the supply of first-hand devices available for recycling.

Jeremy Ji: Good day everyone, I'm pleased to share our outstanding financial performance for Q2 2026. Both revenues and profits reached record highs. During the quarter, the ongoing rollout of China's trade-in programs for consumer electronics, together with the 18 June Shopping Festival, further boosted consumer demand for device upgrades and expanded the supply of first-hand devices available for recycling. We actively captured these market opportunities, continued to support recycling and trade-in scenarios, and fully leveraged the synergies between our supply chain and retail capabilities. As a result, we sustained solid growth momentum over the quarter.

Speaker #2: We actively captured these market opportunities, continued to support recycling and trade-in scenarios, and fully leveraged the synergies between our supply chain and retail capabilities.

Speaker #2: As a result, we sustained solid growth momentum over the quarter.

Speaker #1: 第二季度收入突破指引区间高端，达到66.1亿元，同比增长32.4%。冷盖净利润超2亿元，同比增长70.1%。

Chen Chen: 第二季度收入突破指引区间高端，达到66.1亿元，同比增长32.4%，Non-GAAP净利润超2亿元，同比增长70.1%。

Rex Chen: 第二季度收入突破指引区间高端，达到66.1亿元，同比增长32.4%，Non-GAAP净利润超2亿元，同比增长70.1%。

Speaker #2: In the second quarter, total revenue exceeded the high end of our guidance, increasing by 32.4% year over year to RMB 6.61 billion, while non-GAAP operating income surged by 70.1% to over RMB 200 million.

Jeremy Ji: In Q2, total revenue exceeded the high end of our guidance, increasing by 32.4% year-over-year to RMB 6.61 billion. Non-GAAP operating income surged by 70.1% to over RMB 200 million.

Speaker #1: 在解读财务数据之前，请注意，除非另有说明，所有金额均以人民币为单位，所有帧数数据均为同比。

Chen Chen: 在解读财务数据之前，请注意，除非另有说明，所有金额均以人民币为单位，所有数据均为同比。

Rex Chen: 在解读财务数据之前，请注意，除非另有说明，所有金额均以人民币为单位，所有数据均为同比。

Speaker #2: Before we review the financials in detail, please note that all figures are in RMB, and all comparisons are on a year-over-year basis unless otherwise stated.

Jeremy Ji: Before we review the financials in detail, please note that all figures are in RMB and all comparisons are on a year-over-year basis unless otherwise stated.

Speaker #1: 第二季度集团总收入的增长动力持续来自产品收入的稳健提升，产品收入增长35.9%至61.9亿元，主要得益于公司线上渠道二手消费电子产品销售的增长。

Chen Chen: 二季度集团总收入的增长动力持续来自产品收入的稳健提升。产品收入增长35.9%至61.9亿元，主要得益于公司线上渠道二手消费电子产品销售的增长。

Rex Chen: 二季度集团总收入的增长动力持续来自产品收入的稳健提升。产品收入增长35.9%至61.9亿元，主要得益于公司线上渠道二手消费电子产品销售的增长。

Speaker #2: In the second quarter, total revenue growth was primarily driven by continued growth in net product revenue. Net product revenues increased by 35.9% to $6.19 billion, largely attributable to the growth in online sales of pre-owned consumer electronics.

Jeremy Ji: In the second quarter, total revenue growth was primarily driven by continued growth in net product revenue. Net product revenues increased by 35.9% to RMB 6.19 billion, largely attributable to the growth in online sales of pre-owned consumer electronics.

Speaker #1: 服务收入为4.1亿元，同比下降4.2%，主要由于集团在大数季度对平台业务进行了商家服务费的折扣让利。

Chen Chen: 服务收入为4.1亿元，同比下降10.2%，主要由于集团在大促季度对平台业务进行了的商家服务费的折扣奖励。

Rex Chen: 服务收入为4.1亿元，同比下降10.2%，主要由于集团在大促季度对平台业务进行了的商家服务费的折扣奖励。

Speaker #2: Net service revenues were $410 million in the second quarter, representing a decrease of 4.2%. The decrease was primarily due to the discretionary discounts on service fees provided to merchants during the extended June 18 Grand Promotion event period.

Jeremy Ji: Service revenues were RMB 410 million in the second quarter, representing a decrease of 4.2%. The decrease was primarily due to the discretionary discounts on service fees provided to merchants during the extended 618 Grand Promotion event period.

Speaker #1: 在运营费用方面，我们主要讨论冷盖口径的费用分析，以展示管理团队视角的费用趋势。关于GAAP和冷盖口径之间的调整，请参考我们的财务报告与成交给美国证券交易委员会的6K表格。

Chen Chen: 在运营费用方面，我们主要讨论non-GAAP口径的费用分析，以展示管理团队视角的费用趋势。关于GAAP和non-GAAP口径之间的调整，请参考我们的财务报告，与呈交给美国证券交易委员会的6-K表格。

Rex Chen: 在运营费用方面，我们主要讨论non-GAAP口径的费用分析，以展示管理团队视角的费用趋势。关于GAAP和non-GAAP口径之间的调整，请参考我们的财务报告，与呈交给美国证券交易委员会的6-K表格。

Speaker #2: Now, let's discuss operating expenses to provide greater clarity on the trends of our actual operating base expenses. We will mainly discuss our non-GAAP operating expenses, which better reflect how management views our operating results.

Jeremy Ji: Now let's discuss operating expenses to provide greater clarity on the trends of our actual operating base expenses. We will mainly discuss our non-GAAP operating expenses, which better reflect how management views our operating results. The reconciliations of GAAP to non-GAAP results are available in our earnings release and the corresponding Form 6-K furnished with the U.S. SEC.

Speaker #2: The reconciliations of GAAP to non-GAAP results are available in our earnings release and the corresponding Form 6-K furnished with the US SEC.

Speaker #1: 商品成本增加31.9%至52.2亿元，与产品销售的增长一致。我们EPO的毛利率为15.7%，上年同期为13.2%。EP毛利率的改善主要得益于我们发挥C2B回收场景、供应链中的合规翻新整备能力、多样化的严选零售渠道优势，提升毛利较高的2C零售的占比。第二季度EP2C占比及产品收入中的零售收入占比达到了48.8%。去年同期为34.4%。

Chen Chen: 商品成本增加31.9%至52.2亿元，与产品销售的增长一致。我们1P业务的毛利率为15.7%，而上年同期为13.2%。1P毛利率的改善主要得益于我们发挥C2B回收场景、供应链中的核归翻新整备能力、多样化的严选零售渠道优势，提升毛利较高的2C零售的占比。第二季度1P2C占比，即产品收入中的零售收入占比达到了48.8%，去年同期为34.4%。

Rex Chen: 商品成本增加31.9%至52.2亿元，与产品销售的增长一致。我们1P业务的毛利率为15.7%，而上年同期为13.2%。1P毛利率的改善主要得益于我们发挥C2B回收场景、供应链中的核归翻新整备能力、多样化的严选零售渠道优势，提升毛利较高的2C零售的占比。第二季度1P2C占比，即产品收入中的零售收入占比达到了48.8%，去年同期为34.4%。

Speaker #2: Merchandise costs increased by 31.9% to $5.22 billion, in line with the growth in product sales. Gross profit margin for our 1P business was 15.7%, compared with 13.2% in the same period last year.

