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Morning, good evening, ladies and gentlemen. Thank you for standing by, and welcome to WeRide's Q1 2026 earnings conference call. Please note that today's event is being recorded. At this time, all participants are in listen-only mode. For today's call, management will use English as the main language. A third party interpreter will provide a simultaneous Chinese interpretation. The company will host a question and answer session after the management's prepared remarks. If you wish to listen to the management's original statement or ask a question during the question and answer session, please make sure you are dialed into the English line. Please note that the Chinese interpretation is for convenience purpose only. In the case of any discrepancy, management statements in the original language will be prevail.

Joining us today, WeRide's Founder, Chairman, and CEO, Dr. Tony Han, and CFO and Head of International, Miss Jennifer Li. Before we continue, I would like to refer you to the safe harbor statement in the company's earning press release, which also applies to the call, as today's call will include forward-looking statements, including WeRide's strategy and future plans. These forward-looking statements are made under the safe harbor provision of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. The company's actual results could differ materially from those stated or implied by those forward-looking statements as a result of various important factors, and please refer to this risk factors section of the company's Form 20-F filed with the SEC and announcements on the website of the Hong Kong Stock Exchange for full disclosure of these risk factors.

The company does not assume any obligations to update any forward-looking statements except as required under applicable law. Please note that all numbers stated in the management's prepared remarks are RMB terms and will be discussed in non-IFRS measures today, which are more thoroughly explained and reconciled in most comparable measures reported in the company's earnings release and filings of the SEC and the Hong Kong Stock Exchange. The company's unaudited financial and operating results are released earlier today via Newswire and can be found on the company's IR website. With that, I will now begin the company's video presentation.

As a global leader in autonomous driving, WeRide operates one of the world's largest commercial Robotaxi fleets with over six years of public service. In China, our service is available not only through our WeRide Go app, but also via WeRide Go WeChat Mini Program, Tencent Mobility WeChat Mini Program, and Amap, bringing autonomous driving into users' everyday lives. Our international footprint spans the Middle East, Europe, and Asia. In Abu Dhabi, we now provide driverless commercial Robotaxi service, covering 70% of the city's core area. We expanded this leadership further with the launch of fully driverless Robotaxi services in Dubai in March. We also launched Robotaxi public operations in Riyadh in October 2025. In April, in partnership with Grab, we launched Singapore's first autonomous public ride service in Punggol, bringing Robotaxi GXR service to residential communities.

We are accelerating commercialization through key partnerships with Geely Farizon to deliver 2,000 purpose-built Robotaxi GXR by 2026, and with Lenovo to jointly deploy 200,000 autonomous vehicles globally by 2030. Our technology is the foundation of our sustained leadership. WeRide is the only company that has commercialized both L2 plus and L4 autonomous driving technology at scale, powered by shared underlying algorithms and our dual flywheel strategy. Our self-developed general purpose simulation world model, WeRide GENESIS, enables extensive training and closed loop validation in high-fidelity simulation environments at scale to continuously advance system intelligence. These unparalleled capabilities are distilled into WRD 3.0, our one-stage end-to-end ADAS solution, bringing proven L4 technology capabilities to mass market L2++ vehicles.

The Chery Exeed Sterra model, equipped with WRD 3.0, has won four consecutive championships at the China Urban Intelligent Driving Competition, setting a historic record. WRD 3.0 has secured production design wins across nearly 30 vehicle models and is now in mass production across multiple models, including the Chery Exeed Sterra ES, Chery Exeed EX7, and GAC Aion N60. WRD 3.0 now supports multi-chip compatibility across NVIDIA, Qualcomm, and SiEngine platforms, providing global automakers one of the most flexible high-performance L2++ solutions. Looking ahead, WeRide will continue to lead the way in advancing autonomous technology and making autonomous mobility a daily reality.

Now, I would like to pass the floor to the company's Founder, Chairman, and CEO, Dr. Tony Han. Please go ahead, sir.

Hello, everyone, thank you for joining us today. We started 2026 with strong momentum as a global leader in autonomous driving. In the Q1, the total revenue of WeRide reached RMB 114 million, 58% up year-over-year. These results are driven by our accelerating Robotaxi deployment, growth across our broader autonomous driving business, and the great success of our L2++ level ADAS solution. By the end of April, our global Robotaxi fleet grow to around 1,300 vehicles, representing one of the largest Robotaxi fleets globally. At the same time, our Level Four autonomous driving fleet, including Robovan and Robobus, has grown to around 2,800 units, that they have been deployed to or tested in 12 countries and over 40 cities worldwide.

We believe the steady and significant progress this quarter reflects not only the maturity of our technology, but also the growing operational experience for thousands-level fleet in multiple cities. First of all, I want to point out that we have made a major technical breakthrough through GENESIS, our closed-loop world model-based simulation engine, which boosted our model evolution pace by several folds. We can now train AI model for autonomous driving with synthesized corner cases, which may be very rare or even imaginary. With a compact AI model leveraged on our GENESIS, we have achieved four consecutive championships in China Urban Intelligent Driving Competition. This is unprecedented. The best previous record is held by Huawei, ADAS system, which got two consecutive championships.

Today, many companies talk about world model and simulation platforms, but WeRide is one of very few companies that have publicly demonstrate footage of a highly realistic autonomous driving world model at scale. We have already released Genesis demonstration video on YouTube, where viewers can check the model's ability to reconstruct and simulate visually realistic driving environments, strictly following physical laws as well. Genesis can generate holistic virtual driving environment consistent to the desired locations, including traffic flows, pedestrians, weather conditions, and complex interactions between vehicles and the surrounding objects. More importantly, we can add this environment component to simulate highly challenging scenarios such as aggressive driving behavior, dense traffic, extreme weather, unusual road conditions, and many other long-tail corner cases that are very difficult and extremely expensive to replicate in the real world.

By leveraging on synthetic data and large-scale simulation, GENESIS improves training and validation efficiency by thousands of times compared to traditional road testing. It also significantly reduces the crucial dependence on large-scale testing fleet and accelerates deployment process in new operational regions globally. GENESIS is not just a capability, it is a unified simulation and AI training platform supporting applications from L2 ADAS to L4 Robotaxi. It is very same tech stack that makes us the only company in the world to have already achieved the scaled commercialization of both L4 and mass production L2 vehicles. The newly developed GENESIS now has paved the way of WeRide to the physical AI world. With GENESIS, the ADAS system developed by WeRide is comparable to the performance of FSD 14.3 in California.

You know, I personally own two Tesla, and I drive 14.3 with FSD 14.3 every day. I look forward to entering a global urban intelligent driving competition directly facing FSD 14.3 from Tesla. Hope one day we can meet in U.S. or Europe and give our consumers a head-to-head comparison. Today, we are seeing our technology leadership translate into real global commercial scale. Let me talk, let me walk you through the key operational and commercialization milestones we have achieved this quarter. First, in China, our Robotaxi business continued to make strong progress in scale, operational efficiency, and commercialization depth. First, in China, our Robotaxi business continued to make strong progress in scale and operational efficiency.

By the end of April, our domestic robotaxi fleet expanded to about 1,000 vehicles, while our service area in Guangzhou increased by 97% compared to the end of 2025, including additional downtown districts. On the demand side, average daily order per vehicle domestically reached 17 trips during Q1, with peak periods reaching 28 trips per vehicle. Registered robotaxi users also doubled almost every year. We believe these metrics continue to demonstrate growing user adoption and improving unit economics as robotaxi commercialization scales. In this quarter, we also continued to deepen our partner ecosystem. In April, we expanded our collaboration with Lenovo in autonomous driving computing platforms with a joint target to deploy 200,000 autonomous driving vehicles globally over the next five years.

Together with Geely Farizon, we plan to deliver 2,000 upgraded purposely built Robotaxi GXRs in 2026. We believe this partnership, these partnerships further strengthen our manufacturing scalability and deployment capability globally. Now turning into international markets, we also continue to see strong momentum in both new market launches and the commercialization progress. In Singapore, we launched the country's first public autonomous driving service together with Grab. I'm sorry. Since the initial deployment plan began in the second half of last year, the fleet has built a trustworthy operational track record in a highly regulated international market. In the Mid East, we have launched fully driverless commercial Robotaxi operation in Dubai together with Uber and the Dubai's RTA. This is the city's first fully driverless commercial Robotaxi service. Meanwhile, Abu Dhabi service coverage expanded to around 70% of the city's core area.

Across the Mid East, together with Uber, we remain on track to deploy at least 1,200 Robotaxi across Abu Dhabi, Dubai and Riyadh by 2027. In Europe, we entered Slovakia in March, our fourth European market, and continue progressing toward fully driverless commercial operation in Zurich. Overall, we continue to believe WeRide remains the most globally deployed autonomous driving company today, with deployments across 12 countries and permits in eight markets. This global footprint not only diversifies our revenue, but also demonstrates operational and regulatory capabilities that are hard for followers to replicate. It also keeps us on track toward our long-term vision of deploying tens of thousands of Robotaxi globally by 2030. Beyond Robotaxi, our ADAS business is also seeing growing commercial traction.

Our current version of ADAS system, WRD 3.0, has been adopted by nearly 30 vehicle models, including vehicles from leading OEMs such as GAC and Chery. In April, GAC Aion launched pre-sales for the AION N60, the first mass production vehicle with WeRide solution. Leveraging the generalization capability of GENESIS, our WRD 3.0 solution is now supporting three major chip platforms: NVIDIA DRIVE, Qualcomm Snapdragon, and the C-Engine Starlight. We believe this level of multi-chip compatibility is crucial because it enables faster mass production, greater cost optimization, and broader OEM adoption. At the same time, we continue expanding internationally with partners including Tiggo, Lepas, Omoda, Jaecoo, bringing WeRide-powered ADAS solution to consumer globally. Finally, for Robobus, we also continue making progress globally. We are collaborating with the Geneva Public Transport operator, TPG, on autonomous bus deployment.

Meanwhile, we are preparing for the Robobus operation with Renault at the Roland-Garros French Open for the third consecutive year. To summarize, the first quarter of 2026 was about substantiating technology leadership of WeRide into commercial scalability through growing Robotaxi operations, expansion into new international markets, growing deployment pipelines, or continued unrivaled winning momentum in ADAS. We believe we are executing well with our global strategy, and we continue to see a clear path toward long-term growth. With that, let me turn the call over to our CFO, Jennifer Li, for a deeper view of the financial results this quarter. Thank you.

Thank you, Tony. Hello, everyone. Before we dive into the financials, I want to highlight that all figures are in RMB. Comparisons are year-over-year unless stated otherwise. We will discuss non-IFRS measures today, which are more solely explained and reconciled to the most comparable measures reported in the company's earning release and filing with the SEC and Hong Kong Stock Exchange. Now let's discuss our first quarter financial performance. We delivered total revenue of RMB 114 million in the first quarter, representing an increase of 58%. Product revenue increased 116% to RMB 20 million, mainly driven by increased deployment of Robotaxi and other L4 vehicles. Service revenue increased 49% to RMB 94 million. This revenue growth mirrors the solid commercial progress we made in this quarter together with our proven track record in execution and deployment.

Considering the season, seasonal impact of Chinese New Year and Ramadan in Middle East, our business performance surpassed our original internal targets. Group level gross profit increased 56% to RMB 40 million in the Q1, with a group level gross margin of approximately 35%. We maintain top-line expansion without sacrificing margin discipline and scoring the inherent profitability of our autonomous driving business as we further scale. This was also supported by the increased exposure of our ex-China markets, where we continue to see the structural stronger margin profile as we expand into new additional intermar international territories. Operating expense were at RMB 469 million, with R&D expense accounting for 77% of the total operating expense. Our operating expense are stable in absolute dollar amount compared to the same period in 2025.

To break down further, R&D expense increased by 12% to RMB 363 million in Q1 2026. Excluding share-based compensation, R&D expense grew 16% to RMB 322 million. This consistent investment in R&D underpins our technology roadmap and ensures we stay at the forefront of autonomous driving innovation. Administrative expense decreased by 33% to RMB 83 million in the 1st quarter. Excluding share-based compensation, administrative expense decreased by 17% to RMB 61 million. The decrease was primarily driven by lower professional services fee, mainly related to audit and legal compliance services, and partially offset by increased personnel costs for the expansion of our team as a for growing business. Selling expense increased by 63% to RMB 23 million in Q1 2026. Excluding share-based compensation, selling expense increased by 81% to RMB 22 million.

