ZTO Express (Cayman) Inc.

Good day and welcome to ZTO Express to announce third quarter 2024 financial results conference call. All participants will be in a 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 a touch tone phone. To withdraw your question, please press star, then two. Please note, this event is being recorded. I would now like to turn the conference over to Sophie Lee. Please go ahead.

Thank you, Operator. Hello, everyone, and thank you for joining us today. The company's results and the investor relations presentation were released earlier today and are available on the company's IR website at ir.zto.com. On the call today from CTO are Mr. Mason Lai, Chairman and Chief Executive Officer, and Mrs. Hui-Ping Yan, Chief Financial Officer. Mr. Lai will give a brief overview of the company's business operations and highlights, followed by Mrs. Yan, who will go through the financials and guidance. They will both be available to answer your questions during the Q&A session that follows. I remind you that this call may contain forward-looking statements made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such 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. which may cause the company's actual results, performance, or achievements to differ materially from those in the forward-looking statement. Further information regarding this and other risks, uncertainties, and factors is included in the company's filings with the U.S. Securities and Exchange Commission. A 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 law. It is now my pleasure to introduce Mr. Mason Lai. Mr. Lai will read through his prepared remarks in their entirety in Chinese before I translate for him in English.

The total business volume reached 87.2 billion units, which is 15.9% of the total growth. At the same time, we achieved 23.9 billion yuan of adjustment and net profit. Zontong insists on high-quality development. In the beginning of the year, we clearly accelerated the creation of differentiated products and services, and increased the recognition of brands and the establishment of new clients. Thank you very much. The optimization of the income system effectively relieves the pressure of the single-voting price competition. Combined with the good continuous operating cost-effectiveness and stable management cost-effectiveness, the single-voting business profit has further expanded the leading advantage. In the third system, the express delivery industry has maintained a high growth. The business volume has increased by 20.1%. We believe that the price of three consumers is sensitive to the institutional characteristics and trends of low-price consumption. The overall high-quality sustainable development of the fast food industry will come from the uncertainty and sustainability of the Hong Kong economy. The subject in front of us is how to balance better in the current market environment, the core values such as service quality, scale, business profit, and co-operative partnership, and resource allocation. Maintaining and expanding the leading competitive advantage is a key element of our high-volume and high-quality development. This is an integral part of the research culture to find problems and solve problems. We have reviewed the work of several systems in the past, especially in the division of labor systems in the headquarters, market trends, and payment policies. The accuracy and effectiveness of the increase of energy, as well as the general fairness of the network policy, have dug into the space for future management and execution that can be improved. The key points are, first of all, to solve the network policy, Three, optimize and implement. 4. Increase the deployment of the information technology system in Modan. Use the content of the business of the living home to serve the local living environment. At the same time as reducing the cost of mortgages, the link between the consumer and the customer is deepened and the main business is restored. By using financial technology tools such as payment and payment, it is more effective and increases the response speed and ability of mortgages to increase the effect of mortgages collection. 6. while continuing to generate profits, systemically paying attention to the investment in the asset market and the momentum of the market and energy reserves, and improving the science of maximizing resources. The development of the express delivery industry for more than 30 years has historically shown that economic development has a strong demand for express delivery logistics. As the industry grows, the concentration of quantity and distribution of goods continue to change. After the economic crisis, we will definitely face different competitive pressures. Since the establishment of the central bank, every challenge is the motivation for our transformation and progress. As the core of the industry, the stability of the central bank network service, the scale of the physical capacity, the ability to generate and reserve funds, and the ability to manage and upgrade are our core competitiveness. From our own point of view, We will continue to maintain the priority of service quality, accelerate the expansion of the scale advantage, and ensure the reasonable stability of the profit and loss level. As a partner, we will continue to strengthen the scale and delicate effect of the MoDang network, and increase the revenue of Jiameng Mountain and Quai Di Xiao Ge. These are all the main factors to achieve the professional mission,