Jeremy Ji: Merchandise costs increased by 31.9% to RMB 5.22 billion, in line with the growth in product sales. Gross profit margin for our 1P business was 15.7%, compared with 13.2% in the same period last year. The gross margin improvement in our 1P business was primarily driven by high efficiency C2B recycling scenarios, compliant refurbishment capabilities incorporated in our supply chains, and an increasingly diversified retail channel mix. This allowed us to increase the proportion of higher margin retail sales, with 1P2C revenue accounting for 48.8% of product revenue in the second quarter of 2026, up from 34.4% in the same period last year.

Speaker #2: The gross margin improvement in our 1P business was primarily driven by high-efficiency C2B recycling scenarios, compliant refurbishment capabilities incorporated into our supply chains, and an increasingly diversified retail channel mix.

Speaker #2: This allowed us to increase the proportion of higher-margin retail sales, with 1P2C revenue accounting for 48.8% of product revenue in the second quarter of 2026, up from 34.4% in the same period last year.

Speaker #1: 履约费用增长31.1%至5.4亿元，冷盖履约费用增长30.5%至5.3亿元，冷盖履约费用增长主要原因有：一、与2025年同期相比，回收和交易量的增加，导致人力费用增加；第二、物流费伴随业务量增长而增长；第三、2026年运营中心相关费用，随回收与交易业务量增加而增长。冷盖履约费用率从8.2%下降至8.1%。

Chen Chen: 履约费用增长31.1%至5.4亿元。non-GAAP履约费用增长30.5%至5.3亿元。non-GAAP履约费用增长主要原因有：与2025年同期相比，回收和交易量的增加导致人力费用增加。第二点，物流费伴随业务量增长而增长。第三，2026年运营中心相关费用随回收与交易业务量增加而增长。non-GAAP履约费用率从8.2%下降至8.1%。

Rex Chen: 履约费用增长31.1%至5.4亿元。non-GAAP履约费用增长30.5%至5.3亿元。non-GAAP履约费用增长主要原因有：与2025年同期相比，回收和交易量的增加导致人力费用增加。第二点，物流费伴随业务量增长而增长。第三，2026年运营中心相关费用随回收与交易业务量增加而增长。non-GAAP履约费用率从8.2%下降至8.1%。

Speaker #2: Fulfillment expenses increased by 31.1% to $514 million. Non-GAAP fulfillment expenses increased by 30.5% to $530 million. Under the non-GAAP measures, the increase was primarily driven by higher personnel costs resulting from the growth of our business compared to the same period in 2025, as well as higher logistics expenses in line with increased product sales.

Jeremy Ji: Fulfillment expenses increased by 31.1% to RMB 514 million. non-GAAP fulfillment expenses increased by 30.5% to RMB 513 million. Under the non-GAAP measures, its increase was primarily driven by higher personnel costs resulting from the growth of our business compared to the same period in 2025, as well as higher logistics expenses in line with the increased product sales. Additionally, operating center-related expenses rose along with the increasing volumes of recycling and transactions. non-GAAP fulfillment expenses as a percentage of total revenues decreased to 8.1% from 8.2%.

Speaker #2: Additionally, operating center-related expenses rose along with the increasing volumes of recycling and transactions. Non-GAAP fulfillment expenses, as a percentage of total revenues, decreased to 8.1% from 8.2%.

Speaker #1: 销售费用增加24.8%至5.1亿元，冷盖销售费用增加29.9%至5亿元，主要由于与渠道服务相关的佣金费用增加。冷盖销售费用率从7.8%下降至7.6%。

Chen Chen: 销售费用增加24.8%至5.1亿元。non-GAAP销售费用增加29.9%至5亿元。主要由于与渠道服务相关的佣金费用增加。non-GAAP销售费用率从7.8%下降至7.6%。

Rex Chen: 销售费用增加24.8%至5.1亿元。non-GAAP销售费用增加29.9%至5亿元。主要由于与渠道服务相关的佣金费用增加。non-GAAP销售费用率从7.8%下降至7.6%。

Speaker #2: Selling and marketing expenses increased by 24.8% to RMB 510 million. Non-GAAP selling and marketing expenses increased by 29.9% to RMB 500 million, primarily driven by an increase in commission expenses in relation to channel service fees.

Jeremy Ji: Selling and marketing expenses increased by 24.8% to RMB 510 million. non-GAAP selling and marketing expenses increased by 29.9% to RMB 500 million, primarily driven by an increase in commission expenses in relation to channel service fees. non-GAAP selling and marketing expenses as a percentage of total revenues decreased to 7.6% from 7.8%.

Speaker #2: Non-GAAP selling and marketing expenses, as a percentage of total revenues, decreased to 7.6% from 7.8%.

Speaker #1: 管理费用增加23.5%至9,570万元，冷盖管理费用增加13.6%至8,530万元，主要由于人力费用的增加。冷盖管理费用率从1.5%下降至1.3%。

Chen Chen: 管理费用增加23.5%至9,570万元。non-GAAP管理费用增加13.6%至8,530万元，主要由于人力费用的增加。non-GAAP管理费用率从1.5%下降至1.3%。

Rex Chen: 管理费用增加23.5%至9,570万元。non-GAAP管理费用增加13.6%至8,530万元，主要由于人力费用的增加。non-GAAP管理费用率从1.5%下降至1.3%。

Speaker #2: General administrative expenses increased by 23.5% to $95.7 million. Non-GAAP G&A expenses also increased by 13.6% to $85.3 million, primarily due to an increase in personnel costs.

Jeremy Ji: General and administrative expenses increased by 23.5% to RMB 95.7 million. non-GAAP G&A expenses also increased by 13.6% to RMB 85.3 million, primarily due to an increase in personnel costs. non-GAAP G&A expenses as a percentage of total revenues decreased to 1.3% from 1.5%.

Speaker #2: Non-GAAP G&A expenses, as a percentage of total revenues, decreased to 1.3% from 1.5%.

Speaker #1: 研发费用上升23.5%至7,720万元，冷盖研发费用上升24.2%至7,230万元，主要由于人员成本增加。冷盖研发费用率从1.2%下降至1.1%。

Chen Chen: 研发费用上升23.5%至7,720万元。non-GAAP研发费用上升24.2%至7,230万元，主要由于人员成本增加。non-GAAP研发费用率从1.2%下降至1.1%。

Rex Chen: 研发费用上升23.5%至7,720万元。non-GAAP研发费用上升24.2%至7,230万元，主要由于人员成本增加。non-GAAP研发费用率从1.2%下降至1.1%。

Speaker #2: Research and development expenses increased by 23.5% to $77.2 million. Non-GAAP R&D expenses increased by 24.2% to $72.3 million, primarily due to an increase in personnel costs.