The increase corresponding to ongoing expansion for our business and is growing our commitment to support growth appropriately. Our net loss kept stable at RMB 369 million in the first quarter. On a non-IFRS basis, the net loss increased slightly by 11% to RMB 326 million in the first quarter. The slight uptick was largely driven by ongoing R&D expanding, as we continue to invest ahead of scale in our long-term technology leadership. As of March 31st, 2026, we had total capital reserve of RMB 6.22 billion, comprising RMB 6.18 billion in cash and cash equivalents and time deposits, RMB 29 million in investment and wealth management products, and RMB 18 million in restricted cash. We maintain short-term bank loans of RMB 294 million to support daily operation. We have well-positioned our capital base to match our cash deployment need.

We've had room to support ongoing growth and strategic initiatives. Under the U.S. dollar 100 million share repurchase program authorized by our board of director on March 23, 2026, we have repurchased approximately 24.4 million Class A ordinary share, including in the form of American depository shares, as of market close on May 12th, for a total consideration of approximately $61.4 million. This reflects our firm belief in company's long-term value and growth potential. Moving forward, we proceed with confidence and a well-defined focus. By end of 2026, we remain on track to deploy 2,600 Robotaxi worldwide, marking the first milestone in our journey towards hundreds of thousands by 2030. As we continue to scale, our approach is to enter new regions and cities which have proven effective and replicable.

Supported by strong technological leadership, operational know-how, and increasingly robust global roll-out, we're prepared to lead the next phase of autonomous driving. With that, operator, we are now ready to take some questions.

Thank you. We will now begin the question and answer session. As a reminder, we only accept questions in the English language line. To ask a question, please dial into the English line and press star 11 on your telephone keypad. If you have any follow on questions, please re-enter the queue. Thank you. Just a moment for our first question, please. First question comes from Stanley Wan from Morgan Stanley. Please go ahead.

Thank you, Tony and Jennifer. This is Stanley from Morgan Stanley. I have two questions. First one is on your Robotaxi expansion. Are you on track to meet your expansion roadmap in 2026? Could you update us on the latest expansion progress in China, the Middle East, and the rest of the world? My second question is on WeRide's overseas business. With the company's core advantage being its possession of overseas operating licenses in eight countries, and in light of the global expansion of players like Waymo and Zoox, and also the accelerating regulatory approvals, how do you view the key growth drivers, profitability path, and timeline for tangible contributions from your overseas operations in 2026 to 2027? Thank you.

Okay. I will take the first question, and then I will let Jennifer to answer the second question about the profitability. Okay. First question is about whether we are on track with our Robotaxi expansion. I think overall we are very optimistic and confident in our global Robotaxi expansion. We have been making the steady progress all the time. At the You know, I would share some numbers I have already told to the market. At the end of April, our global Robotaxi fleet reached approximately 1,300 vehicles. That is, to my best knowledge, one of the biggest Robotaxi fleets globally. In China, our Robotaxi fleet has grown to approximately 1,000 vehicles with solid demand, healthy daily order volume, and a growing user base.

I want to share you a number. Our average daily order per vehicle exceeded 17 trips during the first quarter. That is amazing number. Our overseas Robotaxi fleet has expanded to approximately 300 vehicles across multiple markets. In the Middle East, we recently launched a full driverless commercial operation in Dubai and on Uber platform. Today, you know, if you really want to hail a full driverless Robotaxi, to my best knowledge, you know, I look at all our competitors. Outside of U.S. and China, if you want to hail a full driverless Robotaxi, the only way is through Uber hailing WeRide's Robotaxi in Abu Dhabi or Dubai. Okay? That's our current stage. With regional tensions created some I know, you know, regional tensions create some short-term softness in utilization, but, you know, but we remain very confident.

More important, we remain firmly committed to the Middle East, and our long-term investment and operational presence are well-received by local governments. We remain on track toward our commitments to deploy 1,200 vehicles across Dubai, Abu Dhabi. Riyadh as additional driverless ODD to be added. In Europe, we are expanding our footprint. In Switzerland, we obtained regional's first driverless commercial permit and continue progressing toward public operations in Zurich. We also recently launched our national autonomous driving program in Slovakia, making our entry into another new European market. More broadly, we believe WeRide has established a meaningful first mover advantage through years of global expansion. Overall, I think this global operation and regulatory footprint is becoming an increasing important differentiator as autonomous driving commercialization accelerates worldwide.

That's overall, conclude my answer to your question, our global roadmap and our plan. Okay. About profitability, would you pick up the question, Jennifer?

Yeah. Yeah. I'll answer the second one. Just now, Stanley also mentioned the WeRide's core advantage is having like operating license in eight countries. Actually, now when comparing the total number of Robotaxi deployed and driverless permit held by any autonomous vehicle, autonomous driving company outside China and the U.S., WeRide ranks first across, like, among all the different companies, auto companies. We are very encouraged by the momentum of our international expansion so far. As we can recall from the last earning release, international revenue already account for approximately one-third of the total group revenue last year. Our Middle East subsidiary was already profitable at net level.

Also, Tony already talked through our key developments in some of the regions outside China this year. We will announce some more exciting announcements in Robotaxi deployment in due course. This year we expect international revenue to grow even faster and contribute an even larger share of group revenue supported by the positive unit economics. Maybe I would like to also to elaborate a little bit more about our city selection criteria here.

People always ask us, you know, "You guys already have, like, presence in, like, 40 cities, do you still want to expand to more cities or focusing on the current ones?" Our strategy is to focus on scale in existing city as well as entering additional cities under a more selective criteria. We really consider whether the market has the potential to support scalable and commercially attractive operations over long term. Especially on the monetization potential side, we pay close attention to the overall gross booking opportunities as well as the gross bookings per mile, because both scale and unit price matter significantly for long-term Robotaxi unit economics. Besides, we focus heavily on whether there's a realistic path to scale.

For all the cities we are currently deploying, we do see potentials for each city to deploy thousands of autonomous driving vehicles. Yeah. Something more to mention here, Europe remains to be a key focus for us this year. We will share our exciting news in more deployment in more cities in Europe, hopefully soon. Yeah. That concludes my answer for this question.

Thank you. Just a moment for our next question, please. Next, we have Ming Hsun Lee from Bank of America. Please go ahead.

Hi, Tony and Jennifer, thank you for giving me the opportunity to raise a question. I also have two questions. The first one, how do the recent report about the China halting a new self-driving approvals to impact WeRide? A second question, it's about the technology difference. I think since the past, there has been a consistent and industry-wide debate over the lidar and the HD map approach that Waymo adopts and the camera-only solution by Tesla. What is WeRide's view? Thank you.

Questions. I think I'll take them one by one. Okay. I did take some notes. Let's see. The first question, you know, I think everybody have already realized the recent halting about the new self-driving approvals. You know, we all noticed, you know, this kind of accidents of Baidu in Wuhan and we have seen the reports. First of all, our view is that it is we view this as more of a short-term regulatory adjustment rather than structural change to the industry. From our discussion with the central government and local government and through this kind of communication and careful investigation.

First of all, WeRide, if you check our record, WeRide has a very good safety and operational record, both central government and local government just like give us very strong support. Through our discussion, we were assured that the central government and local governments are supporting, support to the autonomous driving remains very strong. That is what we have learned. We talk with the local regulators, legislators and officials. This remains very supportive. It is a short-term adjustment. They basically halting the new approvals for the driving vehicles. Current autonomous driving vehicles remain actively operational for WeRide. Our orders are increasing, as I have already mentioned to you.

As autonomous driving moves from early pilots towards larger scale commercialization, I think it is natural for regulators to place great focus on safety. We really think this is a very responsible attitude. We actually think this is definitely a very responsible action and we fully support this. From our perspective, this is ultimately positive for the long-term development for the industry. A company with a very good safety record should be rewarded. A company with lousy safety record should be punished. That is definitely. I think, just think about airlines. It's the same results, right? The airlines with good safety record remain in the market. Airline without a good safety record kind of got eliminated.

And we do suggest like the regulatory framework should favor companies with proven technology, operational experience and a strong safety record. We also expect regulation over time to become more differentiated based on factors such as safety performance, operational track record, and technical capability. For WeRide specifically, we remain confident because we have accumulated meaningful real-world operational experience both in China and internationally. Just 2 numbers, right? We operate and test across more than 40 cities in 12 countries. Who else have achieved such number? Overall, we view this necessary step for the industry and believe it will ultimately lead to a more sustainable sustainable competitive landscape. I don't want a kind of a company with lousy safety record to ramp around in the market. It's not safe to the public, not safe to our community.

We are very confident that safety, company with very safe, with very good safety record like WeRide, have a higher moat. WeRide will continue as a leading player, first mover to keep our very good safety record and keep our reliable operation. We try every efforts we possibly can to maintain this very good record. Second question, you know, because my answer is a little bit lengthy, sorry about that, for the, to the first question. The second question is just want to remind everybody, question is about actually, is the long-term debate that is lidar versus HD map, and approach from Waymo versus Tesla. My view is simple, okay? I spent many years in Missouri, okay? More than 10, 12 years.

Missouri has been long called a show me state, okay? To me, I don't want to argue about approach. I want to see the results. For L4 level Robotaxi, today I think everybody have already seen that Waymo deployed thousands of Robotaxi and safely operated in many cities in U.S. There are all kinds of claimers. I just want to say. For L4 level Robotaxis, a driverless autonomous driving vehicle, safety is very important. If we can use a HD map as actual layer of the information, why not? We have long adopted multi-sensor redundancy-oriented technology paths. We believe that camera and the lidar combining together build a strong, robust autonomous driving system. This approach actually is broadly aligned with the direction adopted by leading global Robotaxi players like Waymo. Okay?

At the same time, we are closely watching the progress of vision only based on the map-led approach, including Tesla's recent approach. I have to say, FSD 14.3 make a very good progress, and we admire Tesla's achievement. However, it is still not a Robotaxi, not driverless. We took a similar approach, as I mentioned at the opening remarks, right? Our ADAS system based on 1 stage end-to-end world model has achieved four consecutive championships in China. Basically, we beat all other ADAS system solutions. I think the only competitor we haven't have a direct face-to-face matching, that is Tesla FSD 14.3. We look forward, as I mentioned, we look forward to head-to-head comparison and give our consumers the best experience.

With that said, I just want to emphasize, we are very, very aware the advantage of camera-only solution based on foundation model and world model, and we are pretty good at it. That's why we, I think I'm currently the best suitable CEO to answer this question. We really consider about the very complicated traffic scenarios in cities like Madrid in Europe. We have already spent lots of time to solving all possible corner cases in Madrid because we have to be prepared to deploy in a busy European city like Madrid. Historically, city like Zurich and Madrid would require significant localization and testing resources. With our GENESIS model, we believe we can really combining the HD map approach with the map-led version.

One of WeRide's strength is flexibility across different architectures. We are, we can make a perfect marriage between this HD map lidar-based with camera solution and map-led solution. Overall, I just want to emphasize, to have a reliable and safe HD, safe Robotaxi deployment at current stage, we need to really rely on HD map. Gradually, we may use map-led approach to accommodate emergency road construction and map change, and we can keep the freshness of map. Overall, we have to cherry-pick the advantage of camera solution, map-led solution based on world model like Tesla's approach into L4 system. That's our approach.

I think currently only company are capable of doing this in the world is WeRide because our ADAS progress and because our L4 level deployment operational experience. Okay. That concludes my answer. Thank you.

Thank you, Tony. That's all my question.

Cool. Thank you.

Thank you. Next, we have Patty Hu from Huaxing Securities. Please go ahead.

Hello, Tony and Jennifer. Yeah, thank you for taking my question. Yeah, I got two questions for you guys. Right. First of all, like we are seeing more and more level two companies in Yongchuan plans to enter a level four market. What's your view on this? Also, can you give us more details on your multi-chip platform compatibility for level two? I understand that. How do you achieve this chip's diversity? Thank you.

Okay. Thanks. Thank you for these two questions. I think, these questions are more like, technical questions. I'll answer, you know, you know, both questions. Okay. First question is about like, overview about like, the so-called L2 company or ADAS company, although they themselves don't want to call themselves as L2 company, plans to enter L4 market. What's our view? To us, like, you know, currently, I still want to emphasize there's only one company to my best knowledge, like doing L4 level Robotaxi at the same time doing, L2++ ADAS system.

I have some standard that is for a company, you claim yourself as a robotaxi company or L4 level autonomous driving vehicle company, you have to have a robotaxi fleet of 100 driverless robotaxi fleet open to public, operate for more than half a year, and without any significant or serious accidents. I'm sorry, may I remind the listeners, if you are not speaking, please mute your mic because I hear some background noise. Please mute your noise if you are not speaking. Okay. I, for L4 level company, you have to have a fleet of 100 vehicles open to public operate for half a year and then you can call yourself a robotaxi company.

For ADAS company, you have to deploy your system to mass production car, you know. Previously, I would say three years ago or four years ago, WeRide although have some ADAS solution in our lab, but we cannot call ourself ADAS company because we haven't deployed our system to mass production car. Now we can because we have deployed our ADAS system to more than close to 30 types of vehicles, and several of them are selling by tens of thousands every month. Okay. Now we know the difference. I believe with all of that said, I believe there is still a significant gap between advanced driver assistance system, i.e. ADAS system, and a true L4 Robotaxi driverless system.

