36Kr Holdings Inc.

Hello, ladies and gentlemen. Thank you for standing by for 36KR Holding Inc.' 's second half and fiscal year 2025 earnings conference call. At this time, all participants are in listen-only mode. After management's remarks, there will be a question and answer session. Today's conference call is being recorded. I will now turn the call over to your host, Xin Wang, IR manager of the company. Please go ahead, Xin.

Thank you very much. Hello, everyone, and welcome to 36KR Holdings' second half and fiscal year 2025 earnings conference call. The company's financial and operational results were released earlier today and have been made available online. You can also view the earnings press release by visiting the IR section of our website at ir.36kr.com. Participants on today's call will include our chairman and CEO, Mr. Da Gangfeng, and our Chief Financial Officer, Mr. Xiang Li. Mr. Feng will start the call by providing an overview of the company and the performance highlights of the second half and fiscal year 2025 in Chinese, followed by an English interpretation. Mr. Li will then provide details on the company's financial results before opening the call for your questions. Before we continue, please note that today's discussion will contain forward-looking statements made under the safe harbor provisions of the U.S. Private Security Litigation Reform Act of 1995. Forward-looking statements involving fear and risks and uncertainties. As such, the company's results may be materially different from the views expressed today. Further information regarding this and other risks and uncertainties is included in the company's perspectives. other public filings as filed with the US SEC. The company does not assume any obligation to update any forward-looking statements except as required under applicable law. Please note that 36KR's earnings press release in this conference call includes discussions of unaudited GAAP financial matters as well as unaudited non-GAAP financial matters. 36KR's earnings press release contains a reconciliation of the unaudited non-GAAP measures to the unaudited GAAP measures. Please note that all amount numbers are in RMB. I will now turn the call over to our Chairman and CEO, Mr. Da Gangfeng. Paolo, please go ahead.

Thank you. Hello, everyone. I would like to welcome everyone to attend our call conference for the next half-year and full-year performance.

Thank you. Hello, everyone. Thank you for joining our second half in the fiscal year 2025 earnings conference call.

Over the past two years, 306K has always focused on efficiency improvement and financial structure optimization, continuous adjustment of organizational structure, and the classic cash flow process. In 2025, we achieved a key breakthrough in the business level on the basis of maintaining a stable income. We want to say that this is a result that our entire team and all stakeholders are looking forward to. This is an unprecedented result. This is a key turning point.

Over the past two years, 36KR has consistently focused on improving operating efficiency and optimizing financial structure. We have continuously upgraded our organizational structure, optimized expenses, and strengthened our core capabilities. In 2025, while maintaining solid revenue performance, we achieved a major operational breakthrough by turning profitable. At the same time, our cash reserves remained stable, paving the way for the company's long-term financial health in the sustainable innovation-driven growth.

In 2005, the company's overall net profit rate reached 57.7%, which increased by 9%. The operating cost decreased by nearly 70 million yuan in the same period as last year. The operating cost rate will reach 53%. For the full year of 2025, our gross profit margin reached 57.7% and increased by 9 percentage points year-over-year.

Operating expenses decreased by almost $70 million from the same period last year. Our total operating expenses as a percentage of the total revenues decreased to 53%. Notably, the company recorded a net profit of $11 million for the year. These achievements were driven by our continued integration of content innovation, commercialization breakthroughs, and the technological applications into the company's business operations. which together optimized our organizational structure and improved workforce efficiency.

In 2025, we will continue to build up our industry with high-quality long-term content and improve our impact. In terms of distribution channels, we will continue to promote the distribution of the whole network through Weibo, Xiaohongshu, Weibo, Weibo, Weibo, Weibo, Weibo, Weibo, Weibo, Weibo, Weibo, Weibo, Weibo, Weibo, We consistently fortified our content ecosystem in 2025, leveraging our PLS content creation prowess to steadily extend our influence.

In terms of our content dissemination network, we expanded our footprints across diverse channels. crafting a comprehensive circulation matrix, encompassing major news medium platforms like Weibo, Xiaohongshu, Touqiao, Zhihu, Bilibili, Douyin, and Kuaishou, among others. Broad channel exposure has brought us wider overall dissemination and higher visibility for our premium content. Our consistent production of high-quality content also diversified our user demographics, elevating user engagement and stickiness. At the end of 2025, we had over 36.8 million followers, marking 19 consecutive quarters of user growth.