Jeremy Ji: Research and development expenses increased by 23.5% to RMB 77.2 million. non-GAAP R&D expenses increased by 24.2% to RMB 72.3 million, primarily due to an increase in personnel costs. non-GAAP R&D expenses as a percentage of total revenues decreased to 1.1% from 1.2%.

Speaker #2: Non-GAAP R&D expenses, as a percentage of total revenues, decreased to 1.1% from 1.2%.

Speaker #1: 利润层面，第二季度的冷盖净利润超2亿元。去年同期冷盖净利润为1.2亿元，同比增长70.1%。本季度冷盖净利润率为3.1%，去年同期为2.4%，较上年同期增长69个基点。

Chen Chen: 利润层面，第二季度的non-GAAP净利润超2亿元。去年同期non-GAAP净利润为1.2亿元，同比增长70.1%。本季度non-GAAP净利润率为3.1%，去年同期为2.4%，较上年同期增长69个基点。

Rex Chen: 利润层面，第二季度的non-GAAP净利润超2亿元。去年同期non-GAAP净利润为1.2亿元，同比增长70.1%。本季度non-GAAP净利润率为3.1%，去年同期为2.4%，较上年同期增长69个基点。

Speaker #2: As a result, our non-GAAP operating income exceeded $200 million in the second quarter of 2026, compared to non-GAAP operating income of $120 million in the second quarter of 2025, representing a 70.1% year-over-year increase.

Jeremy Ji: As a result, our non-GAAP operating income exceeded RMB 200 million in Q2 2026, compared to non-GAAP operating income of RMB 120 million in Q2 2025, representing an increase of 70.1% year-over-year. Non-GAAP operating profit margin was 3.1% for the quarter, compared to 2.4% in Q2 2025, representing an increase of 69 basis points.

Speaker #2: Non-GAAP operating profit margin was 3.1% for the quarter, compared to 2.4% in the second quarter of 2025, representing an increase of 69 basis points.

Speaker #1: 截至2026年6月30日，现金及现金等交务出现资金短期投资以及第三方平台应收账款合计21.6亿元。公司的资金储备充足，能够支持对业务发展的再投入和股东回报。

Chen Chen: 截至2026年6月30日，现金及现金等价物、受限资金、短期投资以及第三方平台应收账款合计21.6亿元。公司的资金储备充足，能够支持对业务发展的再投入和股东回报。

Rex Chen: 截至2026年6月30日，现金及现金等价物、受限资金、短期投资以及第三方平台应收账款合计21.6亿元。公司的资金储备充足，能够支持对业务发展的再投入和股东回报。

Speaker #2: As of June 30, 2026, cash and cash equivalents, restricted cash, short-term investments, and funds receivable from third-party payments that were provided totaled $2.16 billion.

Jeremy Ji: As of 30 June 2026, cash and cash equivalents, restricted cash, short-term investments and funds receivable from third-party payment service providers totaled RMB 2.16 billion. Our financial reserves are sufficient to support reinvestment in business development and shareholder returns.

Speaker #2: Our financial reserves are sufficient to support reinvestment in business development and shareholder returns.

Speaker #1: 第二季度我们使用了约420万美元回购了近100万股ADS，自2025年6月30日经董事会批准，我们启动了制作为期12个月的回购计划，可以制作回购5,000万美元的股票。该计划已在董事会的批准下延长12个月有效期，总额度及条款保持不变。截至今年6月30日，我们在该计划下一共回购了近1,480万美元的股票。

Chen Chen: 第二季度我们使用了约420万美元，回购了近100万股ADS。至2025年6月30日经董事会批准，我们启动了至多为期12个月的回购计划，可以至多回购5000万美元的股票。该计划已在董事会的批准下延长12个月有效期，总额度及条款保持不变。截至今年6月30日，我们在该计划下一共回购了近1480万美元的股票。

Rex Chen: 第二季度我们使用了约420万美元，回购了近100万股ADS。至2025年6月30日经董事会批准，我们启动了至多为期12个月的回购计划，可以至多回购5000万美元的股票。该计划已在董事会的批准下延长12个月有效期，总额度及条款保持不变。截至今年6月30日，我们在该计划下一共回购了近1480万美元的股票。

Speaker #2: During the second quarter of 2026, we repurchased a total of approximately 1,000,000 ADSs for approximately 4.2 million US dollars. On June 30, 2025, the board has authorized a share repurchase program, under which the company may repurchase up to 50 million US dollars of our shares over 12 months.

Jeremy Ji: During Q2 2026, we repurchased a total of approximately 1 million ADS for approximately 4.2 million USD. On 30 June 2025, the board has authorized a share repurchase program under which the company may repurchase up to 50 million USD of our shares over 12 months. The board has authorized the extension of this share repurchase program for 12 months from 30 June 2026, with key terms unchanged. As of 30 June 2026, we repurchased approximately 14.8 million USD under this program.

Speaker #2: The board has authorized the extension of this share repurchase program for 12 months from June 30, 2026, with key terms unchanged. As of June 30, 2026, we have repurchased approximately $14.8 million under this program.

Speaker #1: 关于2026年第三季度的指引，我们预计总收入将在63.4亿元至64.4亿元，对应同比增长23.1%至25.1%。以上指引仅反映当前我们对市场和运营状况的初步看法，预期有可能有变化。

Chen Chen: 关于2026年第三季度的指引，我们预计总收入将在63.4亿元至64.4亿元，对应同比增长23.1%至25.1%。以上指引仅反映当前我们对市场和运营状况的初步看法，预期有可能有变化。

Rex Chen: 关于2026年第三季度的指引，我们预计总收入将在63.4亿元至64.4亿元，对应同比增长23.1%至25.1%。以上指引仅反映当前我们对市场和运营状况的初步看法，预期有可能有变化。

Speaker #2: Now, turning to the business outlook for the third quarter of 2026, we anticipate total revenues to be between RMB 6.34 billion and RMB 6.44 billion.

Jeremy Ji: Now turning to the business outlook. For Q3 2026, we anticipate total revenues to be between RMB 6.34 billion to RMB 6.44 billion, representing an increase of 23.1% to 25.1% year over year. Please note that this forecast may only reflect our current and preliminary views on the market and operational conditions, which are subject to change.

Speaker #2: Representing an increase from 23.1% to 25% year-over-year, and up to 25.1% year-over-year. Please note that this forecast only reflects our current and preliminary views on the market and operational conditions, which are subject to change.

Speaker #1: 以上是我们业绩重点分享，欢迎各位提问交流。

Chen Chen: 以上是我们业绩重点分享，欢迎各位提问交流。

Rex Chen: 以上是我们业绩重点分享，欢迎各位提问交流。

Speaker #2: This concludes our prepared remarks, operator. We are now ready to take questions.

Jeremy Ji: This concludes our prepared remarks. Operator, we are now ready to take questions.

Speaker #3: Thank you. We will now begin the question-and-answer session. To ask a question, you may press star, then 1 on your telephone keypad. If you are using a speakerphone, please pick up your handset before pressing the keys.

Operator: Thank you. We will now begin the question and answer session. To ask a question, you may press star then one on your telephone keypad. If you are using a speakerphone, 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 two. When asking a question, please state your question in Chinese first, then repeat your question in English for the convenience of everyone on the call. At this time, we will pause momentarily to assemble our roster. The first question today comes from Mandy Lu with UBS. Please go ahead.

