As a global leader in autonomous driving, WeRide operates one of the world's largest commercial robotaxi fleets with over 6 years of public service. In China, our service is available not only through our WeRide Go app, but also via WeRide Go WeChat mini program, Tencent Mobility WeChat mini program, and Amap, bringing autonomous driving into users' everyday lives.

Our international footprint spans the Middle East, Europe, and Asia. In Abu Dhabi, we now provide driverless commercial robotaxi service, covering 70% of the city's core area.

We expanded this leadership further with the launch of fully driverless robotaxi services in Dubai in March. We also launched robotaxi public operations in Riyadh in October 2025.

In April, in partnership with Grab, we launched Singapore's first autonomous public ride service in Punggol, bringing robotaxi GXR service to residential communities. We are accelerating commercialization through key partnerships with Geely Farizon, to deliver 2,000 purpose-built robotaxi GXRs by 2026, and with Lenovo, to jointly deploy 200,000 autonomous vehicles globally by 2030.

Our technology is the foundation of our sustained leadership. WeRide is the only company that has commercialized both L2+ and L4 autonomous driving technology at scale, powered by shared underlying algorithms and our dual-flywheel strategy.

Our self-developed general-purpose simulation world model, WeRide Genesis, enables extensive training and closed-loop validation in high-fidelity simulation environments at scale to continuously advance system intelligence. These unparalleled capabilities are distilled into WRD 3.0, our one-stage end-to-end ADAS solution, bringing proven L4 technology capabilities to mass-market L2++ vehicles.

The Chery Exceed Sterra model, equipped with WRD 3.0, has won four consecutive championships at the China Urban Intelligent Driving Competition, setting a historic record. WRD 3.0 has secured production design wins across nearly 30 vehicle models, and is now in mass production across multiple models, including the Chery Exceed Sterra ES/ET, Chery Exceed EX7, and GAC Aion N60.

WRD 3.0 now supports multi-chip compatibility across Nvidia, Qualcomm, and SiEngine platforms, providing global automakers one of the most flexible, high-performance L2++ solutions. Looking ahead, WeRide will continue to lead the way in advancing autonomous technology and making autonomous mobility a daily reality.

Hello, everyone, and thank you for joining us today. We started 2026 with strong momentum as a global leader in autonomous driving.

In the first quarter, the total revenue of WeRide reached RMB114 million, 58% up year-over-year. These results are driven by our accelerating robotaxi deployment, growth across our broader autonomous driving business, and the great success of our L2++ level ADAS solution.

By the end of April, our global robotaxi fleet grow to around 1,300 vehicles, representing one of the largest robotaxi fleets globally. At the same time, our Level 4 autonomous driving fleet, including Robovan and Robobus, has grown to around 200- 2,800 units that they have been deployed to or tested in 12 countries and over 40 cities worldwide.

We believe the steady and significant progress this quarter reflects not only the maturity of our technology, but also the growing operational experience for thousand-level fleet in multiple cities. I want to point out that we have made a major technical breakthrough through Genesis, our closed-loop world-model-based simulation engine, which boosted our model evolution pace by severalfolds.

We can now train AI model for autonomous driving with synthesized corner cases, which may be very rare or even imaginary. With a compact AI model leveraged on our Genesis, we have achieved four consecutive championships in China Urban Intelligent Driving Competition.

This is unprecedented. The best previous record is held by Huawei ADAS system, which got two consecutive championships.

Today, many companies talk about world model and simulation platforms, but WeRide is one of very few companies that have publicly demonstrated footage of a highly realistic autonomous driving world model at scale. We have already released Genesis demonstration video on YouTube, where viewers can check the model's ability to reconstruct and simulate visually realistic driving environments, strictly following physical laws as well.

Genesis can generate holistic virtual driving environment consistent to the desired locations, including traffic flows, pedestrians, weather conditions, and complex interactions between vehicles and the surrounding objects. More importantly, we can edit these environment components to simulate highly challenging scenarios such as aggressive driving behavior, dense traffic, extreme weather, unusual road conditions, and many other long-tail corner cases that are very difficult and extreme expensive to replicate in the real world.

