A：The highlights of Aet Renew's fourth quarter and full year 2025 financial results include robust growth in company revenue and profit, with total net revenues reaching 6.25 billion RMB, a 29% year-over-year increase in the fourth quarter, and non-GAAP operating profits reaching 180 million RMB, up 38.1% year over year. For the full year, total net revenues grew 28.9% year over year to 21.05 billion RMB, while non-GAAP operating profit reached 560 million RMB, up 35.5% year over year.

A：The major factors contributing to Aet Renew's strong quarterly revenue growth were the strengthening of core capabilities and enhancement of user experience, which capitalized on the growing domestic demand for second-hand consumer electronic recycling and trading services. In the fourth quarter, robust growth was achieved through successful execution of recycling and trade programs, expanding the company's offline presence and fulfillment capabilities, and notably increasing the proportion of offline fulfillment for JD.com's trading program.

A：Aet Renew's P2C retail revenue increased by 88% year over year and its share of total product revenues rose to a record high of 41.7%, up 12.7 percentage points year over year. This milestone signifies the end-to-end C2R ecosystem's ability to efficiently source from and resell to consumers at scale, validating the retail strategy and positioning the company for growth.

A：Aet Renew's overseas business, operating under the MP2P business model, has seen steady sequential growth for four consecutive quarters, with peak monthly revenue reaching 50 million RMB. They have adopted an integrated inventory system to improve operational efficiency and inventory management. Compliance is central to their approach, with participation in developing cross-border standards for secondhand goods and policy consultations in multiple regions. This, paired with increased efficiency in cooperation with regulatory authorities, ensures a controllable export process timeline and optimizes overseas restocking efficiency and capital utilization.

A：The value-for-money reputation of PJD Marketplace is gaining traction, especially among college students, due to the surge in retail demand. This is evidenced by an increase in individuals buying second-hand phones on the platform, either directly or through purchasing agents.

A：The B2C market faced challenges in 2025, but they were addressed by proactively deploying consignment capabilities to help small and medium-sized merchants reach consumers directly. The strategy included end-to-end support from the pipeline team for customer service, quality inspection, store operations, traffic management, and after-sales services.

A：The multi-category business has exceeded expectations with a 125.7% year-over-year increase in recycling GMV and accelerated growth across all categories. Gold recycling GMV rose by 136.3%, and recycling services for second-hand luxury products continued robust growth, expanding take rates by 1.2 percentage points quarter over quarter.

A：The rise in memory prices is directly pushing up new device prices, creating new opportunities for the print on the industry. This results in rising pre-owned product prices alongside new devices, maintaining overall market pricing firm and healthy, which supports long-term industry development. It also benefits Apple's market share and drives trading penetration as new device prices increase and national subsidies are in place.

A：The strategic growth stages outlined for the company involve solidifying the healthy growth of the core second-hand consumer electronics business with extended government subsidies, rising new device prices, and a thriving second-hand market. The focus will be on user experience, supply chain efficiency, and retail sales, with investments in AI-driven pricing and quality inspection. In the second stage, the company aims to strengthen its position as China's leading recycling brand, with a focus on brand marketing and partnership building for green consumption. The third stage involves leveraging existing strengths and extending the business model to further areas of high-frequency community scenarios.

A：The company expects to improve its overseas platform capabilities, enhance industry efficiency, and unlock new avenues for future growth by leveraging deep industry experience, strong standardization, automation, and platform capabilities built over the past 15 years in China. It is also actively working with partners to develop localized recycling solutions overseas using the technology and supply chain capabilities established domestically.

A：For the fourth quarter, the company's total revenue exceeded the high end of its guidance, increasing by 29% to 6.25 billion RMB, with non-GAAP operating income rising by 38.1% to over 180 million RMB. For the full year, revenue grew by 28.9% to 21.05 billion RMB, and non-GAAP operating income increased by 35.5% to nearly 560 million RMB.

A：Net product revenue in the fourth quarter increased by 30.7% to 5.83 billion RMB, primarily due to the growth in online sales of three-on consumer electronics. For the full year, net product revenue reached 19.38 billion RMB, representing a year-over-year increase of 30.6%.

