XPeng Inc. (XPEV) Earnings Call Transcript & Summary

Hi, everyone. Welcome to Guangzhou, and welcome to XPeng's factory in Guangzhou. Today, I'm very happy to be here on this very industrial-styled runway, I'm the only model. Very happy to meet you guys. Now first of all, I would like to extend my heartfelt thanks to all of the media friends who are here today. At the same time, a warm welcome to over 200 users, welcome. Also, I would like to thank all of our car users, over 300,000 car users. And hello, everyone, ladies and gentlemen, welcome here. Now for XPeng Motors, all of you are not just our followers, supporters or our users, you are our family. You are the reason why we persevere and develop. We believe that we can make you even more proud in the future. During every new product debut, I always want to remind you our motivation and our vision. We are different from our peers in a sense that we are very new and we keep reminding ourselves why we are here and how we build our differentiation. We want to serve the whole world using technology and innovation. And our vision has always been to disrupt the market and also to explore future innovation. We have witnessed a lot of creations. For example, airplanes, cars, they have changed our lives for good. However, with so many innovations and creation, we still haven't seen enough Chinese companies that are dedicated to mobility innovation. And that is one of the key reasons why we want to be different from our peers. And that is why we really focus on technology and innovation. We never position ourselves as a regional company, and we're not confined to regional products or services, and we aim to build high-quality and unique cars. That's our vision that motivates us. XPeng was founded in 2014. And we're now in 2023. And for the first several years, we were really dedicated to building our first car, and we kept innovating. In 2019, we built the industry's first visual fusion-based parking function. In 2020, we also produced the industry's first batch of smart driving assistance and also navigation for highways. We also produced the industry's first smart intuitive voice assistant. In 2021, we de-built industry's first mass-produced car model with LiDARs, and we developed industry's first ADAS for urban driving in China. And last year, we also produced China's first 800-volt ultrafast charging technology. We de-built China's first BEV plus transformer-based, deeper-visual neural network. We kept leading in innovation. And for the past 5 years, from 2018 to 2023, we witnessed a very rapid development for new energy vehicles in China, which really impressed everyone. And we believe that we are really at the crossroad in the coming 5 years from 2023 to 2027, we expect to see a whole new chapter for new energy vehicle. XPeng has always been a frontrunner of intelligence in China and even in the world. We are convinced that we are on the right path. On June 15, we were first in China to roll out City NGP function for Beijing. And this is definitely the industry's first ADAS available in the urban areas of Beijing. We have made 4 cars in the past, and each single one of them have included a lot of innovations. And we have integrated those innovations over the past few years to launch our future-oriented Fuyao or SEPA 2.0 technological architecture, which was officially launched this year. After 5 years of innovation and exploration with over CNY 10 billion of investment, I believe that Fuyao is going to help us maintain a technological lead of over 3 years ahead of most of our peers. The SEPA 2.0 architecture is composed of high-level smart assisted driving, a full scenario smart cockpit and efficient powertrain and manufacturing capabilities. I believe that this is the ultimate technical architecture of the next generation before the era of unmanned driving. So today, I bring to you G6, the first car that we manufacture based on SEPA 2.0 architecture. G6 incorporated all of the core technologies in the Fuyao or SEPA 2.0 architecture. Now G6 is our first vehicle that we made based on SEPA 2.0 architecture. What does it really mean to XPeng? I have been reflecting and asking myself this question. If we could make an analogy, it is very similar to what iPhone 4 means to Apple and even to the entire smartphone industry. We have witnessed that in the past from the launch of iPhone first in 2007, to the official launch of iPhone 4 in around 2010. For the past decade, definitely mobile Internet has changed each single of us. And we really needed that kind of critical inflection points to drive us to change. So today, I'm here not only to talk about what innovations G6 has made to you and what kind of background G6 has, I believe this is meaningless to our customers. The most important thing is what kind of values are we contributing to our consumers? And what kind of new experience are we bringing forth to you all? So today, our product debut is going to be a little bit different from the previous ones. We want to focus on what kind of smart electric vehicle customers really want and desire in the future? So if you look at the table here, if you can read the small fonts, it is actually the 2019 China's automotive technology development and consumer insight report. As you can see, in this big survey that was done in 2019, consumers' demand at that time was mainly safety, quality and energy consumption. And you can see that intelligence was not even ranked in the top 10 here. However, through the latest development in the past 4 or 5 years, usage demand for smart NEVs really has