Thank you, and hello, everyone. Welcome to Yeahka's 2024 interim results conference call.

Before we start, we would like to remind you, this presentation includes forward-looking statements that involve a number of risks and uncertainties. Information on general market conditions comes from a variety of sources outside of Yeahka's control.

Please refer to our disclosure documents on our website IR section for a detailed discussion of risk factors. Now, let me introduce the management team on today's call.

Luke Liu, our founder, chairman, and CEO will kick off with a short overview. I will then provide a business overview.

John Yao, our CFO, will conclude with a financial review, translated by Derek Liang, our Director of Finance, before we open up the floor for questions. Without further ado, I will now turn the call over to Luke.

Thank you, Vincent. Hello, everyone.

In the first half of 2024, we continued to up commercialization and increase profitability. We delivered this through overseas expansion, innovation across product lines, and cost discipline.

More than before, we are better positioned to deliver long-term, sustainable growth in profitability and return to shareholders. Therefore, we are delighted to announce our first dividend issuance since Yeahka's listing: HK$13.8 million for interim results.

Yeahka remains highly confident in the significant growth opportunity in global payments, the acquiring market being worth USD 36 trillion. Yet digital payment penetration remains low in many markets.

While mainland China has reached over 90% digital payment penetration with Yeahka's contribution, countries such as Japan and other developed economies are still at around 50% or below, leaving significant room for growth. This creates strong entry points for Yeahka.

Our overseas payment volume grew fourfold year-on-year to RMB 6 billion, continuing its exponential growth trajectory. Going forward, our overseas payment strategy will be centered around three key pri- priorities.

First, we'll continue to focus on local customers and merchant payments rather than being limited to tourist-oriented payments. We believe this segment offers stronger growth potential for our business.

This resulting business model will give us greater scalability as we expand globally across the market. Second, with a more comprehensive payment and merchant software product portfolio than our overseas competitors, we are uniquely positioned to expand in these markets.

By integrating value-added services with our payment solutions, we provide merchants with a one-stop service that helps them reduce costs and increase revenue. Third, we have enhanced our team with leading international talents, experienced in overseas payments, and launched our online payment business overseas, expanding our coverage into the Web3 sector.

Our other strategic focus is the application of AI, externally for customers and internally to enhance our o- operating efficiencies. We are closely tracking the applica- application of AI in payments and merchant value-added services.

Agentic payments, where AI agents initiate and complete transactions on behalf of users with authorized parameters, are expected to become an important payment model across e-commerce, local services, gaming, advertising, and other digital scenario fields. We have conducted in-depth research in this area and initiated R&D collaboration with international financial institutions.

Further updates will be disclosed in due course. Separately, through our investment platform, Fushi, we have launched an AI agent-based merchant software product, which has already been commercialized and received positive market feedback.

Internally within Yeahka, we have also scaled up AI usage to drive administration and R&D efficiencies. Our fully- a- autonomous AI-driven product development lines hugely reduced the time of product development and launch cycle.

Our digital employees, which provide day-to-day tools with AI, automated many routine operational tasks. The combination of human talents and digital employees helped to address evolving customers' demands more quickly, more precisely, and save resources for most strategic in- in- initiative initiatives for the company.

A- Yeahka's full-stack technolo- tech- technical platform lay a great foundation for AI to scale in each of our business lines, and more globally, share synergies across our operational best practice. Therefore, product profitability has been increasingly across our business segments in both payment and value-added services.

In the Chinese mainland, we deli- delivered our payment profit by almost 25% year-on-year. In value-added services, in-store e-commerce posted a first half of net profit together with a historic high of GMV.

AI will continue to drive revenue increase, cost reduction, and efficiency enhancements. Together with our faster overseas expansion as an international market leader, this synergies, the- this strategies will strengthen Yeahka's industry moat, long-term profit- profitability and capability to create greater value for all shareholders.

As such, may I pass to Vincent to give a detail of business review.

Thank you, Luke. In the first half of 2024, Yeahka made substantial progresses in business commercialization, organizational efficiency, and ultimately, delivery of more bottom line and return to our stakeholders.

As overseas businesses coupled with AI has been empowering Yeahka as an increasingly global and AI-driven company, I would also like to share more about each of the business operations, as well as the game plans forward that unite all our employees and partners. I am very glad to report that our Hong Kong, Macau, and overseas operations broke record highs across the board across different matrices in the first half of 2024.