At the end of 2025, we had over 36.8 million followers, marking 19 consecutive quarters of user growth. At the end of 2025, we had over 36.8 million followers, marking 19 consecutive quarters of user growth. At the end of 2025, we had over 36.8 million followers, marking 19 consecutive quarters of user growth. At the end of 2025, we had over 36.8 million followers, marking 19 consecutive quarters of user growth. Future consumption, 360 games, Ion Waves, 30G finance, Hulang Research Institute, Chaosheng Tide, and other high-quality and top-notch content channels are constantly accumulating. The coverage of the content is wide and the depth of accumulation in the segment area leads users to investigate industry trends and commercial hot spots. In the beginning of 2025, we launched the 30G Future Industry as a new content channel that focuses on city innovation and cutting-edge technology and arranges the influence of future production. This will enhance innovation, industry cultivation, single report, and get 70,000 public number reads, and the whole platform will be exposed to more than 100,000. We explored a growing area of content formats throughout 2025, including text, graphics, short and long-form videos,

audio and live streaming, enriching our content offering with a greater diversity of styles. For text and graphics, we continue to create high-quality content on multiple fronts while maintaining our existing content metrics. Building our flagship channels, including 36KR and 36KR Pro, we continuously broaden our reach in sub-verticals, actively expanding high-quality content-specific accounts like the Emergence of Intelligence, 36KR Auto, Future Consumption, 36KR Games, Waves, 36KR Finance, OUth, and Tide, among others. These accounts enriched our metrics with both broad content coverage and deep expertise in specialized domains, providing users with invaluable insights into industry trends and evolving business dynamics. At the start of 2025, we rolled out 36K industry future and all new content channels spotlighting urban innovation in a state-of-the-art technologies, building our influence in emerging industries. A notable feature on the innovative pharmaceutical sector in Zhejiang Province garnered over 70,000 page views on our official WeChat account and more than 100,000 total exposures. To date, our accounts cover artificial intelligence, global expansion, and once the manufacturing, hardcore technology, consumer lifestyle, investment, and much more, comprising a thriving content ecosystem. For the full year of 2025, on the 36K, our official account alone, 698 of our articles achieved over 100,000 page views. Meanwhile, waves of followers expanded by 54% year over year.

In terms of short videos, we have gained the wide attention and recognition of users with excellent content source capabilities. The number of video fans on the whole platform exceeds 9.5 million, of which the number of video fans has increased by 67% in the same ratio. In the second half of 2025, after the launch of Douyin's Kekeji signal, we will create videos of A.I. handouts, A.I. warehouse owners, etc., which have reached more than 130,000 viewers. In addition, we have achieved more than 10 million broadcasts in Xiaohongshu, Douyin, and Bilibili.

In terms of a short video, our exceptional content creation capabilities earned us widespread visibility and rave reviews from users. Our video followers expanded 9.5 million as of the end of 2025, with WeChat channel followers surging by 67% year-over-year. Following the debut of our brand-new 36KR Tech account on Douyin in the second half of 2025, We released broadcaster videos such as AI Confidence and AI Creator, attracting over 130,000 followers to date. In addition, our video Undercover Multi-Hosted Life garnered over 10 million views on Xiaohongshu, Douyin, WeChat channels, and Bilibili.

In terms of live broadcast, in 2025, we will use the human resources, machine integration, and natural resources to fully utilize WeChat video accounts and train a series of machine accounts. including the high-tech market, sea-going industrial production, and Sanrio's ZEU. At the same time, we are the first AI entrepreneur and independent developer in the field of AI decision-making. In July, 2025, the World AI Conference was held. Sanrio, as a special support media, achieved a full-scale report of the conference, a wonderful dialogue, a detailed technical discussion, and a super-live room that predicts the future of technology and new products. Sanrio has a total audience of 50.2 million. Sanrio's live broadcast has a total view count of 1.12.7 million. In addition, in 2025, AWE will cooperate with ZANZHOUKE to create a mobile robot special exhibition area. ZANZHOUKE will collaborate with five robot companies to create a mobile robot special exhibition area in the future. It will deeply show the advantages of giant intelligence in the home electronics industry and home appliances industry, and explore the potential of the robot market. At this exhibition, ZANZHOUKE's video number will have 1,040,000 views on live broadcasts and 8,000,000 views on the whole network.