By leveraging on synthetic data and large-scale simulation, Genesis improves training and validation efficiency by thousands of times compared to traditional road testing. It also significantly reduces the crucial dependence on large-scale testing fleet and accelerates deployment process in new operational regions globally.

Genesis is not just a capability, it is a unified simulation and AI training platform supporting applications from L2 ADAS to L4 robotaxi. It is very same tech stack that makes us the only company in the world to have already achieved skilled commercialization of both L4 and mass production L2 vehicles.

The newly developed Genesis now has paved the way of WeRide to the physical AI world. With Genesis, the ADAS system developed by WeRide is comparable to the performance of FSD 14.3 in California.

I personally own two Tesla, and I drive 14.3 with FSD 14.3 every day. I look forward to entering a global urban intelligent driving competition directly facing FSD 14.3 from Tesla.

Hope one day we can meet in US or Europe, and give our consumers a head-to-head comparison. Today, we are seeing our technology leadership translate into real global commercial scale.

Let me walk you through the kick operational and commercialization milestones we have achieved this quarter. First, in China, our robotaxi business continue to make strong progress in scale and operational efficiency.

By the end of April, our domestic robotaxi fleet expanded to about 1,000 vehicles, while our service area in Guangzhou increased by 97% compared to the end of 2025, including additional downtown districts. On the demand side, average daily order per vehicle domestically reached 17 trips during Q1, with peak periods reaching 28 trips per vehicle.

Registered robotaxi users also doubled almost every year. We believe these metrics continue to demonstrate growing user adoption and improving unit economics as robotaxi commercialization scales.

In this quarter, we also continue to deepen our partner ecosystem. In April, we expanded our collaboration with Lenovo in autonomous driving computing platforms with a joint target to deploy 200,000 autonomous driving vehicles globally over the next 5 years.

Together with Geely Farizon, we plan to deliver 2,000 upgraded, purposely built robotaxi GXRs in 2026. We believe these partnerships further strengthen our manufacturing scalability and deployment capability globally.

Now, turning into international markets, we also continue to see strong momentum in both new market launches and commercialization progress. In Singapore, we launched the country's first public autonomous driving service together with Grab.

Since the initial deployment plan began in the second half of last year, the fleet has built a trustworthy operational track record in a highly regulated international market. In the Middle East, we have launched fully driverless commercial robotaxi operation in Dubai together with Uber and Dubai's RTA.

This is the city's first fully driverless commercial robotaxi service. Meanwhile, Abu Dhabi service coverage expanded to around 70% of the city's core area.

Across the Middle East, together with Uber, we remain on track to deploy at least 1,200 robotaxi across Abu Dhabi, Dubai, and Riyadh by 2027. In Europe, we entered Slovakia in March, our fourth European market, and continue progressing toward fully driverless commercial operation in Zurich.

Overall, we continue to believe WeRide remains the most globally deployed autonomous driving company today, with deployments across 12 countries and permits in eight markets. This global footprint not only diversifies our revenue, but also demonstrates operational and regulatory capabilities that are hard for followers to replicate.

It also keeps us on track toward our long-term vision of deploying tens of thousands of robotaxi globally by 2030. Beyond robotaxi, our ADAS business is also seeing growing commercial traction.

Our current version of ADAS system, WRD 3.0, has been adopted by nearly 30 vehicle models, including vehicles from leading OEM such as GAC and Chery. In April, GAC Aion launched pre-sales for the Aion N60, the first mass production vehicle with WeRide solution.

Leveraging the generalization capability of Genesis, our WRD 3.0 solution is now supporting three major chip platforms: Nvidia DRIVE, Qualcomm Snapdragon, and SiEngine Starlight. We believe this level of multi-chip compatibility is crucial because it enables faster mass production, greater cost optimization, and broader OEM adoption.

At the same time, we continue expanding internationally with partners, including TIGGO, Lepas, Omoda, Jaecoo, bringing WeRide-powered ADAS solution to consumer globally. Finally, for Robobus, we also continue making progress globally.