been changing. Looking into the next 5 years, let's take a look at what kind of smart vehicles are most desired by consumers. Now from the data research conducted by [indiscernible], we can see that our consumers demands really have undergone a lot of changes. Driving range has become the primary demand for new energy vehicle. And that is why in our future development, XPeng's vehicles will prioritize the development of driving range. And also, we can see that in this survey, intelligence has been ranking #4. But among the owners of XPeng's vehicles, we believe that actually intelligence maybe ranking among the top 2. And that, I have no doubt about. I believe that in addition to intelligence, consumers also want to have more, but that doesn't mean just multiple functions, they also desire the evolution of experience. Specifically speaking, they want attractive design, larger cabin space, stable handling, high safety profile, longer driving range, fast charging and last but not least, advanced intelligence, which is something that we are really good at. And XPeng is really known for its technology and the art of design. So we expect ourselves to empower all innovations so as to bring forth high value and experience to consumers. Now as the next-generation smart NEV and also the first car that we build based on SEPA 2.0 architecture, G6 is expected to be the benchmark of the next generation of smart NEV. And we believe that a lot of future cars is going to benchmark G6 in regards to the overall capabilities, the value that we bring to the customers and also the experience and intelligence assisted driving capabilities that we have incorporated in G6. And I'm very happy to see that our idea from 2 years ago is actually right now matching a lot of the expectations from our consumers, and this is very impressive. We would like to share with you here that since our presell from June 9, as of yesterday, we have already gotten 35,000 units of preorders of G6. I would like to extend my heartfelt thanks to all of you. Thank you for your trust and support. Next, let's welcome to the runway of our new model, G6, next-generation smart NEV. [Presentation]

Thank you very much, Mr. Liu Cixin for joining us in the design of G6, the next-generation smart NEV. Now I am really impressed with and inspired by 2 sentences in the video. The first one is that the curve belong to God and straight lines belong to humanity. And the second sentence was that hopefully, each single one of us are not confined to living between the straight lines. Now we have been thinking about what the next generation of smart vehicles should look like. First of all, it needs to have a very smart curve. Meanwhile, it also needs to balance the battery life, space and also wind resistant system. We finally settle on the shape and curves of water, and that is why G6 design is actually based on the silhouette of water droplets. With that said, regarding the front design of G6, actually G6 launch something that we call robo-faced or robot-based. You can see that the front design is very similar to the face of a robot. I remember in 2020, we actually incorporated Lightsaber for the first time on P7 in China, and it was mass produced. A lot of our users actually were complaining about this design. However, right now, you can see that Lightsabers are everywhere. That is why we always wanted to do something different, and we always are trying to innovate and lead in our design language. Our newer generation of Lightsaber is very futuristic. So I would like to highlight that on G6, the Lightsaber robot face really shines in the dark, very unique and highly recognizable. At the same time, G6 has an ultra-low drag of 0.246Cd, and we have actually incorporated that ultra-low drag design in 17 different places in the car. We have incorporated 17 anti-drag design features. We have also added the adaptive electric which make it not only the core, but also allow G6 to have a longer cruising range. Now when you get into the inside of G6, the first impression is definitely very spacious. It might not appear as a big car, But when you sit in it, especially the rear seat, it really feels large and spacious. Secondly, it feels great. It's very comfortable. All of the material is very comfortable to sit in. Number three, it's very high tech. We have incorporated a lot of technological changes, which consists of 250-watt wireless fast charging. Also, we have added some ventilation, which means that mobile phone fast charging is not going to increase the inside temperature when it's on. We also made the door opening button with electric release. Children will feel a completely different kind of action of opening and closing the door. In terms of the coloring scheme for G6, we also offer 3 options, including gray, black and blue-white contrast. In addition to the appearance, we also focus on the space. Let's take a look at how the next generation of smart NEV can create a comfortable space. First of all, I would like to share with you the length, width and height of G6, 4,753 mm in length, 1,920 mm in width and 1,650 mm in height. And the wheel base has reached 2,890 millimeters. G6 has very short front and rear overhang, which may get very stable in handling and flexible in shape. The overall space is very large, even exceeding some medium and large SUVs. And that is perfect for urban travel. We also can see that there are many sports SUVs or sedans that emphasize styling. And as a matter of fact, they rarely talk about headroom. Now let's take a look at the headroom of G6. How do we