In live streaming this year, we optimized our resources with a streamlined team and fully leveraged the WeChat channels to cultivate an array of content-specific accounts, including the Big Deal, Global Expansion, Golden Shovel, and 36KR's EOTips. We also unveiled AI Insider, a program targeting AI entrepreneurs and independent developers. During this year's World Artificial Intelligence Conference in July, 36KR served as a special supporting media partner and offered a super live streaming channel that combined conference reporting, expert panels, and cutting-edge technology insights. future-trained forecast and tech product scoops, gathering 50.2 million total views and engaging 1.17 million viewers across the 36KR live stream metrics. Moreover, as Appliance and Electronics World Expo 2025 36KR launched its first robot-themed exhibition, Future Plus, in partnership with five robotics companies, showcasing the immense potential upside of embodied artificial intelligence in home appliances in the home settings. With this exhibition, the 36K RV chat channel's live stream garnered over 1.04 million views in total, racking up over 80 million views across diverse platforms.

In terms of IP summit, in 2025, we will hold a VILS conference focusing on the investment industry. This conference focuses on technology, ... ... ... ... ...

In terms of events IT, we hosted our signature investment-focused conference WAVES in 2025, centered on the new era of venture capital. Founders of emerging companies and innovative young scientists gathered the top-tier investors to discuss leading-edge topics. including AI breakthroughs, globalization, and value assessments. This year's Waves event amassed over 150 million views. In addition, our 2025 AI Partner Summit focused on the AI sector under the theme, Here Comes the Super App, highlighted the disruptive impact of AI super applications across diverse industries. garnering over 130 million views. In the second half of the year, we hosted the WISE 2025 Business King Conference at the company's largest annual flagship conference. WISE 2025 Business Kings garnered an impressive 500 million-plus views across diverse platforms, with its live stream raking up more than 800,000 views. In 2025, our deep expertise in innovation in content and IP sparked continuous commercialization breakthroughs, including client structure optimization, stronger commercialization of sub-vertical media channels for younger audiences,

new momentum in live streaming and video revenue, and meaningful progress in industrial services commercialization.

In terms of client structure optimization, our enriched content ecosystem and diverse content distribution channels empowered us to consistently expand our portfolio of services and products. Constantly enhancing our commercialization capabilities within our internet client portfolio, revenue from AI-related services continued to grow. with the number of clients across model, application, and hardware layers steadily expanding. Regarding the commercialization of subvertical media channels for younger audiences, revenue from channels like OU's and Tide's increased by over 50% year-over-year, with the core clients continuously making repeats of purchases, reflecting sustained client recognition of our juicy content.

In terms of live streaming and video business commercialization, the number of new customers has increased by more than 50% in terms of live streaming and live streaming. In terms of live streaming revenue in 2025, it has increased by nearly 40%. In terms of technology exhibitions in 2025, such as AWE and WAIC, we have also increased the development of live streaming products for exhibitions. We opened a low-cost unit product line for the rich market demand. All the original high-cost units have been added to the high-performance broadcast content. In this way, we provide more live-stream products for more customers, especially those who are starting-up companies, and help them reach more potential users. With the continuous improvement and innovation of live-stream content in the Chuhai Corridor, we are the first to achieve the breakthrough of the Guangzhou Association of Customers and complete important business cooperation. The live-stream content has also been highly recognized by the organizer. At the 4th Global Digital Conference held in Hangzhou, we joined the Hangzhou Cultural Broadcasting TV Group, As for live streaming in the video commercialization, the number of clients placing short videos in the live streaming orders continues to grow.