The challenge is fundamentally about system robustness, operation capability and scalability. There are some numbers I want to share with you, okay? Yearly, most of the ADAS system today, according to our test, you know, mile per critical intervention, if you measure in kilometers, although it is called MPCI, mile per critical intervention, you know, lot of competitors in China, they aim to reach 1,000 kilometers of MPCI. I want to show you a number that for L4 level autonomous driving, you can see the numbers from WeRide from Waymo. The mileage per critical interventions is at above 1 million kilometers level. There is a three magnitudes difference.

Although some company claimed they can boost their MPCI by a factor of 10 every year, that's still three years away. Let me tell you, like you boost your MPCI every 10 times every year is a formidable task, a mission impossible. If some company can do that, you know, WeRide, Waymo, so many good companies start autonomous driving in the year of 2017. You know, within seven years, think about the MPCI. Basically, all I'm saying is like, you really need to operate for half a year before you'll know the difficulties about L4. It's great to have ambitious goal, always you need to really try to achieve your ambitious goals through a concrete path.

The concrete path is the key. You know, from our past experience, it take many years to really make your fleet available and reliable for driverless operation. I have a golden test rule that if made a driverless fleet of at least 100 cars, make it available to the market, operate for half a year and see what happens. I don't want to see some tragedy names. You know, you see some companies actually quit the market because some accidents. You all know the names, I don't want to mention them anymore. Okay? Second question is about our multi-chip platform. That is actually something I love to answer.

I think the key source is the secret source is our GENESIS model. Our GENESIS model create AI model that can trim to different chipset of different complexity. So far we have already roll out our system based on NVIDIA's DRIVE Thor, dual DRIVE Thor, Orin X, Orin Y system. Also we roll out our system GAC Aion N60 based on Qualcomm SA8650. We are going to roll out a system based on SiEngine, on SiEngine's chipset. Okay. Basically we believe, you know, with our current GENESIS-based approach, we build up world model, and we can really support different platform. This give us a great competitive advantage.

To, again, to my best knowledge, we haven't see any other company can support such a wide spectrum of chipset, at the same time make them available for ADAS solution as well as for Robotaxi solution. Okay. That's my answer to these two questions. Thank you.

Thank you. Just a moment for our next question, please. Next, we have Kai Xiao from CICC. Please go ahead.

Thank you, Tony and Jennifer. This is Kai from CICC. I also have a question on the multi-chip platform strategy you mentioned. Can you share why is this strategy important for your L2++ ADAS business? Thank you.

Okay. Basically the main reason is like different OEMs have different hardware preference. You know? Some OEMs, they want extremely cost-effective chipset. Sometimes some OEMs want very high tops computational platform. They have different supply chain requirements. Basically, a flexible multi-chip architecture allow us to support a broader range of vehicle platforms without, like, redesigning system every time. But the secret sauce is really our GENESIS model, because GENESIS model can help us to tune a spectrum of AI, onboard AI model, which accommodates different tops requirement, like 8650, 200 tops, 700 tops, Orin X 1,000 tops, Orin Y 250 tops. We have to be able to adjust. More importantly, multi-chip vendor flexibility enables faster mass production and great cost optimization.

Different chip platforms offer different cost and supply chain advantages. That one, you know, if a company, if ADAS company or autonomous driving software company can supply a spectrum of solutions based on the different chipsets, the car OEM tends to work with you more closely. We believe this flexibility also help us secure more production, more vehicle types. We also look forward to deploy all these systems for the over, for the abroad market. One thing I want to bring all the investors attention, that is this year you see the export of Chinese automobile to the Chinese automobile product to the, to the rest of world.

It's have, actually, growing, but most of them don't have a very good ADAS system. We actually have already secured more than 10 vehicle models to supply ADAS system for them. Maybe next year you will see some oversea models. You can maybe drive a car with WeRide ADAS system in Mid East Asia, Southeast Asia in some countries, or even in Europe. Please stay tuned. Thank you.

Thank you. Just a moment for our next question, please. Next we have Xinyu Fang from UBS. Please go ahead.

Hi, thank you for taking my question. I have one question about the strategic balance and prioritization between China and international business. As we know, as Tony mentioned, there has been news about tightening scrutiny for autonomous driving permits domestically. WeRide has been making steady advancement in international markets with better UE. Could management please share your thoughts on the balance and priority of domestic and overseas operation lately? Thank you.

Okay, Xinyu, I'll take your question. We see both China and international markets as strategically important for WeRide. In, of course, the near to medium term, certain international markets offers a clearer and faster path to commercially attractive Robotaxi economics, thanks to the favorable pricing, partnership, and friendly, like, favorable regulations. Demonstrating sustainable profitability early on is critical for our industry, where healthy cash flow enables self-sustained growth. In local market, that's actually very important. We see it very important to get into this, we call it, the massive effect type of like, self-sustained growth. WeRide, we started building a significant international mode starting in 2021, ahead of most of the peers.

We have since then gained, like very hard to replicate expertise in global deployment, in regulation, localization, home location, and fleet operations. Meanwhile, China remains to be a key long-term market due to the size, ecosystem, infrastructure, and after all, it's our home. We continue to maintain a very strong presence here as well. Overall, we see a powerful flywheel effect as we scale across more cities in more countries, and we have more data and more validation to improve the performance and also to improve the regulatory trust. This accelerating the permits, audit expansion, and commercialization. Yeah, both are very important for us.

Of course, we are very pleased to say, we see a huge potential that international revenue will grow rapidly this year, and we're very on track to achieve our all year revenue target this year. Yeah. That's all, Xinyu.

Thank you.

Thank you. Next, we have Tianyu Liu from CITIC Securities. Please go ahead.

Hi, Tony and Jennifer. This is Tianyu Liu from CITIC Securities, and I have two questions. The first one is, what's Uber's current shareholding, and how should investors think about the relationship between WeRide and Uber? Secondly, could you share your go-to-market model across different markets? Thank you very much.

Thank you, Tianyu. Uber holds more than five percent. Uber is a strategic shareholder and a key partner of, for WeRide. Based on their latest public filing, they hold over five percent of WeRide, which we view as a strong endorsement of WeRide technology and our solid deployment and commercialization strategy. Operationally, we're already deploying with Uber in more cities outside the U.S. than any of the AV players out there. Which reflects both, you know, the depth of our relationship and our ability to execute at scale. We expect we will expand there is like echo sound. Can someone Tianyi, can you mute? Okay, thank you. We expect to expand to There's still echo.

Okay, I'll mute him. Yeah. We will enter into more cities with Uber this year. We remain to be a trusted partner as they build their global AV strategy. Of course, at the same time, our go-to-market approach is diversified. We work with partner that best fits each other in each market. In China, we operate our own app to build the brand awareness and operational capabilities. You can get our robotaxi on WeRide Go. You can also get it from the AMAP and then also the Tencent Mini Program.

In Southeast Asia, we partner with Grab, in Europe, we collaborate with local platforms, operators, and PTOs, including SBB in Zurich, TPG in Geneva, and ELEVATE in Slovakia, et cetera. All of this will accelerate our deployment and the permitting process. Overall, we see strong alignment with a platform like Uber in scaling our Robotaxi globally. Of course, we continue to take flexible approach in working with multiple platforms to ensure that we execute very effectively across different markets. Thank you. The second one, the other one is our asset-light business model for Robotaxi. I think the time is running out. I'll just be short. I'll try to be quick.

Outside China, we already implement asset-light business model in all markets. It's a mature and proven structure for WeRide. In like, I'll just give you example. In some cases, robotaxis are purchased by the ride-hailing platform or, like, local customers. In some other cases, they're owned by third-party fleet owners. We have already executed in both models successfully. The asset-light model means, like, WeRide will focus on providing the tech and operation while leveraging the local capital to scale more efficiently. In China right now, the priority is to continue improving the unit economic and of course operational efficiency, with a larger ODD so that the revenue share will become sizable enough for it to become appealing to a third party as an owner to participate.

Over long term, we also expect China to move into the same direction. As utilization continue to strengthen, the model should naturally transition towards a more asset-light structure. Thank you, Tianyi.

Thank you. Our last question comes from Mei Liu from HSBC. Please go ahead.

Hi. Thanks, management, for taking my questions. This is Mei from HSBC. I will only have one question: What's the trajectory for Robotaxi vehicle cost reduction? Thanks.

Okay, I'll take this one. Thank you, Mei. Cost reduction, of course, always remain to be one of our key focus area. We continue to see meaningful progress. There are three main drivers. The first one is the hardware and the system integration. With our latest platform and our purpose-built vehicle, like GXR, we are moving towards, like, the pre-integrated and very standard solution. Every year, the BOM costs continue to drop. The second is scale and supply chain optimization. As now we are moving to, like, a few thousand units deployment, as we can see, we are able to do better cost efficiency across different components and the manufacturing. The last one is on the operational efficiency.

We already see that there's a strong efficiency improvement as fleet scales and utilization increase. For example, in last quarter, we already announced that our remote safety officer ratio has already improved to 1 to 40 from previously as 1 to 10 to 120, now it's already 1 to 40. Internationally, we are following the same trend, but now, of course it's not 1 to 40 yet, but we're moving into the same direction. We believe all of this are very important because remote operation efficiency is a very meaningful, has a very meaningful impact over per vehicle TCO and the overall unit economic.

Additionally, when we enter some new market, there might be some upfront, like, homologation and localization costs, which sometimes temporarily increase the per vehicle cost in early stage. However, as deployment scales, within each market, those costs are amortized and the overall impact will become very limited and manageable. Yeah. This is the cost reduction as a combination of hardware as well as operational efficiency. Yeah. Thank you, Mei.

Thank you. Due to time restraints, I will conclude the call today. Thank you for participation in today's conference. This concludes the program. You may now disconnect.

Good morning, and good evening, ladies and gentlemen. Thank you for standing by, and welcome to WeRide's Fourth Quarter and Full Year 2025 Earnings Conference Call. Please note that today's event is being recorded. [Operator Instructions] Please note that the Chinese interpretation is for convenience purposes only. In the case of any discrepancy, management statements in their original language will prevail. Joining us today are WeRide's Founder, Chairman and CEO, Dr. Tony Han; and CFO and Head of International, Ms. Jennifer Li. Before we continue, I'd like to refer you to the safe harbor statement in the company's earnings press release, which also applies to this call as today's call will include forward-looking statements, including WeRide's strategies and future plans. These forward-looking statements are made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. The company's actual results could differ materially from those stated or implied by these forward-looking statements as a result of various important factors, and please refer to the Risk Factors section of the company's Form 20-F filed with the SEC and announcements on the website of the Hong Kong Stock Exchange for a full disclosure of these risk factors. The company does not assume any obligation to update any forward-looking statements, except as required under applicable law. Please note that all numbers stated in management's prepared remarks are in RMB terms, and we will discuss non-IFRS measures today, which are more thoroughly explained and reconciled to the most comparable measures reported in the company's earnings release and filings with the SEC and the Hong Kong Stock Exchange. The company's unaudited financial and operating results were released earlier today via Newswire and can be found on the company's IR website. And with that, I'll now turn the call over to the company's Founder, Chairman and CEO, Dr. Tony Han. Please go ahead, sir.

