NaaS Technology Inc. (NASDAQ:NAAS) Q1 2024 Earnings Conference Call May 10, 2024 8:00 AM ET Company Participants John Wang - Director, Investor Relations Cathy Wang Yang - Chief Executive Officer Vivian Wu Ye - Chief Strategy Officer Alex Wu - President and CFO Conference Call Participants Zoe Feng - TF Securities Ting Song - Goldman Sachs Ethan Zhang - Nomura Operator Ladies and gentlemen, thank you for standing by. And welcome to the NaaS First Quarter 2024 Earnings Conference Call. At this time, all part ...

[NaaS Technology Inc. 2024 First Quarter Financial Results](index=1&type=section&id=NaaS%20Technology%20Inc.%20Reports%20Unaudited%202024%20First%20Quarter%20Financial%20Results) [First Quarter 2024 Financial & Operational Highlights](index=1&type=section&id=First%20Quarter%202024%20Financial%20%26%20Operational%20Highlights) NaaS Technology reported strong growth in the first quarter of 2024, with revenues increasing 166% year-over-year to RMB 96.2 million and gross margin expanding to 25.3%, alongside operational growth in charging volume and gross transaction value Q1 2024 Financial Highlights (YoY) | Metric | Q1 2024 (RMB million) | YoY Change | | :--- | :--- | :--- | | Revenues | 96.2 | +166% | | Gross Profit | 24.3 | +4.0 times | | Gross Margin | 25.3% | from 16.9% | Q1 2024 Operational Highlights (YoY) | Metric | Q1 2024 | YoY Change | | :--- | :--- | :--- | | Charging Volume | 1,216 GWh | +19% | | Gross Transaction Value | RMB 1.2 billion | +17% | | Number of Orders | 50.3 million | +13% | [Management Commentary](index=1&type=section&id=Management%20Commentary) Management highlighted the company's robust growth, driven by strengthening mobility connectivity services and innovative energy solutions, focusing on high-quality revenue growth and financial stability - CEO Yang Wang emphasized the strategy of empowering charging point operators and diversifying revenue through innovative energy solutions to improve the end-user charging experience[3](index=3&type=chunk) - CFO Alex Wu noted that a focus on high-quality revenue growth and disciplined financial management led to increased revenue, gross margins, and enhanced profitability across business units[3](index=3&type=chunk) [2024 First Quarter Business Updates and Financial Results](index=2&type=section&id=2024%20First%20Quarter%20Business%20Updates%20and%20Financial%20Results) [Business Updates](index=2&type=section&id=Business%20Updates) The company saw its Net Take Rate (NTR) turn positive and reach a historical high in April 2024, indicating improved profitability from its mobility connectivity services, while also strengthening its commitment to innovation with over 250 patent applications filed globally - The company's Net Take Rate (NTR) turned positive and reached a historical high in April 2024, reflecting successful strategic initiatives and enhanced customer loyalty[4](index=4&type=chunk) - NaaS joined the Open Invention Network (OIN) to advance its charging infrastructure through open-source technology, filing over **250 patent applications worldwide** as of March 31, 2024[5](index=5&type=chunk) [Detailed Financial Performance](index=2&type=section&id=Detailed%20Financial%20Performance) In Q1 2024, total revenues grew 166% YoY to RMB 96.2 million, driven by charging services and energy solutions, leading to quadrupled gross profit and improved gross margin, despite a wider net loss [Revenues](index=2&type=section&id=Revenues) Total revenues for Q1 2024 increased by 166% YoY to RMB 96.2 million, primarily fueled by a 99% increase in charging services revenues and a 334% increase in energy solutions revenues Q1 2024 Revenue Breakdown (in RMB million) | Revenue Stream | Q1 2024 (RMB million) | Q1 2023 (RMB million) | YoY Growth | | :--- | :--- | :--- | :--- | | **Total Revenues** | **96.2** | **36.2** | **+166%** | | Charging Services | 47.8 | 24.1 | +99% | | Energy Solutions | 47.2 | 10.9 | +334% | | New Initiatives | 1.2 | 1.2 | Stable | - Costs associated with end-user incentives, recorded as reductions to total revenues, increased to **RMB 91.3 million** in Q1 2024 from RMB 69.7 million in Q1 2023[7](index=7&type=chunk) [Cost of Revenues, Gross Profit and Gross Margin](index=3&type=section&id=Cost%20of%20revenues%2C%20gross%20profit%20and%20gross%20margin) Gross profit for Q1 2024 grew 4.0 times year-over-year to RMB 24.3 million, with the gross margin significantly improving to 25.3% from 16.9% due to increased profitable orders and enhanced project delivery capabilities Q1 2024 Gross Profit and Margin (YoY) | Metric | Q1 2024 (RMB million) | Q1 2023 (RMB million) | | :--- | :--- | :--- | | Gross Profit | 24.3 | 6.1 | | Gross Margin | 25.3% | 16.9% | [Operating Expenses](index=3&type=section&id=Operating%20expenses) Total operating expenses rose to RMB 215.7 million in Q1 2024 from RMB 119.7 million in Q1 2023, but decreased as a percentage of revenues from 331% to 224% due to strong revenue growth and operational optimization Q1 2024 