First, by volume. Monthly growth of double-digit percentages, or yearly growth of multiple times, maintained year after year, and this first half, GPV achieved nearly RMB 6 billion.

The book has been more diversified with brand-name customers across industries. Second, by revenue and fee rate.

As we attracted these new customers, we also increased our fee rates for the service quality and breadth of offerings differentiated from competitors. Revenue was more than five times of that last year.

Thirdly, by margins and profitability contribution. With the relative underpenetration of our services and customers' ability to pay, these margins are four times versus that in the Chinese mainland.

This region's contribution to our payment profits is expected to meaningfully increase further going forward. The business is already a significant part of the group.

For that reason, we further made our disclosure more granular in disclosing our geographical splits across the Chinese mainland, Hong Kong, China, Macau, China, and overseas businesses across revenue, profit lines, and other operating metrics. We hope this help the community to track our progresses with more ease and more regularly.

Our Chinese mainland payments business increased its return of gross profits by almost 25% in the first half of this year, driven by our optimization in payment operational processes. We are confident about maintaining the exponential growth of Hong Kong, China, Macau, China, and overseas businesses for the rest of the year.

This is a very big TAM that we are addressing. It's not just about payments related to people traveling overseas, or a specific payment corridor that's subject to any idiosyncrasies.

We are addressing the local-to-local merchant-to-customer payment scenarios in regions globally. According to Worldpay and third-party industry reports, the TAM of such markets is 36 trillion USD, year in, year out.

This provides one of the most attractive and well-defined growth segments out there in the industry, and that provides the backbone of our high and sustainable growth potential for many years to come. Second, by forming a very international talent task force across products, channels, regions, and innovation, we continue to lead the latest trends in the market globally.

For example, we obtained digital currency license in the US and completed product R&D work for our online payment business and our agentic payment business internationally. We are extending our collaboration with global card network scheme to promote these more cohesively.

We are also expanding geographical and channel work scope with global banks to benefit more merchants and customers internationally. Third, by playing up our unique product advantage against competitors locally and internationally, that is a very comprehensive suite spanning payments, merchant solutions, e-commerce services, and business softwares that are interconnected, we are seeing increasing value delivery to customers and Yeahka's proposition being played out globally in the industry.

Effectively providing an AI business engine to assist merchants in enhancing customer acquisition, transaction conversion, and user retention. All these are evidenced by the transactional growth in both merchant solutions and in-store e-commerce solutions.

In the first half of 2024, the transaction value of merchant solutions AI-generated videos surged by over two times. The products were introduced into major platforms such as JD, Taobao, and Ctrip, and also won multiple marketing, creativity, and performance awards, presented by the likes of ByteDance and Douyin.

Our AI tools have enabled the operational efficiency and profit margin of this business to be maintained at very high levels of over 94% gross margin. Similarly, for the in-store e-commerce business, AI tools significantly enhance the operational efficiency of merchants and influencers, driving the segment's GMV to increase by over 75% year-on-year to hit a historical record high.

We expanded the coverage of this business to large KA clients as well as merchants overseas, which provide a scalable growth channel going forward. By utilizing AI virtual employees to optimize service process efficiency and reduce costs, the gross profit margin of the segment improved to over 70%.

Therefore, the net profit contribution from in-store e-commerce segments hit another record high in the first half of this year. Furthermore, across the organization, we continued to increase operational efficiency and maintain discipline on costs.

We are even more asset-light with the introduction of digital employees into our front office, middle office, and R&D functions now. Administrative and research and development expenses decreased by 8.1% year-over-year in the first half of 2024.

Now, with a clear vision of global business development across merchant acquiring, offline, online, and agentic payments, as well as a wide range of merchant value-added services powered by AI, in both revenue generation, margins uplift, and cost reductions, we have a much stronger foundation of talents, footprints, and business models to deliver value to our customers, partners, and shareholders. With that, I'll now turn the floor over to John, our CFO, to present a review of financial results, with translation provided by Derek, our Director of Finance.

Thank you.

谢谢Vincent。大家好，现在由我来介绍移卡2024年上半年的财务业绩重点。

Thanks, Vincent. Hello, everyone.

Let me introduce the financial performance of Yeahka in the first half of 2024.

2024年上半年，受中国内地外部宏观环境影响，国内GPV同比下跌23%至人民币8,804亿元，集团总收入亦同比下跌23.9%至人民币12.492亿元。

In the first half of 2024, affected by the external macroeconomic environment in the Chinese mainland, the domestic GPV decreased by 23% to RMB 880 billion, and the total revenue of the group also decreased by 23.9% to RMB 1,249 million.