Hi, everyone. Thank you for joining us today. As a global leader in autonomous driving, we delivered strong results over the past year with a record high revenue of RMB 685 million, growing 90% year-over-year, driven by expanding robotaxi deployments as well as robust demand for robobus and other autonomous driving products. Robotaxi revenue has increased 210% year-over-year, reflecting the continued commercialization of our technology. By today, our global robotaxi fleet size has reached a new height of 1,125 vehicles. We are seeing encouraging momentum across both our domestic operations in China and our international markets. As we continue to scale, I'll walk you through the key developments driving our growth. Let's first turn to China, which continues to be one of our most important operating markets. During the period, we have advanced toward a more data-driven autonomy stack by incorporating end-to-end learning, leveraging large-scale data training and world model simulation as well as improving algorithm generalization. We also made solid progress in operating efficiency, fleet expansion, service coverage and user adoption. On the operation front, total cost of ownership decreased by approximately 38%, driven by reduction of vehicle BOM costs and improvement of operating efficiency. The BOM cost of our latest robotaxi GXR is cut by 15% enabled by the adoption of our cost-effective computing platform, HPC 3.0. At the same time, our remote assistance human-to-vehicle ratio improved from 1:10 in 2024 to 1:40, currently making labor cost marginal and further strengthening unit economics. Fleet size and service coverage also continued to improve. Our commercial and testing fleet in China has grown to more than 800 robotaxis, covering over 1,000 square kilometers across key urban areas. As fleet density increased, we also saw meaningful improvement in service performance. Average daily orders per vehicle reached 15 trips over the past 6 months, rising to 26 during peak periods. Average passenger waiting time declined to under 10 minutes, reflecting stronger demand and improved vehicle utilization. We continued expanding our presence in Beijing and Guangzhou, focusing on populated area, connecting key transportation hubs such as major airports and railway stations, along with further penetration into downtown area. In Guangzhou, for example, our robotaxi service is now available in Tianhe District, one of the city's most active commercial hubs. On the product side, we launched a flexible free PUDO feature, allowing riders to select any pickup or drop-off location within the service area. At the same time, we broadened access through major mobility platforms, including Amap, WeChat and Tencent Mobility. Encouragingly, we are seeing substantial increase of registered users of WeRide robotaxi service. Take the fourth quarter as an example, the year-over-year growth of registered users exceeds 900%, reflecting stronger user acceptance and engagement. Overall, we believe WeRide's long-standing leadership in robotaxi technology, combined with extensive real-world operational experience forms a durable and hard-to-replicate competitive moat, continues to resonate with users. As our operations scale, we expect further growth in vehicle utilization and user adoption going forward. Let's now turn to our international operations, where we continue to build on our progress expanding our global footprint. Today, we have deployed autonomous vehicles in 12 countries with official permits already granted in 8 of those markets. This progress demonstrates our ability to navigate complex regulatory environment while meeting local requirements. Taken together, these milestones position us as the most globally deployed autonomous driving company today. Europe is shaping up to be another major growth area for us. Back in November 2025, we achieved a historic milestone, receiving Europe's first-ever driverless robotaxi permit for passenger service from Switzerland's Federal Roads Office. That head start gives us a real advantage as we look to expand further across Europe in the coming years. Apart from this, just this month, we added another country to our global map as we announced our entry into Slovakia. We are deploying our full product lineup there, launching the country's first-ever AV program. Slovakia is also the fourth country for our European footprint. The Middle East remains one of the most promising regions. In Abu Dhabi, we secured the world's first city level fully driverless robotaxi commercial permit outside the U.S. in October 2025. Today, our service covers about 70% of the city's core area and passengers can book through various categories on Uber app, including Uber Comfort, Uber X, all the new autonomous category, Uber's first dedicated autonomous ride option globally. In that quarter, we also launched commercial robotaxi rides in both Dubai and Riyadh. We've also started pilot operations in Ras Al Khaimah, giving us a presence in a third UAE Emirate. In Asia Pacific, we are building early momentum with strong local presence. In Singapore, WeRide and Grab began autonomous vehicle testing in the Punggol district back in November 2025. Our robotaxi GXR and robobus are expected to open to the public by April 2026, making Punggol Singapore's first residential neighborhood with an autonomous shuttle service. A big part of what makes all this possible is our disciplined approach to international expansion. Our strategy focuses on markets with supportive regulatory environment and favorable economic conditions that are conducive to sustainable operations. Today, our international robotaxi fleet has surpassed 250 vehicles, and we continue to scale deployments across key international markets, including Abu Dhabi, Dubai, Riyadh, Switzerland, Slovakia and Singapore. Each new market we enter becomes a regional blueprint for expansion into adjacent markets. Looking ahead, we expect our global robotaxi fleet to reach 2,600 by the end of 2026, subject to regulatory approvals and market conditions. These milestones represent the early stage of our long-term vision to deploy tens of thousands of robotaxis worldwide by 2030. While robotaxi services at the core of our business, we are actively diversifying into other areas of autonomous mobility to build a broader portfolio and generate additional revenue streams. Across our diversified applications, WeRide's global AV fleet spanning robotaxis, robobuses, robovans and robosweepers grew rapidly from 1,089 vehicles at the end of 2024 to 2,113 as of today, strengthening our global presence across 12 countries. Take our robobus business as an example, it has seen impressive growth in 2025, increasing by 190% year-over-year. We've entered multiple European markets, including Switzerland, France, Belgium, Spain and Slovakia, where labor shortages in public transit systems are creating real opportunities for autonomous shuttles. By leveraging our technology to meet this demand, we're able to address a pressing need while also expanding our market presence. Additionally, our L2+ advanced driver assistance system, WePilot 3.0. WePilot 3.0 is being adopted by leading OEMs and Tier 1 suppliers, including Chery, GAC and Bosch. This system uses a one-stage end-to-end architecture with vision-based perception, enables vehicles to operate safely and efficiently across diverse driving conditions. In the second China Urban Intelligent Driving competition, hosted by D1EV.COM, Chery Exeed, a mass market passenger car model powered by WePilot 3.0 made history by winning first place in 3 cities competition stops. This business expansion helps us capitalize on the growing demand for L2+ ADAS technologies even outside of our L4 fleet. Innovation remains at the heart of our strategy. Building on our strength in L2+ end-to-end systems, WeRide is converging its technology stack toward L4 by integrating end-to-end learning with large-scale simulation and real-world data loops to enhance generalization and edge case handling. Our latest development, WeRide Genesis is a general purpose simulation platform that integrates physical AI and generative AI. WeRide GENESIS generates high fidelity driving scenarios much more efficiently, reducing simulation time for complex edge cases from days to minutes. This boosts our development efficiency and enables us to quickly test and deploy improvements to our systems while significantly reducing on-road testing costs reinforcing the technological moat underpinning our L2 to L4 product portfolio. On the hardware side, we've taken our partnership with Geely Farizon to the next level. The latest GXR as a purpose-built factory pre-installed autonomous vehicle is delivering higher safety consistency and lower unit cost. The upgraded model incorporates our proprietary HPC 3.0, a high-performance computing platform, which is a more compute-efficient architecture. And here's the number that really shows the efficiency gain. Per vehicle production time is now under 10 minutes. These advancements will give us a significant edge in terms of both vehicle performance and scalability of our global robotaxi fleet. With that overview, I'll now turn the call over to our CFO, who will walk you through our financial performance and outlook in more detail.

Thank you, Tony. Hello, everyone. Before we dive into the financials, I want to highlight that all figures are in RMB and comparisons are year-over-year unless stated otherwise. Now let's discuss our fourth quarter and full year 2025 financial performance. Looking back, Q4 2025 will be remembered as a defining chapter in WeRide's journey as we continue to make steady progress in scaling operations, improving unit economics and advancing our technological leadership. Our fleet and geographic coverage grew significantly, showing strong momentum as a global leader in autonomous driving. Now let me walk you through the financial performance that reflects these developments. In Q4 2025, total revenue was CNY 314 million, representing an increase of 123%. Product revenue increased 309% to CNY 211 million, mainly driven by increased sales of robotaxis and robobuses. Service revenue increased 15% to CNY 103 million. For the full year 2025, total revenue increased 90% to record high CNY 685 million. Product revenue and service revenue were CNY 360 million and CNY 325 million, respectively, representing an increase of 310% and 19%, respectively. Robotaxi continues to be one of the most crucial drivers among the business lines. In Q4 2025, WeRide has reached another record high quarterly robotaxi revenue since its foundation as its robotaxi revenue has increased 66% to CNY 51 million. For the full year 2025, robotaxi revenue also achieved an annual record high of CNY 148 million with a 210% growth year-over-year. This growth is powered by our asset-light model. We provide the autonomous driving brain while mobility and fleet partners handle operations and vehicle ownership. This keeps vehicles off our balance sheet, enables efficient scaling and aligns incentives to deliver a consistent user experience. Our robotaxi revenue is also supported by a combination of ongoing service fee and recurring ride-hailing revenue share from platform partners. Our global expansion in robotaxi operations has firmly established us as a leader in the rapidly evolving autonomous mobility landscape. In particular, our international business is becoming an increasingly important driver of group revenue. For full year 2025, overseas markets contributed approximately 29% of total revenue, spanning a diverse set of geographies, including the Middle East, Europe and Asia Pacific. At the same time, our focus on operating efficiency has allowed us to sustain healthy margins even as we scale. In Q4 2025, group level gross profit increased 74% to CNY 89 million with a group level gross margin of 28%. For the full year 2025, group level gross profit was CNY 207 million, representing an increase of 87% with a group level gross margin of 30%. These results highlight the strength of our business model and reinforce our confidence in our global expansion strategy. In Q4 2025, operating expenses increased slightly by 2% year-over-year to CNY 655 million, with R&D representing 63% of the total. For full year 2025, operating expenses decreased by 11% to CNY 2.04 billion, with R&D representing 67% of the total. The decrease in operating expenses was primarily driven by lower administrative expenses, partially offset by increases in R&D and selling expenses. As our primary investment area, the rise in R&D spending reflects our focus on long-term technological leadership, while disciplined cost management kept overall operating expenses under control. To break down further, R&D expenses increased by 29% to CNY 411 million in Q4 2025 and increased by 26% to CNY 1.37 billion for the full year 2025, primarily driven by our continued investments in top-tier talent and the expansion of our next-generation data center infrastructure, building a high-performance backbone to support our L2+ to L4 autonomous driving capabilities. This continuous R&D commitment is essential to maintaining our competitive edge and driving future growth. Administrative expenses decreased by 29% to CNY 217 million in Q4 2025 and decreased by 48% to CNY 596 million for the full year 2025. The decrease was mainly driven by lower share-based compensation and partially offset by growing professional service fees, personnel costs and depreciation and amortization expenses. Selling expenses increased by 76% to CNY 27 million in Q4 2025 and increased by 37% to CNY 74 million for the full year 2025. These increases are in line with the growth of our business. Our net loss narrowed by 6% to CNY 5,565 million in Q4 2025 and narrowed by 34% to CNY 1.65 billion for the full year 2025. Building on our successful Hong Kong IPO in Q4 2025, we ended the year with a strong capital position. As of the 31st of December 2025, we had total capital reserves of CNY 7.13 billion, comprising CNY 6.97 billion in cash and cash equivalents and time deposits, CNY 144 million in investments in wealth management products and CNY 19 million in restricted cash. We maintained short-term bank loans of CNY 324 million to support daily operations. With disciplined cash deployment, this level of capital provides a solid operating buffer and underscores our financial strength to support continued growth. On the 23rd of March 2026, our Board of Directors authorized a share repurchase program under which we may repurchase up to USD 100 million of our Class A ordinary shares, including in the form of American depositary shares over the next 12 months. This authorization also reflects our commitment to shareholders and our confidence in the long-term value of WeRide. Looking ahead, we are moving forward with clarity and conviction. By end of 2026, we expect to have 2,600 robotaxis globally, marking the first phase of our path toward tens of thousands of robotaxis by 2030. As our fleet scales, we see a clear path to extending our proven deployment model to more cities worldwide, supported by a strong balance sheet, relentless focus on operating efficiency and deepening partnerships, we are well positioned to lead the next chapter for autonomous driving industry. With that, operator, we're now ready to take some questions.

[Operator Instructions] We will now take our first question from the line of Kai Xiao of CICC.

This is Ben from CICC. So I have 2 questions. First one is quite a few OEM and Tier 1 peers are also working on L4 robotaxi such as Horizon Robotics and Momenta. So what's your view on this matter? And the second one is on the L2+. So recently, vRS ADAS showed an industry-leading capability in a highly challenging real-world competition. So could you share the key differentiation between vRS ADAS capability versus the peers?

