TAL Education Group

Ladies and gentlemen, good day and thank you for standing by. Welcome to the TAL Education Group's fiscal 2026 third quarter earnings conference call. All participants will be in a listen-only mode. If 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 1 on a touchstone phone. To withdraw your question, please press star, then 2. Please be informed, today's conference is being recorded. I would now like to hand the conference over to Ms. Fang Liu, Investor Relations Director. Thank you. Please go ahead.

Thank you all for joining us today for TEL Education Group's third quarter fiscal year 2026 earnings conference call. The earnings release was distributed earlier today, and you may find a copy on the company's IR website, also the newsletter. During this call, you will hear from Mr. Alex Peng, President and Chief Financial Officer, and Mr. Jackson Ding, Deputy Chief Financial Officer. Following the prepared remarks, Mr. Peng and Ms. Ding will be available to answer your questions. Before we continue, please note that today's discussions will contain forward-looking statements made under the several provisions of the U.S. Private Security Litigation Reform Act of 1995. Forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from our current expectations. Potential risks and uncertainties include but are not limited to those outlined in our public filings with the SEC. For more information about this risk and uncertainties, please refer to our filings with the SEC. Our earnings release and this call include discussions of certain non-GAAP financial measures. Please refer to our earnings release, which contains a reconciliation of the non-GAAP measures to the most directly comparable GAAP measures. I would like to turn the call over to Mr. Alex Peng. Alex, please go ahead.

Thank you, Phang, and thanks to all of you for participating in today's conference call. Over the past fiscal quarter, we continue to make steady progress on our strategic priorities with a consistent focus on supporting the holistic development of our students. Our commitment to innovation, user engagement, and service quality continues to guide our efforts as we refine our offerings and adapt to the evolving learning landscape. Guided by these objectives, our core businesses have continued to operate with stability and consistency. At the same time, we recognize that changes in market demand and advances in technology continue to introduce new dynamics. Across several of our newer initiatives, including the learning devices business, we face a highly competitive environment in areas like consent, hardware, and AI. In response to this evolving environment, we'll continue to advance our strategic initiatives and flexibly allocate resources to build long-term capabilities. Consequently, we may face occasional variability and limited visibility in our financial performance due to seasonal demand shifts, competitive pressures, and deliberate resource reallocation. While these factors may cause short-term fluctuations, we remain focused on building the long-term capabilities needed to seize the opportunities in the market. I will now provide detailed updates, starting with our Q3 FY2026 performance. During the quarter, our learning services recorded year-over-year revenue growth across both offline pay-you programs and online enrichment offerings. This was driven by sustained user demand and reflects our commitment to providing students with high-quality learning experiences through a diverse portfolio of the enrichment programs delivered in both offline and online formats. Meanwhile, we maintain a disciplined approach to expanding the Payo Learning Center network, balancing demand with operational capacity, efficiency, and long-term sustainability. Positive feedback from parents and students, alongside solid operating metrics such as retention rates, affirms the trust placed in our products and the consistency of our service standards. Our online enrichment learning programs also maintain year-over-year growth during the quarter. By leveraging technology-driven innovation, we continue to enhance users' learning experience. Building on this approach, we introduce immersive classroom solutions designed to improve engagement and learning outcomes. We also expanded our offerings to include more technology themes such as 3D printing with the goal of fostering interest in emerging technologies and supporting future skill development. Alongside our learning services, our content solutions encompass a wide range of offerings with learning devices remaining a key focus for our long-term development. The learning device market continues to evolve, shaped by ongoing advancements in hardware, software, and AI technologies. Given this context, we are focused on further enhancing our devices across three key areas, user learning experience, AI-enabled capabilities, and overall effectiveness. Compared with general purpose AI models, we believe an educational AI agent should go beyond simply providing students with correct answers. We believe they should focus on guiding students through the learning process, adapting explanations to their level of understanding, diagnosing learning gaps, and supporting personalized learning paths. Building on this vision, we have incorporated over two decades of educational insights into the interaction logic of our learning devices. Instead of simply providing answers, our devices are designed to apply structured instructional processes and guided teaching approaches with the aim of approximating one-on-one tutoring experiences. This design enables them to function not only as tools for problem solving, but also learning companions that provide individualized support. Looking ahead, we'll continue to enhance our AI functions, including capabilities in problem solving, explanation, and other forms of learning assistance. Our goal is to steadily evolve our learning devices into personalized AI companions that inspire thinking and support deeper learning. In addition to learning devices, we're also exploring new product formats to address a range of use cases. At CES 2026, we showcase several early stage concepts, including our AI Buddy, which received industry CES PIX award. Designed for children aged 6 to 12, the Smart Companion uses interactive features such as voice, touch, and motion-based interactions to support age-appropriate engagement. These initiatives reflect our broader exploration of how technology can support children's development in learning-related and everyday use scenarios. and with a continued focus on responsible design and practical application. So with that overview, I'd like to turn to our financial performance for the quarter. Our net revenues were $770.2 million U.S. dollars, or $5.2 billion, 480.4 million RMB for the quarter, representing year-over-year increases of 27.0% and 26.8% in US dollar and RMB terms, respectively. Our non-GAAP income from operations and non-GAAP net income attributable to TOL for the quarter or 104.0 million U.S. dollars and 141.4 million U.S. dollars respectively. I will now hand the call over to Jackson, who will provide an update on the operational developments across our core business lines and a review of our financial results for the fiscal third quarter. So, Jackson, over to you.