尽管如此，公司的国内市场份额仍保持领先，支付费率保持稳定，为12.3个基点，2023年上半年及下半年的支付费率分别为12.4个基点和12.2个基点。

Nevertheless, the company maintained the leading market share in the domestic market, and the payment fee rate remained relatively stable at 12.3 basis points, compared to 12.4 basis points for the first half of 20- 2023 and 12.2 basis points for the second half of 2023.

中国香港、中国澳门及海外业务持续展现强劲增长动力。2024年上半年，海外业务支付总量约人民币60亿元，同比增长293.8%，费率上升至63.1个基点。

The businesses in Hong Kong, Macau, and overseas region continued to demonstrate robust growth momentum. In the first half of 2024, the overseas business recorded GPV of approximately RMB 6 billion, representing a year-on-year increase of 293%, and the fee rate rose to 63.1 basis points.

得益于我们商业化率的提升，以及客户结构的优化，一站式支付毛利由2023年上半年的人民币1.953亿元增长至今年同期的人民币2.44亿元，增幅达24.9%，同期毛利率也从13.7%提升至21.8%。

Benefiting from measures to optimize gross profit margin, the gross profit from one-stop payment services increased by 24.9% from RMB 195 million in the first half of 2023 to RMB 244 million for the corresponding period this year, while the gross profit margin for the same period also increased from 13.7%

to 21.8%. 集团持续借助数字员工以及优化研发流程提升效率。2024年上半年，行政和研发开支同比减少8.1%，体现出创新科技持续助力成本控制。AI更深入应用于业务流程，将持续提升集团长期效率和核心竞争力。

The group has continued to enhance efficiency throughout digital workforce and the optimization of its R&D processes. In the first half of 2024, administrative and R&D expenses decreased by 8.1% year-on-year, reflecting the continuous contribution of innovative technologies to cost control.

The deeper integration of AI into business processes will continue to enhance the group's long-term efficiency and core competitiveness.

2024年上半年，公司期内利润达到人民币4,190万元，创下2023年以来最佳半年度利润率，并连续4年实现上半年利润同比增长，体现出公司以盈利为核心的战略持续发挥成效。

In the first half of 2024, the company's profit for the period amounted to RMB 41.9 million, recording the best half-year profit margin since 2023, and achieving year-on-year profit growth for the first half of the year for four consecutive years, reflecting the continued effectiveness of the company's profit focus strategy.

我们对公司的长期增长前景及稳健财务状况充满信心。董事会欣然宣布派发中期股息，每股0.03港元，合计总额约1,380万港元。展望未来，董事会将适时考虑股份回购、派息等举措，以提升股东回报。

We are confident about the company's long-term growth prospectives and solid financial position. The board is delighted to declare the payment of interim dividend of Hong Kong dollar of HK$0.03 per share, amounting to approximately HK$13.8 million in total.

Going forward, the board will consider measures such as share buyback and dividend payments as appropriate to increase returns to shareholders.

This is John and Derek. Um thank you.

With that, may we open the call to any questions from the nine, please. Operator, kindly go ahead.

好的，谢谢管理层给我这个提问的机会。我是中金公司非银金融的分析师唐翌宁。想向领导和管理层请教两个方面的问题。第一个是国内支付业务方面，我们看到上半年国内支付业务的GPV有所放缓，但是毛利率的提升非常显著。想请管理层替我们拆解一下，这两者背后主要的驱动因素是哪些？以及公司未来来看，它是怎么定位国内支付业务的战略角色的？那第二个是关于海外支付业务的问题。我们也看到上半年海外支付业务的收入，还有GPV都是高速增长的。我们看到现在中国支付企业整体都在加速出海的背景下，公司怎么展望海外业务这块的中长期增速？以及怎么样去构建差异化的竞争优势？然后下面我简单翻译一下我的问题。 Thank you for taking my questions.

I'm Tang Yining from CICC. I have two questions.

First, on domestic payments, in the first half, GPV declined, but gross margin rose sharply. Could you explain the key drivers behind both movements?

How do you see the role of the domestic payments business going forward? Second, on overseas payments, both revenue and GPV grew rapidly in the first half.

As Chinese payment peers accelerate their overseas expansion, how do you see the growth potential for this business, and what are the Yeahka's key competitive advantages? That's all.

Thank you.

Thank you very much, Yining. Appreciate the questions.