increase the headroom? First of all, we adopt CIB battery integration technology. So what is CIB technology? There is a chassis and a battery pack in every electric vehicle. And when we combine them together, it would be safer, cheaper and also give us more space. We also have created something that's called suspended roof. So combining CIB with suspended roof, we are able to create extra headroom, which is a few fingers more than other models. And the overall head space can reach 2 to 3 feet height. So therefore, the headroom of the entire G6 is very, very spacious. Now let's take a look at the knee room of G6. We can see that the knee space or knee room is nearly double that of the benchmark models, reaching 136 mm. Some of you may ask, are you sacrificing the comfort of the [ rush ] to get such a large knee room? Well, actually not. We launched something that's called cloud-like hugging seat. It's nothing like a narrow chair. The contact length of the entire seat cushion is about 50% longer than other benchmark models. The thickness of the cushion foam is actually close to 50% more. The adjustable degree of the entire rear seat, which a maximum degree of 38.4%. So G6 definitely offers an unmatched experience of rear seat comfort. Just to summarize what has been included in the entire G6 comfort ride and large space is, first of all, our suspended roof, the spacious back seat, we also have our Nappa leather seat. We offer standard of 571-liter trunk space and also 1,374 [ liters ] of space when the rear seats are folded down. Now we have comfortable seating, plenty of room. What shall we do next? It's the handling. A next-gen smart NEV must have very good handling. It needs to be quick and stable because speed is important and critical for stability. The G6 4-wheel drive can accelerate from 0 to 100 kilometers within 3.9 seconds. And the 2-wheel drive is not inferior at all with an acceleration of 5.9 seconds. In order to achieve this, we have our full stack self-developed 800-volt x power electric drive and the intelligent 4-wheel drive torque distribution system. On the basis of fast, we also have put in a lot of efforts to pursuing stability. Now the first aspect of stability is our brand-new suspension system. The front double wishbone suspension is made of pure aluminum alloy, which effectively reduces the weight. We also added lateral sway bars to further improve the lateral stability. Now together with top-level tuning by a Sino-German team, we have done our calibration. When you are making turns, the handling is very smooth and the role when cornering is very, very small. Now the second stability is about G6 manufacturing using the aluminum die casting integration technology. We understand that there are several manufacturers in China that actually have done integrated die casting, but only XPeng has studded in both the front and rear of the car body. And as a result, it brings a torsional rigidity of 41,600 mm per degree, which is about 83% higher than that of a traditional body and exceeding that of $1 million luxury car. All of these have enabled the superior handling of G6. All of these have contributed to the stability of G6. Now let's take a look at the elk test, which is very important and critical for testing the stability of a vehicle, especially in emergency avoidance and emergency line cutting. Now if you look at G6 performance, it's actually a 2 kilometers per hour, actually outperforming all of the mainstream luxury vehicles. Now personally speaking, I am dedicated to empowering all of the new XPeng models to become the kind of smart driving. And I'm very confident that we have already achieved the #1 place in intelligence in China, but we still have room for improvement in terms of driving. Now we have done a lot for G6 to improve the stability and handling. And also through our future OTA, we hope that we can even turn it up a notch. In addition to driving, I would also like to share with you the safety profile of G6. Now first of all, G6 has very high strength steel aluminum hybrid body. We have 51% aluminum in the body, 16 safety rings. All of the interlocked rings contribute to better safety of the G6. We also have 26% high-strength steel [ rule ] compression strength, which is the 4.83x the weight of the entire car body. We also have 80-ton pillar compression resistance with 3-layer coalition with system structure, a collision resistant compartment. We have achieved 80-tonne pillar compression resistance. We also have all around battery safety protection, fulfilling 15 batteries sell safety centers and over 30 rigorous safety tests. What I want to emphasize here is that G6 is actually our first car that not only fulfilled the China safety standards, but also the international safety standards regardless of left-hand drive or right-hand drive. The design goal actually meets the 5-star safety center in China and in Europe. And also the 5-star safety in Europe increases the safety on side collision as well. In addition, XPeng also added new requirements for front angle collision, front center collision and rear dimensional collision, we are really striving to put safety first. And here, I would like to report a good news to you. Today, actually marks a new milestone for XPeng Motors in terms of our international sales and delivery. We entered the European market in 2021. And in 2023, our p7i and G9 is going to be fully delivered in the next quarter in Europe again. Next year, we expect to have G6 available in Europe as well. Back to safety. In order to achieve the highest level of safety for G6, we