A：In the fourth quarter, fuel service revenues were 420 million RMB, an increase of 8.8%, driven by the pjt marketplace and the multi-category supporting business. The multi-category recycling business contributed nearly 80 million of revenue, accounting for 18.8% of service revenues. Net service revenue for the full year reached 1.67 billion RMB, representing an increase of 12.4%, with the multicast recycling business contributing 250 million, up 93.4% year over year.

A：Non-GAAP operating expenses increased in the fourth quarter, with gross profit margin for the 1P business at 13.7%, compared with 12.5% in the same period last year, indicating improved operational efficiency. Fulfillment census increased by 21.7% to 480 million, and non-GAAP fulfillment incentives as a percentage of total revenues decreased to 7.7%, while land gap fulfillment census increased by 22.4% to 480 million.

A：Selling and marketing expenses increased by 23.3% to 460 million in the fourth quarter, with non-GAP selling and marketing expenses also increasing by 44.1% to 460 million. The increase was primarily driven by an increase in commission expenses associated with channel service fees, resulting in non-GAP selling and marketing expenses as a percentage of total revenues increasing to 7.4% from 6.6%.

A：General and administrative expenses in the fourth quarter of 2025 increased by 34.1% to 60 million, with non-GAP general and administrative expenses decreasing by 25.6% to 57.6 million. The non-GAP general and administrative expenses as a percentage of total revenue decreased to 0.9% from 1.6%.

A：Research and development expenses in the fourth quarter increased by 9.8% to 62.6 million, with non-GAP research and development expenses increasing by 14% to 60.3 million. The non-GAP research and development expenses as a percentage of total revenues decreased to 1.1% from 1.1%. For the full year, research and development expenses increased by 21.4% to 230 million, with non-GAP research and development expenses as a percentage of total revenues remaining stable at 1.1%.

A：The non-GAP operating income exceeded 180 million in the fourth quarter of 2025 compared to non-GAP operating income of 130 million in the fourth quarter of 2024, representing an increase of 38%. The non-GAP operating profit margin was 2.9% for the quarter, compared to 2.7% in the fourth quarter of 2024, representing an increase of 19 basis points.

A：The company declared a fiscal year 2025 cash dividend in the amount of 0.1 per ADR, with a total amount expected to be approximately $200.35 million.

A：The company anticipates total revenue for the first quarter of 2026 to be between 5000 860 million RMB and 5000 960 million RMB, representing an increase of 25.9% to 28.1% year over year.

A：The government's extended trading subsidies have been applied to new device cells priced under 6000 RMB, which benefits the pre-owned consumer electronics business by creating opportunities for rapid growth in supply sourcing. The focus on consumer electronics and the implementation of measures such as insurance subsidies and retail users strengthening public awareness of trading have driven momentum that works in favor of the company. The company's role is to help users monetize their old devices and make trades free, and the broader policy push is expected to continue positively impacting the business.

A：The rise in memory prices had a significant impact on new device manufacturers, particularly in smartphones, leading to higher new device prices. Apple was able to maintain relatively stable pricing, which reinforced its position in the pre-market, resulting in an increase in the share of Apple products within the company's business on a sequential basis. The company's focus on competitive pricing and high-quality user experiences became even more crucial as more consumers adopted pre-owned alternatives.

A：The company remains committed to its retail first strategy, aiming to maintain retail revenue at 50% of its revenue. It plans to use two-day curative sales prices as a benchmark to set more competitive trade-in prices and continues to operate the user experience committee established last year for frequent and rigorous reviews across key metrics. The company expects the growth of total net revenue to outpace the double-digit growth of the broader industry, supported by continued scale expansion and disciplined cost control. The target of script stores remains unchanged, with adjustments to the pace of store openings based on online traffic growth and the broader brand strategy.

A：The store opening targets for 2026 are not explicitly mentioned in the provided transcript. However, the company's approach to store openings in 2026 will follow the same strategy as before, which includes enhancing first-tier city service quality, expanding the store footprint in lower-tier cities, and successfully adjusting the two-door service team to match seasonal demand. The company will continue to grow through local franchisee partners and city partners, and the target of script stores remains unchanged. The pace of store openings will be adjusted based on online traffic growth and the broader brand strategy.