Thank you very much, Kai, for these 2 important questions. And I truly appreciate you asked these 2 questions. So first of all, the first question is about like quite a few OEM and Tier 1s you just mentioned like a few names like Horizon and Momenta. They claim that was robotaxi and what's my view. So first of all, I think as a first mover and the industrial leader -- as the CEO of first mover and industrial leader of autonomous driving company like WeRide, I have to say we welcome other players to join this competition. And that means like the whole ecosystem and the whole industry is really attractive and there's a great market potential. So only in a very interesting and juicy and profitable market, you can see -- you can experience competition. Having that said, I just want to remind like some competitors or new players, the difference between ADAS system, which they are very familiar and the L4 driverless robotaxi system, which they are not familiar, okay? A lot of time, people have to do some contractual of extrapolation from what they have -- what they are familiar like L2++ system and then they want to think, okay, we just increase the reliability, increase a little bit speed of our system and we can achieve driverless operation. My answer to that kind of extrapolation or extrapolative thinking is like you don't -- you haven't seen the difficulty what you haven't seen. So the thing is like why am I in a position to say that? Because WeRide is the only company currently to my best knowledge in this world, good at ADAS system, at the same time, good at driverless operation or robotaxi. So for example, in China Urban Intelligent Driving competition just finished like last month, we -- actually, 2 days ago, we won the championship once again. So WeRide is the only company won this championship 3 times in a row, we made a history. So which means like in that competition, the companies you mentioned like Momenta and Horizon, they all enter the competition, but WeRide just won 3 times over them. So we know pretty much the ADAS, and we are very familiar in the ADAS area that they are familiar. On the other hand side, I would say, if you want to claim yourself to be an L4 level autonomous driving company or a robotaxi company, you have to have a substantial operation. What do I mean? You should have at least 50 driverless cars running in the city with a population of at least 1 million people, okay? If you just have 10 cars and with a safety driver behind steering wheel, you cannot claim yourself as a robotaxi company. Of course, a lot of people can claim like you are working on something, that's great. But to make sure you are real the player of the field, you have to demonstrate you have the real driverless operation. Therefore, I want to emphasize the technology barrier between L2++ and L4 is huge. And to really make yourself like a significant serious player in the robotaxi field, you really need to demonstrate your capability in driverless operation. Besides, there's other factors like hardware maturity, software integration, full redundancy architecture, regulatory approvals, operational stability, all of these factors traditional ADAS company haven't experienced. So my view is like WeRide and also with some other leading autonomous driving L4 level robotaxi company has really a strong advantage. So we welcome this kind of competition, but we are very confident with our current leading position, our current footprint in the international market. That is a huge gap. I don't foresee any newcomers can catch up soon. So this is my answer to the first question. Okay. The second question is about our recent extraordinary results in China Urban Intelligent Driving competition. And so what differentiates us between our peers? So I think the ranking and scores tells all, right? So this kind of autonomous -- this China Urban Intelligent Driving competition hold once every month or once every 2 months, depends on period, okay? And in the history, there's only one company won this kind of championship twice in a row. That was Huawei. At that time, they have a very big advantage. But there has never been a company that has won this kind of championship 3 times in a row. Since last year, November, and then December and this year, March, we won 3 times in a row. The competition has been entered by all the companies, famous autonomous driving company of cars in China, you can name it. XPeng, Li Auto, NIO, Xiaomi, Momenta, Horizon, Huawei, Zeekr, they all entered the competition. But we write won this kind of competition 3 times in a row. That demonstrates our capability. And what is the secret sauce behind it, we have several. First, one of our one-stage end-to-end system training based on both synthetic and real data from our L4-level autonomous driving robotaxi from our L2++ level data. And that helps a lot and our unique one-stage end-to-end architecture which is different from LLA -- from VLA, and that one gives us a big advantage. Thirdly, the data generated from our GENESIS model. And this GENESIS model is superior, and it can generate data according to our needs and also reduce our data collection cost by 75% with all this technology combined give us a kind of leading position in the ADAS field. That's all my answer to these 2 questions. Again, thanks for the question, Kai.

We will now take our next question from the line of Ming-Hsun Lee of Bank of America.

I also have 2 questions for you. So first, could you please elaborate the robotaxi expansion plan of both China and international markets? And what is the delivery schedule for the 2,000 vehicles signed with Geely Farizon? And second question, could you also share your forward-looking plan for the Middle East, given peers' market entry, geopolitical conflict and also the involvement of the partnership with Uber. Specifically, what is the time line of the deployment of 1,200 vehicle with Uber?

Okay. I'll take the first question. I guess you can take the second question. Thank you, Ming. Both China and international markets are core to WeRide's growth strategy. As we just mentioned, we recently signed still that it's actually an extended agreement with Geely Farizon for additional 2,000 upgraded robotaxi, we call GXR in 2026. So by end of last year, our fleet has surpassed over 1,000 robotaxis. Taking into consideration of the phased delivery of the newly like pre-installed GXR and then also the retirement of some of the older vehicles we have, we expect to reach around 2,600 robotaxi globally by end of this year. China definitely is going to be the -- it is a cornerstone of our business, where we focus on cities with very supportive policies for autonomous driving and high population densities, those Tier 1 cities in China, like, say, Guangzhou and Beijing, they both fit this profile very well. In Guangzhou, for example, we plan to gradually scale towards city level operation like what we already have in Abu Dhabi. We are also expanding into another major Tier 1 city in China, and we look forward to share more of that details soon with everyone. And on the international side, Middle East continued to be a very strong base for us. We run the largest robotaxi fleet at city level in Abu Dhabi, and we are the first who started robotaxi public operation in Dubai and in Riyadh as well. So we'll continue to -- our strong like momentum in the Middle East. Also, Europe is a key focus. Our robotaxi obtained the first and only driverless operation permit in Europe from like the Switzerland government last year. Building on this momentum, we are really looking to further expand it in market, like, say, Madrid and potentially one more core city in Europe this year. And of course, we'll continue to expand our robotaxi operation in Zurich as well. Tony, do you want to take the next question?

Sure. So just kind of a general reminder to everybody like the second question is really about our future plan for the Middle East and what is the time line of deployment claimed 1,200 vehicles with Uber. Right now, we have around like 200 vehicles in Middle East. And together with Uber, we plan to add at least 1,000 more by 2027. And we expect to be the first to reach 1,000 vehicle scale in this region, okay? It's really not easy, and we have spent a ton of efforts and planned a lot and sometimes retrofit and redesign our vehicles and do lots of technology efforts to meet this number. Operationally, we are carrying out business as usual. I think you have know we are already running city level full driverless robotaxi service in Abu Dhabi, and we aim to do the same in Dubai this year. We are currently the only company offering robotaxi service to the public in both cities, and that first-mover advantage is meaningful. Our scale regulatory progress, strong partnerships and safety record all support this position. On the geopolitical tensions you have -- we are currently experiencing, we are monitoring developments very closely with a continued focus on the safety of our local teams and maintaining a reliable operation. So far, we have not seen any material impact on our business. Our global footprint and diversified presence also give us confidence in navigating potential uncertainties. Regarding our partnership with Uber, our 5-year 15-city rollout plan remains on track, and we expect to announce new city launches in due course this year. Okay? That's the answer to this question. Any other questions?

We will take our next question from Tim Hsiao of Morgan Stanley.

This is Tim from Morgan Stanley. I have 2 questions. I think the first one is basically, I want to follow up on the L4 competition because at NVIDIA GDC earlier this month, we noticed that WeRide again showcased the robotaxi GXR. I think the model is powered by NVIDIA Hyperion platform and the Thor SoC. Although we noticed the collaboration with NVIDIA has helped WeRide to effectively reduce the cost, accelerate global expansion. But these days, I think NVIDIA also supplies similar ready solution to many of WeRide's competitors and also automaker for the long-term L4 development. So my question is, how does WeRide address the challenge of robotaxi homogenization in the long term and can keep successfully differentiating? That's my first question.

Thank you, Tim. This is a great question. So first of all, I think currently, like many players, they define their autonomous driving system based on NVIDIA's Thor AGX platform. But I want to emphasize, just to make announcements like we are going to adopt NVIDIA Thor AGX is easy. But to really make a reliable and workable autonomous driving system based on NVIDIA's Thor AGX is very challenging. WeRide team up with Lenovo and NVIDIA spent 2 years to design our HPC 3.0 auto grade. And we actually produced the first of its kind of computational -- autograde computational platform for robotaxi with a computational power of 2,000 TOPS. You can look around and see whether any other people have this kind of computational platform of 2,000 TOPS and with redundancy, not easy, okay? We have lots of buildup on top of this autograde computational platform. Besides, we build up our simulation, simulator and data collection integrated platform GENESIS. And this one can generate a lot of data and can be integrated into the training and then can be evaluated with HPC 3.0. So that one is actually a very, very advanced system. So in the long run, I don't think like just a general, very generic universal platform can help like experienced or not that strong technological player so that everybody can become a significant player in robotaxi, i.e., democratize the whole industry. No, it's not like that. People actually have tried that before. I just want people to remember like 4, 5 years ago, Baidu rolled out this Apollo platform. The goal is very close to what NVIDIA want to do is roll out open source some code and everybody can work on it. But today, to our best knowledge, no driverless robotaxi fleet are developed use Apollo. Even Baidu used his own closed source platform to work on it. So whether that open source can be used by some third party and then deploy reliable driverless operation is an unproved concept. And actually, I'm quite skeptical on that. So we are very confident for our competitive edge in the next 5 years and in the next 10 years, and we have a leading and -- leading position, I think, we have maybe larger and larger leading advance. So in that part, we are quite advanced. That's my answer to your question, Tim.

Thank you, Tony, for sharing all the details. My second question is also a quick follow-up regarding our global partnership with Uber because I think most of us noticed that WeRide has formed a close strategic tied up with Uber for a global expansion. Yet in the meantime, I think Uber has a ride-hailing platform, the company continues to onboard more robotaxi service provider like in the U.S., Rivian, Zoox, Motional and in the rest of the world, like Wayve, et cetera. So facing this kind of dynamic of both cooperation and competition, how does WeRide ensure its long-term share of ride-hailing orders in overseas market can keep growing and the stay as a major supplier to Uber? And lastly, how does WeRide plan to enhance its capability globally? That's my second question.

Tony, you want to take this?

Jen, if you want, you can go ahead to take. Yes, please go ahead.

Yes, I'll take this question. So Tim, first of all, Uber is an important shareholder and partner for WeRide. We believe their incentive is to maximize our WeRide's like robotaxi utilization. And as a matter of fact, with all the like partnership they have signed to today, you can only get robotaxi from Uber on the Uber platform from WeRide and from Waymo. That's it. And we do have a very concrete plan to scale together. In the key markets, like say, Middle East, we have the first and foremost operation right, and we're going to have launched 1,200 robotaxi, which will be fully delivered by 2027. This is going to be a very, very large and definitely the largest robotaxi fleet outside China and the U.S. And on top of that, we operate robotaxi, robobus, robovan and other products globally. We act like more like an infrastructure partner to -- directly to the local government. Like say, in the , we are bringing our robotaxi, robobus, robovan, robosweeper all together in one go. We are the infrastructure partner to those local governments. So we're not just like Uber supplier, and we own most of the autonomous driving license. The government directly issues license to us. So also in the presentation we just did in the video, you can see that our global taxi partners worldwide, including besides Uber, and we also have like Grab, ] TXCI and a number of local partners. We have different local partners in different local markets. So yes -- and just to emphasize on the licensing moat, we are the only one that holds autonomous driving permits in 8 countries. Based on our knowledge, this is definitely the broadest in our industry. This creates a very high barrier to entry. And also even on Uber and through like other product categories like whenever we have like the public service deployment, we are building the WeRide brand recognition directly with end consumers as well. So if you talk like, say, in Singapore, like in Abu Dhabi, in Middle East, in Dubai, in those cities, people know that the WeRide brand quite well, I would say. So the bottom line is like we are not just one of Uber's vendor where their equity-linked key operator and key robotaxi providers in key markets with a proven unit economic -- economy. And then we think our multi-scenario, multi-country footprint will make us a very essential part of the urban mobility infrastructure, not just a replaceable supplier anyone. That's my answer to your question.

We will now take our next question from Jiajie Shen of JPMorgan.

Congratulations on the very strong results. My first question is regarding fleet utilization. How do you expect it to grow in China? And what are the implications to unit economics? And my second question is regarding overseas business. Your global business is showing great progress, and this is truly impressive. Could you please share more about key figures of the overseas business in 2025? And what are the 2026 guidance of key operational and financial metrics?

Okay. I will take the first question. The first question is about the fleet utilization growth in China. And also, it's about like the implications to unit economics. So first of all, we are taking a number of steps to improve utilization, raising fleet density in existing service areas, rolling out free pickup, drop-off, i.e. PUDO, and extending operation hours. And we are seeing that translate into results. User adoption rate has been strong. Our robotaxi user cases in China grew over 900% year-over-year in Q4. This is an extraordinary number, and I don't expect we can keep this kind of number every year, but still it's kind of extraordinary number. And our vehicle utilization is also trending up. Today, each vehicle averages about 15 trips per day with peak days reaching around 26 trips, some peak day like festival or some very special Valentine's Day. The average trip distance is about 5 kilometers and pricing is roughly RMB 2 per kilometer, which represents 30% to 50% discount to traditional ride-hailing. This is a deliberate promotional strategy as we scale region by region and drive our user adoption. As we expand to citywide coverage like what we are working on to Guangzhou and the deepening integrations with platforms such as Amap from Alibaba, WeChat from Tencent and Tencent Mobility to match convenience of traditional ride-hailing. We expect pricing to move closer to the standard rate around RMB 3 per kilometer. At this point, we see a clear and achievable path to improve unit economy in China. Over years, as our fleet size and coverage expand, we are targeting 25 trips per vehicle per day because autonomous driving, the autonomous driving vehicles, robotaxi, they don't need a driver and then you don't want to -- you don't have an exhaustive driver. Therefore, we can keep on going as long as we can take orders. At steady state, we expect contribution margins in China to be over 40%, okay? That's my answer to your first question. I think Yes, that's my answer to your question, yes.