Speaker #3: If at any time your question has been addressed and you would like to withdraw your question, please press Start, then 2. When asking a question, please state your question in Chinese first, then repeat your question in English for the convenience of everyone on the call.

Speaker #3: At this time, we will pause momentarily to assemble our roster. The first question today comes from Mandy Liu with UBS. Please go ahead.

Speaker #4: 各位管理层好，非常感谢这个提问的机会。首先呢，恭喜公司二季度在收入和利润层面都延续了非常亮眼的表现。那想借此机会请教一下，公司目前对于下半年 iPhone 18 系列新机发售，对公司业绩的影响如何判断？以及在当下这个时点，对于全年收入和利润的预期是否有所调整？Thank you very much for the opportunity to raise questions, and congrats on another strong quarter in terms of both revenue and profit.

Mandy Lu: 各位管理层好，非常感谢这个提问的机会。首先恭喜公司二季度在收入和利润的层面都延续了非常亮眼的表现。想借此机会请教一下，公司目前对于下半年 iPhone 18 系列新机发售，对于公司的业绩影响如何判断？以及在当下这个时点，对于全年收入和利润的预期是否有做调整？Thank you very much for the opportunity to raise questions and congrats on another strong quarter in terms of both revenue and profit.

Mandy Liu: 各位管理层好，非常感谢这个提问的机会。首先恭喜公司二季度在收入和利润的层面都延续了非常亮眼的表现。想借此机会请教一下，公司目前对于下半年 iPhone 18 系列新机发售，对于公司的业绩影响如何判断？以及在当下这个时点，对于全年收入和利润的预期是否有做调整？Thank you very much for the opportunity to raise questions and congrats on another strong quarter in terms of both revenue and profit.

Speaker #4: Well, my question is that as the launch of Apple's iPhone 18 is around the corner, how would you expect the impact toward our financial performance ahead?

Mandy Lu: Well, my question is that as the launch of Apple's iPhone 18 is around the corner, how would you expect the impact towards our financial performance ahead? Also, is there any updates on your full year revenue and margin guidance? Thank you very much.

Mandy Liu: Well, my question is that as the launch of Apple's iPhone 18 is around the corner, how would you expect the impact towards our financial performance ahead? Also, is there any updates on your full year revenue and margin guidance? Thank you very much.

Speaker #4: Also, are there any updates on your three-year revenue and margin guidance? Thank you very much.

Speaker #1: 好的，非常感谢提问啊。回答问题之前呢，我们这里还是重申一个反共识的观点：当新机好卖的时候呢，回收和以旧换新呢只是一个锦上添花的政治服务。反而是当新机不好卖的时候，以旧换新就是最重要且最有效的促销方式。各大厂商、各大品牌会更加重视以旧换新并加大投入。今年呢，在新机销售承压的大环境下，以旧换新场景获得了电商平台品牌厂商回收方的多方联合投入。C2B二手电子产品的回收效率得以显著提升，得受益于高效的货源场景、便捷的回收履约优势。我们聚集了行业领先的货源储备，进一步巩固了二手产业链中的供给侧优势。

Chen Chen: 好的。非常感谢提问。回答问题之前，我们这里还是重申一个反共识的观点。当新机好卖的时候，回收和以旧换新只是一个锦上添花的增值服务。反而是当新机不好卖的时候，以旧换新就是最重要且最有效的促销方式。各大厂商各大品牌会更加重视以旧换新，并加大投入。今年在新机销售承压的大环境下，以旧换新场景获得了电商平台、品牌厂商、回收方的多方联合投入。C2B二手电子产品的回收效率得以显著提升。受益于高效的货源场景、便捷的回收履约优势，我们聚集了行业领先的货源储备，进一步巩固了二手产业链中的供给侧优势。

Rex Chen: 好的。非常感谢提问。回答问题之前，我们这里还是重申一个反共识的观点。当新机好卖的时候，回收和以旧换新只是一个锦上添花的增值服务。反而是当新机不好卖的时候，以旧换新就是最重要且最有效的促销方式。各大厂商各大品牌会更加重视以旧换新，并加大投入。今年在新机销售承压的大环境下，以旧换新场景获得了电商平台、品牌厂商、回收方的多方联合投入。C2B二手电子产品的回收效率得以显著提升。受益于高效的货源场景、便捷的回收履约优势，我们聚集了行业领先的货源储备，进一步巩固了二手产业链中的供给侧优势。

Speaker #4: Thank you for the question. Here, I'd like to reiterate a counterintuitive view: when new devices are selling well, recycling and trading programs are just supplementary value-added services.

Jeremy Ji: Thank you for the question. Here I'd like to reiterate a counterintuitive view. When new devices are selling well, recycling and trading programs are just supplementary value-added services. But when new device sales soften, trading programs become the most critical and effective promotional tool. Major manufacturers and platforms place greater emphasis on and allocate more resources to trade-ins. This year, against new device sales headwinds, e-commerce platforms, brand manufacturers and recyclers have all increased their investments in trade-in scenarios, making C2B recycling for pre-owned consumer electronics more efficient. With strong sourcing channels and convenient recycling fulfillment, we have built an industry leading supply base and further strengthened our supply side advantage in the pre-owned value chain.

Speaker #4: But when new device sales soften, trade-in programs become the most critical and effective promotional tool. Major manufacturers and platforms place greater emphasis on, and allocate more resources to, trade-ins.

Speaker #4: This year, against new device sales headwinds, e-commerce platforms, brand manufacturers, and recyclers have all increased their investments in trade-in scenarios, making C2B recycling for pre-owned consumer electronics more efficient.

Speaker #4: With strong sourcing channels and convenient recycling fulfillment, we have built an industry-leading supply base and further strengthened our supply-side advantage in the pre-owned value chain.

Speaker #1: 这和今年主流旗舰手机的新机发布看看Q3的业绩指引，以iPhone 18系列为例，目前市场普遍预期Apple将有更加高端的型号发布，且部分常规型号可能切换到明年春季进行发布。那么18系列新品的批量化出货的周期会拉长，可能会递延至Q4和明年的Q1。对此呢，我们将保持关注。目前的Q3的业绩指引以及已经考虑了该情况的，考虑了该情况和影响。

Chen Chen: 结合今年主流旗舰手机的新机发布，看Q3的业绩指引，以iPhone 18系列为例，目前市场普遍预计Apple将有更加高端的型号发布，且部分常规型号可能切换到明年春季进行发布。那么18系列新品的批量化出货的周期会拉长，可能会递延至Q4和明年的Q1。对此我们将保持关注。目前的Q3的业绩指引已经考虑了该情况和影响。

Rex Chen: 结合今年主流旗舰手机的新机发布，看Q3的业绩指引，以iPhone 18系列为例，目前市场普遍预计Apple将有更加高端的型号发布，且部分常规型号可能切换到明年春季进行发布。那么18系列新品的批量化出货的周期会拉长，可能会递延至Q4和明年的Q1。对此我们将保持关注。目前的Q3的业绩指引已经考虑了该情况和影响。

Jeremy Ji: For the Q3 guidance, we take into account this year's major flagship smartphone launches. Take the iPhone 18 lineup as an example. Current market expectations are that Apple may introduce more premium models, and some standard modules could shift to next spring. This could extend iPhone 18's volume shipment cycle into the Q4 and the Q1 of next year. We monitor this closely. Our Q3 guidance has already factored in all potential impacts.

