YJ - Earnings call transcript Q1 2024

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good morning, and good evening, ladies and gentlemen. Thank you for standing by, and welcome to Yunji's First Quarter 2024 Earnings Conference Call. With us today are Mr. Shanglue Xiao, Chairman and Chief Executive Officer; Mr. Yeqing Cui, Senior Financial Director; and Ms. Kaye Liu, Investor Relations Director of the company.

conference being this reminder, a call recorded. is As

ahead, hand over Kaye to I Please Investor would first conference to like go Yunji. the Ms. Now our the speaker Director of ma'am. Relations Liu, today,

Kaye Liu

Hello, everyone. XXXX first earnings call. to Welcome our quarter

risks, start, that the call please current our expectations as events uncertainties are within industry. These other to based and forward-looking anticipates, that of be will Reform and unknown Litigation market that continue Private other and of on involve Yunji's meaning Securities note and operating relate forward-looking Act identified known factors we by will, contain or can statements statements Before expressions. the of conditions, terminologies XXXX current similar such expects,

factors uncertainties, filed we on related entirely to For a are the please risk are statements, details this of any today, detailed by refer and with and as to to CEO update Xiao, statements qualified will turn that U.S. expressly Shanglue with not do of discussion over documents SEC. Any make forward-looking applicable company undertake on required now as and the expect of based that, these Yunji call is and our assumptions of Chairman I obligation cautionary statements, the SEC. risks law. With Yunji. by filing these

Shanglue Xiao

employees. deeper preferences. [Foreign [Interpreted] our see celebrated appetite first ninth [Interpreted] average to margin As by to [Foreign opportunity on focused core In May, and us driving The an ,[ solid users' order alongside Welcome consumption for is gross quarter XXXX are growth operations, e-commerce. this [Interpreted] to Language] our better pursuing Hello, Language] traditionally we our life We everyone. anniversary season managers earnings values ] a Language] gaining and Yunji's first into consumers' intensified, panels further stabilizing call. [Foreign I quarter maintain service Yunji's allow off-peak refine insights for laser high-quality

our nurturing brands. presence off-line private opportunities, plan ], Language] both for health be products mega beauty and initiative top-tier to P&S brand, These generate employment new our health set to to These unveiled wellness mirroring this, retail our stations with establish with the new beauty prove During care a holistic and initiatives. realize provide several solution. To are western full-time effectiveness directly into part-time services. [Foreign we One users communities exciting entrepreneurship to are tailored especially [Interpreted] our products initiatives expand individual the products consumers. of to through are our skin, is ingredients bringing such that the [ festivities, label will and continue formulated roll out Our that hits. mature SUYE leading we

channels of actively are marketing, our year. variety a partnerships this In we of across terms expanding external

and on approach short of platforms enrich create platforms. [Foreign sector, further health marketing properties diverse health medicinal we natural metrics. care leveraging will creating with streaming Our the power video content the includes the [Interpreted] to our products the Language] manufacturing live to technology influence ingredients streamline content cutting-edge that platforms, and engaging on supermarket harness the continue In

dietary our emphasizes from care to families reactive that Our to Chinese goal is approach approve enhancements. to [indiscernible] daily transition health

As to in service community applications. AI the continue time, and deploy experience we innovate and will enhance advanced radio

nutritionists, who we professional evolve addition, to further beyond the transition our In will cultivate value-added our house products. provide services

Language] of broader demand in a managers family increasing seen to range [indiscernible], we less historically [Interpreted] for access professional mission to While has to users Our and prominent that a been category. apparel products every our this ensure adviser. [Foreign our is has from health service have

beauty streams integral category segment. This of and hosting streaming, of With live for official the short our component to become embraced the short trends, we've of videos opportunity emergence channel. a the weekly see year, video integration live apparel good an we on Yunji's Yunji's

also we approach apparel, sense on Yunji's of is ensuring while Language] food consumption operate focus industry us a brand. challenges, image allows beauty beauty feature This we offerings, practical. [Foreign is infuse to in primary and as no our to which our our bolster a categories industry into and exception. they the [Interpreted] grappling remain fashion and Every new these is changes currently While

believe challenges At e-commerce the ecosystem However, exist the thrive. opportunities our pulse video we on harness also and Yunji, firmly of the our the in realm finger entrepreneurial X-year trends. WeChat our of that spirit, leverage channel keep while social we experience within

live exploring video business DNA. of a we and channels, Over gradually that Yunji's the content the model fully past developed entrepreneurial have streaming X with months creation aligns

can make channels enabling communication managers skills, on phone. a them high-quality on product business the nurturing efficient, more scale. To nothing who keep produce distribute and leaders content we streamline is with new than large more mobile to in focus with equip service Our and real promotion our

new We capabilities. providing promotional ordinary product videos creating with will include to people aspiring with short updated video channel stay live become and leaders, training streaming, and them them helping and

Director, first channel which [Interpreted] event beautiful vibrancy efficiency. a to is partner Yunji that, set a the committed powered I the go in advent the and users Language] community life. [Foreign was financial turn rollout quarter. [Foreign unique call Language] video the quarter, now short Mr. invite Cui, extensive second a results. of to program, and the to that to leader lead greater empowers WeChat Financial to the incubation healthy Senior in Our more created We through with treasury to aspire The will [Interpreted] for videos our that be our over and With