We are collaborating with Geneva public transport operator, TPG, on autonomous bus deployment. Meanwhile, we are preparing for the Robobus operation with Renault at Roland-Garros French Open for the third consecutive year.

To summarize, the first quarter of 2026 was about substantiating technology leadership of WeRide into commercial scalability through growing robotaxi operations, expansion into new international market, growing deployment pipelines, and continued, unrivaled winning momentum in ADAS. We believe we are executing well with our global strategy, and we continue to see a clear path toward long-term growth.

With that, let me turn the call over to our CFO, Jennifer Li, for a deeper view of the financial results this quarter. Thank you.

Thank you, Tony. Hello, everyone.

Before we dive into the financials, I want to highlight that all figures are in RMB. Comparisons are year-over-year unless stated otherwise, and we will discuss non-IFRS measures today, which are more thoroughly explained and reconciled to the most comparable measures reported in the company's earning release and filing with the SEC and Hong Kong Stock Exchange.

Now let's discuss our first quarter financial performance. We delivered total revenue of 114 million in the first quarter, representing an increase of 50 58%.

Product revenue increased 116% to 20 million, mainly driven by increased deployment of robotaxi and other L4 vehicles. Service revenue increased 49% to 94 million.

This revenue growth mirrors the solid commercial progress we made in this quarter, together with our proven track record in execution and deployment. Considering the seasonal impact of Chinese New Year and Ramadan in Middle East, our business performance surpassed our original internal targets.

Group level gross profit increased 56% to 40 million in the first quarter, with a group level gross margin of approximately 35%. We maintained top-line expansion without sacrificing margin discipline, underscoring the inherent profitability of our autonomous driving business as we further scale.

This was also supported by the increased exposure of our ex-China markets, where we continue to see the structural stronger margin profile as we expand into new additional international territories. Operating expense were at 469 million, with R&D expense accounting for 77% of the total operating expense.

Our operating expense are stable in absolute dollar amount compared to the same period in 2025. To break down further, R&D expense increased by 12% to 363 million in Q1 2026.

Excluding share-based compensation, R&D expense grew 16% to 322 million. This consistent investment in R&D underpins our technology roadmap and ensures we stay at the forefront of autonomous driving innovation.

Administrative expense decreased by 33% to 83 million in the first quarter. Excluding share-based compensation, administrative expense decreased by 17% to 61 million.

The decrease was primarily driven by lower professional services fee, mainly related to audit and legal compliance services, and partially offset by increased personnel cost for the expansion of our team as for growing business. Selling expense increased by 63% to 23 million in Q1 2026.

Excluding share-based compensation, selling expense increased by 81% to 22 million, the increase corresponding to ongoing expansion for our business, underscoring our commitment to support growth appropriately. Our net loss kept stable at 369 million in the first quarter.

On a non-IFRS basis, the net loss increased slightly by 11% to 326 million in the first quarter. The slight uptick was largely driven by ongoing R&D expanding and as we continue to invest ahead of scale in our long-term technology leadership.

As of March 31st, 2026, we had total capital reserve of 6.22 billion, comprising 6.18 billion in cash and cash equivalent and time deposits, 29 million in investment and wealth management products, and 18 million in restricted cash. We maintained short-term bank loans of 294 million to support daily operation.

We have well positioned our capital base to match our cash deployment need with headroom to support ongoing growth and strategic initiatives. Under the US$100 million share repurchase program authorized by our board of director on March 23, 2026, we have repurchased approximately 24.4 million Class A ordinary share, including in the form of American depositary shares, as of market close on May 12th for a total consideration of approximately 61.4 million in US dollar.

This reflects our firm belief in company's long-term value and growth potential. Moving forward, we proceed with confidence and a well-defined focus.

By end of 2026, we remain on track to deploy 2,600 robotaxi worldwide, marking the first milestone in our journey towards hundreds of thousands by 2030. As we continue to scale, our approach is to enter new regions and cities which has proven effective and replicable.

Supported by strong technological leadership, operational know-how, and increasingly robust global rollouts, we're prepared to lead the next phase of autonomous driving. With that, operator, we're now ready to take some questions.

Thank you, Tony and Jennifer. This is Stanley from Morgan Stanley.

