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called a schedule to begin shortly. Please continue to stand by. Thank you for your patience. Once again, today's conference is scheduled to begin shortly. Please continue to stand by. Thank you for your patience. Thank you all. So, Thank you. Hello, and thank you for standing by for Energy Monster's 2021 First Quarter Earnings Conference Call. At this time, all participants are in listen-only mode. After management's prepared remarks, there will be a question-and-answer session. Today's conference is being recorded. If you have any objections, you may disconnect at this time. I would now like to turn the meeting over to your host for today's conference call, Director of Investor Relations, Hanson Shi. Thank you. Please go ahead.

Thank you. Welcome to our 2021 first quarter earnings conference call. Joining me on the call today are Mars Tsai, Energy Monster's chairman and CEO, and Maria Hsin, our CFO. For today's agenda, management will discuss business updates, operation highlights, and financial performance for the first quarter of 2021. Before we continue, I refer you to our safe harbor statement in the earnings press release, which applies to this call. as we will make forward-looking statements. Also, this call includes discussion of certain non-GAAP financial measures. Please refer to our earnings release, which contains a reconciliation of non-GAAP measures to the most directly comparable GAAP measures. Finally, please note that, unless otherwise stated, all figures mentioned during this call are in R&D. I would now like to turn the call over to our Chairman, CEO, Mark Tsai, for the business and operation highlights.

Thank you, Hanson. Good day, everyone. Welcome to EnergyMonster 2021 first quarter earnings call. To start off, I would love to give a quick introduction of EnergyMonster. We are a consumer tech company providing mobile device charging service through our network of charging cabinets, which are placed at high traffic locations, such as entertainment venues, restaurants, shopping centers, hotels, transportation hubs and public spaces across China. Users may use our service by simply scanning the QR code of our cabinet through Alipay or WeChat to borrow our power banks and then return the power banks to any EnergyMonster cabinet across China. Our service provides clear value proposition to both our users allowing for seamless access to charging service on the go, and to our location partners providing for value-added service to their customers. As of the end of March 2021, we have over 5.6 million power banks in 716,000 POIs. As the number one player in China's fast-growing mobile charging device industry, with 34.4 market share in 2020, we will benefit from the fast growth of the industry. According to our research report, China's mobile device charging service industry is poised to grow at a CAGR over 36% from 2020 to 2028, reaching a market size of over RMB 100 billion in 2028. The growth of the industry is expected to be driven by growing demand for our service and the expanding supply through increased location coverage. On the demand side, the increase in smartphone penetration and the continued rapid increase in usage of smartphones, which reached 168 hours per Chinese smartphone users per month, are key drivers for growth. The increase in total battery consumption will definitely make the gap bigger between battery consumption and capacity, even to be beyond the current gap of 3,000 mAh per day. And in turn, this widening gap will continue to prepare demand for mobile device charging service. The increasing adoption of 5G smartphones is another major driver for demand. Chips within 5G phones are 2.5 times more power-consuming than 4G devices, resulting in faster battery drainage. As a result, we acquired more than 16 million newly registered unique users during the quarter, reflecting the growth demand for mobile device charging service and also our ability to capture this growth. Now, from a supply perspective, we continue to see massive opportunities penetrating into both existing and newer regions, expanding into different location types and signing key accounts. Based on industry research, only less than 10% of the potential locations suitable for mobile device charging service is covered in China. There continues to be a large amount of coverage potential to be captured in the future. Combining the opportunities on both the supply and demand side, we believe that the industry is still in its early stages of development and is still filled with massive growth potential. As the largest provider of mobile device charging service here in China, with strong growth and resilient profitability, Even during the year of COVID, we believe that we are the best positioned provider of mobile device charging service to capture the growth of the industry. Now let me walk you through our core strategies in expanding coverage, improving operational efficiency, and exploring new initiatives for the quarter. First is our coverage expansion strategy. During the first quarter, we continue to make strides towards making our service more accessible for users across China. We expanded our coverage in higher tier cities while also developing our coverage in lower tier cities. As of the end of the quarter, we covered more than 1,600 cities and counties here in China, up from 1,500 as of the end of 2020. We strengthened the network partner investment during the quarter to acquire new high potential network partners to drive the expansion in lower tier cities. It gives us the network partners more room to quickly reach scale and to see results earlier, which further aligns the interest between our network partners and us. by utilizing our operational know-how and big data capabilities that we have refined