with new clients exceeding 50% of the total. For the full year of 2025, our live streaming revenue surged by nearly 40% year-over-year. Leveraging major technology exhibitions in 2025, including AWE and WAIC, we stepped up our development of live streaming offerings, tailored for event coverage. To address diverse market needs, we launched a low ARPU product line effectively coordinating our existing high-resolution premium commercialization content offerings. This expanded the appeal of our video and live streaming offerings to more clients, particularly out-of-stage startups, enabling them to reach more potential users. Furthermore, Thanks to our sustained efforts in the global expansion segment in the live streaming content innovation, we achieved a breakthrough with content fair clients, forging important commercial partnerships, and earning high recognition from the organizers with our live streaming content. At the fourth Global Digital Tweet Expo held in Hangzhou, we partnered with Hangzhou Culture Radio Television Group on a full event, uninterrupted live streaming matrix, Across the five-day event, total online attendance exceeded 2.7 million, more than 10 times the number of on-site visitors. Looking ahead, we will continue to explore new live stream formats and scenarios, building richer content scenarios and more diverse service models for users and clients.

In terms of industrial service, in 2015, Sinovac and Hanzhou's Tianchang New Area Investment Group 9,000 companies to achieve a three-year cooperation relationship and successfully complete the contract. The main purpose of the cooperation between the two parties is to introduce the professionalization and operation organization capability of 36H. By this, the capacity of the content to be broadcast and the abundant industrial resources will help the front-end area to build a company service ecosystem and operation system with its own characteristics to enhance regional influence. On the other hand, the influence of the future industry, OpenTalk, and the industrial belt plan of 36H continues to expand. We are focusing on low-altitude economy, commercial aerospace,

For industrial service commercialization in 2025, 36KR reached a three-year strategic partnership agreement with Hangzhou Tiantang New Area Construction and Investment Group Company for the Chinese Enterprise International Services Center Operations Project. and AI Panorama Community Operations Project. This collaboration will leverage our expertise in organizational operations in online content distribution, as well as our vast network of industry resources to support QianTang New Era in building a unique service ecosystem and operational framework for corporate empowerment, amplifying its regional influence. Furthermore, building on the growing influence of the 36KR Industry Future Open Talk and the 36KR Industrial Belt project, we focused on key sectors driving urban industrial transformation and future industry development, including low-LTG economy, commercial aerospace, advanced manufacturing, and new energy and materials. This initiative attracted more than 200 upstream and downstream industry projects and government entities, fostering deep collaborations and commercial partnerships. Beyond these advertisements across content and commercialization, we continue to expand the boundaries of the meeting in 2025, consistently driving cutting-edge AGI applications to further optimize content production and commercialization efficiency.

2020 is also a year of high-density output information for the domestic AI field. In the beginning of 2025, in and outside of China, 365 is the world's only technology media with two exclusive interviews and deep-seq founders. In addition to artificial intelligence, AI, and other deep-dive graphics, in 2005, we released AI graphics, science and technology, and other video accounts, and followed up with the future of AI. In addition to AI, we have a series of research reports. In addition, we have a series of research reports. We have a series of research reports. In addition, we have a series of research reports.

On the content side, we provided intensive coverage of China's AI ecosystem in 2025. At the beginning of 2025, 36KR made headlines at home and abroad as the only tech media outlet worldwide to have exclusively interviewed DeepSeek's founder twice. In addition to our deep vertical text and graphic accounts like the emergence of intelligence and the ways we launch the video channels such as AI Maps, and 36KR Tech in 2025. The Future Human Laboratory official account focused on AI interviews for consumers. The lightweight online tech products launched series Project X and the live streaming series AI Insider featuring in-depth conversations and real-world testing with leading voices at the forefront of AI. We also released an area for research reports on advanced productivity in the AGI area. Additionally, we hosted multiple live streaming sessions around the major events such as WAIC, showing strong engagement and recognition from within the industry and beyond.

除了内容端的女人出角, 现在会积极将AIGC技术与自身内容生态相融合。 我们在2024年下半年上线的AI研究报道, 产品底层充分结合利用大模型技术及AI算法, 包括AI机器人采访,报道内容生成等。 In addition to AI-focused content, we have actively integrated AIGC technology into our system to enhance the

efficiency company-wide. Our AI medium coverage product, launched in the second half of 2024, leverages large-scale AI model technologies in the AI algorithm to produce AI-powered interviews and generate content. The underlying system incorporates multiple developers of large AI models, such as Doubao and Tongyi Tianwen, among others. We also integrated DeepSeq in March 2025. In 2025, AI meeting coverage covered 1,308 companies, highlighting their latest initiatives for fundraising ventures. AI meeting coverage has meaningfully improved our content team's efficiency, substantially easing previous manpower limitations and enhancing our coverage of startups.