I have two questions. First one is on your robotaxi expansion.

Are you on track to meet your expansion roadmap in 2026? Could you update us on the latest expansion progress in China, the Middle East, and the rest of the world?

My second question is on WeRide's overseas business, with the company's core advantage being its possession of overseas operating licenses in eight countries and in light of the global expansion of players like Waymo and Zoox, and also the accelerating regulatory approvals, how do you view the key growth drivers, profitability path, and timeline for tangible contributions from your overseas operations in 2026 to 2027? Thank you.

Okay. I will take the first question, and then I will let Jennifer to answer the second question about the profitability, okay?

First question is about the on-track, whether we are on track with our robotaxi expansion. I think, overall, we are very optimistic and confident in our global robotaxi expansion.

We have been making the steady progress all the time. I will share some numbers I have already told to the market, that is, as the end of April, our global robotaxi fleet reached approximately 1,300 vehicles.

That is, to my best knowledge, one of the biggest robotaxi fleets globally. In China, our robotaxi fleet has grown to approximately 1,000 vehicles with solid demand, healthy daily order volume, and a growing user base.

I want to share you a number. Our average daily order per vehicle exceeded 17 trips during the first quarter.

That is amazing number. Our overseas robotaxi fleet has expanded to approximately 300 vehicles across multiple markets.

In the Middle East, we recently launched a fully driverless commercial operation in Dubai and on Uber platform. Today, if you really want to hail a fully driverless robotaxi, to my best knowledge, I look at all our competitors.

Outside of US and China, if you want to hail a fully driverless robotaxi, the only way is through Uber hailing WeRide's robotaxi in Abu Dhabi or Dubai. That's our current stage.

Regional tensions creates some short-term softness in utilization, but we remain very confident. More important, we remain firmly committed to the Middle East, and our long-term investment and operational presence are well received by local governments.

We remain on track toward our commitments to deploy 1,200 vehicles across Dubai, Abu Dhabi, Riyadh as additional driverless ODD to be added. In Europe, we are expanding our footprint.

In Switzerland, we obtained region's first driverless commercial permit and continue progressing toward public operations in Zurich. We also recently launched our national autonomous driving program in Slovakia, making our entry into another new European market.

More broadly, we believe WeRide has established a meaningful first-mover advantage through years of global expansion. Overall, I think this global operation and regulatory footprint is becoming an increasingly important differentiator as autonomous driving commercialization accelerates worldwide.

That's overall conclude my answer to your question, our global roadmap and our plan. About profitability, would you pick up the question, Jennifer?

Yeah. I'll answer the second one.

Stanley also mentioned with the WeRide's core advantage is having a operating license in eight countries. Actually, now when comparing the total number of robotaxi deployed and driverless permit hold by any autonomous driving company outside China and the US, WeRide ranks first among all the different companies, AV companies.

We're very encouraged by the momentum of our international expansion so far. As we can recall from the last earning release, international revenue already accounts for approximately 1/3 of the total group revenue last year, and our Middle East subsidiary was already profitable at net level.

Also, Tony already talked through our key development in some of the regions outside China this year. We will announce some more exciting announcement in robotaxi deployment in due course.

This year, we expect international revenue to grow even faster and contribute a even larger share of group revenue supported by the positive unit economics. Maybe I would like to also to elaborate a little bit more about our city selection criteria here.

Now, people always ask us, "You guys already have presence in 40 cities, how do you still want to expand to more cities or focusing on the current ones?" Our strategy is to focusing on scale in existing city, as well as entering additional cities under a more selective criteria.

We really consider whether the market has the potential to support scalable and commercially attractive operations over long term. Especially on the monetization potential side, we pay close attention to the overall gross booking opportunities, as well as the gross bookings per mile, because both scale and unit price matters significantly for long-term robotaxi unit economics.

Besides, we focus heavily on whether there's a realistic path to scale. For all the cities we're currently deploying, we do see potentials for each city to deploy thousands of autonomous driving vehicles, yeah.

Something more to mention here, Europe remains to be a key focus for us this year. We will share our exciting news in more deployment in more cities in Europe hopefully soon, yeah.