Speaker #4: For the third quarter guidance, we take into account this year's major flagship smartphone launches. Take the iPhone 18 lineup as an example. Current market expectations are that Apple may introduce more premium models, and some standard models could shift to next spring.

Speaker #4: This could extend iPhone 18's volume shipment cycle into the fourth quarter and the first quarter of next year. We are monitoring this closely. Our third quarter guidance has already factored in the potential impact.

Speaker #1: 如果新品因为上游存储涨价而提高了发售价格，那么以旧换新的二手回收可以为用户创造更大的价值，且二手优品的整体价格走势也将有上行的空间。二季度我们已经看到了EP业务的平均客单价出现了一定的同比增长。

Chen Chen: 如果新品因为上游存储涨价而提高了发售价格，那么以旧换新的二手回收可以为用户创造更大的价值，且二手优品的整体价格走势也将有上行的空间。二季度我们已经看到了一批业务的平均客单价出现了一定的同比增长。

Rex Chen: 如果新品因为上游存储涨价而提高了发售价格，那么以旧换新的二手回收可以为用户创造更大的价值，且二手优品的整体价格走势也将有上行的空间。二季度我们已经看到了一批业务的平均客单价出现了一定的同比增长。

Speaker #4: Should new device prices rise due to higher upstream memory costs, trading and recycling could become more valuable for users, and prices for high-quality pre-owned products will have room for upside.

Jeremy Ji: Should new device prices rise due to higher upstream memory costs, trading and recycling could be more valuable for users, and prices for high-quality pre-owned products will have room for upside. The Q2 already saw a year-over-year increase in the average order volume of our 1P business.

Speaker #4: The second quarter already saw a year-over-year increase in the average order volume of our 1P business.

Speaker #1: 但利润方面，今年二季度我们对于履约能力和C端品牌营销持续进行有节制的投入，并通过规模效应和机器化的运营，如期实现了Nagap记忆利润率的同比提升。综合以上战略，市场环境、运营策略等因素，预计今集团今年将保持较快的收入与利润增长。

Chen Chen: 在利润方面，今年二季度我们对履约能力和C端品牌营销持续进行有节制的投入，并通过规模效应和精细化的运营，如期实现了non-GAAP经营利润率的同比提升。综合以上战略、市场环境、运营策略等因素，预计集团今年将保持较快的收入与利润增长。

Rex Chen: 在利润方面，今年二季度我们对履约能力和C端品牌营销持续进行有节制的投入，并通过规模效应和精细化的运营，如期实现了non-GAAP经营利润率的同比提升。综合以上战略、市场环境、运营策略等因素，预计集团今年将保持较快的收入与利润增长。

Speaker #4: On profitability, we continued to make disciplined investments in fulfillment capabilities and consumer brand marketing in the second quarter. Benefiting from economies of scale and more refined operations, we delivered the expected year-over-year improvement in non-GAAP operating profit margin.

Jeremy Ji: On profitability, we continue to make disciplined investments in fulfillment capabilities and consumer brand marketing in the Q2. Benefiting from economies of scale and more refined operations, we delivered the expected year-over-year improvement in non-GAAP operating profit margin. Overall, we expect to maintain strong growth in both revenue and profit this year.

Speaker #4: Overall, we expect to maintain strong growth in both revenue and profit this year.

Speaker #1: OK，谢谢。

Kerry Xuefeng Chen: 好，谢谢。

Kerry Chen: 好，谢谢。

Speaker #4: Thank you for the question.

Jeremy Ji: Thank you for the question.

Speaker #2: The next question comes from Wing Zhao with CICC. Please go ahead.

Operator: The next question comes from Wang Zhao with CICC. Please go ahead.

Speaker #4: 管理层，晚上好，感谢接受我的提问。首先也恭喜咱们取得了亮眼的业绩。我的问题是，我们有观察到二季度平台收入有所下滑，想请问能否具体分享一下背后的一些原因，包括后续的趋势以及我们的展望。那我自己翻译一下：Good evening, thanks management for taking my question. Could you please elaborate on the reasons for the decline in service revenue and share your outlook?

Wang Zhao: 嗨，管理层晚上好，感谢接受我的提问。首先也是恭喜咱们亮眼的业绩。然后我的问题是我们有观察到咱们二季度这个平台收入是有所下滑的，想请问能不能具体分享一下背后的一些原因，包括后续的趋势咱们如何展望？那我自己翻译一下。Good evening, thank you management for taking that question. Could you please elaborate on the reasons for the decline in service revenue and share your outlook? Thank you.

Speaker #4: Thank you.

Speaker #1: 好的，谢谢。那个从战略角度出发呢，我们看到EP自营我是将继续在二手手机30平台中发挥更重要的作用。一方面呢，保证终端用户的交易体验，加强对品牌的认知；另一方面呢，行业合规呢，必然趋势更有利于EP自营业务的发展。

Chen Chen: 好的，谢谢。从战略角度出发，我们看到1P自营模式将继续在二手手机3C品类中发挥更重要的作用。一方面保证终端用户的交易体验，加强对品牌的认知。另一方面，行业合规必然趋势更有利于1P自营业务的发展。

Rex Chen: 好的，谢谢。从战略角度出发，我们看到1P自营模式将继续在二手手机3C品类中发挥更重要的作用。一方面保证终端用户的交易体验，加强对品牌的认知。另一方面，行业合规必然趋势更有利于1P自营业务的发展。

Speaker #4: Strategically, our 1P model will play an increasingly vital role in the pre-owned smartphones consumer electronics category. First, it ensures a premium transaction experience for end users and strengthens brand awareness.

Jeremy Ji: Strategically, our 1P model will play an increasingly vital role in the pre-owned smartphones consumer electronics category. First, it ensures a premium transaction experience for end users and transcends brand awareness. In addition, the industry's inevitable shift towards greater compliance will further support the development of our 1P business.

Speaker #4: In addition, the industry's inevitable shift toward greater compliance will further support the development of our 1P business.

Speaker #1: 二季度3P服务收入下降了4.2%，一部分原因来自于第二季度我们对商家加大了补贴的力度，包括拍照平台的分散下沉过程中新用户物流服务费优惠；另一部分来自在大促季度对拍拍POP商家减免服务费，以促进商家在电商平台上交易的活跃度。

Chen Chen: 二季度3P服务收入下降了4.2%。一部分原因来自于第二季度我们对商家加大了补贴的力度，包括拍机堂平台的分散下沉过程中，新用户物流服务费优惠。另一部分来自在大促季度对Paipai POP商家减免服务费，以促进商家在电商平台上交易的活跃度。

Rex Chen: 二季度3P服务收入下降了4.2%。一部分原因来自于第二季度我们对商家加大了补贴的力度，包括拍机堂平台的分散下沉过程中，新用户物流服务费优惠。另一部分来自在大促季度对Paipai POP商家减免服务费，以促进商家在电商平台上交易的活跃度。

Speaker #4: In the second quarter, net service revenue decreased by 4.2% year-over-year, mainly due to two factors. First, we increased subsidies for merchants, including logistics fee incentives for new users as the PJT marketplace expanded into more fragmented markets.

