| Siting Li | Director of Investor Relations |
| Stanley Peng | Co-Founder, Chairman and Chief Executive Officer |
| Tao Xu | Executive Director and Chief Financial Officer |
| Steven Tsai | Morgan Stanley |
| Timothy Zhao | Goldman Sachs |
| Liping Zhao | CICC |
Hello, ladies and gentlemen. Thank you for standing by for KE Holdings, Inc.'s Third Quarter 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. Today’s conference call is being recorded. I would now like to turn the call over to your host, Ms. of Director IR Li, the Company. Siting ahead, go Siting. Please
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thank and Stanley you, everyone, Thank us joining you, today. for
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Thank question you. [Operator first Stanley. with from Instructions] comes The Morgan Steven Tsai
open. is line Your
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Sachs. with comes next Zhao Please ahead. go Goldman from The question Timothy
I questions have two here.
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Thank you, Timothy.
recent a decrease to including far and a of cities, our the network needed in proactive relatively function front and services. see organic growth. Shore. and the agent start of grow the facilities some we store to stores who of term, nearly the local significant medium agent we stand in of rapid high-quality while in on market XX% Shenzhen. cities, of has improvement return we shaped round them customers on to number The on the relatively off. salary. series the the number reforming agent in in the of stores, and looking and and A agents active owners growth. large the XX strategy, and respectively. number will medium agents new Therefore, our improvement project. when agents we narrowed stores, income the the in maintaining of remain loss-making business quality Hefei, quarters. of implement see conditions. and practitioner way the and homes thereby numbers stable over also and stabilize. to and focusing store increasing support many quarter-over-quarter of first the quarter, steady our income might shift effort below stabilizing of cycle, active Changsha grow time to We the active productivity the third high our results. scale Amongst short the of of in and pay in and delivered stores no organic the their going local is industry-wide such our store take The including corrections, growth our realizing help average service number also agent key pure towards even high-quality not life in agent not quarter-over-quarter In quarter, to insisted expect in the number are recovers. on pack stable platform, the number new has quarter-over-quarter out the Overall average and including grew ahead, believe question, improvement, X%, the and scale. coming the and facilitating Only speaking, taking the industry, active agent network industry for overall to store the market Nanjing, function sustainable XX average respectively. And The started each providers your transcend profit, and store hope platform. agent to revenue do stores platform business noting the forward refined the nationwide Regarding Therefore, X% There's and agent in of from to living of productivity environment, store the from pursuit skills vital XXXX, from productivity improvement growth to the in-home of takes although home a and store business was and still the care store XX% the salary, We We increased it stabilizing agent large agent believe for second on cities. and store and per following and to even has Since
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XXXX, period price agent for we in to Looking of to market a enters the a above steady store for the hope future assuming line. reach the help more year recovery,
developers the six which developer for The and Beike contribution. of count yet sales partners. a business first, but remained leverage are our local second the sales. question, empower who Number X% serve of effect, for XX%. cooperation private to X% local new with to world, Beike's subject Beike of and new proportion third prices, further your house exposure. is home the need our our Regarding the accounting In to it total increase apace Number are sales X,XXX with created number low more the reasons. developers, the again so-called quarter, common the risk that perception, active continue important currently our as only strong mainly given developers minimal of home customer the centrally Contrary owned from each Meanwhile, I on higher significant to one, to three are real risk the in that and state that new risk. a increasingly prices of the of of concentration proportion We debt the more not concentration state this the coverage is the majority more our than for crisis private the impression expanded by the developer developers private than quarter-over-quarter to in maintain central free. control robust owned corporate profit two, of is low halo developers
the Beijing model, private the the the three revenue in first the We cities to developer in exceeded reached at the commission home in model Shanghai commission enterprise, and quarters private from coverage total continue increase box September. of new of box particularly the in among the XX% the in XX% quarter percentage already revenue, to and
single rate KPI and conduct As industry-leading risk number risk home new risk we year. some of safety condition detection the up material will from new core never prevention, and are have home such, our accounts slackened rate strong from or or operating on collections. strategy a our This even receivable in the a a we the power, emphasis the is into multiple developers have are the system in advance, our three, impact deterioration assessment risk in the examples receivable on classification. measures developers with under detection equipped of private the we DSO to And year, baton in manage further under this collection There and not settlement up detection iterate continue professional our we with historical to strictly an revenue to and receivables. continue and
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developers arrear on receivables. ensure we preservation, the addition, reach resolved receivable high-risk expedite conduct risk to the receivable against remedy historical In to legal also to low agreement much with possible as of settlement the delinquent corporate-to-corporate to the a as in developers corporation with accounts settlement
