Jianpu Technology Inc.

Good day, and welcome to the GN2 Technology, Inc. fourth quarter and full year 2022 earnings conference call. All participants will be in listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star, then one on your touch-tone phone. To withdraw from the question queue, please press star, then two. Please note this event is being recorded. I would now like to turn the conference over to Mr. Colin Chung, head of corporate development at IR. Please go ahead.

Thank you, operator. Hello, everyone, and thank you for joining us today. Our fourth quarter and fiscal year 2022 earnings release were distributed earlier today and is available on our IR website at ir.genpool.ai, as well as on PR Newswire services. On the call today from JEM for Technology, we have here Mr. David Yeh, co-founder, chairman, and chief executive officer, and Mr. Oscar Chen, chief financial officer. Mr. Yeh will talk about our operations and company highlights, followed by Mr. Chen, who will discuss the financials and guidance. They will be available to answer your questions during the Q&A session that follows. Before we begin, I'd like to remind you that this conference call contains forward-looking statements as defined in Section 21E of the Securities Exchange Act of 1934 and the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management's current expectations and current market and operating conditions and relate to events that involve known or unknown risks, uncertainties, and other factors, all of which are difficult to predict and many of which are beyond the company's control. These risks may cause the company's actual results or performance to differ materially. Further information regarding these and other risks, uncertainties, or factors is included in company's filings with the U.S. SEC. The company does not undertake any obligation to update any forward-looking statements as a result of new information, future events, or otherwise, except as required under applicable law. Finally, please note that unless otherwise stated, all figures mentioned during the conference call are in remit B. It is now my pleasure to introduce our co-founder, chairman, and chief executive officer, Mr. David Yeh. David, please go ahead.