through our established offline network and years of experience. We can drive for the delivery of sustainable and profitable expansion of coverage while developing value both for our network partners and for EnergyMonster. Our investment and commitment to our network partner model will expand and calculate a larger and stronger distribution network. Our direct model coverage also expanded as we offer our service to more high-quality location partners, further propelling our POI coverage growth. The number of POIs increased from 664,000 as of the end of last year to 716,000 as of the end of the first quarter 2021, through a balanced expansion of coverage, both new and existing regions. Our POI composition continues to be diversified as we move our service into newer types of venues, such as office buildings and retail outlets. On the CA front, we are able to sign a number of important key accounts, with extensive offline presence or significant brand awareness during the first quarter of 2021. Notably, we are pleased to announce the signing off of KFC, the largest restaurant chain here in China. The signing of KFC gives us stronger coverage across China and also gives us a strong brand endorsement for Energy Monster. With KAs such as Huazhou Group, Shanghai Disneyland, and KFC, we work closely with them to integrate our service directly into the KA themselves, allowing their users to seamlessly access mobile device charging service during the visits. We believe the signing of these KAs is a testament of our ability to deliver a comprehensive package of service to top national KAs. reflecting the quality of our hardware, our service, and our brand. It is important to note that the majority of large KAs with significant offline presence remain untapped here in China. Going forward, we believe our ability to deliver the most comprehensive package will allow us to attract more KAs, enabling us to create a stronger network effect. It is about efficiency. Energy Monster is by far the leader within the industry in terms of efficiency. Our power bank yields the highest revenue in any given period. Our profitability and growth profile remain consistent, and our revenue-to-employee headcount ratio leads the industry. These achievements and attributes are all due to our relentless pursuance of operational excellence. Our enduring management philosophy here at EnergyMonster is to drive both growth and profitability. This requires us to always make improvements to our incentives and management system to ensure the delivery. For our BDs and network partners, we continue to refine the incentive scheme during the first quarter to make sure that we are able to continue expanding to POIs that generate positive economics. For the first quarter, I have to mention that it is a low season for the business since many locations are closed and people intend to stay at home for gatherings during the month of Chinese New Year. On the other side, during the quarter, we see strong recovery of revenue per power bank per day on year-over-year basis as the impact of COVID dwindled. But on a quarter-on-quarter basis, the outbreak of COVID in a number of regions, such as Beijing, Shanghai, Hebei, and also northeastern regions of China, is still there. So it will result in a decline in revenue in these areas and also the revenue per power bank per day. during January and February. Despite the impact, our operations normalized starting in March when the partial outbreaks were fully contained. Another part of our efficiency comes from our long-term commitment to invest in both software and hardware technology. For software, we made improvements to our BD tools by implementing new features that further streamline the day-to-day operations of our employees to improve efficiency, allowing HBD to better manage more POIs and more power banks with greater efficiency and quality. In terms of hardware, we have identified additional areas to improve our cabinets and also the power banks in both quality and cost. We believe our continuous improvement of our operational efficiency and technology will further differentiate EnergyMonster from the other industry peers. Lastly, I would love to touch upon new initiatives. EnergyMonster has accumulated a massive online and offline network since our inception. We have over 236 million unique users and 715,000 locations across all provinces of China. Combined, these channels form a unique opportunity for us to leverage and to create new products and services. We are already exploring consumer goods that can utilize our online and offline networks for distribution. Also, we are exploring other IoT industries that can leverage and even extend our existing networks. Going forward, we believe our current set of networks will give us a unique advantage in incubating new initiatives from EnergyMonster and creating a company that can truly energize everyday life for all aspects of life. Overall, we delivered solid results for the first quarter of 2021, despite of Q1 being a low season, as well as the COVID still having regional outbreaks in January and February. Our core advantages in market leadership, industry-leading operational efficiency, where recognized brand and reliable hardware and software technologies have allowed us to consistently achieve strong performance and unparalleled unit economics within the industry. We believe that we can continue to expand our existing advantages and to provide comprehensive solutions to more locations and users. Our long-term commitment, both growth and profitability, will allow us to continue to expand our market share in China's mobile device charging service industry and to deliver long-term value for all of our shareholders. Now I will turn the call over to Maria Xin, our Chief Financial Officer, for the financial highlights.