Operating Expenses Breakdown (in RMB million) | Expense Category | Q1 2024 (RMB million) | Q1 2023 (RMB million) | | :--- | :--- | :--- | | Selling and marketing | 71.2 | 66.4 | | Administrative | 123.0 | 45.5 | | Research and development | 21.5 | 7.8 | | **Total Operating Expenses** | **215.7** | **119.7** | - Costs for excess end-user incentives, included in selling and marketing expenses, decreased to **RMB 26.6 million** from RMB 41.7 million in Q1 2023[12](index=12&type=chunk) [Net Loss and Profitability](index=3&type=section&id=Net%20loss%20and%20non-IFRS%20net%20loss) Net loss attributable to ordinary shareholders widened to RMB 227.4 million in Q1 2024, but the non-IFRS net margin significantly improved from -283% to -131%, indicating better underlying profitability Q1 2024 Profitability Metrics (YoY) | Metric | Q1 2024 (RMB million) | Q1 2023 (RMB million) | | :--- | :--- | :--- | | Net Loss Attributable to Shareholders | (227.4) | (109.7) | | Non-IFRS Net Loss Attributable to Shareholders | (126.4) | (102.3) | | Net Margin | -236% | -303% | | Non-IFRS Net Margin | -131% | -283% | - Finance costs increased to **RMB 17.7 million** from RMB 7.1 million in Q1 2023 due to higher utilization of borrowings[14](index=14&type=chunk) [Other Information and Statements](index=4&type=section&id=Other%20Information%20and%20Statements) [Recent Development](index=4&type=section&id=Recent%20Development) In May 2024, NaaS amended its 2022 Share Incentive Plan to increase the maximum number of Class A ordinary shares available for awards from approximately 490.6 million to 644.7 million - The company amended its 2022 Share Incentive Plan, increasing the total number of Class A ordinary shares available for grant to **644,746,682**[18](index=18&type=chunk) [Conference Call Information](index=4&type=section&id=Conference%20Call%20Information) The company will host an earnings conference call on May 10, 2024, at 8:00 AM U.S. Eastern Time, with details provided for registration and access - An earnings conference call is scheduled for **8:00 AM U.S. Eastern time** on May 10, 2024[19](index=19&type=chunk) [Financial Statements](index=7&type=section&id=Financial%20Statements) [Unaudited Consolidated Statements of Loss and Other Comprehensive Loss](index=7&type=section&id=UNAUDITED%20CONSOLIDATED%20STATEMENTS%20OF%20LOSS%20AND%20OTHER%20COMPREHENSIVE%20LOSS) For the first quarter of 2024, NaaS reported total revenues of RMB 96.2 million, a significant increase from RMB 36.2 million in Q1 2023, leading to a net loss of RMB 227.7 million despite quadrupled gross profit Q1 2024 Statement of Loss (in thousands RMB) | Line Item | Q1 2024 (thousands RMB) | Q1 2023 (thousands RMB) | | :--- | :--- | :--- | | Total Revenues | 96,237 | 36,161 | | Gross Profit | 24,348 | 6,114 | | Operating Loss | (186,595) | (113,111) | | Net Loss | (227,732) | (109,655) | | Net Loss Attributable to Equity Holders | (227,399) | (109,655) | | Basic and Diluted Loss Per Share (RMB) | (0.09) | (0.05) | [Unaudited Consolidated Statements of Financial Position](index=9&type=section&id=UNAUDITED%20CONSOLIDATED%20STATEMENTS%20OF%20FINANCIAL%20POSITION) As of March 31, 2024, NaaS had total assets of RMB 1.295 billion, a decrease from RMB 1.465 billion at the end of 2023, primarily due to reduced cash and cash equivalents, resulting in a total equity deficit of RMB 161.8 million Statement of Financial Position (in thousands RMB) | Account | As of Mar 31, 2024 (thousands RMB) | As of Dec 31, 2023 (thousands RMB) | | :--- | :--- | :--- | | Cash and cash equivalents | 297,071 | 436,242 | | Total Current Assets | 1,017,790 | 1,143,967 | | **Total Assets** | **1,295,204** | **1,465,099** | | Total Current Liabilities | 885,255 | 817,030 | | **Total Liabilities** | **1,456,966** | **1,508,704** | | **Total Equity** | **(161,762)** | **(43,605)** | [Unaudited Reconciliations of IFRS and Non-IFRS Financial Measures](index=10&type=section&id=UNAUDITED%20RECONCILIATIONS%20OF%20IFRS%20AND%20NON-IFRS%20FINANCIAL%20MEASURES) The company provides a reconciliation from IFRS to non-IFRS measures to offer a clearer view of underlying business performance, adjusting the IFRS net loss of RMB 227.4 million to a non-IFRS adjusted net loss of RMB 126.4 million for Q1 2024 Reconciliation to Adjusted Net Loss (in thousands RMB) | Line Item | Q1 2024 (thousands RMB) | Q1 2023 (thousands RMB) | | :--- | :--- | :--- | | Net loss attributable to ordinary shareholders | (227,399) | (109,655) | | Add: Share-based compensation expenses | 80,316 | 20,940 | | Add: Fair value changes of convertible instruments | 7,790 | — | | Add: Fair value changes of financial assets | 12,928 | (13,571) | | **Adjusted net loss attributable to ordinary shareholders** | **(126,365)** | **(102,286)** | - Share-based compensation was the largest adjustment, totaling **RMB 80.3 million**, with the majority (**RMB 60.3 million**) allocated to administrative expenses[33](index=33&type=chunk)[35](index=35&type=chunk)