Thank you, Colin. Hello, everyone, and thank you all for joining us today. Looking back on the year of 2022, despite the challenging economic environment, we weathered the storm and achieved sound business growth overall. The stringent pandemic control measures and the subsequent outbreak in Q4 was one of the toughest periods we've dealt with in the last few years. Our growth was hindered in the fourth quarter, as revenue did not follow our historical seasonal trends. The total revenue of both our loan and credit card recommendation services recorded a substantial quarterly decline of 23.4 percent and 16.3 percent in the fourth quarter. The progress of our new business initiatives also slowed. Despite these difficulties, we successfully maintained cost control measures and enhanced operating efficiency, resulting in a quarter-over-quarter net loss reduction of 20.0 percent in the fourth quarter and a slight net loss margin improvement from 9.3 percent to 8.1 percent. Again, such a testing backdrop throughout the year, we took several preemptive measures to show up our businesses. We appreciated ourselves by leveraging our unique asset-light platform model in the marketplace and, consequentially, achieved both growth and efficiency gain on a four-year basis. Overall, we delivered a set of resilient results with a steady recovery across multiple business lines during the year. On a year-over-year basis, we recorded solid revenue growth of 22.9% and achieved a significant margin improvement of net loss margin to 13.6% from 25.4% in 2021. These defined results were primarily driven by our relentless efforts to enhance our market-leading position, maintain a balanced and diversified revenue structure, improve operating efficiency, and execute disciplined cost optimization measures. We remain committed to our vision of becoming everyone's financial partner and empowering the digital transformation of financial industry, as well as other adjacent categories. Let me now go through the key measures we took in 2022, which we will continue to deploy in 2023. First, we continue to empower the digital transformation of financial service providers through our enhanced technological and operating capabilities. In 2022, our recommendation business So revenue growth of 27.2% year over year, reflecting our proven ability to support the financial institutions in the areas of digital marketing, user acquisition, customer retention, and risk management. Throughout 2022, we continue to expand our geographic coverage in less affluent cities and less developed regions. further growing our user base to encompass more diversified demographic spectrum. Moreover, for our credit card recommendation services, we cooperated with 56 banks compared to 51 last year, which account for more than 80% of online credit card issuing banks in China. Apart from large banks, we further expanded our network to regional banks as well as provincial branches of national banks, further diversify our client base. Together with our robust regulatory and compliance measures and unique omnichannel marketing capabilities, these initiatives increased the four-year revenue of our loan recommendation and credit card recommendation by 54.1% and 16.2% year-over-year, respectively. With innovation as our driving force, the solutions we provide to financial institutions are based on our deep technological capabilities in artificial intelligence and machine learning. In November 2022, we were honored with the Innovation and Entrepreneurship Practice Award by Harvard Business Review Ryan Sheran Management Practice Award. in recognition of our renowned track record of empowering the digital transformation of financial institutions. Furthermore, we received the Data Security Compliance Best Practices Award by the China Academy of Information and Communication Technology under the Minister of Industrial and Information Technology, demonstrating our sophisticated and innovative capabilities in data security and compliance. Second, we achieved promising breakthroughs in expansion to adjacent categories. Building on our leading position in serving financial service industries, our resources and expertise in social media and partner progress, we embarked on new strategic initiatives with non-financial sector partners throughout 2022. By establishing partnership with sector leaders from telecommunications, e-commerce, and lifestyle companies, we explored ways to enhance digital transformation from user acquisition and retention operation capabilities. These new business efforts helped boost our four-year revenue from marketing and other services by 62%. 0% year-over-year, with the revenue contribution of such services increasing steadily from 12.3% in 2021 to 16.3% in 2022. Third, our operating efficiency enhancement and the cost optimization measures led to steady margin improvement. Despite the challenging environment, our overall ROI which is revenue from recommendation services, marketing, and other services divided by the corresponding cost of acquisition and the promotion. Improved year-over-year by 14 percentage points in the fourth quarter and nine percentage points in the full year of 2022. During the fourth quarter, we saw a year-over-year ROI improvement of 13 percentage points for recommendation services and 12 percentage points for marketing and other services. Our total operating expenses, including sales and marketing, R&D and G&A, decreased by 15% year over year in 2022. This was driven in part by ongoing fixed cost reductions, which particularly impacted rental, back office, and HR costs. As a result, we achieved further margin improvement and a decline in net loss during the year. Specifically, our operating loss and net loss reduced by 41 percent and 34 percent year-over-year in 2022, respectively. Our operating loss margin and net loss margin improved by 17 and 12 percentage points in 2022, respectively. Finally, I now take a few minutes to share our observations of the macro and regulatory environment that would potentially impact our businesses. Regarding the macro environment, the government began easing COVID-19 control measures in early December. As a result, an unprecedented wave of infection spread through the country rapidly. which has stabilized since January of this year. We believe the relaxation of COVID-19 related policies could help remove constraints on consumptions and restore consumer confidence, but likely at a moderate pace. Besides, we expect the government and regulators to maintain a steadfast physical and monetary policy aimed at stimulating the economy in 2023. More recently, the government work report from the 13th National People's Congress said a real GDP growth target of around 5% for 2023 and gave priority to the goal of reviving and expanding private consumptions. Meanwhile, the National People's Congress in March approved the establishment of a National Financial Regulatory Administration to replace China Bank and the Insurance Regulatory Commission and showed us supervisionary responsibilities across the financial industry, except the security sector. We believe the new administration will further streamline the regulatory framework of the financial industry and prevent the emergence of systemic risk. Overall, significant uncertainties remain at early stage of the country's reopening. We anticipate a more stable recovery in the economy and our businesses in the second half of the year. We believe the government will emphasize the quality growth of the economy in the near future, which strengthens our confidence in the median to long-term outlook for the economy and the development prospects of the private enterprises. Besides, as artificial intelligence continues to reshape the digital economy, we are committed to strengthening our technology and innovation capabilities. We'll play a leading role in applying cutting edge technology across the FinTech industry and adjacent sectors, improving the efficiency and accuracy of our services while reducing cost. These competencies will enable us to optimize the user experience and explore new value creation opportunities in areas including product development, marketing operation, and risk management. Leveraging our successful asset-aligned business model diversified the business structure, expanded adjacent business categories, continued efficiency gains, and disciplined cost control measures We are more optimistic about our performance in the longer term. The improving economic conditions alongside the disruptive trends in artificial intelligence such as child GPT should open up new opportunities to facilitate the digital transformation of the economy and benefit inclusive finance for small and macro enterprises. We will keep exploring and capturing new opportunities to expand our businesses. We believe our industry-leading position, advanced technology, and sound execution should generate sustainable value creation for our shareholders. I now hand it over to our CFO, Oscar Chen, to run through our financials. Thank you.