A：The financial results for the fourth quarter and full year of 2025 include a revenue increase of 11.8% year over year to 39.6 billion in Q4 2025, and a 17.1% year-over-year increase in commercial business revenue. For the full year, average DAUs reached 410 million, total revenues increased by 12.5% year over year to 242.8 billion, and adjusted net profit increased by 16.5% year over year to 20.6 billion with an adjusted net margin of 14.5%.

A：The AI capabilities have become a core engine driving long-term growth for the company. They have supported high-quality growth, rapid expansion, and profitability. AI investments have led to steady improvements in overall profitability.

A：The proposed dividend payment for the year ended December 31, 2025, is $0.69 per share, with a total payment of approximately $3 billion港币, reflecting the company's long-term growth prospects, solid financial position, and commitment to enhancing shareholder value.

A：The progress of the AI strategy includes the rollout of multiple AI models across various operations. These innovations have been implemented in major business areas to maintain a global leading position in clean AI multimodal large-scale models. These include 'Clean Vlog AI', 'Clean Video 2.6', and 'Clean AI 3.0' models that integrate multiple modalities like text, images, and videos, enabling systematic content creation from generation to editing.

A：The 'Clean AI' model achieved a revenue of $314 million in Q4, with monthly revenue exceeding $20 million. The introduction of the motion control feature has gained significant traction across major global social media platforms, expanding the reach of AI technology beyond professional creators to mainstream users. This has empowered the content and commercial ecosystems and driven quality and efficiency improvements in the company's organization infrastructure.

A：Improvements to the content understanding system include an upgraded short video and live streaming content understanding system and the launch of 'Tianqi Next Generation' technique, which drives more accurate content understanding, increases APP usage time per user, and improves the retention rate. Additionally, the end-to-end generative recommendation and large model 'One Record E2' has been launched to continuously enhance the personalization of recommendations for online marketing services.

A：The company has utilized AIGC technology to unlock additional budgets from online marketing clients, with a total spending from online marketing services agreements for e-commerce business hours reaching nearly $4 billion. The enhanced 'One Record E2' search architecture improved the semantic understanding of search queries, leading to a nearly 3% increase in search order volume and boosting GMV growth in all economic scenarios.

A：The intelligent coding tools have been upgraded, and the company's self-developed AI programming tool, 'Code Filter', has evolved from a coding assistant to an AI engineer. This has resulted in a rapid increase in the adoption of the agent-based decoding model by engineers, with the new code generation rate rising over 30%.

A：The company is advancing the construction of the new tri-city power center to elevate server and bandwidth operating efficiency, which in turn supports user growth and the content ecosystem. As a result, average daily active users reached 741 million with an average daily time spent per user on the platform of 126 minutes. The company is committed to building a vibrant community and strengthening high-quality user growth, differentiated supply, traffic management mechanism optimization, and interactive scenario development.

A：The content produced features diverse elements ranging from intellectual cultural heritage performances to agriculture technology demonstrations. It enriches rural cultural life and provides a new channel for showcasing rural culture, enabling rural residents to transition from passive spectators to active participants on stage.

A：Leveraging live streaming interactive features and AI power, the company crafted a shared and useful memory that fosters a mutual boundary between fans and items, optimizing traffic mix for top-tier original content and creating a virtuous cycle between creation and consumption.

A：The company plans to continue innovating private messaging, payment features, and coverage UV. This is expected to increase the annuity by three percentage points and the daily average penetration rate of private messages among users with the mutual followers.

A：Online marketing services are empowering ecosystem partners and injecting new momentum into the online marketing services business. They are helping to reach users more efficiently, achieve higher user conversion rates, and broaden the online marketing client base through the optimization of private messaging products and algorithms.

A：Collaboration with small and medium-sized businesses is significant as they predominantly operate under lea-based models. The company is enhancing their ability to produce market-ready content by providing aidc tools, which aids in the growth of online marketing spending and solidifies the growth of short plays by optimizing marketing materials exposure formats.

A：The company has made upgrades to its online marketing products, such as developing the periodic delivery and account level smart placement product for the ux placement solutions. These enhancements improve campaign cycles, algorithm system management, resource allocation, and efficiency, leading to a 40% financial return rate among active users for e-commerce marketing services. This helps in lowering barriers to marketing placements, improving clients' placement experience, and driving further growth in online marketing spending.

A：The consolidation of e-commerce business and related online marketing teams has led to advanced traffic synergy. It has enhanced the capabilities and presented congestion in online marketing, commercial, and merchant services, aligning the platforms' overall revenue growth with merchandise revenue and enabling improvements in e-commerce merchant and marketing services' profitability.