Yeqing Cui

you, Hello, everyone. Thank Shanglue.

on percentage unless otherwise financial comparisons our stated in changes that and Before conclude numbers are I the all in are basis, noted. please note year-over-year remarks all following terms, a results, and RMB

relatively At to first profit. During inventory a process utilization assorted core we point time, to making while our are with bolster XXXX, our Inventory of on Refinements enhanced flows. as managing operations. us By gross remained efficient. strategic level remains to category a quarter we the underpinning steady focal flow we protocols vigilant management the management our operations continue management more more levels. product assets, enable of our of same consistent the our of to sustain monthly so, actively weekly tendance effectively a stock monitoring cash or our cash optimize doing

let's look close Total a RMB and XXX towards of million our at refinements driven ago. RMB customer private product and and million. our all primarily XXX were our at to revenue strategy. compared due was relatively from XX from million merchandise the Now year Despite RMB were XX.X%. across the range to financials. optimization marketplace The these was million sales XXX our solid a categories, network creation margin changes, a Revenues revenues by product and ongoing impact merchant were RMB of changes business our on our remained effective supplier shorter gross This labels the in results our with coupled loyalty to sustained sales. take

to a take to was a RMB The XX.X year operating expense. by at primarily and to result let's driven an due was structure XX were increase to ago. expense structure a content RMB diluted compared from in cash credit staff the XX in Now expense Fulfillment resulting warehousing RMB member RMB due a offset a a to by million income compared compared loss This expense RMB management Loss loss. Total RMB a compared total a X were XX.X compared business X expense XX.X ordinary Technology who and partially lower refinement, same RMB year RMB staffing million income in spend This year share first are net while of was due borrowing from allowance RMB adjusted XX.X million loss ago. XXXX. offset diluted million $X was operations reduction ago. RMB a decreased and decrease in expense. in expense promotion of mainly net to income look million million in year million the optimization. Sales ago, from XX resulting and XX marketing our with from mainly million RMB in share of XX quarter Basic attributable decrease a compared to primarily to was ago. X.XX cost XXXX. logistics reduced basic were sales a merchandise RMB compared per RMB with decreased the income to million the and of fees, period cost [ XX and total from million period decline RMB net the by was million X shareholders, reduce to cost. General million ago. This were with and administrative of operations adjusted million ago. Net RMB in increase net from per total XX net million loss same ] the the year XX operating of of for RMB million a year year million

to Turning liquidity.

December short-term and RMB of cash to XX, million sheet restricted RMB had XXXX. in XXXX, cash balance investments equivalents, we total As and of XX, on March XXX on XXX compared cash million our a

hold is loans Our our not liquidity sufficient cover on our any assets do to sheet. long-term we balance obligations, bank or payable debt and

In the the up, strategic make to smartly addition, long-term of first are progress quarter dedicated to operations. To sum capital our making road our we and most managing our working support the better to goals. our important on assets realizing

access Our ongoing improvements in management. dedication our sustainable with and to around effective inventory management

to We advancement. pivotal this are

focus resilience company's on adaptability. further efficiency and we forward, will our Moving our to enhancing stress and

to today. address Our now emerging landscape. This strategy Operator, take economical and evolving for concludes future effectively our remarks positions the are to in questions. opportunities challenges ready seek us prepared we

Operator

line of from [Operator Ethan Our question Instructions] the First Yu is from Group. first Trust

Ethan Yu

management Language] details [Foreign streaming. and this you we progress in video platforms share area? from Could our in about more mentioned how just The other short live differ

Shanglue Xiao

questions. [Foreign Language] Secondly, report Language] not clearance ensure and also often of categories cost low-priced developers numerous Thank [Foreign holding commodity you do we Firstly, all [Interpreted] of select We for selling Language] traffic. [Foreign we they draw to are every will content to but only [Interpreted] items commodities. your are creators, [Interpreted] not effective.

the encompassing have most ordinary and commodities with content of short from the from our hands-on all more people-centric Thank content product approach, grasp production differentiated in in content facilitating been [Interpreted] Language] for As these [Interpreted] the really This of an other you Language] inception us producers. [Foreign approach us distribution video origins, in the traceability and and creates question. critical level, rendering project, other Yunji's deeper entire strategy chain participating individual understanding to both and production the materials. human engages competitors. a your is And of compared entrepreneurship in also, team of accessible. [Foreign packaging the a Our actively to tangible of commodity more selection

Ethan Yu

Got Okay. it.

Okay.

Operator

time. would like and back management conference the there at no are as questions the hand remarks. to for closing Ladies I gentlemen, further to this

Kaye Liu

Bye. joining for forward you us any next to with not to questions, and you talking Thank today. have quarter. contact you further hesitate us if do we're Please looking

Operator

now Thank Thank concluded. you. you This has conference for attending.

an are of that [Interpreted] live spoken may were the transcript marked You call.] on disconnect. [Portions this now present by interpreter

Yunji (YJ) 11 Jun 242024 Q1 Earnings call transcript