utilize integrated die casting, CIB battery and 13 hardware software, human machine co-driving active safety function. We also will incorporate XNGP active safe driving to man machine co-piloting and that is how we make the next generation of smart vehicle safer. In addition to safety, we also need to have a very solid driving range. They not only need to be extended but also useful and solid. Fast charging is also very critical. And when we look at G6, in order to achieve long and reliable driving range, we have adopted a different approach. Now previously, for typical new energy vehicles, if you want to extend the driving range, typically, we need to stack batteries. Many car makers, including ourselves and when you look at our previous generation of products, we utilize very large batteries to achieve long-driving range. However, there are some issues. The price is very expensive and the car battery is very heavy. As a result, the whole car rate is not low, making it difficult to achieve a solid driving range. In order to solve those issues, we actually, instead of adding batteries, we reduce power consumption. First of all, we reduced the drag substantially while using the integrated aluminum die casting and CIB, reducing the weight significantly by about 100 kilograms Also, we have made available the configuration, the 800-volt high-voltage silicon carbide technology as a standard configuration. achieving electric drive efficiency of 98%, increasing 15% of driving range. Meanwhile, G6 has the standard configuration of [ XHP 3.0 ] thermal management system with heat pump AC for all variations. So winter climate will not compromise the driving range anymore. We actually are able to increase the winter driving range by about 15%, and we can actually do the full range using only 87.5 kilowatt hours of power. Now when we did our first CLTC test, we are able to last 850 kilometers of driving range using only 87.5 kilowatt hours of electricity. So definitely, our products have a very solid driving range, and we have to allow everyone to enjoy driving on the highway in the winter and have one-to-one driving range compared to other climates. We definitely cannot allow 500 kilometers of driving range to drop to 300 in the city and 200 on the highway and further to 100 kilometers in winter highway. We do not produce cars like that, we only produce products with a very solid driving range. Now for G6, we also have a driving range of 580 kilometers. In actual cases, -- we believe that we can actually max it to 600 kilometers. We are very confident of that. Now here, you can read the table for reference. Norway has the highest new energy vehicle penetration rate in the world as high as 90%, if I remember correctly. So you can find, for example, European EVs, American EVs and Chinese EVs in Norway, they are all available there. As a result, they can actually test all kinds of vehicles. They have the highest numbers available in terms of the vehicle models. We are demonstrating the final test results from our latest test in Norway. And you can see that for G9 and P7i, we actually won the top 2 places from these tests. We believe that our driving range is very solid, very reliable. And if you drive in a highway, you do not have to worry about charging in addition to long range, we also need to develop fast charging. If you look at the overseas market, it's different from the Chinese market because fast charging is a must for the overseas consumers based on their high frequency of travel, which means that they have to reach very high charging efficiency on the highway or when they reach the destination of travel. So fast charging definitely is critical for the next generation of smart AV. G6 is equipped with 3C batteries as standard. And on our supercharging facilities, G6 can actually achieve 300 kilometers of range charge within 10 minutes of time, of which you can actually get 1 kilometer or 2 seconds. On the Norwegian. In Norway's NAF charging test, our G9 won the first place again, which is very, very impressive. Obviously, G6 is super fast in our supercharging facility. However, even on standard charging piles, G6 is more than twice as fast compared with those models without 800-volt hardware. And if you go to other places, you realize that, for example, other cars will have to charge for an hour or 15 minutes on the highway you can actually be ready after 20 minutes of charging. If you want to conduct either city travels, G6 is definitely your go-to. And how can we achieve such a successful fast charging efficiency is because our whole car is designed with low drag, lightweight, CIB and also it's equipped with the silicon carbide 800-volt and also 3C batteries as standard. The overall power consumption per 100 kilometers is 13.2 kilowatt and we also have our in-house developed electric drive with an efficiency of 98%, ensuring that G6 has very reliable driving range and fast charging capability. Now let's talk about intelligence. I would like to actually share with you why XPeng is different from other car companies. From the beginning of its founding, Xiaopeng and Hongdi have already recognized that software and hardware will change cars and data and operations will change mobility. We have always been very firm on this. So today, I would like to also share with you our full scenario intelligence. Now a lot of our peers talk about full scenario intelligence nowadays, but obviously, there are several pain points that have not yet been solved. The first one is that there is hardware, but there is no compatible software. Actually, last