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F (Mark One) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023. OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to OR ☐ SHELL COMPANY REPORT PURSUANT TO S ...

BEIJING, May 6, 2024 /PRNewswire/ -- NaaS Technology Inc. (Nasdaq: NAAS) ("NaaS" or the "Company"), the first U.S. listed EV charging service company in China, today announced that it will report its unaudited financial results for the first quarter ended March 31, 2024 after the U.S. market closes on Thursday, May 9, 2024.The Company's management will host an earnings conference call at 8:00 AM U.S. Eastern time on May 10, 2024 (8:00 PM Beijing/Hong Kong time on May 10, 2024).Participants who wish to join ...

BEIJING, April 12, 2024 /PRNewswire/ -- NaaS Technology (NASDAQ:NAAS) , the first U.S. listed EV charging service company in China, recently announced its new status as a global member of the United Nations Women's Empowerment Principles (WEPs). The company pledges to advance gender equality and women's empowerment, supporting global sustainable development goals through its practical actions. Zhai Yobo, General Manager of Carbon Neutrality at NaaS, stated that as part of the company's sustainable developme ...

BEIJING, April 12, 2024 /PRNewswire/ -- On April 9, the Hurun Research Institute released the Global Unicorn Index 2024 in Guangzhou, a ranking of the world's start-ups founded in the 2000s, worth at least a billion dollars and not yet listed on a public exchange. NewLink, with its successful digital practices in energy digitalization, EV charging services, and transport energy transformation, once again made the list, enjoying the title of "Hurun Global Unicorn" for the fifth consecutive year. The list als ...

BEIJING, April 2, 2024 /PRNewswire/ -- Recently, NaaS Technology (NASDAQ: NAAS), the first U.S. listed EV charging service company in China, announced its partnership with Beijing Car Network New Energy Co., Ltd. (hereinafter referred to as "CNNE"), a digital charging and battery-swapping service provider. The collaboration aims to enhance the connectivity, customer flow, and business expansion of public EV charging piles, thereby improving the charging service coverage and offering high-quality charging so ...

NaaS Technology, Inc. (NASDAQ:NAAS) Q4 2023 Earnings Conference Call March 28, 2024 7:00 AM ET Company Participants John Wang - Director, IR Cathy Wang Yang - CEO Wu Ye - Chief Strategy Officer Alex Wu - CFO Conference Call Participants Kelly Zou - Jefferies Wei Xiong - UBS Eugene Hsiao - Macquarie Capital Yiran Liu - HSBC Ethan Zhang - Nomura Operator Ladies and gentlemen, thank you for standing by. Welcome to NaaS Fourth Quarter and Full Year 2023 Earnings Conference Call. At this time, all participants a ...

Core Viewpoint - NaaS Technology Inc. will report its unaudited financial results for Q4 and the full year of 2023 on March 28, 2024, after U.S. market closes [1] Group 1: Financial Reporting - The earnings conference call is scheduled for 8:00 PM U.S. Eastern time on March 28, 2024, which corresponds to 8:00 AM Beijing/Hong Kong time on March 29, 2024 [1] - Participants must register online at least 15 minutes before the call to receive access information [1] Group 2: Company Overview - NaaS Technology Inc. is the first U.S. listed EV charging service company in China and is a subsidiary of NewLink Technology Limited [3] - The company provides comprehensive solutions for energy asset owners, including charging services and energy solutions, supporting the entire lifecycle of energy assets [3] - As of September 30, 2023, NaaS had connected 767,611 chargers across 73,710 charging stations, holding 41.6% and 50.0% of China's public charging market share, respectively [3]

BEIJING, March 22, 2024 /PRNewswire/ -- Recently, NaaS Technology(NASDAQ: NAAS), the first US-listed EV charging service company in China, announced cooperation with China Southern Power Grid (Hainan) EV Service Co., Ltd. (later referred to as CSG Hainan EV). The two parties will join hands in the connectivity of charging infrastructure and payment service, etc., thus empowering local EV owners in Hainan Province, through the construction of more accessible charging network and more efficient use of chargin ...