Thank you very much.

We also launched the 36KR Corporate Omni Intelligence in October 2024, targeting investors in the secondary market by providing AI-powered daily sentiment analysis reports for public companies. The service currently covers over 7,800 public companies listed in mainland China and Hong Kong. Users can search, filter, and subscribe to reports on their preferred companies. receiving daily analysis in a personalized content format. The product's underlying sentiment data is a collaboration between 36KR and Soften, a fully owned subsidiary of BeyondSoft. Having nurtured a community of several hundred core users, currently we have a cumulative user base of 36,600, including 6,187 subscribers.

At the end of 2025, we launched our AI Review Hub.

36AIDianping.com, a community platform integrating AI tool discovery and authentic user reviews, primarily serving individual and enterprise users seeking guidance in selecting AI tools. Backed by professional content output and high-quality review services, the platform's new product AI review section gained traction in both reputation and performance. 516 AI review articles have been posted in total. with content appeal and user engagement steadily rising.

With AI products and tools, we have improved the simplicity, sensitivity, and execution of AI technology applications. In 2025, with AIGC technology and the natural compatibility of the content production industry, we will fully utilize AIGC technology in information recognition, text processing, and image creation. In addition, we will continue to expand our business borders and continue to promote AI technology in the application of diversified scenarios.

Our investment of AI products and tools further underscores 36KR's foresight, human, and outstanding execution capabilities in AI. Leveraging the inherent synergies between AIGC technology and the content production industry, we maximized AIGC technology utilization in our content production activities this year, including information identification, text processing, and image generation. Moreover, we continue to broaden our business scope by actively promoting AI applications across diverse business scenarios. The launch of these AI products has enhanced the coverage and the precision of our customer outreach initiatives, connecting with a diverse spectrum of enterprises and organizations previously beyond reach due to bandwidth and manpower limitations, and turning them into clients.

From the top, the 2025 company's implementation of NiuHuiWeiYing is a step-by-step achievement that has persisted in business optimization and innovation in the past two years. It is also an important start to our long-term commitment to the bottom line of financial health. In the future, 3.6G will always be the core premise of financial health as the core development of the company, continue to optimize the cost structure, improve operating efficiency, and maintain the stability of cash flow and profit level. At the same time, we will continue to build on the core advantages of content, deepen the construction of content, promote commercialization and multiple breakthroughs, and continue to upgrade AI technology production applications, continue to expand business boundaries, and deeply combine technical innovation with content value and industrial service. The development of high-quality energy technology companies will realize the long-term development of financial health and creative development.

In summary, as we turned profitable in 2025, the company reached a milestone achievement after two years of sustained operational optimization and innovative development, marking the start of a long-term commitment to financial health. Looking ahead, we will consistently place financial health as a foundational core of our development. Constantly optimizing cost structure and improving operating efficiency to maintain stable cash flow and profitability. Moreover, building on our core content strengths, we will continue to fortify our content ecosystem by driving commercialization breakthroughs on diverse fronts and broaden our business scope by actively expanding AI applications across industries. We will deeply integrate technological innovation with available content assets and the industrial services to empower high quality of growth for technology enterprises, ensuring that financial health and innovative development reinforce each other and drive growth over the long term. With that, I will now turn the call over to our CFO, Mr. Xiang Li, who will discuss our key financial results. Please go ahead, Xiang.

