Kingsoft Cloud Holdings Limited

Good day and thank you for standing by. Welcome to the Kingsoft Cloud second quarter of 2021 earnings conference call. At this time, all participants are in listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you need to press star and the number one on your telephone. And please be advised that today's conference is being recorded. If you require any further assistance, please press star zero. Now I'd like to hand the conference over to the first speaker for today, Ms. Nicole Shen. Thank you. Please go ahead.

Thank you, Annie. Hello, everyone, and thank you for joining us today. Kingsoft Cloud's second quarter 2021 earnings release was distributed earlier today and is available on our IR website at ir.kisum.com, as well as on global newswire services. On the call today from Kingsoft Cloud, we have our CEO, Mr. Yulin Wang, and the CFO, Mr. Haijian Hongrui He. Mr. Wang will review our business operations and company highlights, followed by Mr. He, who will discuss the financials and the guidance. They will be available to answer your question during the Q&A session that follows. There will be consecutive interpretations. All interpretations are for your convenience and reference purpose only. In case of any discrepancy, management statement in the original language will prevail. Before we begin, I'd like to remind you that this conference call contains forward-looking statements within the meaning of Section 21E of the Security Exchange Act of 1934, as amended and as defined in the U.S. private securities litigation reform of 1995. These forward-looking statements are based upon management's current expectations and current market and operating conditions, and they relate to events that involve known or unknown risks, uncertainties, and other factors. of which are difficult to predict and many of which are beyond the company's control, which may cause the company's actual results, performance, or achievements to differ materially from those in the forward-looking statements. Further information regarding these and other risks and certainties or factors are included in the company's filing with the US SEC. The company does not undertake any obligation to update any forward-looking statement as a result of new information, future events, or otherwise except as required under applicable law. Finally, please note that, unless otherwise stated, all financial figures mentioned during this conference call are denominated in RMB. It's now my pleasure to introduce our CEO, Mr. Yu Linglong. Please go ahead.

Thank you, Nicole. Hello, everyone. Welcome to the 2nd quarter of 2021. The company's total revenue in the 2nd quarter reached RMB21.7 billion. The highest single-segment income in history increased by 41.6% in the same period. The increase in the same-segment rate increased by 30.4% in the first quarter. The net income of the public sector is 15.5 billion yuan. The increase in the same-segment rate in the first quarter is absolutely worth 1.6 billion yuan. It is the highest level in history. It is also the sixth consecutive quarter since the company was listed. The net income of the public sector increased by 6.2 billion yuan. The same-segment rate increased by 152.8%. Thank you, Nicole, and thank you all for joining our second quarter 2021 earnings call. In the second quarter, we generated RMB 2.17 billion in total revenues, which was a new record for us.