Financial Data and Key Metrics Changes - In Q3 2022, the number of active buyers increased by 17.8% quarter-over-quarter and 6.3% year-over-year, while the number of orders rose by 19.2% quarter-over-quarter, indicating improved customer engagement [9] - Internal revenue grew by 6.3% year-over-year, and gross profit margin increased from 17.9% in Q3 of fiscal year 2021 to 23.1% in Q3 2022 [9][13] - Gross profit was RMB76.9 million, up by 37% year-over-year, with fulfillment expenses rising to RMB37.7 million from RMB33.6 million in the same period last year [13][14] Business Line Data and Key Metrics Changes - The online marketing and information services revenue increased from 0.2% of total revenue in Q3 of fiscal year 2021 to 4.6% in Q3 2022, reflecting a significant growth in this segment [10] - The product sales gross margin increased from 17.9% to 21.4% compared to the same period last year, driven by support for small to mid-size brands and an optimized product mix [24] Market Data and Key Metrics Changes - The company noted a steady demand in the domestic market, but offline business and traffic were heavily impacted by COVID-19, affecting supply chains and logistics [20] - The pet industry in China is expected to grow, reaching more than RMB400 billion by 2023, presenting significant opportunities for the company [11] Company Strategy and Development Direction - The company aims to enhance its value chain position by expanding its SKU offerings, distribution network, and marketing initiatives to meet the needs of pet parents [8] - The strategy includes supporting small to mid-size brands and leveraging established capabilities in supply chain and warehousing to create cost-effective solutions for targeting customer groups [10][16] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenging market conditions due to COVID-19 and supply chain issues but expressed optimism about future improvements as vaccination efforts progress [20] - The company is moving steadily towards profitability and expects to reach breakeven with total revenue of RMB400 million [27] Other Important Information - The company ended the quarter with cash, cash equivalents, and short-term investments of RMB315.7 million, down from RMB339.4 million as of September 30, 2021 [14] - The company is aware of NASDAQ share price requirements and is considering both fundamental approaches and technical measures to meet these requirements [29] Q&A Session Summary Question: What are the challenging market conditions referred to in the press release? - Management indicated that the challenging conditions are primarily due to COVID-19 impacting offline business and supply chains, particularly for cross-border logistics [20] Question: Is the company unable to fulfill demand due to supply chain issues? - Management confirmed that there is a gap in supply for traditional overseas imported products, although domestic brands are attempting to fill this gap [22] Question: What is the gross margin on the product business and its sustainability? - The gross margin for product sales increased to 21.4%, driven by support for small to mid-size brands and an adjusted product mix, with expectations for continued improvement [24][25] Question: What level of quarterly sales is needed to achieve breakeven? - Management stated that achieving total revenue of RMB400 million is expected to reach breakeven [27] Question: What initiatives are being considered to meet NASDAQ share price requirements? - The company is focusing on improving investor relations and is aware of technical measures, such as a reverse stock split, to meet NASDAQ requirements [29]

Financial Data and Key Metrics Changes - The company reported a top-line growth of 23.1% year-over-year, with gross profit margin improving from 18.6% to 19.7% [8][18] - Quarterly gross profit was RMB 55.7 million, up by 30.7% year-over-year, leading to a gross margin of 19.7% [18] - Fulfillment expenses slightly increased to RMB 29.6 million, with fulfillment cost as a percentage of revenue decreasing from 12.7% to 10.5% [18] Business Line Data and Key Metrics Changes - Revenue from marketing and information services more than doubled, reaching 5.7% of total revenue, with an eleven times increase in this segment [9][10] - The number of active buyers grew by over 20% for five consecutive quarters, with a 3.5% increase in Q2 [9][10] - The company expanded its SKU offerings to 24,000 from 17,000, and the number of brands increased from 516 to 619 [9] Market Data and Key Metrics Changes - The pet industry in China is still in its early stages, with pet ownership at just above 25% of the total population, indicating significant growth potential [10] - The company noted that many small to mid-sized brands struggle to secure traffic, which presents an opportunity for Boqii to provide integrated solutions [10] Company Strategy and Development Direction - The company aims to strengthen its position in the pet ecosystem by enhancing its value chain and improving product offerings [8] - A strategic partnership with Evetsoft was established to launch an online procurement platform for independent pet hospitals, enhancing supply chain efficiency [14][15] - The company launched a new membership program that has seen a high engagement rate, with members shopping 3.1 times more frequently than non-members [16] Management's Comments on Operating Environment and Future Outlook - Management observed a slowdown in consumer demand affecting some e-commerce players but noted that Boqii is not significantly impacted, with strong revenue growth continuing [34] - The company plans to reach breakeven by the end of the first half of the next fiscal year, indicating confidence in its financial trajectory [34][35] - Management emphasized the importance of consolidating resources during the COVID situation to empower offline independent hospitals [34] Other Important Information - The company ended the quarter with cash and cash equivalents of RMB 339.7 million, which is deemed sufficient for future investments [19][35] - The increase in sales and marketing expenses was attributed to personnel costs and business expansion efforts [18] Q&A Session Summary Question: Membership business and active members - The company has approximately 30,000 active members and plans to promote membership activation among spending customers [22][23] Question: Strength in online marketing segment - The growth in service revenue is driven by the rapid growth of the pet market and the need for effective traffic solutions for small to mid-sized brands [24][25] Question: Impact of COVID on business - Management noted a slight impact from COVID but emphasized that the overall industry continues to grow, and Boqii is well-positioned to capitalize on this growth [34] Question: Profitability timeline and cash position - The company expects to reach breakeven by the end of the first half of the next fiscal year and has a strong cash position to support operations [34][35]