Thank you. Thank you, everyone, and thank you for joining today's presentation. We will now review the second half of 2025 and the full-year financial performance. Please note, all the amounts are in RMB, unless otherwise stated. Our total revenue increased by 4.7% to $134.8 million in the second half of 2025 from $128.7 million in the same period of 2024. Total revenues for the full year of 2024 were $227.9 million compared to $231.1 million in the previous year. Online advertising services revenues increased by 5% to 105.2 million in the second half of 2025, from 100.2 million in the same period of 2024. The increase was primarily attributable to strong advertising demand from AI and high-tech companies, which 36KR captured through its focus on the tech vertical. For the full year of 2025, our online advertising services revenue were $179.7 million compared to $180.6 million in the previous year, relatively slight year over year. Enterprise value-added services revenue increased by 7.7% to $20.9 million in the second half of 2025. from 19.4 million in the same period of 2024. For the full year of 2025, our enterprise value added services revenue increased by 1.2% to 33.2 million from 32.8 million in the previous year. The increase was primarily attributable to more innovative marketing solutions we provide to our customers, as well as proactive sales strategies we adopt to navigate the challenging environment. Subscription services revenue were $8.7 million in the second half of 2025. compared to $9 million in the same period of 2024. For the full year of 2025, decrease by 14.2 percent to $50.1 million from $17.6 million in the previous year. The decrease was mainly attributable to a strategy shift in training services and a continued focus on refining this segment's customer base. Cost of revenues decreased by 12.6% to $54 million in the second half of 2025 from $61.8 million in the same period of 2024. For the full year of 2025, our cost of revenue decreased by 18.8% to $96.4 million in fiscal year 2025, from $118.7 million in the previous year. The decrease was primarily attributable to companies' strict cost control measures. Gross profit increased by 20.8% to $80.8 million in the second half of 2025 from $66.9 million in the same period of 2024. Gross profit margin increased by 8 percentage points to 60% from 52% over the same period of 2024. For the full year 2025, our gross profit increased by 17.1% to $131.5 million in fiscal year 2025, from $112.3 million in the previous year. Gross profit margin increased by 9.1 percentage points 57.7% from 48.6% over fiscal year 2024. The increase in gross margin were mainly attributable to higher gross margin from brand advertising services offered across 36 KR digital platforms, as well as a strong rebound in revenue from these services this year. operating expenses decreased by 10.3% to $65.6 million in the second half of 2025 from $73.1 million in the same period of 2024 for the full year of 2025, or operating expenses decreased by 36.1% to $121.5 million from 190.1 million in the previous year. The decrease was primarily due to displaying operating expenses management. Sales and marketing expenses were 37 million in the second half of 2025, a slight decrease of 0.5% from 37.2 million in the same period of 2024. For the full year 2025, our sales and marketing expenses decreased by 19.6% to 66.4 million from 82.6 million in the previous year. The decrease was primarily attributable to the decrease in payroll-related expenses, travel and entertainment expenses, and the marketing and promotional expenses. General and admin expenses were 22.4 million in the second half of 2025. 26.1% decrease compared to 30.3 million in the same period of 2024. For the full year 2025, our general and admin expenses decreased by 54.5% to 42.4 million from 93.1 million in the previous year. The decrease was largely attributable to the decrease in personal related expenses and the provision of allowance for credit losses. Research and development expenses were 6.3 million in the second half of 2025. a decrease of 12.5% from $5.6 million in the same period of 2024. For the full year 2025, our R&D expenses decreased by 11.8% to $12.7 million from $14.4 million in the previous year. The decrease was primarily due to the reduction in R&D HICOM folding, attaining restructuring, in the previous year are partially offset by an increase in salaries and discretionary bonuses for the R&D team this year. Shared data compensation gains recognize the cost of revenues, sales and marketing expenses, and research and development expenses, as well as general and admin expenses. totaled 76.2 thousand in the second half of 2025. Compared to share-based compensation gain, 220 thousand in the same period of 2024. For the full year 2025, the total amount of share-based compensation gain were 13.4 thousand compared to 180 thousand of share-based compensation expenses in the previous year. The change were mainly due to higher reversal of SBC expenses caused by strategy workforce optimization in 2024 compared to 2025. Other income were 1.1 million in the second half of 2025. compared to other expenses of $38.6 million in the same period of 2024. For the full year 2025, our other income was $1.4 million compared to $63 million of other expenses in previous year. The change reflected large long-term investment impairment losses recognized in 2024. Income tax expenses were 25,000 in the second half of 2025, compared to 1,000 of income tax credit in the same period of 2024. For the full year 2025, our income tax expenses decreased by 67.2% to 21,000 from 64,000 in the previous year. Net income was $16.2 million in the second half of 2025 compared to net loss of $44.9 million in the same period of 2024. For the full year 2025, the net income was $11.4 million compared to net loss of $140.8 million in the previous year. The turnaround was primarily driven by the effectiveness of the company's strategic initiatives focused on cost control and high-margin business, along with the reduction in impairment loss on long-term investment and the lower provision of allowance for credit loss resulting from improved receivables collection. Net income attributable to 36 KR Holding Inc.' 's ordinary shareholders was $16.1 million in the second half of 2025, compared to net loss attributable to 36 KR Holding Inc.' 's ordinary shares of $42.3 million in the same period of 2024. For the full year 2025, Net income attributable to 36 KR Holding Inc's ordinary shareholders were 11.2 million in fiscal year 2025 compared to net loss attributable to 36 KR Holding Inc's ordinary shareholders of 136.6 million in the previous years. Basic and diluted net income per ADS were both 7.616 in the second half of 2025, compared to basic and diluted net loss per ADS of 19.999 in the same period of 2024. For the full year of 2025, basic and diluted net income per ADS were 5.616. 274 and 5.266, respectively, compared to basic and diluted net loss per ADS of 64.795 in the previous year. As of December 31, 2025, the company has cash, cash equivalent, restricted cash, and short-term investment of $116.1 million, an increase of 25.5% from $92.5 million as of December 31, 2024. Well, this concludes all our prepared remarks today. We will now open the call to questions. Operator, please go ahead.