A：In the second half of 2025, the focus areas for the omni platform marketing solution include addressing differentiated scenario needs across diverse customer segments, generating incremental GMV for e-commerce merchants, and expanding the platform's product promotion for greater coverage and recognition.

A：The e-commerce business in 2025 has grown with a 12.9% year-over-year increase in GMV to 521.8 billion. This is attributed to the systematic omni-domain operation generator that creates an integrated pathway between public and private domain asset accumulation, driving a new growth engine for merchants.

A：To support new merchants and small and medium-sized enterprises, the company is enhancing operational stability, broadening supply variety, and increasing active user frequency. It is also mobilizing the combined strength of service provider agencies and industry zones to improve merchant growth and is focused on the 'voyage' initiative for partnerships with top-tier brands in various sectors.

A：The 'red emma logs' initiative aimed at driving targeted follow growth and achieved a significant result by increasing the streaming fluency of streamers with over ten thousand dollars. It led to a 12% year-over-year increase in the number of active streamers hosting live sessions with over ten thousand dollars, reinforcing a virtuous cycle of follow growth and transaction performance.

A：The 'kale blockbuster' initiative focuses on highlighting hydrogen product categories, showcasing the platform's strong order aggregation capabilities, and driving greater market share and distribution. It is aimed at further empowering cells and advancing the platform's platform indoors product offerings.

A：The company is expanding its supply scale by increasing average daily active merchants for pen shelf-based e-commerce. The official channel for platform recommended products is playing a core role in this growth. The initiative is also driving the short video e-commerce college supply, privatizing we find merchants' century operations, and enhancing the economic disaster towards shelf-based operations.

A：AI integration across economic scenarios is enhancing e-commerce efficiency by delivering tangible gains. It includes the broader rollout of oil and rank one search and other large language model technologies, which generate incremental value and improve the e-commerce knowledge graph. This enables a more accurate long-term user interest modeling, leading to higher reviews and repurchase behavior.

A：The live streaming business has revenue of 9.7 billion RMB in Q4. The company remains focused on fostering a healthy live streaming position, favoring high-quality, value-driven content, and reinforcing the platform's community-centric core for live streaming supply. Strategies include professionalizing the operations of core competitive categories and strengthening coordination across various hosts.

A：Recent developments include the enhanced integration of online and offline standards, an increase in user engagement due to new features like customizable special effects and dynamic motion rendering, and the AI universe's capability to generate over one million gifts. The company has also extended the application of AI in live streaming rooms and improved service efficiency. The live streaming plus model has expanded the boundaries of live streaming and unlocked additional commercial value. In terms of AI strategies, the company remains committed to growth, applying AI across various business segments, and improving user experience.

A：The company has achieved steady growth in overseas business traffic and has improved customer acquisition. The number of ideal housing paying clients has increased. In Brazil, the company has developed and maintained a stable business presence and expanded the supply of content with distinct cultural characteristics, further broadening its core user base. E-Commerce business in Brazil has seen year-over-year growth in GMV transaction scale, supported by AIGC-driven improvements in e-commerce content quality and operational efficiency.

A：The company's vision is to deliver a secure and user-friendly experience and to create a broader platform that unlocks new growth opportunities in the AI era. It will continue to prioritize user needs, invest in AI, and leverage leading AI capabilities to drive innovation across content and commercial ecosystems, maintaining a competitive edge in the evolving market and ensuring high-quality and sustainable growth for the company.

A：Financially, the company has seen significant progress with a 12.5% year-over-year revenue growth to RMB 242.8 billion and an adjusted net profit of RMB 20.6 billion, up 16.5% year-over-year. The company has made investments in AI while improving overall profitability. In the fourth quarter, total revenue grew 11.8% year-over-year to RMB 39.6 billion, with online marketing services revenue increasing 14.5% to RMB 23.6 billion. Expenses were managed effectively, and the company continued to deliver strong operating cash flow and maintained a robust balance sheet. The company also returned value to shareholders through share repurchases.

A：The strengths of the AI in generating videos include leading in the AA video generation model rankings, maintaining high scores in characteristics, consistency, and controllably physical realism and stability, especially in complex scenes, as validated by benchmarks and performance in diverse scenarios.

A：AI played a key role in the production of virtual scenes and visual effects in 'Peaceful Years' by华策影视, ensuring a high-quality, commercial-grade output while significantly reducing the cost of影视制作.

A：'Clean AI' has contributed to the company's revenue growth by maintaining a strong month over month growth throughout the year, reaching an annual recurring revenue (ARR) of over 300 million U.S. dollars in January, leading to confidence in achieving over a 100% year-over-year revenue growth in the coming year.