The second question is about the overseas business and some of the forecast, right? So yes, so our international business is growing at a really, really pleasant rate. And for the Q4 2025, the overseas revenue was up 140% year-over-year, and it's contributing 31% of the total revenue and with the gross margin at like 40-ish, almost 50%. And for the full year 2025 and our overseas revenue grew about 305% year-over-year and accounting for roughly 29% of the total revenue. So the gross margin was around almost 50% as well. So overseas market offers a significantly stronger like growth and profitability potential. For example, our Middle East subsidiary is already profitable on a stand-alone basis. So looking ahead to 2026, we expect the revenue to continue to grow at a healthy pace. We are also on track to reach our goal for the global robotaxi fleet as well as for different regions. We believe we can still reach the goal by end of the year. And on the gross margin side, we expect the gross margin to remain relatively stable for the international business. And yes, on the cash side, the operating cash flow may increase modestly on the group level since we are continuing to invest for talent and our R&D to support the long-term like core growth of the company. We'll provide more detailed guidance in the upcoming earnings release. But directionally, this reflects how we are thinking about how we build up the business and the financial forecast.

We will now take our next question from Leo You of CLSA.

It's Leo from CLSA. Also 2 questions from me. And first is, could you please walk us through the key cost reductions and technology innovations behind the upgraded GXR? And how would that drive further unit economics improvement going forward? And secondly, we are also very glad to see that you announced the share buyback plan. And could you please elaborate more on the thought process and how you're going to execute the share buyback plan going forward?

Okay. I'll take both questions -- I'll answer both questions. Thank you, Leo. The first one is on the cost reduction on GXR. And maybe I try to answer the question in a different way from the total cost of ownership perspective. As we mentioned earlier, the TCO for the China fleet has declined by as much as 38% in 2025. And the 2 main factors -- the 2 main drivers are below. First of all, we have -- which is now Tony has already shared, there's a significant improvement in the remote assistance ratio from 1:10 in 2024 to 1:40 by end of 2025. So we also have a similar efficiency gains for the grid operator. So on both ends, we -- there's efficiency improvement on the operation level. And second, we have seen overall a 30% reduction in the BOM cost, that including the upgraded the HPC as well as for the pre-installed new GXR robotaxi. Meanwhile, now we are starting to have like a larger volume. So scale is starting to deliver the real benefit. As our fleet expands, we see a meaningful cost reduction through the volume procurement. Also on the software side, I still want to remind everyone, so the game changer here is really our WeRide GENESIS. This GENESIS -- the GENESIS allows us to handle the edge case much more efficiently and accelerate the iteration cycles. So it's easier for us to deploy in a much larger ODD and with less remote assistance needed. So together, this will deliver a very meaningful improvement in our cost structure. Yes. And the other one is regarding the share buyback. So today, our Board of Directors authorized a share repurchase program effectively as of March 23, 2026, which is today as well. We may repurchase up to USD 100 million worth of our Class A ordinary share from both Hong Kong Stock Exchange and NASDAQ over the next 12 months. It is actually subject to the scope and limit of the repurchase mandate granted by the shareholder of the company on March 13, 2026, and approval of a similar repurchase mandate to be put forward to shareholders at the upcoming 2026 Annual General Meeting for the company. So our proposed repurchase may be made from time to time on the open market at the prevailing market price and the privately negotiated transaction in block trade, depending on the market condition and in accordance to the applicable rule and regulation. Yes. That's my answer to your question, Leo.

We will now take our next question from Xinyu Fang of UBS.

Congratulations on delivering solid revenue growth and operation expansion. My first question is about revenue structure. We noticed that there has been quarterly fluctuations in the contribution of product and services revenue. How should we think about the revenue structure of the company going forward, both in the near term and medium term? And as for my second question, apart from the CNY 100 million share buyback program, could you please share a little bit more on the future cash deployment plan of WeRide?

Okay. I will take the first question. So -- so in 2025, our robotaxi contributed 22% of the total revenue and robobus contributed 34% and our L2++ ADAS and data service contribute 29%. Together, these 3 pillars accounted for around 85% of our business with robovan and robosweeper making up the remaining 15%. So that's the detailed numbers. But if you do forward looking -- looking ahead, robotaxi, robobus and L2++ will remain our core growth engines, supported by strong synergies across our integrated autonomous driving ecosystem. We have a platform strategy. Robotaxi is the fastest-growing segment with significant scalability and improving unit economics, especially overseas. So we expect its revenue share to increase over time. Just want to emphasize, WeRide inherently is a robotaxi technology company, okay? We have many products, but robotaxi is the core. Robobus is currently our most geographically deployed business and benefits from clear synergies with robotaxi in both regulation and commercialization. L2++ continues to gain traction with partners like Chery, GAC and Bosch, serving both as a revenue stream and a platform to validate our technology. Meanwhile, robovans and robosweepers provide complementary value with lower cost, fixed route operation that also help us enter and educate new markets. Overall, this diversified portfolio give us both scale and balance, which we see a key strength. I think if you look at all autonomous driving company in this world, WeRide is unique and only WeRide adopt this technology.

Okay. I'll answer Xin's last question. So for the cash deployment side, we end 2025 with a little bit over CNY 1 billion in the cash reserve and which is a strong foundation to support our expansion. And our net cash burn rate is less than USD 200 million based on the past pattern. At the same time, our revenue growth is really accelerating, we can see from today's results. And our operating cash flow is becoming increasingly a more important funding source for us. So as we scale, we are not just like investing and like raising capital from the capital market and then spending just on R&D, that's it. We are generating cash ourselves and at a relatively fast speed as well. So overall, we are in a very solid liquidity position, and we'll continue to invest with discipline while we are -- we still maintain ample runway to execute our growth strategy. Yes.

Thank you. Due to time constraints, I'll conclude the call today. Thank you for your participation in today's conference. This does conclude the program. You may now disconnect.

Thank you very much.

Thank you.

Greetings, and welcome to WeRide's Third Quarter 2025 Earnings Conference Call. Please note that today's event is being recorded. The company's unaudited financial and operating results were released by Newswire earlier today and are currently available online. Joining us today are WeRide's Founder, Chairman and CEO, Dr. Tony Han; and CFO and Head of International, Ms. Jennifer Li. Before we continue, I would like to refer you to the safe harbor statement in the company's earnings press release, which also applies to this call as today's call that includes forward-looking statements, including WeRide's strategies and future plans. These forward-looking statements are made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. The company's actual results could differ materially from those stated or implied by these forward-looking statements as a result of various important factors, and please refer to Risk Factors section of the company's Form 20-F filed with the SEC and announcements on the website of the Hong Kong Stock Exchange for the full disclosure of these risk factors. The company does not assume any obligations to update any forward-looking statements, except as required under applicable law. Please note that all numbers stated in management's prepared remarks are in RMB terms, and we will discuss non-IFRS measures today, which are more truly explained and reconciled to the most comparable measures reported in the company's earnings release and filings with the SEC and the Hong Kong Stock Exchange. With that, I'll now turn the call over to the company's Founder, Chairman and CEO, Dr. Tony Han. Please go ahead, sir.

Thank you. Hello, everyone. Thank you for joining us today. I would like to begin by highlighting some of the key milestones we achieved this past quarter. Q3 was a period of extraordinary progress for WeRide. Most notably, we made history in Abu Dhabi by securing the world's first city level fully driverless robotaxi commercial permit outside the United States. And we will begin -- actually we have already started the driverless operation through Uber, which I'm going to detail in the later slides this week. With our recent expansion into Belgium and our inaugural driverless robotaxi license in Switzerland, WeRide has become the only company with autonomous driving permits for 8 countries. By October, we have developed L4 fleet in 11 countries and more than 30 cities with over 1,600 L4 level autonomous driving vehicles in operation worldwide.

So as mentioned earlier, WeRide has been officially approved to provide full driverless commercial robotaxi service in the UAE's capital, Abu Dhabi. This landmark authorization removes the requirements for in-car safety officer and demonstrates the regulators' strong confidence in our technology. Following this approval, WeRide and Uber jointly launched the region's first fully driverless [wire charging] robotaxi service this week. starting from Yas Island and with a citywide rollout underway. Our commercial operation at Abu Dhabi has begun in last December. Our service now covers roughly 50% of the city's core area. In half of 12 hours, our single vehicle can complete up to 20 trips per day. I think this is a quite exciting progress. In the third midterm -- in the midterm, we aim to extend our service hours to 24/7, increase vehicle utilization to more than 25 trips per day and improve human-to-vehicle ratio to 1:10. These numbers will lead us to a very healthy unit economics. We believe Abu Dhabi will set a global benchmark for large-scale and commercially viable robotaxi operation. And with all of these numbers, I think our unit economics is very, very healthy and can be profitable. So I just want to emphasize this kind of breakthrough is quite exciting, and we work so hard for a whole year to achieve this full driverless robotaxi operation in Abu Dhabi. And this is the first city level outside of United States who are capable -- first city level robotaxi service out of the United States, and it is actually provided through Uber platform. So with all of these important factors, this is unparalleled, and we are so exciting that we are making history.

Now let's talk about our current operation in Dubai. In September, we secured a self-driving vehicle trial permit from Dubai's Roads and Transport Authority and have begun road testing for our driverless operation in Dubai. Our goal is to launch supervised trial on Uber this year and the driverless commercial operation in the year of 2026. I mean, next year, we are going to provide driverless robotaxi service in Dubai.

Then we are going to talk our current operation in Saudi Arabia. In Riyadh, we began offering robotaxi rides through Uber in October, making our robotaxi service first and only publicly accessible robotaxi service in the Kingdom. With our development in the 3 largest cities in Middle East, that is Riyadh, Abu Dhabi and Dubai, we have more than 100 robotaxi vehicles in the Mid East region. The launch of driverless operation in Abu Dhabi is paving the way to scale the fleet to more than 500 vehicles by next year and tens of thousands by 2030. So we are very excited and very confident -- and very confident and very optimistic about our full driverless robotaxi operation in Middle East.

But that's not only our operation region. And I want to talk about East Asia and Europe. First, in Singapore, together with Grab, we received approval from the Land Transport Authority for both robotaxi and robobus in the area called Punggol District. We plan to increase our AV test volume by 4x by the end of this year. We also are integrating our technology into Grab's fleet management and routing system so that in future, we can provide driverless robotaxi through Grab in Singapore, just what we have done in Abu Dhabi through Uber. Actually, this -- all of these efforts will pay the groundwork for commercial service in the next phase. And then let's talk about Switzerland. In Europe, the expansion in Switzerland continues to lead our robotaxi deployment. We received the country's first driverless robotaxi license, enabling our autonomous operation in the Furttal region. A full driverless public service is expected to be launched in the first half of 2026. That is our current operation in Europe and in East Asia and Singapore.

And now let's talk about China. In our China market, we continue to expand and innovate. As we scale our commercial fleet, we also launched a 24/7 driverless commercial service in Huangpu District at Guangzhou. This is an area of 150 square kilometers. As of October, we have deployed more than 300 robotaxi in Guangzhou and over 100 in Beijing. All -- for all of this service, you can hail a driverless robotaxi in this region through our WeRide Go app. User value is kept very close to our heart, and we recently introduced China's first free pickup and drop-off feature for robotaxi service we called PU/DO service, allowing our system to intelligently recommend optimal boarding locations. This greatly improved both operational flexibility and user experience, which is well captured by our operational data. In November, each robotaxi completed up to 25 daily trips in Guangzhou and 23 in Beijing, which is a clear evidence of accelerated adoption.

Next, let's talk about our other applications. First, robobus. our robobus obtained Belgium's first Level 4 test permit, and we launched our operation in Leuven, making Belgium the 11th country covered by our service. In Guangzhou, after serving more than 1 million passengers since 2021, we received an order -- received an order for additional 100 midsized robobuses. This is a very exciting achievement. Actually, this is a newly developed robobus. In Hong Kong, we established a partnership with Kwoon Chung Bus Holding to deploy more than 500 Level 4 vehicles over the next 3 years. And for our L2+ Level ADAS system, WeRide and Bosch achieved a major milestone in November with the start of production of WePilot 3.0. This is an end-to-end system. It's just like what Tesla has achieved through their FSD system. Our WePilot is totally comparable to what Tesla can do with FSD. The WePilot 3.0 will debut with the refreshed Chery EXEED ES and ET model and existing owners will receive OTA upgrades. With this kind of new feature, every owner of Chery EXEED ES and ET can enjoy the experience of Tesla's FSD. With this exceptional end-to-end system, WePilot has also been selected as the major ADAS system provider by Guangzhou Automotive Group, GAC, for several of their passenger car models. So that part is actually a very exciting progress, demonstrating WeRide can not only capable of doing L4 level robotaxi, but also are capable of doing L2++ level ADAS for massive production car.