Thank you. If you wish to ask a question, please press star 1 on your telephone and wait for your name to be announced. If you wish to cancel your request, please press star 2. If you're on a speakerphone, please pick up the handset to ask your question. For the benefit of all participants on today's call, if you wish to ask your question to management in Chinese, please immediately repeat your question in English. Your first question today comes from Lingyi Zhao with the SWS Research. Please go ahead.

Hello. Thank you. Thank you, Lingyi.

We are old friends. We have been in the same company for many years. Finally, we can say that we are very excited. Thank you for your support for many years. Our team, management and shareholders are very happy. I will answer your question. For the overall market trend in 2026, we are relatively cautious. This is an optimistic attitude. The market income is mainly related to the red market environment. The red market environment is relatively severe at the moment. It should be said that the whole industry has not had a very good growth. But we ourselves still keep a relatively cautious perspective because we think we have seen a few key points. First, our old customers have maintained a very good stability. For example, our brand customers, our online customers have maintained a relatively stable consumption. Especially big customers. And then our new customers are constantly increasing. In the past, in 2024 and 2025, our new customers increased and increased the turnover of the company, which should have played a big role. At the same time, our new products more popular, for example, including this kind of video, this kind of live broadcast. In the past, the growth has been quite good. Last year, our live broadcast and video added customers, added customers have exceeded 50%, and then the income of AI continues to increase. This is a new industry, including our live broadcast income. In fact, in such an environment, we have increased by 40%. The other point is that our young people, we are more, our 2C content, the content of young people, is more popular in the market, including our hoolang, Chaosheng, this kind of young self-media's human resources are constantly increasing. Then we can see that its young self-media, such as Hulang, is also growing quite well.

Well, Lin Yi, old friend, thanks for your support for the past several years, and we are very happy for the good results we have. Well, for your question, We are cautiously optimistic about our advertising growth trajectory for 2026, and advertising revenue was largely influenced by macroeconomic headwinds and declined advertising budgets. Despite the macro challenges, our overall advertising revenue remained stable as we maintained solid partnerships with our internet sector key accounts and leading brand customers. Leveraging the audience reach and influence of our sub-vertical medium channels for younger audiences such as youth and tight, as well as the new live streaming and video formats like AI Insider. We continue to develop the tailored promotion solutions in the products that gain strong client approval. In 2025, we added over 50% new clients in our live streaming and video businesses. AI-related demand steadily increased, live streaming revenue increased by 40%, outpacing market trends, and our sub-vertical media channels for younger audiences amplified by old youth grew by more than 50%.