Uh regarding the local environment, first of all, in the first half of this year, we do see that the average dollar value spent per transaction is of a decreasing trend. That would not be different to some of the comments that you would have heard on earnings call of some big technology companies also listed in Hong Kong.

We think that that is a quite a big macro backdrop that would affect the industry across the board. At the same time, within the company, we also cut down on customers that are of lower profitability.

Because as we have consistently shown in the past periods and stated on earnings call, our steadfast focus of driving the business going forward is ROI and delivery of bottom line, profit, and return because that ultimately matters the most from a shareholders, investors, and stakeholders perspective. From that point of view, we are very focused on ultimate profit lines delivery, rather than GPV or revenue per se.

What we have done in the first half of this year is that we did have cut down quite significantly some of the lower profit customers. The reason is that, that can release resources and time of our higher business management to focus on the right set of customers that can in turn, not just compensate for the profit loss, but actually deliver even more profit on a very sustainable manner going forward.

What we do is that we focus on larger-chain customers, brand-names customers, and also customers that require a little bit more differentiated services or more customized solutions. That by definition takes more time and resource to focus, but the reward for that is that we earn a higher margin, a much more meaningful higher margin.

That's why we see that the gross profit as well as the gross margin this year for the China business actually increases quite substantially. That's not just one-off.

That's not just for this period of time. In fact, it's the fourth year consecutively that we have been increasing our gross profit from a China payment perspective.

This is also the highest margin that you would have seen for the company in the past six years. Again, this is a very steadfast, long-term key focus of ours, and that will continue going forward.

Now, you mentioned about the strategic value of the China business given this type of background. I think this is very, very important.

It is a very large space, large set of customers where we have refined our products to the extreme, to the ultimate value to customers. As Luke mentioned, the TAM, the market of merchant acquiring is largely is very, very big, and China has been leading the way globally with over 90% penetration rate.

Therefore, there's a lot of things that we can export from a product, service perspective. Very ultimately, as you rightly point out, China merchants going overseas.

We think this is a very secular and long-term theme, and we haven't really capitalized on that yet because it's still very nascent stage compared to others. When they go overseas, we indeed help a lot of this big merchants go overseas as well.

For example, Dajiang, DJI, BYD, all these big brand names, as they go overseas, we are actually serving them as merchant acquirer overseas as well. This continues to be a very important business of ours.

Now, going forward, from a profit-driver perspective, obviously, the overseas business is a very natural extension as we go bigger out from China, where we are the dominant market leader already. We see even more opportunities to grow in terms of profit and deliver that to our shareholders in the overseas countries.

Our numbers in terms of GPV, revenue, profit, fee rate, margins, they are very different from the structural set of metrics that you see in the Chinese mainland, and that has been the case period over period. We believe that this would continue to stay and we will continue to deliver that multiples type of growth going forward.

Even though it is a relatively short business in terms of the starting age of it, but now it's already contributing 7% of the gross profit within the payments business, and from a net profit perspective, it's already double-digit percentage. We would not be surprised that over the next few years, that would substantially increase.

More than half of the company's net profits would be driving from the overseas businesses. This is really the opportunities that we are seeing.

Why we are delivering all that and why we have a high moat, you asked about, that we can continue to defend ourselves. It is a highly regulated business.

You have the licenses, the regulatory bodies, bank channels, ecosystem partners, a very huge system that is not easy to replicate over the years. Therefore, we are seeing other peers entering into the space, but at the same time, we also collaborate with them.

We have the license, we have the better channels, we have the underlyings. This is actually confirming that this is a very interesting space to get into, while at the same time, our infrastructure and our moat has been quite obvious to to to to to the others.

Secondly, from a product proposition perspective, all the way, historically, on top of payments, we also have the combination of that versus other value-added services, be it merchant solutions, e-commerce services, AI software, and the engine that we can provide to merchants to help them grow their businesses as well. We continue to see this being very differentiated, not just locally, but also overseas as well.

We believe that we will continue to be uniquely positioned to expand with this set of product suite. Again, that is very hard to replicate within a short period of time.

Right. Thank you.

Thanks management for taking my question. Would management share your thoughts on the gross margin trend of domestic payment business and your thoughts on shareholder return program?

Thank you.

Thank you very much, Vicky, for your question. Regarding gross margin, as I mentioned before, that and profitability continues to be the focus of the company going forward.

It's not surprising to see that we deliver another record high for our gross profit within the Chinese mainland business. Going forward, we expect that to be staying at a relatively high level compared to the past.