That concludes my answer for this question.

Hi, Tony and Jennifer. Thank you for giving me the opportunity to raise the question.

I also have a two questions. The first one, how do the recent report about the China holding a new self-driving approvals to impact WeRide?

A second question, it's about the technology difference. I think since the past, there has been a consistent and industry-wide the debate over the lidar and the HD map approach that Waymo adopts, and the camera-only solution by Tesla.

What is WeRide's view? Thank you.

Questions, I think I'll pick them one by one, okay? I did take some notes.

Let's see, the first question, I think everybody have already realized the recent halting about the new self-driving approvals. We all noticed, this kind of accident of Baidu in Wuhan, and we have seen the reports.

Our view is that we view this as more of a short-term regulatory adjustment rather than a structural change to the industry, because from our discussion with the central government and the local government, and through this kind of communication and careful investigation, first of all, WeRide, if you check our record, WeRide has a very good safety and operational record, and both central government and local government are just give us very strong support. Through our discussion, we were assured that the central government and the local government's support to the autonomous driving remains very, very strong.

That is what we have learned, and we talk with the local legislators and officials. This remains very supportive.

It is a short-term adjustment. They basically halting the new approvals for the added autonomous driving vehicles, but current autonomous driving vehicles remain actively operation for WeRide, and our orders are increasing, as I have already mentioned to you.

As autonomous driving moves from early pilots towards larger-scale commercialization, I think it is natural for regulators to place great focus on safety, and we really think this is a very responsible attitude. We actually think this is definitely a very responsible action, and we fully support this.

From our perspective, this is ultimately positive for the long-term development for the industry. A company with a very good safety record should be rewarded.

A company with lousy safety record should be punished. That is definitely, I think.

Just think about airlines. It's the same results, right?

The airlines with good safety record remain in the market, an airline without a good safety record kind of got eliminated. We do suggest the regulatory framework should favor companies with proven technology, operational experience, and a strong safety record.

We also expect regulation over time to become more differentiated based on factors such as safety performance, operational track record, and technical capability. For WeRide specifically, we remain confident because we have accumulated meaningful real-world operational experience both in China and internationally.

Just two numbers, right? We operate and test across more than 40 cities in 12 countries.

Who else have achieved such number? Overall, we view this a necessary step for the industry, and believe it will ultimately lead to a more sustainable competitive landscape.

I don't want a kind of a company with lousy safety record to ramp around in the market. It's not safe to the public, not safe to our community.

We are very confident that company with very good safety record like WeRide have a higher motor, and WeRide will continue as a leading player, a first mover, to keep our a very good safety record and keep our reliable operation. We try every our effort what we possibly can to maintain this very good record.

Second question, because my answer is a little bit lengthy to the first question. The second question, just want to remind everybody, a question is about actually is the long-term debate, that is lidar versus HD map, and approach from Waymo versus Tesla.

My view is simple, okay? I spent many years in Missouri, okay, more than 10 12 years.

Missouri has been long called a Show-Me State, okay? To me, I don't want to argue about the approach.

I want to see the results. For L4-level robotaxi, today, I think everybody have already seen that Waymo deployed thousands of robotaxi and safely operated in many cities in United States.

There are all kinds of claimers, but I just want to say for L4-level robotaxi, it's a driverless autonomous driving vehicle, and safety is very important. If we can use HD map as an extra layer of information, why not?

We have long adopted multi-sensor redundancy-oriented technology pass. We believe that camera and the lidar combining together build a robust autonomous driving system, and this approach actually is broadly aligned with the direction adopted by leading global robotaxi players like Waymo, okay?

At the same time, we are closely watching the progress of vision-only based and map-light approach, including Tesla's recent approach. I have to say, FSD 14.3 make a very good progress, and we admire Tesla's achievement.

However, it is still not a robotaxi, not driverless. We took a similar approach, as I mentioned at the opening remarks, right?

Our ADAS system based on one-stage end-to-end world model has achieved four consecutive championships in China. Basically, we beat all other ADAS system solutions.