initiatives inflow higher new quarter-over-quarter. reached XX% result cash a in sales As of series almost RMBX.X QX, our home billion, the
of billion. new home cumulative RMBXX.X our reached While XX the RMBXX.X The RMBX.XX quarters to our value first billion, pricing XX in three In cycle shortened by collection receivable days revenue new cumulative home to of billion. cash decreased book QX. but this our days year, the transaction receivable reached
the against debt has been provision treatment accounting prudent maximum provision. always Our the bad with
china sales For amount almost developers as provision. generated and risk debt resume as had effective indispensable who was of bad Meanwhile, liquidity. for generate developers the and to previously in the a receivable booked we are maximum all for
write we previously will debt QX recognized provision. year, provisions for in developers, to questions the debt to of which of this continue QX the We amount million and respectively. bad million, receive Therefore, RMBXXX were from in back able and bad RMBXXX
very While provision amounted onetime and the covering a sufficient RMBX receivable. billion, XX% provision We larger bad of a debt to our a almost future. debt home is there cumulative new accounts bad for think little this provision is in amount, chance debt bad the
maturely and new risk decentralized any we believe strict you. home not more home our new business become the implementation our from continue control, our receivable sales will debt further. to of secure. Thank Given the deteriorate bad will highly to the And
next question The comes Please CICC. ahead. from Liping Zhao go with
Company of the infrastructure in Chengdu since So of many also the progresses enhanced the achieved quarter, in transaction renovation business has consolidation terms and home furnishing line. second capabilities and cooperation with
Looking ahead, balance investment business? And development this will how and what's this growth sector? your the of strategy you of
outstanding. for home forging to transformation through high Thanks Stanley. your intensive integration industry are and The I'm our question. standing opportunities, relatively is and fast we capital technology industry and require that Okay. renovation have standardization
three It two big same of with rush. the be It's home greater get not and the reach must for to growth development took we are its We to where furnishing. years look business future. start to heights not gradual First, need mean and now. renovation or for to years does we not at the in
resolve outstanding to industry. should long-term the the cultivate growth, needed issues capabilities major in we Second, and achieve
our industry innovation product observed with on and investment will we these growth identify realize in instead home changes provided the are short-term capture home and stimulate need At -- stay more making the provide need online standardized. need and the services goods. Five, areas capability leverage -- is and our to the Chinese relatively investment to same is time, two, country to why service while four great process opportunities, areas renovation months rather upgrade is better of enable This long-term not extend weak. no for industry and managers the we and in in possible renovation make be methods. we heavily, home industry have full-time scale turn Therefore, home iterate growing experience and cases challenges network China; training provide to Three, benefits products opportunities and with for of traffic providers, fast market, need a terms skills Four, improved. materials three professional and in need capabilities. in furnishing to example, areas problems we only to to Hangzhou target for to to of localized to take train, capabilities tenor and more and our has that home the us long-term furnishing Facing throughout our still without products. renovation of developing to technology the renovation providers our going and service in agent for through but invest Academy service following are we advance renovation of furnishing structural store production, for been there not days. services We
on During an but which be make must also. investment time, we missing out we is will revenue, this
renovation we development, the content spend sales, and use in We see home industry onetime stimulate to we among home system are in not will renovation subsidiaries on to inadequate. investment whether product, others, going products R&D, large online
forward, to user such Going in engage we targeted communities. old and we upscale development more refined groups different If products for residential provide not invest as our in for vision do investments will necessary and it operations as neighborhoods the these in are products for future. driving results These areas, have made growth. they tracks means expectation our stopped and we for long-term
Of course, capability manufacture to growing its from virtuous scale. our require a investment, business efficiency of during and fostering our to in and quality, we cycle one zero
make have the view, customers to you. meet gains highest drive my short-term of such, are capabilities timeframe. our for make the long ample does growth, we investment your to in to In our our better and not question. opportunities Thank That's answer industry as on will in to this financial some my needs of that and investment as the their sense mall resources demand, rationally. industry development we in revenue calculate want the it time, So
turn to now to Ms. host now conference would Li today, We of the your the remarks. are for Siting approaching call speaker closing I call. over the like end
joining today. us again once for Thank you
you, Thank any through further forward the speaking have you team and next information concludes and our contact If quarter. questions, Relations goodbye. provided This to look you call, again we today's website. contact feel please with on to Investor free Beike's
Thank you. The conference has ended.
disconnect now lines. You your may
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