We continue to increase monetization, increase the commercialization of our business as well. There are a few ways to do it.

We focus on higher profitability customers, and cut down on the lower profitability segment. That would help us to continue dig up and focus more on customized solutions for the right set of customers that can sustainably deliver this higher gross profit and gross margins going forward.

Another tool that we have is on AI. As we input more AI elements into the business processes, for example, on fraud detection, transaction control, that also help us eliminate more high-risk customers, and focus on those who can deliver a more sustainable profits going forward.

We have a lot of leeways that we haven't really fully leveraged in the past, as the technology tools, as our processes become more optimized. We believe that this is something to be leverage for the next few years.

In terms of the capital markets return, as we focus on the profit and bottom line delivery, we are very confident about sustaining that going forward, and that's why we think that this is probably the right time to start doing that. This is the our first dividend issuance since our listing.

In the past, we have also been doing share buyback. Going forward, the combination of that all together would be a lot of the tools that we can continue doing sustainably going forward.

We intend to increase our profit, and also deliver the return to our shareholders on a long-term basis.

Thanks for taking my question. I have two questions about the overseas business.

First, I noticed that the gross margin of the overseas business declined in the first half. Could the management share some color on what drove the decline and how you see the margin outlook going forward?

Second, how do you see the competitive landscape in the overseas market? Has the competition become more intense recently?

Thanks.

Good evening. Thank you very much for your questions.

First one about the decrease in margins in our overseas business. I think this is a short-term fluctuation.

Largely, it's a very small percentage change within a half-year period. It's still at a very different level, much higher than the one that you see in the Chinese mainland.

We think that this is due to the mix of the portfolio, rather than the fact that structurally, there's a difference between the margins between the two. We think that both margins, fee rate, and the economics of overseas continue to be attractive and here to stay.

Secondly, in terms of the questions about our strategies overseas, first of all, we continue to focus on the local payments between merchants and consumers. That is the bigger segment, the bigger pie of the TAM that I just mentioned.

This is still hugely underserved, underpenetrated, and we believe that our products and our business models have a lot to add value, as we have demonstrated in the past. The Chinese going out is part of the theme, but that's not the only theme.

The bigger theme is really the local merchants out there. Secondly, in terms of products, from doing offline, we're also launching our online payment businesses, which are already generating revenue today.

That is a very promising area because it's, by definition, a much bigger avenue to go for. Web3 payments, as well as stablecoin, agentic payments, they are all very attractive topics that companies and merchants and even consumers are thinking about.

To that end, we actually have already done our work in R&D, product development, as well as collaboration with some of the largest players in this space globally. Soon enough, we will make some announcement on that, and you will see that in the news.

We think that by focusing on the right areas with high-demand areas, whether it's e-commerce, whether it's advertisement, or local services, online payments, agentic payments have a lot of value to offer.

哎，谢谢管理层。我是德银的Johnny。我有两个问题。第一个还是想问一下国内这边。就看到支付这边的那个GPV 环比跟同比好像是有所收缩，刚才也解释了这个是一些战略上面的调整。那想请问一下这个调整是否已经结束？然后后边下半年是否会看到一个反转？还是我们需要更多的一个更多的一个时间去进行业务上面的调整？那第二个问题是想问一下还是关于海外的部分。因为看到海外的费率 还是有所下降吧。然后虽然这部分确实比国内还是要高很多。那想请教一下管理层，就未来这个海外这边的费率的一个 正常的水准大概是多少？ I will translate my question.

This is Johnny Siu from Deutsche Bank. I got two questions.

First one, we noticed that the domestic GPV are still still contracting in the first half. I'm wondering if the contraction has has bottomed out or if we need more time to uh for this transformation.

The second question is regarding the overseas payment. We noticed that the overseas payment take rate declined year-on-year.

We are wondering what's the normalized take rate in the future? Thank you.

Hi, Johnny. This is Arnold speaking.

I'm I'm here to answer your questions. First off, for domestic payment business, our top priority is to focus on the profitability of our overall payment business, rather than focusing on the GPV growth, which we've already explained earlier that we, strategize to focus more on business segments, customer segments that are more profitable, and intentionally drop lower profit margins.

Going forward, I think this trend will continue. We're not going to, put GPV growth as our top priority, but rather, we want to focus more on the GP margins and the operating margins going forward.

I think in the future, you will see this trend continues in the next few years domestically. Because, on the bigger picture, China's non-cash penetration rate is already there.

