ECARX Holdings Inc.

Good day and thank you for joining us. Welcome to eCarX's fourth quarter and full year 2024 earnings conference call. At this time, all participants are in listen-only mode. After management gives their prepared remarks, there will be a question and answer session. As a reminder, today's conference call is being recorded. I would now like to turn the call over to your host for today's call, Renee Du, Head of Investor Relations at ECARx. Please proceed, Renee.

Thank you, Operator. Good morning and welcome to ECARx fourth quarter and fourth year 2024 earnings conference call. With me today from ECARx are our Chairman and Chief Executive Officer, Liu Shen, Chief Operating Officer, Peter Serino, and Chief Financial Officer, Phil Zhou. Following their prepared remarks, they will all be available to answer your questions. Before we start, I would like to refer you to our forward-looking statements at the bottom of our earnings press release, which also applies to... Specifically, we will discuss certain forecasts and projections, which represent the current and preliminary view of our management team and is therefore subject to change and uncertainties, as well as these forward-looking statements. Further information of specific risk factors that could cause actual results to differ materially can be found in our filings with the SEC. In addition, this call will include the discussions of certain non-GAAP financial measures. A reconciliation of the non-GAAP financial measures to the GAAP financial measures can also be found at the bottom of our earnings release. With that, I'd like to hand the call over to Ziyu. Please go ahead.

Thank you, Renee. Hello, everyone, and thank you for joining our fourth quarter and four-year earnings call today. 2024 was a remarkable year for eCARX, marked by significant milestones and progress across our business. We continued to execute on our strategic vision, further strengthening our position as a leading provider of intelligent solutions for automakers on a global scale. With market momentum continuing to build towards software-defined vehicles, we remain at the forefront with a clear focus on strengthening and expanding our portfolio of cutting-edge, cost-effective solutions. The global automotive market continues to grow, although at a slow pace in an increasingly challenging environment. Global vehicle sales grew by approximately 2% in 2004 to 91 million, including 64 million passenger vehicles. China continued to outpass the rest of the world in 2004 with passenger vehicle sales increasing 6% to 28 million. This was primarily driven by EVs, where sales surged to an impressive 13 million, up 36% and accounting for over 40% of sales. Chinese investment into advanced high-quality and high-tech production is pouring a new economic future. As growth slows and remains uneven globally, it becomes ever more important for companies to stand out from competition and define themselves. We are capitalizing on this growing demand and helping all makers distinguish themselves with our innovative product portfolio. Diverse customer base and strategic global partnerships is already having an impact, which is clear with fact in our performance last quarter and throughout the year. Revenue during the quarter and the year was up 4% and 18%, respectively. with growth margin of 21.2% and 20.8%. Respectively, not barely, our opening loss consistently narrowed throughout the year, while our business kept growing with the partial sale of an equity investment. This allowed us to hit breakeven at EBITDA level during the quarter, strengthening our confidence in reaching four-year breakeven in 2025. Total shipments reached a record high of 3 million last year, up 33% year-over-year, with over 700,000 ships during the fourth quarter alone, up 10% from last quarter by the end of 2024. There were over 8.1 million vehicles on the road incorporating eCAR-X technology. This strong performance was driven by the vast demand for GD models deploying eCAR-X technology, such as GLAS E5, StarWish, and Starship 7. The success of these models helped GD exceed its annual sales target last year with momentum carrying into January 2005 where GD's sales volume for the month hit a record high. We secured a new project with Volkswagen Group during the quarter, expanding our global customer base to 18 outmakers across 28 brands. This project wing is a milestone for us and our solutions, which will be deployed in vehicles across EMEA and Americas, expanding our global reach and demonstrating to a broader audience how our four-stack solutions can be seamlessly customized for deployment. Regardless of market, we also won a number of new projects from existing customers as our solutions are expanded to cover even more of their vehicles. We released our AutoGPG in vehicle AI large language modeling application last quarter and quickly integrated multi-LLMS large modeling, including OpenAI and most recent DPCs. This underscores the unique value proposition we offer to global automakers with cutting-edge technology supported by our growing ecosystem of strategic partnerships. Before I hand the call over to Peter, I would like to reiterate the optimism and confidence we have in our future growth prospects. Having achieved a break-even during the quarter, we are targeting positive EBITDA for four years, 2025. $20 million share repurchase program we announced in December further underscores this optimism. The growing prominence of software-defined vehicles continues to create tremendous opportunities for us as we replicate and scale our solutions globally, enabling us to drive sustainable growth and value for our shareholders. I will now pass the call over to Peter. who will go through the operating results of the quarter in more detail.