In 2026, we will continue to upgrade the video and live streaming fields, and continue to invest in the original production, and plan to make more new columns and forms on the live streaming side. In 2026, we will continue to advance live streaming development, step up our investment in content creation,

explore a wider area for programs in formats in live streaming, and continue to build depth in key content verticals that matter most to our clients, such as AI and global expansion, further enriching our content ecosystem. Meanwhile, as we empower clients across diverse industries with premium content to meet their evolving communication needs,

we are confident in strengthening the resilience of our advertising business.

Well, for your second question, Last year, our growth profit margin improved substantially, mainly because we focused on high-margin businesses, streamlined low-margin operations, and implemented an area of cost control initiative for the past one year. Together, this endeavor significantly increased our growth profit margin.

Thanks for your question. Thank you. Your next question comes from Rui Yin with Sealand Securities. Please go ahead.

Thank you.

Well, this is In-Rui from Sealand. And the question is, what are the drivers behind the growth in value-added services?

Okay, thank you, In-Rui. On the one hand, we have done a lot of key IP activities in 2025. This activity continues. For example, we are planning to hold the WEST Summit, AI Partner 100-Year Summit, and Industry Future Summit. In addition to our own IP access, we are also making changes to the content layout of our industry services in 2025. We are also making changes to our business flow and structure. Including our cooperation with more well-known branches, such as AWE and WIC, we have achieved very good results. We have also done a lot of in-depth cooperation with many government-led national organizations. Among them, in 2005, we also worked with some local governments, such as Hangzhou, to do a three-year cooperation with China's Central International Service Center and AI Wanxing Wanxiang Community Service Program, and then successfully completed the signing. The purpose of our cooperation is to help Hangzhou's local government to build their own corporate service ecosystem and operating system to improve their regional influence through the specialized operation organization capability, high-quality content transmission capability and extensive industrial resources.

Well, the growth was mainly driven by the first factor. The first one is many of our legacy IP events continued to perform well in 2025. Over the second half of the year, we successfully hosted multiple events, including WISE WISE and AI Partner Conference for all industries, the Industrial Future Conference, and more. Beyond this IP submits, we had by ourselves, we also cooperated with AWE, WAIC, those national submits. Well, besides, I've already mentioned in 2025, we also restructured our content strategy, business roadmap, and organizational structure for the industry services businesses. In 2025, 36KR upgraded to a three-year strategic partnership with Hangzhou Qiantang New Area Construction and Investment Group Company for the Chinese Enterprise International Services Center operations project and the AI community operations projects. This collaboration will leverage our expertise in organizational operations in the online content distribution, as well as our vast network of industry resources to support Tian Tang New Area in building a unique service ecosystem in the operational framework for corporate empowerment, amplifying its regional influence.

In addition, just like what we talked about before, every time we make a new product, every time we make a new service, every time we enter a new market, our content and service products are always the same. Let me give you an example. For example, in the three-state retail industry, As a company, we pay attention to city innovation and advanced technology, and set up a new content channel for the future of industry. In the past year, almost 90 articles have been published in total, and many of them have received very large traffic. As a signal, the whole network exposure is very large. Thanks to the continuous expansion of the impact of the industry and the OpenTalk industry belt plan, we have more than 200 companies and local governments in Shanghai. We will continue to explore new products of industry service according to customer needs.

Well, the second reason, like, well, we've talked a lot. Each time we want to start a new market, we will deploy the new content accounts. For example, well, our content strategy for industry services began to yield a positive outcome, statistics of KR industry future. Our all-new content channel spotlighting urban innovation, state-of-the-art technologies in our reach across emerging industries. has published nearly 90 articles over the past year. Notably, a single feature on the innovative pharmaceutical sector in Zhejiang Province garnered over 70,000 page views on our official WeChat accounts and more than 100,000 total exposures. Moreover, building on the growing influence of the 36KR Industry Future Open Talk and 36KR Industry Belt project, we have connected with over 200 upstream and downstream companies in the local governments and will continue to develop the industry service offerings to better meet client needs.

Well, thank you for the question. Thank you. As there are no further questions, I'd now like to turn the call back over to the company for closing remarks.

Well, thank you once again for joining us today. If you have further questions, please feel free to contact 36K ARG Investor Relations through the contact information provided on our website.

This concludes this conference call. You may now disconnect your line. Thank you.