This page actually shows -- summarize our footprint in the global. Actually, WeRide's strategy prioritized a balanced development in the global market. I want to explain this slide a little bit. You can see like in these 11 countries, we have different levels of operation. We have tested or we can operate it without a driver. So they are showing in the legend. So you see our multiproduct offering has maximized the value of our strategy, making us the only company whose technology is available in the 11 countries shown here. So we actually have a wide spectrum of applications and service available for the global market. Next, let me discuss about the backbone of our technology. This is called WeRide One Universal platform. By starting from supporting L4 applications alone in early days, WeRide One has grown gradually grown into a more powerful platform that empowers the full spectrum from L2 to L4 while continuously breeding new tools and systems. So one of the most preeminent is our world model, WeRide Genesis. So in our Genesis model, you can see Genesis is a new platform and will allow autonomous vehicles to be tested in a digital twin of the real world safely, efficiently and at a large scale. It features the data loop, algorithm loop and simulation validation loops that are essential for scalable autonomy. This is our world model, and it's seamlessly integrated with our end-to-end system. So this is a unique technology advantage. Our world model can be seamlessly integrated into end-to-end ADAS system and our L4 system can leverage on the data we collected from our L2 level data. So this Genesis form as the core flywheel, actually, we call it a double flywheel. We can actually leverage on L2++ level massive production car data to improve our robotaxi. In turn, our robotaxi data with redundancy can help us to boost the performance of our ADAS system. I want to emphasize in this world, there's only one company WeRide can do so. On one hand side, we have a large-scale robotaxi fleet make WeRide capable of doing leading robotaxi service like Waymo and other companies like they can do in the U.S. so that we can actually capture all the characteristics of full driverless operation. At the same time, WeRide to apply [indiscernible] 3.0 and very advanced ADAS system comparable to the FSD of Tesla, and we can leverage on mass production car data and collect all this kind of data in a very broad sense in all kinds of scenario to help us to improve the performance of robotaxi. We believe we can combine the benefits of L4 and L2+. This hybrid architecture enhance adaptability, reliability, safety and transparency, ultimately enabling robust commercial deployment. We look forward to sharing more about this advantage soon. In summary, Q3 was a quarter of exceptional execution. We expand our global leadership, and we translated technology innovation into commercial reality. With that, I will hand over the call over to our CFO, Jennifer, to discuss our financial performance. Jennifer, please go ahead to discuss about the financial numbers.

Thank you, Tony. Hello, everyone. Before we dive into the third quarter financials, I want to highlight that all figures are in RMB and comparisons are year-over-year unless otherwise stated. Now let's discuss our third quarter financial performance. We delivered total revenue of RMB 171 million with a year-over-year growth of 144%, driven by our continued fleet expansion and increase in service penetration. The revenue growth also reflects the significant milestone we have achieved during this quarter, supported by our advanced technology, robust deployment and operational capabilities. Our revenue came from both product revenue and service revenue. Product revenue delivered strong growth of 428% to RMB 79 million in this quarter, an encouraging result driven by the increased sale of our robotaxi and robobuses. Service revenue grew 67% to RMB 92 million in Q3, supported by an increase of RMB 29 million from intelligent data service and an increase of RMB 8 million in autonomous driving-related operational and technical services. Service revenue has surpassed product revenue in this quarter, demonstrating a continual growth momentum and healthy business structure. Among our product lines, what really stood out in Q3, same as in the last 2 quarters was our robotaxi businesses. Robotaxi revenue increased 761% year-over-year to RMB 35 million in Q3, accounting for 21% of total revenue in this quarter. With our new federal permits in UAE, we are the first and only robotaxi company that have begun full driverless robotaxi operation in UAE. Removing in-car safety officer is a critical milestone from a financial perspective, which will enable our robotaxi service to achieve unit economic breakeven. The quality of our growth is also compelling. Group level gross profit increased 1,124% to RMB 56 million for the third quarter with a group level gross margin of 33%, demonstrating our industry-leading gross margin as our business continue to grow. We aim to keep delivering business value along with our globalization strategy. Operating expense decreased 51% to RMB 436 million, with R&D expense accounting for 73% of the total operating expenses. To break down further, R&D expense increased by 24% to RMB 316 million in the third quarter of 2025 compared to the same period of 2024. Excluding share-based compensation, R&D expense grew 39% to RMB 288 million as we further strengthened our global data compliance and advanced R&D efforts for our pre-installed robotaxi. The increase in R&D expense was primarily due to an increase of RMB 31 million in service fee for R&D projects, an increase of RMB 21 million in personnel-related expense from headcount increase and an increase of RMB 23 million in material consumption and depreciation and amortization expenses. Administrative expense decreased by 84% to RMB 100 million in the third quarter of 2025 compared to the same period in 2024. Excluding share-based compensation, administrative expense increased by 23% to RMB 74 million. The increase was primarily due to an increase of RMB 6 million in professional service fee, mainly related to legal compliance service and an increase of RMB 4 million in personnel costs as we continue to build necessary supporting function to grow our business. Selling expenses increased 23% to RMB 19 million in the third quarter of 2025 compared to the same period of 2024. Excluding share-based compensation, selling expense increased by 36% to RMB 19 million, which was well below the sales increase. Our commitment to R&D is the backbone of our strategy. We will continue to direct our resource there to pioneer the industry innovation and keep building our competitive advantage. Alongside this, we will strategically grow our global team with a clear focus on region that has accelerated the adoption of L4 solutions. This ensures that we have a world-class talent needed to support our business expansion. Our net loss narrowed by 71% to RMB 307 million in the third quarter of 2025. On a non-IFRS basis, adjusted net loss increased 15% to RMB 276 million, largely due to an ongoing R&D investment and broader operational support required for the expansion of our business. As of September 30, 2025, we had RMB 4.5 billion in cash and cash equivalents and time deposits, RMB 926 million in investment in wealth management products and RMB 18 million in restricted cash. We had short-term bank borrowing of RMB 245 million. Our current liquidity reserve, along with the proceeds from our recent Hong Kong due primary listing in November have enabled us with a resilient position for our R&D-focused strategy and our globalization deployment process. Our fully driverless robotaxi commercial permitting in Abu Dhabi is not just a local milestone. It's a scalable blueprint for the global industry. It demonstrates a viable path for city level full driverless cooperation outside the U.S. along with the potential for profitable unit economics in major international markets. Our strategy is to scale this model globally. We have the complete package, the technology, the operational experience, a proven safety record and regulatory trust. In the next 5 years, we will achieve large-scale L4 deployment, creating a sustainable business and delivering tremendous value of autonomous driving to the shareholders. With that, operator, we are now ready to take on some questions.

[Operator Instructions] The first question comes from the line of Tim Hsiao from Morgan Stanley.

This is Tim from Morgan Stanley. Congratulations on the strong results and continuous expansion in robotaxi operation globally. I have 2 questions. The first question, we noticed that WeRide officially started commercial deployment of driverless robotaxi in Abu Dhabi, UAE. So in addition to the volume upside to revised fleet sales, as Tony just mentioned, how should we quantify the revenue opportunities of vehicle sales, revenue charge and profit sharing in the long run? That's my first question.

Okay. Thank you, Tim. That's a great question. I'll take the first one. So for the benefit of all listeners, I'd like to briefly elaborate on our robotaxi business model. In domestic China, we mainly own and operate vehicles by ourselves and on our own ride-hailing platform, WeRide Go. So before -- after the UE gets to breakeven point in the next few years in China, we will gradually engage third-party owners and partnership with them. And for now, we pretty much own like all the vehicles by ourselves. And international market is different. From day 1, we collaborate with platform partners such like Uber, Grab, SBB, TXAI, and we generate revenue from 3 main streams -- 3 streams. The first one is revenue share from the ride fare and second one is the annual licensing and third is the sale of the vehicle. So vehicle sale is considered as the product revenue. WeRide can scale up the robotaxi fleet much quicker and in a lighter business model -- like on an asset basis since the robotaxi operation fleet doesn't sit on our own balance sheet. We really just sell this to our partner already. And the revenue share and annual licensing of the recurring service revenue over the whole lifespan of the vehicle, which tend to be 5 to 7 years. In particular, revenue share will become a significant multiplier following the expansion of the fleet size. We'll take [United States] as example. A robotaxi at a human level utilization, which means they can complete like 25 orders per day, can generate an annual like revenue of over USD 90,000 like on the platform. If WeRide take 30% of the revenue share, that will give us USD 30,000 per car per year as service -- as a revenue share. If we can take 70% of the revenue share, that will give us like USD 60,000 per car per year. So if we are moving this one step closer to the goal -- and to see what we have already, let's say, in Abu Dhabi, right now, we have a significant presence with near 100 robotaxi in Abu Dhabi. Now we already cover 50% of the city core area. And the commercial model is we're integrating on platform like Uber. Right now, we are charging at the same price level at UberX and Uber Comfort. In fact, if you get like get on the Uber and to call the robo -- just to call normal ride-hailing car in half of the city, no matter you pick UberX, Uber Comfort or autonomous option, you can all get the ride vehicle. And this demonstrates that our service is competitive as the mainstream like ride-hailing from day 1 on the pricing level. And unit economic is -- on the unit economic side, the most critical metric is utilization. Right now, we already achieved a daily average like 12 order per vehicle in a 12-hour shift. Sometimes we can get to -- on the good days, we can get to more than 20 orders per vehicle per day for the 12-hour shift. and it's already indicating a strong user preference and stickiness. So for your information, for 12 orders per vehicle per day, we can already get to the breakeven threshold in this market. So there's huge profitability potential. Based on our current driverless cost structure and plan to extend the hours to 24 hours next year, we project an average daily order can reach to 25 per vehicle per day. And this level of utilization will lead to a very strong profitability potential next year. So the -- while the specific percentage of revenue share is confidential between different partners and -- but this approach can empower a sustainable win-win partnership for everyone in the ecosystem.

My second question is also related to WeRide's global business. So looking forward, in addition to operations in Abu Dhabi and Switzerland, which we just announced, which markets could step up as a key volume driver to WeRide? And does WeRide need to accelerate R&D and selling, spending more aggressively into next year 2026 to finance the company's robust expansion in overseas? That's my second question.

Okay. I'll take the question. And so first of all, I think -- so besides Abu Dhabi and Switzerland, which markets would step up as key volume driver. So to us, in our plan is like -- so first of all, in the Middle East, we have 2 major cities in UAE, Dubai and Abu Dhabi currently is already -- we have already got the permit, and we are doing extensive road testing. And UAE is definitely the one country we pay a lot of attention to. It's a very important market. And there's also Saudi Arabia. So you can see major countries in Middle East. So they are part of potential countries. And also Europe and also -- and other developed countries in Asia like Japan, Singapore and Korea, they are all potential markets can help us to drive the volume up. But one thing I want to point out is like you just asked a very good question that is it's also I have been thinking about this over the years all the time that is what are our target markets and which markets can make -- can we make our service and products very profitable. And I think through our tested -- through our operation in Abu Dhabi, we find something so-called Abu Dhabi model, okay? Together with Uber, we found the unit economics is good and give us a very promising projection that we will soon in this region, we can make a good, very profitable service. This Abu Dhabi model actually created a road map for other cities. So with Uber, and I think we will try to copy this kind of model to the similar cities. And also this is a good combination of our current technology, our strategy and compared with our -- and also our collaboration with our strategic partnership. So with this model, I think we tend to copy to Singapore by for another alliance with Grab, also a very important strategic partner to do in Singapore and also potentially all East Asia. And in China, we are focusing on developing a robo testing service based on our own application. And about expansion, although we are increasing R&D investment to build stronger technology platforms, and we want to also try hard to recruit top talent, but we expect the growth of related expansion to be moderate because we want to adopt a satellite model to strike a balance between scaling and investment. One of our very midterm goal is trying to reach the profitability at the same time, maintain a strong market share. And also, we still want to innovate. So we have to strike a balance between investment and expenditure and the development. But with our current progress, I think I'm very optimistic because I have already seen the success of the Abu Dhabi model. And what's next to do is trying to find all the places we can easily copy our Abu Dhabi model to and by gathering all strength from these potential markets, we want to achieve profitability in the near future.

Thank you so much for sharing great insight congratulation and looking forward to more exciting project around the world.

The next question will come from Alex Yao from JPMorgan.

I have 2 questions. Number one, what is your take of the robotaxi business in China? How do you envision economics to change in the future for China and for international market, respectively? The second question is how quickly can the driverless milestone of Abu Dhabi operation be replicated in other markets? What can we expect for your fleet expansion plan globally? And what are the catalysts or hurdles for your plan?