I think the only competitor we haven't have a direct face-to-face matching, that is Tesla FSD 14.3. We look forward, as I mentioned, we look forward to a head-to-head comparison and give our consumers the best experience.

With that said, I just want to emphasize we are very, very aware the advantage of camera-only solution based on foundation model and world model, and we are pretty good at it. That's why I think I'm currently the best suitable CEO to answer this question.

We really consider about the very complicated traffic scenarios in cities like Madrid in Europe. We have already spent lots of time to solving all possible corner cases in Madrid because we have to be prepared to deploy in a busy European city like Madrid.

Historically, city like Zurich and Madrid would require significant localization and testing resources, but with our Genesis model, we believe we can really combining the HD map approach with the map-light version. One of WeRide's strength is flexibility across different architectures.

We can make a perfect marriage between this HD map lidar-based with camera solution and map-light solution. Overall, I just want to emphasize to have a reliable and safe robotaxi deployment at current stage, we need to really rely on HD map, but gradually, we may use map-light approach to accommodate emergency road construction and the map change, and we can keep the freshness of map.

Overall, we have to cherry-pick the advantage of camera solution, like map-light solution based on world model like Tesla's approach into L4 system. That's our approach.

I think currently the only company are capable of doing this in the world is WeRide because our ADAS programs and because our L4-level deployment operational experience. That conclude my answer.

Thank you.

Thank you, Tony. That's all my questions.

Thank you.

Hello, Tony and Jennifer. Thank you for taking my questions.

I got two questions for you guys. We have seen more and more Level 2 companies announcing plans to enter Level 4 market.

What's your view on this? Then also, can you give us more details on your multi-chip platform compatibility for Level 2?

How do you achieve this chip-agnostic? Thank you.

Okay. Thank you for these two questions.

I think these questions are more like technical questions, I'll answer the both questions, okay? First question is about our view about the so-called L2 company or ADAS company, although they themselves don't want to call themselves as L2 company, plans to enter L4 market.

What's our view? To us, currently, I still want to emphasize there's only one company to my best knowledge, doing L4-level robotaxi and same time doing L2++ ADAS system.

I have some standard, that is for a company you claim yourself as a robotaxi company or L4-level autonomous driving vehicle company, you have to have a robotaxi fleet of 100 driverless robotaxi fleet open to public, operate for more than half a year, and without any significant or serious accidents. I'm sorry, may I remind the listeners, if you are not speaking, please mute your mic because I hear some background noise.

Please mute your noise if you are not speaking, okay? For L4-level company, you have to have a fleet of 100 vehicles open to public, operate for half a year, and then you can call it yourself a robotaxi company.

For ADAS company, you have to deploy your system to mass production car, is previously, I would say 3 years ago or 4 years ago, WeRide although have some ADAS solution in our lab, but we cannot call ourselves ADAS company because we hadn't deployed our system to mass production car. Now we can because we have deployed our ADAS system to more than close to 30 types of vehicles, and several of them are selling by tens of thousands every month, okay?

Now we know the difference. I believe, with all of that said, I believe there's still a significant gap between advanced driver assistance system, i.e., ADAS system, and a true L4 robotaxi driverless system.

The challenge is fundamentally about system robustness, operation capability, and scalability. There's some numbers I want to share with you, okay?

Usually, most of the ADAS system today, according to our test, mile per critical intervention, if you measure in kilometers, although it's called MPCI, mile per critical intervention, lots of competitors in China, they aim at to reach 1,000 kilometers of MPCI. Want to share you a number, that's for L4-level autonomous driving, you can see numbers from WeRide, from Waymo, and the mileage per critical intervention is at above 1 million kilometers level.

There's a three-magnitude difference. Although some company claimed they can boost their MPCI by a factor of 10 every year, that's still 3 years away.

Let me tell you, you boost your MPCI every 10 times every year is a formidable task, mission impossible, because if some company can do that, then, WeRide, Waymo, so many good company start autonomous driving in the year of 2017, within 7 years, think about the MPCI. Basically, all I'm saying is you really need to operate for half a year before you know the difficulties about L4.

It's great to have ambitious goal, but always you need to really try to achieve your ambitious goal through a concrete pass, and a concrete path is the key. From our past experience, it take many years to really make your fleet available and reliable for driverless operation.