Jeremy Ji: In Q2, net service revenue decreased by 4.2% year-over-year, mainly due to two factors. First, we increased subsidies for merchants, including logistics fees, incentives for new users as PJT Marketplace expanded into more fragmented markets. Second, during the promotional campaign, we provided discounts or waivers on services to Paipai POP merchants to boost their transactions.

Speaker #4: Second, during the promotional campaign, we provided discounts or waivers on service fees to Paipai Pop merchants to boost their transactions.

Speaker #1: 未来我们预期随着拍机厂的持续分散下沉，更多小币可以更轻松地加入全国二手交易的大市场。使用我们的质检技术与平台服务，通过差异化的会员方案实现经营效率的提升，拍机上的平台服务收入可以与中国二手手机31行业共同健康增长。

Chen Chen: 未来我们预计，随着拍机堂的持续分散下沉，更多小B可以更轻松地加入全国二手交易的大市场。使用我们的自检技术与平台服务，通过差异化的会员方案实现经营效率的提升。拍机堂的平台服务收入可以与中国二手手机3C行业共同健康增长。

Rex Chen: 未来我们预计，随着拍机堂的持续分散下沉，更多小B可以更轻松地加入全国二手交易的大市场。使用我们的自检技术与平台服务，通过差异化的会员方案实现经营效率的提升。拍机堂的平台服务收入可以与中国二手手机3C行业共同健康增长。

Speaker #4: Looking ahead, we expect that as PGT continues to penetrate lower-tier markets, more small-sized merchants will gain easier access to the national pre-owned trading market.

Jeremy Ji: Looking ahead, we expect that as PJT continues to penetrate lower-tier markets, more small-sized merchants will gain easier access to the national pre-owned trading market. By leveraging our quality inspection technology, platform services, and differentiated membership programs, we expect to boost PJT's operational efficiency and grow its platform service revenue in line with the healthy expansion of China's pre-owned consumer electronics and smartphone industry.

Speaker #4: By leveraging our quality inspection technology, platform services, and differentiated membership programs, we expect to boost PJT's operational efficiency and grow its platform service revenue in line with the healthy expansion of China's pre-owned consumer electronics and smartphone industry.

Speaker #1: 拍拍PQC有向EP严选零售和3P鸡卖倾斜，过程中会有一定的收入规模调整。EP模式下我们与京东共建能力，共同服务用户对严选二手的购买需求，让又好又便宜的严选商品帮助用户实现产品升级。在鸡卖模式下，拍拍持续探索对小币的业务支持，扩大招商，提升商家活力，并为商家的店铺运营流量管理和售后等需求做好支撑。

Chen Chen: 拍拍B2C业务向一批严选零售和三批寄卖倾斜，过程中会有一定的收入规模调整。一批模式下，我们与京东共建能力，共同服务用户对严选二手的购买需求，让又好又便宜的严选商品帮助用户实现产品升级。在寄卖模式下，Paipai持续探索对小B的业务支持，扩大招商，提升商家活力，并为商家的店铺运营、流量管理和售后等需求做好支撑。

Rex Chen: 拍拍B2C业务向一批严选零售和三批寄卖倾斜，过程中会有一定的收入规模调整。一批模式下，我们与京东共建能力，共同服务用户对严选二手的购买需求，让又好又便宜的严选商品帮助用户实现产品升级。在寄卖模式下，Paipai持续探索对小B的业务支持，扩大招商，提升商家活力，并为商家的店铺运营、流量管理和售后等需求做好支撑。

Speaker #4: For our Paipai B2C business, we're shifting toward 1P curated retail and 3P consignment models, which will affect revenue in the short term. For the 1P model, we are co-building capabilities with JD.com to meet consumer demand for curated pre-owned products, helping users upgrade their devices with high-quality, affordable options.

Jeremy Ji: For our Paipai B2C business, we are shifting towards 1P curated retail and 3P consignment models, which will affect revenue in the short term. Under the 1P model, we are co-building capabilities with JD.com to meet consumer demand for curated pre-owned products, helping users upgrade their devices with high-quality, affordable options. Under the consignment model, Paipai is continuously exploring ways to support small merchants. We are expanding merchant recruitment, boosting merchant vitality, and providing robust support for their store operations, traffic management, and after-sales services.

Speaker #4: Under the consignment model, Paipai is continuously exploring ways to support small merchants. We are expanding merchant recruitment, boosting merchant vitality, and providing robust support for their store operations, traffic management, and after-sales services.

Speaker #1: 在多品类回收服务方面，我们推进多品类业务的精细化运营，通过主机店和差异化的用户体验，巩固用户的爱回收的品牌认知。我们有信心保持优于行业的多品类收入，业绩增长。

Chen Chen: 在多品类回收服务方面，我们推进多品类业务的精细化运营，通过主题店和差异化用户体验，巩固用户的爱回收的品牌认知。我们有信心保持优于行业的多品类收入业绩增长。

Rex Chen: 在多品类回收服务方面，我们推进多品类业务的精细化运营，通过主题店和差异化用户体验，巩固用户的爱回收的品牌认知。我们有信心保持优于行业的多品类收入业绩增长。

Speaker #4: In our multi-category cycling services, we are advancing refined operations to reinforce consumer mindshare of the AHS brand through theme stores and differentiated user experiences.

Jeremy Ji: In our multi-category recycling services, we are advancing refined operations to reinforce consumer mindshare of the AHS brand through theme stores and differentiated user experiences. We are confident to continue growing faster than broader industry. That is it for the questions. Thank you.

Speaker #4: We are confident that we will continue growing faster than the broader industries. That's it for the questions. Thank you.

Speaker #2: The next question comes from Brian Lancier with Zach's Small Cap Research. Please go ahead.

Operator: The next question comes from Brian Lantier with Zacks Small-Cap Research. Please go ahead.

Speaker #5: Good evening, and congratulations on navigating what’s turned into a challenging year for the smartphone market. I wonder if you could talk a little bit about your development plans and your performance goals for the international business.

Brian Lantier: Good evening, and congratulations on navigating what has turned into a challenging year for the smartphone market. I wonder if you could talk a little bit about your development plans and your performance goals for the international business.