We are already dominating, or we're first-tier players in the market. We have all the capabilities and and tactics to drive up profitability.

There are there are certain phases that we can ramp up GPVs, but we just intentionally choose at this time that we want to focus more on profitability, which, we we we've shown to you all that we are announcing a first-time dividend payout. I think, in short term, our GPV will remain at a at this level, if not, a little bit upwards.

In the next 3 to 5 years, we want to expand our GP margins. Right now, our GP margin is around 20%, and we want to see, the expandability of that.

Second question on the fee rate, I think the international overseas payment business is on early stage. Right now, our focus is to ramp up the the GPVs and the businesses.

We want to take in as many different kinds of merchant as possible. There are so, there are there are different countries and different regions, with within those different countries and regions, different types of merchant profiles that they require lower or higher rates.

I think right now, the the ups and downs of fee rates of our international business is is of a less observation. Rather, we want to focus on the improvement of our GPV growth and our merchant base growth.

Also, on top of that, how we add other values, such as AI agents and other value-added services on top of the existing payment businesses. In the near term, our our overseas business will remain at this high level.

We've we've explained to the market over for the past year that our overseas GP the overseas fee rate is, 4 to 5 times of our domestic fee rate. I think that differentiator will stay the same for the foreseeable future.

Thank you.

Yeah. Just to add, we have different products, regions, geographies, and therefore, as we expand our products and diversity, as we mentioned, do expect that it would not be a stagnant number.

The overseas number overall would still be a very, very high, meaningfully higher than the one in our original Chinese mainland business. We target the 60 bps, but at the same time, we'll continue to focus on GPV, revenue, and the businesses that can provide higher value.

Let me translate. Thank you for taking my questions.

Could management share more about the overseas strategies? Given the current macro and the regulatory environment, what's the management's outlook for the domestic payment business?

Also, how should we think about the operating expenses in the following quarters? Thank you.

Thanks a lot, Erica. On the first question in terms of overseas strategy, I think, first of all, we need to beef up our international talent team.

As we have been doing that, we need to continue to do that in order to cater all the new needs, demands from the merchants as well as the ambitions that we have just mentioned about. From that end, we hired many talents from the likes of global card networks, global banks to beef up our team.

We also strike larger partnership scheme with these global entities, that is banks, card networks, in order to broaden our collaboration on products, channels, as well as geographies. That would continue be the game that we should play.

Secondly, from the products, as we mentioned about, online payments, agentic payments being very hot, we would continue to strike new products channels, and deliver revenue and GPV from that perspective. I mentioned about some announcement in the pipeline to come soon.

Please stay tuned on that. Last but not least, our value-added services is indeed one of the key differentiators from a product perspective alongside all the online payments, agentic payments, and the innovation that we're doing on the payment side.

Therefore, as payments has gone overseas to become the leading force of driving the overseas growth of the company, the next curve of growth, to speak, will be coming from the value-added services that we can combine over there. That will be a very powerful combination.

In terms of the domestic strategies, the environment over there is obviously different, but there but but it doesn't mean that we cannot up our profit delivery and our margins. As we have demonstrated in the first half of this year, we think that we have a lot of room to continue to provide that going forward by means of optimization of our business processes.

It could be the increase of fee rate, it could be the sharing of the scheme profit, it could also be the increase of tools in AI that can maximize our margins, as well as focusing on the right customers that can deliver higher margins. Therefore, we have quite a combination of different set of a variety of tools that we can leverage.

This is dynamic, and we'll continue to leverage that given our market leadership. We are seeing that in the payment space in mainland China, the market leaders, the bigger companies continue to have an edge over the smaller ones, and we will continue to leverage on that.

Now, when it come to internal cost control, we mentioned about our digital employees being increased in usage within our system. That's really one of the driving force of the decrease in administrative expenses.

On the R&D side, actually, we decreased by even more than 10%. A lot of it is really putting R&D forces into shortening the cycle of product creation and maintenance through AI generation.

All of these stuff are proprietary, created by us, and therefore, we'll continue to be innovative, not just on the external business model, footprint, products, and all that, but internally within ourselves, the way we do things, the way we carry ourselves in terms of operations, we still have a lot of leeway to go going forward.

Thank you, everyone, again, for joining our results today. We are now ending the call.

If you have any further questions, do feel free to contact us directly. Our contact together with other information in relation to our results can be found also on our website at yeahka.com.

Thank you again, and see you again very soon.