I have a golden test rule, that is made a driverless fleet of at least 100 cars, make it available to the market, operate for half a year, and see what happened. I don't want to see some tragedy names, you see some companies actually quit market because some accidents.

You all know the names, I don't want to mention them anymore. Okay?

Second question is about our multi-chip platform. That is actually something I love to answer.

I think the secret sauce is our Genesis model. Our Genesis model created a AI model that can trim to different chipset of different complexity.

Far, we have already rolled out our system based on Nvidia's Thor-X, dual Thor-X, Orin X, Orin Y system, and also we roll out our system GAC N60 based on Qualcomm 8650, and we are going to roll out a system based on SiEngine's chipset, okay? Basically, we believe, with our current Genesis-based approach, we build up world model and we can really support different platform.

This give us a great competitive advantage. To again, to my best knowledge, we haven't seen any other company can support such a wide spectrum of chipset, at the same time, make them available for ADAS solution as well as for robotaxi solution.

That's my answer to these two questions. Thank you.

Thank you, Tony and Jennifer. This is Kai from CICC.

I also have a question on the multi-chip platform strategy you mentioned. Can you share why is this strategy important for your L2++ ADAS business?

Thank you.

Okay. Basically, the main reason is different OEMs have different hardware preference.

Some OEMs, they want extremely cost-effective chipset, some OEMs want very high TOPS computational platform. They have different supply chain requirements.

Basically, a flexible multi-chip architecture allow us to support a broad range of vehicle platforms without redesigning system every time. The secret sauce is really our Genesis model, because Genesis model can help us to tune a spectrum of on-board AI model, which accommodate different TOPS requirement, like 8650, 200 TOPS, Thor U, 700 TOPS, Thor X, 1,000 TOPS, Orin X, 250 TOPS.

We have to be able to adjust. More importantly, multi-chip vendor flexibility enables faster mass production and great cost optimization.

Different chip platforms offer different cost and supply chain advantages. That one, if ADAS company or autonomous driving software company can supply a spectrum of solutions based on the different chipset, the car OEM tends to work with you more closely.

We believe this flexibility also help us secure more vehicle type. We also look forward to deploy all these systems for the abroad market.

One thing I want to bring all the investors' attention, that is this year, you'll see the export of Chinese automobile product to the rest of the world have actually growing, but most of them don't have a very good ADAS system. We actually have already secured more than 10 vehicle models to supply ADAS system for them.

Maybe next year, you will see some overseas models and you can maybe drive a car with WeRide ADAS system in Mid East Asia, Southeast Asia, in some country, and even in Europe. Please stay tuned.

Thank you.

Hi, thank you for taking my question. I have one question about the strategic balance and prioritization between China and international business.

As we know, as Tony mentioned, there has been news about tightening scrutiny for autonomous driving permits domestically, and WeRide has been making steady advancement in international markets with better UE. Could management please share your thoughts on the balance and priority of domestic and overseas operation lately?

Thank you.

Xinyu, I'll take your question. We see both China and international markets as strategically important for WeRide.

Of course, in near to medium term, certain international market offers a clearer and faster path to commercially attractive robotaxi economics, thanks to the favorable pricing, partnerships, and favorable regulations. Demonstrating sustainable profitability early on is critical for our industry, where healthy cash flow enables self-sustaining growth.

In local market, that's actually very important. We see it's very important to get into this we call it the muscle effect type of self-sustained growth.

We've started building a significant international moat starting in 2021 ahead of most of the peers, and we have since then gained a very hard to replicate expertise in global deployment in regulation, localization, homologation, and fleet operations. Meanwhile, China remains to be a key long-term market due to the size, the ecosystem, the infrastructure, and after all, it's our home.

We continue to maintain a very strong presence here as well. Overall, we see a powerful flywheel effect as we scale across more cities in more countries, and we have more datas and more validation to improve the performance and also to improve the regulatory trust.

This accelerating the permits, ODD expansion, and commercialization. Both are very important for us, yeah.