Speaker #1: OK，谢谢提问啊。我们的海外战略呢，包含了B2B的主路径和C端业务的辅助路径，两条路径。从收入贡献的角度来看，B2B保持核心的收入贡献，占比约90%以上。从货和全家全球买家网络的构建，到自动化技术的出海，再到开放式平台的迭代，海外B2B平台的目标是用三年时间将Four Square打造成国际版的拍机堂。我们已经在香港拥有了成熟的本地的B2B的质检运营销售体系，预计今年下半年在迪拜将其启动新的区域能力建设。Four Square目前在香港应用市场已经正式上线，未来可以逐步进入迪拜等中东市场和马来西亚等东南亚市场。近期我们将持续优化Four Square产品的功能和用户体验，将于近期起近期启动下一阶段的用户推广。

Chen Chen: 好的。谢谢提问。我们的海外战略包含了B2B的主路径和C端业务的辅助路径两条路径。从收入贡献的角度来看，B2B保持核心的收入贡献，占比约90%以上。从货和全球买家网络的构建，到自动化技术的出海，再到开放式平台的迭代。海外B2B平台的目标是用三年时间将FoneSquare打造成国际版的拍机堂。我们已经在香港拥有了成熟的本地的B2B的自检运营销售体系，预计今年下半年在迪拜将其启动新的区域能力建设。FoneSquare目前在香港应用市场已经正式上线，未来可以逐步进入迪拜等中东市场和马来西亚等东南亚市场。近期我们将持续优化FoneSquare产品的功能和用户体验，将于近期启动下一阶段的用户推广。

Rex Chen: 好的。谢谢提问。我们的海外战略包含了B2B的主路径和C端业务的辅助路径两条路径。从收入贡献的角度来看，B2B保持核心的收入贡献，占比约90%以上。从货和全球买家网络的构建，到自动化技术的出海，再到开放式平台的迭代。海外B2B平台的目标是用三年时间将FoneSquare打造成国际版的拍机堂。我们已经在香港拥有了成熟的本地的B2B的自检运营销售体系，预计今年下半年在迪拜将其启动新的区域能力建设。FoneSquare目前在香港应用市场已经正式上线，未来可以逐步进入迪拜等中东市场和马来西亚等东南亚市场。近期我们将持续优化FoneSquare产品的功能和用户体验，将于近期启动下一阶段的用户推广。

Speaker #4: The main purpose of our overseas strategy is B2B, which is complemented by our 2C business. B2B remains the core revenue contributor, accounting for around 90% of our overseas revenue.

Jeremy Ji: The main path of our overseas strategy is B2B, which is complemented by our To C business. B2B remains the core revenue contributor, accounting for around 90% of our overseas revenue. Our goal is to build FoneSquare into a global version of PJT Marketplace in three years. We will expand our supply and buyers network, bring our automation technologies overseas, and improve our open platform. We already have a mature B2B system in Hong Kong, covering inspection, operations, and sales. We plan to start building new regional capabilities in Dubai in the H2 of this year. FoneSquare is now officially available in Hong Kong app stores, and we plan to gradually expand into Middle Eastern markets like Dubai and Southeast Asian markets like Malaysia. We continue to optimize FoneSquare's functionality and user experience, and expect to launch the next phase of our user growth initiative soon.

Speaker #4: Our goal is to build Four Square into a global version of the PJT marketplace in three years. We will expand our supply and buyers network, bring our automation technologies overseas, and improve our open platform.

Speaker #4: We already have a mature B2B system in Hong Kong, covering inspection operations and sales. We plan to start building new regional capabilities in Dubai in the second half of this year.

Speaker #4: Four Square is now officially available in Hong Kong app stores, and we plan to gradually expand into Middle Eastern markets like Dubai, as well as Southeast Asian markets like Malaysia.

Speaker #4: We continue to optimize Four Square's functionality and user experience, and expect to launch the next phase of our user growth initiatives soon.

Speaker #5: Great, thank you.

Brian Lantier: Great. Thank you.

Speaker #1: 另外呢，我们以啊，另外呢，我们以瑞瑞的品牌谨慎探索了海外的C端业务，无论是已经在欧洲布局的瑞瑞的自动回收自助回收机，还是刚刚开业的香港首家瑞瑞门店，我们的海外C端业务少少处于早期的探索阶段，后面有进展会逐步同步。谢谢。

Chen Chen: 另外，我们以ReRe的品牌谨慎探索了海外的C端业务，无论是已经在欧洲布局的ReRe的自助回收机，还是刚刚开业的香港首家ReRe门店，我们的海外C端业务尚处于早期的探索阶段，后面有进展会逐步同步。谢谢。

Rex Chen: 另外，我们以ReRe的品牌谨慎探索了海外的C端业务，无论是已经在欧洲布局的ReRe的自助回收机，还是刚刚开业的香港首家ReRe门店，我们的海外C端业务尚处于早期的探索阶段，后面有进展会逐步同步。谢谢。

Speaker #4: In addition, in addition, we are cautiously exploring overseas 2C opportunities under the Ray Ray brand. Whether through Ray Ray kiosks already deployed in Europe or our first Ray Ray store in Hong Kong recently opened in Hong Kong, our overseas 2C business is still at an early stage of exploration.

Jeremy Ji: In addition, we are cautiously exploring overseas To C opportunities under the ReRe brand. Whether through ReRe kiosks already deployed in Europe or our first ReRe store recently opened in Hong Kong, our overseas To C business is still at an early stage of exploration. We will share further updates as we make progress. Thank you.

Speaker #4: We will share further updates as we make progress. Thank you.

Speaker #5: Thanks again.

Brian Lantier: Thanks again.

Speaker #2: The next question comes from Rafael Tassi with DBS. Please go ahead.

Operator: The next question comes from Raphael Tse with DBS. Please go ahead.

Speaker #3: Hey, can we don't rest on 各位领导晚上好，我是DBS的分析师Rafael，再次公司呃恭喜公司再度录得亮丽的业绩啊。我这边有一个问题，看到集团二季度业呃门店的数量环比录得下降，上门人数显著增加，请问如何预估今年的门店数量的变化？谢谢。 Are we capped in English? So good evening, management, and congratulations for the record-breaking quarter. One question on my side.

Raphael Tse: Hey, Gary 总, Rex 总, 各位领导晚上好。我是 DBS 的分析师 Raphael。再次恭喜公司再度取得亮丽的业绩。我这边有一个问题, 看到集团二季度门店的数量环比速度下降, 上门人数显著增加。请问如何预估今年的门店数量的变化？谢谢。I will recap in English. Good evening management, and congratulations for the record-breaking quarter. One question on my side. The group's number of stores declined quarter-over-quarter in Q2 2026, while the number of in-store visitors increased significantly.

Speaker #3: So, the group's number of stores declined quarter over quarter in the second quarter of 2026, while the number of in-store visitors increased significantly. How can we estimate or forecast the change in store numbers for this year?

Raphael Tse: How can we estimate or forecast the change in store numbers for this year? Thank you.

Speaker #3: Thank you.