A：The advancements in the 'clean AI' model include the introduction of the concept of multi-modal visual language (MVL) for expressing creativity and the development of models that support multi-modal inputs and outputs. The MVL has been applied to enhance controllability in video generation, and the 'claim 3.0' series was launched to achieve full multi-modal input and output within a single model.

A：Future directions for 'clean AI' models involve expanding the modalities in models to enhance the controllability in video generation, with a focus on modalities for actions and expressions, and addressing the configuration and consistency challenges in complex scenes. Additionally, the company plans to develop an AI agent to enable fully automated and end-to-end content creation.

A：Besides AI for multi-modal video generation, the company will focus its additional investments on content and commercial生态场景的大模型研发应用, including generative recommendation and multi-modal understanding models.The potential areas for further investment in AI mentioned in the transcript are content and commercial生态场景的大模型研发应用, specifically generative recommendation and multi-modal understanding models.

A：In 2022, the company's main direction is to return to e-commerce content with fast hands as the core and give full play to its advantages as a content platform. Specific growth strategies include, first, focusing on supply-side reform and continuously optimizing commodity supply. This year, more resources will be invested on the supply side, especially in the four aspects of business flow, product operation and service. It is not only necessary to focus on brand support, but also to strengthen the construction and maintenance of industrial belts. 100 key industrial belts have been identified for dynamic management, and joint e-commerce industry teams, small and medium-sized teams and service provider resources to do a good job. Secondly, we will continue to improve buyer access and penetration, and promote the transformation of good goods to buyers through effective subsidy mechanisms and cross-domain linkages. Finally, we should further integrate resources and promote the deep integration of e-commerce and commercialization, such as coupon integration, improving subsidy efficiency, and optimizing investment globally.

A：From an industry perspective, we expect that the main growth opportunities for online marketing in 2026 will come from the three industries of life services, animation series and AI applications. We will deepen our strengths in the content platform by grasping the growth potential of these industries to achieve sustained and stable growth.

A：User behavior is continuously migrating from traditional search platforms to content platforms, and short videos and live content forms are easier to build user trust, lower decision-making thresholds and improve conversion efficiency. At the same time, the online process of life service industry is still accelerating. For example, businesses in agricultural materials, education, automobile and other industries are gradually using online platform as an important marketing and hybrid channel. Quickhands help merchants to communicate more efficiently with potential customers by upgrading products and improve conversion rates by optimizing question-and-answer capabilities. In addition, Kwai also helps small and medium-sized businesses to produce marketing materials at low cost through AIGC marketing material solutions, and provides 72-hour online AI customer service services to meet the needs of small and medium-sized businesses for customer service and operational capabilities.

A：In the content consumption industry, the use of AI technology has significantly improved content production efficiency and reduced production costs, and the new content form of comic drama is developing rapidly. Fast hand to build a coverage of tools, content, distribution of the whole link of the comic drama ecology, and the introduction of related plans to enrich the platform content supply, with animation drama online marketing consumption growth. Since the second half of last year, the scale of revenue from fast-moving and slow-moving marketing services has increased rapidly, with the peak consumption exceeding 15 million RMB on March 3.

A：The AI application industry is one of the key growth opportunities for 2026 that KuaiHou sees. With the continuous development of AI technology, various AI applications continue to emerge, and the entire industry is still in a stage of rapid development. It is expected that the demand for related industries will continue to grow significantly in 2026. Fast Hand will strengthen the customer fine operation, optimize the flow index, help customers to improve the value of the user life cycle, so as to enhance the AI application customers on the platform marketing willingness and investment scale.

A：In 2026, the capital expenditure of the fast hand group as a whole is expected to reach about 26 billion billion yuan, an increase of about 11 billion over 2025. These inputs will cover the computing power of the multimodal video generation model and other basic large models, including server procurement for offline data storage processing and the construction of the data computing center. At the same time, according to the improvement of the development of the large-scale model and the needs of future model iteration, resources will be flexibly allocated between the reasoning calculation force and the training calculation force to ensure the maximum efficiency of the use of the calculation force.

A：Fast Hand attaches great importance to cash flow management and maintains sufficient cash reserves. Despite a capital expenditure of about RMB 15 billion billion in 2025, it still achieved a free cash flow inflow of nearly RMB 12 billion in the whole year. In 2026, even with increased developer investment, Fast Hand aims to continue to maintain positive free cash flow at the group level throughout the year. Kuaishou firmly believes that every current investment will be efficiently transformed into future profit momentum, and adheres to long-term technology investment, strict financial discipline, maintains sufficient cash reserves, and supports the group's sustainable development in the AI era with a sound balance sheet.