Canaan Inc.

ladies and gentlemen thank you for standing by and welcome to the canon inc's third quarter 2021 earnings conference call at this time all participants on listen only mode after the management's prepared remarks we will have question and answer session please note that this event has been recorded now i would like to have the conference over to your speaker host today machine Ms. Zhang, Investor Relations Manager of the company. Please go ahead, Ms. Zhang.

Thank you. Hello, everyone. Welcome to our earnings conference call. The company's financial and operating results were released by our newsletter services earlier today and are currently available online. Joining us today are our Chairman and CEO, Mr. Nandong Zhang, and our CFO, Mr. Jin Chong, James. In addition, Mr. Xiaoming Lu, our SVP, Mr. Shaoke Li, our Secretary of the Board, Mr. Leo Wang, IR Senior Director, will be available during the question and answer session. Mr. Zhang will start the call by providing an overview of the company and performance highlights for the quarter. Mr. Cheng will then provide details on the company's operating and financial results for the period before we open the call up for your questions. Before we continue, I would like to refer you to our Safe Harbor Statement in our earnings press release, which also applies to this call as we will be making forward-looking statements. Please also note that we will discuss non-GAAP measures today, which are more thoroughly explained as reconciled to most comparable measures reported under general accepted accounting principles in our earnings release and findings with the FDC. With that, I will now turn the call over to our Chairman and CEO, Mr. Nandong Zhang. Please go ahead.

Thank you. In the past three seasons of 2021, after many efforts, the company has achieved many results in this season. This season, the company's sales have been strong. The total revenue of RMB 13.2 billion has increased by 708.2%. with an increase of 21.8% compared to the previous year, achieving the best in history. The profit-saving level has been further expanded, with a profit-saving ratio of 56.3%. The net profit total is RMB 4.7 billion, which has also created the best record performance since its launch. But in fact, due to the change in the policy of this quarter's supervision, and the continued impact on the mining market, our business and operations have overcome a very big challenge. The results in the mirror, in addition to market factors, It is also related to the pre-war layout of the company. Since our listing in 2019, we have started to expand our overseas business strategy. We focus on harmonizing and achieve regional diversification development. We deepen the cooperation relationship with customers, from simply selling mining machines to cooperation digging, expanding the scope and method of cooperation. At the supply end, we continue to maintain a healthy cooperation relationship with suppliers, and strengthen the business negotiation strength. In the process of production of raw materials, we match the standard production capacity and ensure supply. Let me translate. In the third quarter powered by our team's efforts, we have achieved satisfactory results on multiple fronts. We generated