Okay. Let me try to answer these questions one by one. Although it's claimed to be 2 questions, 2 groups of questions. So first question, if I remember clearly, it's roughly about our -- what do you think about China market and what's our plan for China market and our thoughts on the economics of China market. So first of all, China is a unique market with the largest user base and the dynamic economics. And also, it is a great test ground. It has been both our technology proving ground and ideal operation -- sandbox for our very innovative ideas. But of course, that doesn't mean like we treat them as a lab, okay? We want to -- while we do the robotaxi operation or trial operation, we keep safety as our top priority. But still with all kinds of scenario, all kinds of different climate, different weather conditions, China is a vast country. And we actually -- we tested so many different method, different algorithms. So that part, actually, China is unique and a very big market. But we believe -- but China is also a very -- in terms of development, it's not that balanced. They have a Tier 1 city looks like Paris and New York. There's Tier 4 city looks like rural area. So we believe profitability in Tier 1 cities can be achieved with a combination of 3 elements. Number 1, city level drivers per meet; number 2, average daily order of high double digits. That means like what we try to achieve in Mid East should be achieved in China also, more than 20 orders per day. Number 3, kind of a relatively healthy price, okay? Although these days, the taxi fare in China is still relatively low, but we expect to see the fare to grow a little bit. So it's still kind of relatively healthy. So with these 3 factors, we believe we still need to expand our market in China, mainly in Tier 1 cities. So far, we have achieved, like, as I mentioned before, right, 300 robotaxi in Guangzhou and another 100 robotaxi -- more than 100 robotaxi in Beijing in the areas of 150 kilometers area, and we are continuing to expand that. And also, we have implemented PU/DO, I mean, pickup and drop-off features help us to improve the user experience. And I think we aim at supply better robotaxi service than the traditional taxi service supplied by human driver. Therefore, we can get more orders and also we can give better user experience so that we can be ordered more frequently. And we expect that the economics of all of these markets will help to improve over time. And also, we want to actually learn what we have in China to expand to -- and learn what we have learned in China and use them as our competitive advantage in the global market. Therefore, I think we still treat China as one of the most important market, and we will keep on invest and inject resource in this market.

Okay. The second group question is about how quickly we can copy up Abu Dhabi model to the rest of the world, okay? First of all, thanks for asking this question. And we believe we have find this kind of Abu Dhabi model. It's kind of like a Matthew Effect. And WeRide is kind of a unique first mover because we just got a city level driver permit. It is the only one so far out of the United States that you can have a citywide driver permit and you can provide the service through Uber. So that means make the service model be [indiscernible] available. Therefore, I think we can quickly copy to similar market like Dubai in UAE same country, Riyadh in Saudi and same region and Singapore with a Grab support. So we are trying to copy to these kind of countries. And I believe the regulatory condition, all of other factors are quite similar. And we also want to emphasize Europe is a very important market, and we are trying to see whether we can copy to Europe. And about the catalyst hurdles, catalyst is actually because of this Matthew effect, other countries are more prudent to allow our operation, more prudent to give us permit. But at the same time, the hurdles is still the regulatory issues. We want to make sure we use our -- leverage on our current successful experience to get more driverless permit so that we can deploy the service. That's all I want to say about this question.

Next question comes from Ming-Hsun Lee of Bank of America.

I have 2 questions as well. So first question, we are seeing more OEMs and the ride-hailing companies announcing to plan -- enter the robotaxi business. What are WeRide's key advantages? And how should we think about the competitive landscape in the future? That's my first question.

Okay. So I think these days because of the increasing discussion and the increasing maturity of robotaxi, you see so many car OEMs and platforms -- car hailing platforms start to talk about robotaxi or start to announce their robotaxi strategy. But one thing I want to mention is like robotaxi to do robotaxi is not easy, okay? It takes many years of efforts, technology accumulation, regulatory exploration. And that's why there are so few mature robotaxi company in this world. If you count the mature robotaxi service once they have open to public driverless robotaxi operation, I think you can contact most of 3 or 4, okay? So not so many. So it's not because of while you see a few companies getting mature, then you can announce your strategy, better, you need to show whether you have enough technology accumulation, enough experience to do robotaxi. So our -- WeRide's competitive advantage is still in several areas. First of all, technology, right? WeRide, our ability to massively deploy both L4 and L2++ level mass production vehicle help us to actually, first of all, gain data -- to gather data more efficiently and make our algorithm more generalizable. So that one actually in turn strength our technology. Second, our capability actually for fast iteration is there. And think about for [indiscernible] OEMs, right, they have -- usually, they have a relatively small ADAS system development team. What you can do for L2++ FSD -- L2++ ADAS system is far from what you can achieve in L4 because L4 is a driverless operation. And L2 is just like assisted driving system. For the L2 system, you don't need to take the final responsibility. But for L4 system, you have to be redundant, have to take the responsibility. Over the past 9 years, we have accumulated lots of experience. We -- that's why we can roll out the robotaxi service. And I haven't seen any other car OEMs or car hailing platform be able to do so. So that is one of our advantage. And one thing -- the last thing I want to emphasize is about the core of our company. The core of WeRide is really the AI technology. WeRide since day 1 has been an AI company, and we hire so many top talents and set up our company for the fast iteration in the AI algorithm. I don't think traditional car OEMs or traditional car hailing platform are capable of this kind of faster iteration. So let's wait and see. But so far, I haven't seen any major car OEMs or car hailing platform company have successfully rolled out any robotaxi service, driverless robotaxi service to public, okay? That's my answer to these 2 questions.

Sorry, one more question from me. So following the last question, do you think the amount of data and the development of AI models have given OEMs certain age to enter and compete in robotaxi? Is it possible to evolve from L2 to L4?

Very good question. So first of all, I want us to think about one thing. So who are the best L2++ or ADAS system company in this world, probably Tesla. In China, I think we can name a few, maybe XPeng, Li Auto. But if you look at their strategy, they are doing L2++ ADAS system, and they talk about robotaxi, but when they come to robotaxi, they always try to attack this problem or approach this project directly from L4 level. Why there's no L3 strategy, okay? Where are the L3 strategy? There's no L3 strategy from Tesla. There's no -- XPeng and Li Auto, they all skipped at L3. Why is that? Because if you directly grow L2++ to L3 and then to L4, they found it's really very, very difficult. It's just like you are climbing a cliff. Instead, you maybe directly solve the problem. That is using what your experience directly solve L4 system level problem. That is just like we have already done for the past 8 or 9 years. The technology has been there. We have used deep learning algorithm based on large language model, a lot of data. But all of this, I want to say, it's based on our past 8 years' experience. Currently, true car OEMs can leverage on the cutting-edge large language model stuff, but there are a lot of infrastructures that are relevant like data simulation and the cloud computing platform. All of this, I don't think the car OEMs have enough accumulation. Still take many years of them to really roll out a simulation platform, to roll out the protocol, to roll out the pipeline to test the driverless robotaxi. One thing I want to emphasize, having a pretty good ADAS system can let you drive for 100 miles without takeover is far from to roll out driverless robotaxi. To roll out a driverless robotaxi, you have to capable of making that car drive back itself more than 10,000 miles. So that is a kind of magnitude of difficulties. So it's just like swimming in swimming pool and then you want to swim then across the English channel, that's different. So I think I'm not saying -- I'm not going to say it's absolutely not possible to gradually grow from L2++ to L4, but it will take a long, long time. Before that, I think first class, the Tier 1 robotaxi company like WeRide will have already taken over the global market has already been very profitable. So time left for this major car OEMs to gradually grow from L2++ to L4 is very, very limited.

We will now take the next question from Liping Zhao from CICC.

So first, I want to follow the previous technical question. And this question is for Tony because you are quite confident in maintaining the leadership in the industry. What tools and technology approaches help you stay ahead of the curve? Could you please share more color from a technical perspective? And then I'll have a follow-up.

Okay. So first of all, just as I have discussed, right, there's only one company in the world to my best knowledge that are capable of doing robotaxi, has already achieved open to public their operation, at the same time, supply ADAS system to mass production car company that's WeRide. And so we have a so-called dual flywheel strategy that is we can gather the data we collected through our robotaxi fleet, all kinds of corner cases and use that to facilitate our L2++ development. At the same time, we can also get what we have collected from L2++ system like AI drive based on navigation and make our L4 system more stable and more generalizable. And so by combining the 2 source of data, 2 source of problem, we actually gradually evolve to a super platform that are capable of robotaxi at the same time with limited hardware and limited HD map and navigation map make us to cover the whole global market. So these 2 parts actually leverage on each other, help us to improve or to iterate our algorithm at a speed cannot be achieved by a single strategy company, okay? So that's one of our advantage. And the other thing is like the globalization. Since we have deployed the fleets in the global market, we can collect the data and also we can get heterogeneous source of data from all over the world. We can have the data that's collected in a very dry climate in Middle East. And sometimes we can get data from very humid tropical area in Singapore and very cold area in Japan and in China. And I can't imagine any other company have this kind of wide spectrum of application area. And with all of this data and also we hired a group of talented engineers, we actually evolve very fast. The other thing I want to emphasize is our Genesis platform. It's actually based on physical AI model and with a lot of considerations on a really world model physical AI world. And it actually seamlessly integrate with our end-to-end system. This kind of simulation platform give us a big advantage to develop. And with combination of all of this kind of algorithm and data, I think this massive effect is here. We have many, many driverless permits in all over the world in many countries, and we have many car OEMs collaborating with us. We have heterogeneous data collected from different country, different level of autonomy. And by combining all of this, I think we can achieve accelerated development speed, which is much faster than our competitors. That's my answer to your question.

That's very helpful. And my second question is for Jennifer. The Board of the company has authorized USD 1 million share repurchase program in May this year. And could you please update what is the status on this program?

Thank you, Liping. Regarding the USD 100 million share repurchase program, which is authorized by the Board in May, we haven't -- no purchase have been initiated to date. The reason is the preprioratory work for our Hong Kong IPO constituted for a close period under the securities regulation, which -- during which the trading was restricted. As a listed company, we are also required to obtain specific shareholder approval to ratify this program. We are currently preparing to call an extraordinary general meeting to seek approval, which will allow the program to proceed. Thank you.

Our last question comes from Paul Gong from UBS.

Paul Gong from UBS. I have 2 questions. The first one is regarding the robotaxi revenue contribution. We have noticed that while this is about 7x year-over-year growth, it seems to have a little bit fluctuation compared to the second quarter. Could you please elaborate more on this? And my second question is regarding the European strategy. Congratulate for the permit in Switzerland recently. Can you share more on the next step of the company's plan for European expansion?

Okay. I'll take the first question. I think Tony probably want to take the second. So regarding the fluctuation of robotaxi revenue, we will say for the past 3 quarters, you can see our robotaxi revenue made like a 20% -- 22% contribution in first quarter, 36% and 21% revenue contribution for the past 2 quarters, which already showcased a very continuous momentum. The fluctuation was expected given that our delivery schedule is in tandem with the permit upgrade and the corresponding expansion of our operating area. We made a significant step forward by securing the city level driverless operation permit in Abu Dhabi, which will pave the way for accelerating expansion in the entire Middle East going forward. Thank you. Tony, do you want to take the second one?

Yes, I will take the second one. Okay. The second question is about our -- actually our -- since we have already got the driverless robotaxi [indiscernible] Switzerland and what's our next step for Europe. Okay. So European market is a great market for robotaxi. I think the taxi fare in Europe is high and also European -- most of the countries in European market, they are short of labor. And that is actually a very, very good scenario or opportunity for robotaxi company to deploy robotaxi service to fill the gap between the shortage of driver and the increasing demand for taxi. These days, we know the numbers that people -- especially after the coronavirus, if possible, people like to take kind of private transportation if possible. So I think there's an actual growing demand for our taxi. So if we can deploy robotaxi as a very cost-effective method, people will love this kind of product. So since in Switzerland, we have already get it. And now we are considering some other countries like we established an office in Stuttgart and also try to explore in Paris. So in the next 12 months, we will solidify our foundation actually with our trial operation in France, in Belgium and also our current operation in Switzerland and talk to all the possible countries. And we also formed a strategic partnership with Uber, with Renault, with SBB, STL, et cetera. And there are a lot of airports in European countries talking to us to explore the possibility of our robobus. So we want to use all of our applications like robobus, Robosweeper to actually help us to explore the possibility to extend to certain countries because in certain European countries, they would like to tend to adopt robobus or Robosweeper first and then try to do robotaxi. And gradually, we want to go to Switzerland, Belgium, Germany, France, Spain and Norway, these kind of countries to extend to more countries. And then, of course, I want to emphasize our approach is dynamic. It depends on availability of strong local partner and also depends on regulatory policy and the local -- shortage of the labours, all of these factors we have to consider. But for sure, we will gradually expand to the aforementioned countries and all other potential countries in Europe.

Thank you. If there are no further questions, I'll conclude the call today. Thank you for your participation in today's conference. This does conclude the program. You may now disconnect.

Thank you very much. Thank you. Bye.