Of course, we are very pleased to say, we see a huge potential that the international revenue will grow rapidly this year, and we're very on track to achieve our all-year revenue target this year, yeah. That's all, Xinyu.

Thank you.

Hi, Tony and Jennifer. This is Tianyu from CITIC Securities, and I have two questions.

The first one is, what's Uber's current shareholding and how should investors think about the relationship between WeRide and Uber? Secondly, could you share your go-to-market model across different markets?

Thank you very much. All right.

Thank you, Tianyu. Uber holds more than 5%.

Uber is a strategic shareholder and a key partner for WeRide. Based on their latest public filing, they hold over 5% of WeRide, which we view as a strong endorsement of WeRide technology and our solid deployment and commercialization strategy.

Operationally, we're already deploying with Uber in more cities outside the US than any of the AV players out there, which reflects both the depth of our relationship and our ability to execute at scale. There's echo sound.

Can you mute? Thank you.

There's still echo. I'll mute him.

Yeah. We will enter into more cities with Uber this year, and yeah.

We remain to be a trusted partner as they build their global AV strategy. Of course, at the same time, our go-to-market approach is diversified.

We work with partner that best fits each other in each market. In China, we operate our own app, and to build the brand awareness and operational capabilities, you can get our robotaxi on WeRide Go, and you can also get it from the Amap, and then also the Tencent mini program.

In Southeast Asia, we partner with Grab, and then in Europe, we collaborate with local platforms, operators, and PTOs, including SBB in Zurich, TPG in Geneva, and Arriva in Slovakia, etc. All of this will accelerate our deployment and the permitting process.

Yeah. Overall, we see strong alignment with a platform like Uber in scaling our robotaxi globally, and of course, we continue to take flexible approach in working with multiple platforms to ensure that we execute very effectively across different markets.

Thank you. The other one is our asset-light business model for robotaxi.

I think the time is running out. I'll just be short.

I'll be quick. Outside China, we already implement asset-light business model in all markets.

It's a mature and proven structure for WeRide. I'll just give you example.

In some cases, robotaxis are purchased by the ride-hailing platform or local customers. In some other cases, they're owned by third-party fleet owners.

We have already executed in both models successfully. The asset-light model means WeRide will focus on providing the tech and operation, while leveraging the local capital to scale more efficiently.

In China right now, the priority is to continue improving the unit economic and, of course, operational efficiency with a larger ODD so that the revenue share will become sizable enough for it to become appealing to third-party asset owner to participate. Over long term, we also expect China to move into the same direction as utilization continue to strengthen, the model should naturally transition towards more asset-light structure.

Thank you, Tianyu.

Hi, thanks management for taking my questions. This is Mai from HSBC.

I will only have one question. What's the trajectory for robotaxi vehicle cost reduction?

Thanks.

I'll take this one. Thank you, Mai.

Cost reduction, of course, always remain to be one of our key focus area, and we continue to see meaningful progress. There are three main drivers.

The first one is the hardware and the system integration. With our latest platform and our purpose-built vehicle like GXR, we're moving towards like the pre-integrated and very standard solution, and every every year, the the BOM cost continue to drop.

The second is scale and supply chain optimization. As now we're moving to like a few thousands unit deployment, as we can see, we're able to do better cost efficiency across different component and manufacturing.

The last one is on the operational efficiency. We already see that there's a strong efficiency improvement as fleet scales and utilization increase.

For example, in last quarter, we already announced that our remote safety officer ratio has already improved to 1:40 from previously as a 1:10, 1:20, now it's already 1:40. Internationally, we are following the same trend, but now of course it's not 1:40 yet, but we're moving into the same direction.

We believe all of this are very important because remote operation operation efficiency, it's a very meaningful has a very meaningful impact over per-vehicle TCO and overall unit and on the overall unit economic. Yeah.

Additionally, when we enter some new market, there might be some upfront like homologation and localization cost, which sometimes temporarily increase the per-vehicle cost in early stage. However, as deployment scales within each market, those costs are amortized, and the the overall impact will become very limited and manageable.

With the cost reduction as a combination of hardware as well as operational efficiency. Yeah.

Thank you, Mai.