year and the year before last, we have heard about a lot of smart EVs are competing against each other on the hardware. They are talking about the perception capabilities and computing power. However, software was mentioned very rarely. And if we prematurely designed the hardware without matching software capabilities will not arrive. The second pain point is functionality without good experience. Now a lot of companies claim that they have all kinds of functions. However, when the users drive the vehicle, experience was horrible because all of the functionality is on paper that doesn't translate into very good user experience, which means that it's not going to generate good user data or positive feedback. The third pain point is that there are highways coverage but no cities. In fact, from our point of view, the difficulty of urban assisted driving is really 100x more than highway driving. Well, I didn't say this, but Mr. [indiscernible] did. We spend no more than 15% of our time on highways and expressways every day. And only during holidays, we might have about half of the driving on highways or expressways. So if your autonomous driving or smart assisted driving does not support urban roads, it's not going to be that useful. Nowadays, XPeng is the most advanced in terms of developing urban assisted driving in top-tier cities such as Beijing, Shanghai, Guangzhou and Shenzhen. Let's dive into this. XNGP will be available upon delivery for G6 this time. In 2019, we were the industry's first company that we're able to deliver vision fusion-based autonomous automatic parking. And right now, in 2020, 2022 and 2023, were able to cover Beijing, Shanghai, Guangzhou and Shenzhen with our XNGP function. And actually, I'm very confident that compared with our domestic peers, we are leading ahead by about 12 to 36 months in terms of our XNGP capabilities after implementation. And later on, we will need to fully cover the all domain and all coverage and provide very good user experience, which is going to be very challenging. However, we are definitely leading. I would also like to share with you some interesting data T.his year in Beijing, Shanghai, Guangzhou and Shenzhen, the actual mileage penetration rate of NGP in the city areas was a big surprise. It was as high as 62%. The number of emergency takeover per 100 kilometers was only 0.65. However, there are still more than 10 active takeovers per 100 kilometers. So there's still room for improvement. We aim to reduce this number significantly in the coming 4 to 8 quarters. Nowadays, our city driving efficiencies is about 90% of a human driver. First of all, we prioritize a good experience and then safety, followed by efficiency. Sometimes I really find it unacceptable that the machine is driving slower than I do. And in order to achieve a high efficiency, we need to do more. Back in 2021, when we first launched our highway assisted driving, people were very doubtful. But after 2 years' time, I would like to share with you that our highway NGP now is driving actually faster than a very skilled driver, 0.4 safe takeovers per 1,000 kilometers. Only 3 uncomfortable decelerations per 1,000 kilometers. So overall, it's been pretty smooth. According to our data feedback, the driving efficiency has actually improved by 5% compared with human driver. And so if I have to drive long trip, I often ask my driver to sit in the back and then I'll sit in the driver's seat. He often asked me, are you actually drivin,g, Xiaopeng? And I said, no, not me. It's only been 2 years since we first implemented the highway NGP from initially raising eyebrows to right now being followed by our peers, we witnessed a lot of changes. Right now, our users and including ourselves, we dare to use it, we like to use it, and we really enjoy the function, and it's been only 2 years -- so we are definitely not far from having all domain assisted driving and XPeng is definitely leading the game. In our system, we have something that's called SR. By definition, it means surrounding reality display. In autonomous driving, it can really help us to understand how machines sees the [indiscernible] from the dashboard to the big screen, while we are driving. Now the perception types are very, very comprehensive. We can identify children, a police cops and also crosswalks and other interesting objects. In the future, we're going to include manhole covers, speed bumps and other irregular objects. With that, we hope that we can get closer to realizing end-to-end all-domain smart assisted driving. Obviously, it can't be generated by the maps you use, it has to be rendered in real time. So this super perception simulation is going to be part of the standard configuration for intelligent assisted driving. Now I would also like to share with you our latest XNGP weekly user penetration rate. It has reached 96.46%, which means that among our max users on a weekly basis, 96.46% of them use this function. When I was a product manager, I thought a daily penetration of 15% weekly penetration of 50% was the best you could achieve. But actually, right now, for us, there's still room for improvement. However, this kind of penetration rate definitely outperformed our expectation. And personally speaking, since the beginning of the year, I begin to form the habit of using the navigation and then the XNGP every time I travel. Prior to this year, I didn't do it except for when I was parking or on the highway. Especially in the city areas, I do not rely on XNGP. And also going back to 2014, I remember when I first got the first