Speaker #1: 好，谢谢提问啊。首先我想说呢，在门店的经营上，爱回收的团队是有比较好的业务创新能力和节奏的把握能力的。门店数量的阶段性阶段节奏调整，有两个原因和考虑。第一个原因呢，是高速发展之后，需要一个阶段性的方式经营，因此我们调整了部分位置不好的点位，关闭了部分业绩落后的门店。这是很正常的动作。另一个原因呢，也在为我们新的门店策略做筹备和积累。我们的奢侈品主题门店和球拍运动主题门店，都取得了很不错的数据验证。对门店进行分层，部分部分门店将升级为特色品类的主题门店。接下去大家会陆续看到爱回收更多的不同品类的主题门店的推出。这里要强调一点，门店端的履约交付能力建设预算仍然是克制的，没有额外的投入，是在已有的预算内进行能力建设的资源调配。

Chen Chen: 好，谢谢提问。首先我想说，在门店的经营上，爱回收的团队是有比较好的业务创新能力和节奏的把握能力的。

Kerry Chen: 好，谢谢提问。首先我想说，在门店的经营上，爱回收的团队是有比较好的业务创新能力和节奏的把握能力的。

Kerry Xuefeng Chen: 门店数量的阶段性节奏调整有两个原因和考虑。第一个原因是高速发展之后，需要一个阶段性的方式经营。因此我们调整了部分位置不好的点位，关闭了部分业绩落后的门店，这是很正常的动作。另一个原因也在为我们新的门店策略做筹备和积累。我们的奢侈品主题门店和球拍运动主题门店都取得了很不错的数据验证。对门店进行分层，部分门店将升级为特色品类的主题门店。接下去大家会陆续看到爱回收更多的不同品类的主题门店的推出。这里要强调一点，门店端的履约交付能力建设预算仍然是克制的，没有额外的投入，是在已有的预算内进行能力建设的资源调配。

Kerry Chen: 门店数量的阶段性节奏调整有两个原因和考虑。第一个原因是高速发展之后，需要一个阶段性的方式经营。因此我们调整了部分位置不好的点位，关闭了部分业绩落后的门店，这是很正常的动作。另一个原因也在为我们新的门店策略做筹备和积累。我们的奢侈品主题门店和球拍运动主题门店都取得了很不错的数据验证。对门店进行分层，部分门店将升级为特色品类的主题门店。接下去大家会陆续看到爱回收更多的不同品类的主题门店的推出。这里要强调一点，门店端的履约交付能力建设预算仍然是克制的，没有额外的投入，是在已有的预算内进行能力建设的资源调配。

Speaker #4: To begin with, I'd like to note that the AHS team has solid capabilities in innovation and pacing for store operations. There are two factors to consider in making phased store account adjustments.

Jeremy Ji: To begin with, I would like to note that AHS team has solid capabilities in innovation and pacing for store operations. There are two factors to consider in making phased store count adjustments. First is the need to solidify our operations after rapid expansion. Accordingly, we have repositioned some poorly located stores and closed some underperforming ones. This is standard business practice. Secondly, we are preparing and accumulating experience for our new store strategy. Our luxury themed and sports themed stores have already seen good data validation. Moving forward, we will adopt a tiered store strategy, upgrading select locations into specialized category themed stores. You will soon see us rolling out more of these themed stores across different categories. I also want to emphasize that our budget to build store based fulfillment capabilities remains disciplined. With no incremental investment, we are strengthening these capabilities by reallocating resources within our existing budget.

Speaker #4: First is the need to solidify our operations after rapid expansion. Accordingly, we have repositioned some poorly located stores and closed some underperforming ones.

Speaker #4: This is standard business practice. Secondly, we are preparing and accumulating experience for our new store strategy. Our luxury-themed and sports-themed stores have already shown good data validation.

Speaker #4: Moving forward, we will adopt a tiered store strategy, upgrading select locations into specialized category-themed stores. This will soon see us rolling out more of these themed stores across different categories.

Speaker #4: I also want to emphasize that our budget to build store-based fulfillment capabilities remains disciplined. With no incremental investment, we are strengthening these capabilities by reallocating resources within our existing budget.

Speaker #1: 此外呢，今年回收和以旧换新的业绩需求旺盛，我们积极配置了上门业务团队，以承接更多高线城市的回收交付需求。结合5月中旬开启的618电商大促，我们灵活运用机动的弹性运力，短期内将上门人数快速提升接近接近到啊，提升到接近3,000人。业务高峰期结束后，上门上门的运力弹性回落，永有效控制前端业务的运营费用。

Kerry Xuefeng Chen: 此外，今年回收和以旧换新的业绩需求旺盛，我们积极配置了上门业务团队，以承接更多高线城市的回收交付需求。结合5月中旬开启的618电商大促，我们灵活运用机动的弹性运力，短期内将上门人数快速提升到接近3000人。业务高峰期结束后，上门的运力弹性回落，有效控制前端业务的运营费用。

Kerry Chen: 此外，今年回收和以旧换新的业绩需求旺盛，我们积极配置了上门业务团队，以承接更多高线城市的回收交付需求。结合5月中旬开启的618电商大促，我们灵活运用机动的弹性运力，短期内将上门人数快速提升到接近3000人。业务高峰期结束后，上门的运力弹性回落，有效控制前端业务的运营费用。

Speaker #4: Our recycling and trading services have been strong this year. We expanded our two-door team to meet higher fulfillment demand in top-tier cities.

Jeremy Ji: Demand for recycling and trade-in services has been strong this year. We expanded our two-door team to meet higher fulfillment demand in top-tier cities. During the 618 Shopping Festival, we used flexible workforce solutions to quickly expand the team to nearly 3,000 people. After the peak period, the two doors happily adjusted back down, helping us control front-end operating expenses.

Speaker #4: During the June 18th shopping festival, we used flexible workflow solutions to quickly expand the team to nearly 3,000 people. After the peak period, the two-door capacity adjusted back down, helping us control front-end operating expenses.

Speaker #1: 我们会保持结合门店加上门的综合线下履约能力的建设，确保用户在信任和便捷这两方面的优质体验。好，谢谢。

Kerry Xuefeng Chen: 我们会保持结合门店加上门的综合线下履约能力的建设，确保用户在信任和便捷这两方面的优质体验。好，谢谢。

Kerry Chen: 我们会保持结合门店加上门的综合线下履约能力的建设，确保用户在信任和便捷这两方面的优质体验。好，谢谢。

Speaker #4: We will continue to strengthen our in-store and two-door fulfillment capabilities to provide users with a trusted and convenient experience. Thank you.

Jeremy Ji: We will continue to strengthen our in-store and two-door fulfillment capabilities to provide users with a trusted and convenient experience. Thank you.

Speaker #1: 好，谢谢。

Kerry Xuefeng Chen: 好，谢谢。

Kerry Chen: 好，谢谢。

Speaker #2: As there are no further questions at this time, I'd like to turn the conference back to management for closing remarks.

Operator: As there are no further questions at this time, I'd like to turn the conference back to management for closing remarks.

Speaker #4: Thank you again for joining us. A replay of today's call will be available on our IR website shortly, followed by a transcript when ready.

Jeremy Ji: Thank you again for joining us. A replay of today's call will be available on our IR website shortly, followed by a transcript when ready. If you have any additional questions, please feel free to email us at ir.atrenew.com. Have a good day. Thank you.

Speaker #4: If you have any additional questions, please feel free to email us at ir@atrenew.com. Have a good day. Thank you.

Operator: This conference is now concluded. Thank you for attending today's presentation. You may now disconnect.