[Fiscal 2022 Second Quarter Unaudited Financial Results Announcement](index=1&type=section&id=Fiscal%202022%20Second%20Quarter%20Unaudited%20Financial%20Results%20Announcement) Boqii Holding Limited announced its unaudited financial results for the second quarter of fiscal 2022 and provided details for the earnings conference call [Release Date and Conference Call Details](index=1&type=section&id=Release%20Date%20and%20Conference%20Call%20Details) Boqii Holding Limited announced the release of its unaudited financial results for the quarter ended September 30, 2021, on November 23, 2021, before the U.S. market opens, followed by an earnings conference call - Boqii will release its unaudited financial results for the quarter ended September 30, 2021 (Fiscal 2022 Second Quarter), on Tuesday, **November 23, 2021**, before the U.S. market opens[1](index=1&type=chunk) - An earnings conference call to discuss the financial results is scheduled for **8:00 AM U.S. Eastern Time** on Tuesday, November 23, 2021[1](index=1&type=chunk) [Conference Call Access Information](index=1&type=section&id=Conference%20Call%20Access%20Information) The company provided detailed instructions for accessing the earnings conference call, including various international and domestic dial-in numbers, a passcode, replay options, and webcast availability Conference Call Dial-in Numbers | Location | Phone Number | | :-------------- | :------------- | | International | 1-412-317-6061 | | United States | 1-888-317-6003 | | Hong Kong | 852 800-963976 | | Mainland China | 86 4001-206115 | | Passcode | 6835046 | - A replay of the conference call will be accessible by phone until **November 30, 2021**, and a live and archived webcast will be available on the Company's investor relations website at http://ir.boqii.com/[2](index=2&type=chunk)[3](index=3&type=chunk) [About Boqii Holding Limited](index=1&type=section&id=About%20Boqii%20Holding%20Limited) Boqii Holding Limited is a leading pet-focused platform in China, offering products, supplies, and an interactive community - Boqii Holding Limited (NYSE: **BQ**) is a leading pet-focused platform in China[4](index=4&type=chunk) - The company operates as a leading online destination for pet products and supplies in China, offering a broad selection of high-quality products including global leading brands, local emerging brands, and private labels (**Yoken** and **Mocare**) through Boqii Mall and third-party e-commerce platforms[4](index=4&type=chunk) - Boqii also provides an informative and interactive content platform for users, known as the Boqii Community, to share knowledge and love for pets[4](index=4&type=chunk) [Investor and Media Inquiries](index=2&type=section&id=Investor%20and%20Media%20Inquiries) Contact information for investor and media inquiries is provided for both China and the United States - For investor and media inquiries in China, contact Boqii Holding Limited Investor Relations at Tel: **+86-21-6882-6051** or Email: **ir@boqii.com**[5](index=5&type=chunk) - The Blueshirt Group serves as a contact for investor and media inquiries, with **Ms. Susie Wang** for China and **Ms. Julia Qian** for the United States[5](index=5&type=chunk)

Boqii Holding Limited (NYSE:BQ) Q4 2021 Earnings Conference Call May 26, 2021 8:00 AM ET Company Participants Mandy Luo – Investor Relations Manager Lisa Tang – Co-Chief Executive Officer and Chief Financial Officer Kai Fang – Chief Strategy Officer Conference Call Participants Darren Aftahi – ROTH Capital Partners Operator Good day, ladies and gentlemen. Thank you for standing by and welcome to Boqii’s Fiscal 2021 Fourth Quarter and Full Year Earnings Conference Call. Currently, all participants are in a l ...

Financial Performance - Total revenues for Fiscal Year 2021 reached RMB 1,010.985 million, compared to RMB 770.237 million in Fiscal Year 2020[39] - Total cost of revenues for Fiscal Year 2021 was RMB 823.686 million, compared to RMB 611.470 million in Fiscal Year 2020[39] - Gross profit for Fiscal Year 2021 was RMB 187.299 million, compared to RMB 158.767 million in Fiscal Year 2020[39] - Net loss for Fiscal Year 2021 was RMB 193.216 million, compared to RMB 175.933 million in Fiscal Year 2020[38] - Adjusted Net Loss Margin for Fiscal Year 2021 was (14.8)%, compared to (24.6)% in Fiscal Year 2020[43] - EBITDA Margin excluding SBC (Share-Based Compensation) for Fiscal Year 2021 was (17.5)%, compared to (14.7)% in Fiscal Year 2020[44] Expenses - Sales and marketing expenses for Fiscal Year 2021 were RMB 160.201 million, compared to RMB 128.387 million in Fiscal Year 2020[39] - General and administrative expenses for Fiscal Year 2021 were RMB 113.972 million, compared to RMB 54.277 million in Fiscal Year 2020[39] Assets and Liabilities - Total assets as of March 31, 2021 were RMB 880.574 million[41] - Total liabilities as of March 31, 2021 were RMB 746.935 million[41] - Cash and cash equivalents & Short-term investments as of March 31, 2021 were RMB 694.792 million and RMB 292.237 million respectively[41,34]