electric vehicle, after 3 months of driving, I fell in love. So I sincerely invite every single one of you to really try XPeng's XNGP. I believe that there's going to be no going back after 200 kilometers of driving. Now let me share with you the rollout of XNGP. Now for the first half of the year, we're going to make it available only in Beijing, Shanghai, Guangzhou and Shenzhen. And for the second half, we should be able to cover 50 cities, including the Yangtze River Delta and Pearl River Delta and other important cities. And next year, we expect to cover around 200 cities. In order to achieve that, we started to implement the functionality without the support of high-definition maps. So later on, we are going to gradually do without independent ACC, LCC, automatic parking, highway NGP, City NGP because all of those will be incorporated in XNGP. It is one mode, one experience with super high level of safety. We are also going to make it available among our G9, P7i, G6 and our upcoming new models and phase [indiscernible] versions, all of the Max versions. We expect to launch our AI Valet Driver in the second half of the year based on the no high-definition maps mode. Technically, it is an AI driver that drives you from point A to point B. However, the driving habits might be different from yours. For example, you may turn to the second lane in advance from the fourth lane because you knew ahead of time that you need to take a left turn. But the AI driver can actually learn from your driving habit from home to the company, and they can actually pick up your route and navigation. And they also allow you to have multiple customized routes as well, you can automatically train them, store and also you can share your off-line strategies with your friends. It will offer a better experience and a faster way to commute. We expect that in the next year, the AI driver can actually help you to reach from your home parking lot to the company parking lot. This is what we will do in AI driver mode. Now here, you can see we have your AI copilot on XPeng cars. I hope that 1 day, we can all use XNGP happily, safely and efficiently on a daily basis no matter where we are. This is our goal. I just talked about intelligent assisted driving. Now let me share with you our full scenario voice assistant 2.0, which was mass produced and delivered intelligently back in 2020. And by now, it has already become a standard configuration of many smart vehicles. We have always been followed, but never surpassed. If you look at our intelligent all scenario or full scenario voice assistant right now, there's no need to even activate it. you can give an order of increasing the temperature to 25 degree, for example, without the activation of say, hello [indiscernible], it also can function normally without the Internet connection, It has enabled over 600 high-frequency commands. In future, our full scenario voice assistant model can also cover multiple sound zone as well without the support of Internet. I can also share with you that for our intelligent assisted driving and our full scenario voice assistant, both of them will be supported by a stronger [indiscernible] model. And I expect to actually give you more information on our 1024 Tech Day this year. G6 launched the Intelligent multi-scenario cockpit, which is a function that fully reflects the personality and also can create the sense of ritual. It can really mobilize 350 functions in a car. For example, you can create a whole set of ritual or process for your girlfriend's birthday or your wedding anniversary. I believe that these of scenarios can allow you to express your personality when using the car. We expect XPeng Motors motors to become smarter and smarter in the future. I have introduced the full scenario intelligence of G6, including XNGP, highway NGP, AI Valet Driver, full scenario voice assistant 2.0 and memory parking. We have actually more functions related to driving safety, such as the intelligent optical avoidance. Please look forward to our OTA for more safety function updates. It has always been our intention to explore future mobility. With technology, we hope to bring more ideas to everyone and also the rest of the world. Because we only have 1 hour today, I haven't got the time to introduce all of the core functions and configurations in G6. Just to summarize, G6 is equipped with over 100 standard configuration functions this time, including heat pump AC, electric tailgate, adjustable rear seat, steering wheel heating, standard 3C batteries, standard highway NGP and a lot more. I'm very confident that with the most powerful, intelligent, solid driving range, excellent handling, superior space, excellent designed and highest level of safety, G6 will definitely be the strongest player among smart electric SUV in the RMB 250,000 class. Finally, just a reminder, By tomorrow, we will have all the display car and test drive cars in store. And by July, we will start the official delivery of G6. I believe that G6 will definitely be the strongest player among smart electric SUV in the RMB 250,000 class. I expect to drive this beautiful and smart G6 in China together with all of you. I'm very excited, again, very grateful for all the friends who have joined us both online and offline. Thank you so much. and also 200 XPeng users who came froma far. Thank you so much. And I really look forward to reaching new heights in the coming couple of years, together with all of you. Thank you, everyone. [Statements in English on this transcript were spoken by an interpreter present on the live call.]