Financial Data and Key Metrics Changes - In 2023, the company's net revenues were RMB15.9 billion, reflecting a significant year-over-year decrease due to the new regulatory environment in China [15] - For Q4 2023, net revenues increased by 53.1% year-over-year to RMB520 million, marking the first quarter of positive growth after seven consecutive quarters of decline [16] - The full-year gross margin fell by 18.8 percentage points to 24.4%, primarily due to a 36% excise tax implemented in Mainland China [17] - The company recorded an operating loss of RMB497 million for the year, but achieved a positive non-GAAP operating profit of RMB76 million in Q4 2023 [18][19] - As of December 31, 2023, the company had cash and cash equivalents totaling RMB15 billion [20] Business Line Data and Key Metrics Changes - The domestic business faced challenges due to the resurgence of illicit products, impacting sales volumes and necessitating a strategic adjustment [15][8] - The company doubled its selection of approved cartridges from 15 to 32 throughout 2023, enhancing its product offerings [7] - The launch of the LEILI product line targeted price-sensitive users, contributing to the narrowing decline in quarterly net revenues [15] Market Data and Key Metrics Changes - The company is expanding its international presence, particularly in Southeast and North Asia, in response to a global trend of adult smokers seeking smokeless alternatives [10][12] - The UK government has proposed new regulations affecting disposable and flavored products, which may impact market dynamics [32][35] Company Strategy and Development Direction - The company aims to increase product accessibility in international markets while optimizing profitability through strategic partnerships and market evaluations [12][29] - The focus remains on product innovation and compliance with regulations to enhance market integrity and support sustainable growth [34][36] - The company is committed to ESG practices, receiving an A rating from MSCI for responsible marketing and product security [14] Management Comments on Operating Environment and Future Outlook - Management highlighted the importance of effective regulation enforcement to combat illicit products and ensure user safety [9] - The company is optimistic about its recovery trajectory and plans to continue expanding both domestically and internationally in 2024 [21] - Management expressed confidence in the long-term prospects of the company, supported by a solid financial foundation [20][21] Other Important Information - The company returned approximately $112 million to shareholders through share repurchases and cash dividends in 2023 [20] - The existing share repurchase program has been extended for an additional 24 months, reflecting management's confidence in the company's future [20] Q&A Session Summary Question: Growth trend of overseas disposable products and domestic market enforcement - Management noted that the e-vapor category continues to grow despite regulatory challenges, and they are adapting to market changes by promoting pod systems if disposables are banned [25][26] Question: Details on overseas expansion plans and profitability - The company plans to expand into more Asian markets in 2024 and is evaluating European markets for potential entry [29][30] Question: Domestic sales momentum and regulatory trends - Management indicated stable monthly sales trends influenced by seasonality and ongoing efforts to combat illicit markets [33][34] Question: Impact of UK regulatory changes on the market - Management believes that proposed bans on disposables may create short-term market chaos but are prepared to adapt and capture new consumer segments [35][36]

Earnings Presentation Fourth Quarter and Fiscal Year 2023 Disclaimer The following presentation has been prepared by RLX Technology Inc. (“RLX Technology” or the “Company”) solely for informational purposes and should not be construed to be, directly or indirectly, in whole or in part, an offer to buy or sell and/or ...

SHENZHEN, China, March 15, 2024 /PRNewswire/ -- RLX Technology Inc. ("RLX Technology" or the "Company") (NYSE: RLX), a leading global branded e-vapor company, today announced its unaudited financial results for the fourth quarter and the fiscal year ended December 31, 2023. Fourth Quarter 2023 Financial Highlights Net revenues were RMB520.5 million (US$73.3 million) in the fourth quarter of 2023, compared with RMB340.0 million in the same period of 2022. Gross margin was 23.7% in the fourth quarter of 2023 ...

Company Overview - RLX Technology Inc. is a leading global branded e-vapor company, leveraging strong in-house technology and product development capabilities to create superior e-vapor products [3]. Earnings Announcement - The company will report its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2023, before the U.S. markets open on March 15, 2024 [1]. - An earnings conference call is scheduled for 8:00 AM U.S. Eastern Time on March 15, 2024 [1]. Conference Call Details - Participants can access the call by dialing in 10 minutes before the scheduled start time using the provided Participant Code [1]. - A live and archived webcast of the conference call will be available on the company's investor relations website [2]. - A replay of the conference call will be accessible approximately two hours after the conclusion of the call until March 22, 2024 [2].

BEIJING, Jan. 19, 2024 /PRNewswire/ -- RLX Technology (NYSE: RLX) today proudly presents its Corporate Social Responsibility Report. The report outlines the firm's annual progress in fulfilling various corporate social responsibilities, including rural revitalization, product-related responsibility, corporate governance, environmental responsibility, and employee responsibility. RLX Technology Unveils 2022-2023 Corporate Social Responsibility Report According to the report, as of 2023, RLX has invested ...

BEIJING, Dec. 29, 2023 /PRNewswire/ -- RLX Technology Inc. ("RLX Technology" or the "Company") (NYSE: RLX), a leading global branded e-vapor company, today announced that its board of directors has authorized the extension of its existing share repurchase program established in December 2021 for an additional 24-month period through December 31, 2025. Under the existing share repurchase program, the Company may repurchase up to US$500 million of its ordinary shares represented by ADSs until December 31, 202 ...

Financial Data and Key Metrics Changes - Total revenue decreased by 59% year-over-year, but this represents a significant narrowing from last quarter's 83% year-over-year decline [15][18] - Non-GAAP net operating loss reduced to RMB15 million from RMB133 million in Q1 2023 and RMB67 million last quarter [18] - Non-GAAP basic net income per ADS was 0.149 and non-GAAP diluted net income per ADS was 0.146 for the same period [18] - Operating cash inflow of RMB67 million in Q3 2023, compared to RMB41 million inflow in Q2 and RMB231 million cash outflow in Q1 [29] Business Line Data and Key Metrics Changes - Device shipments showed a quarter-over-quarter increase, indicating growing demand for e-vapor products [15] - Cartridge shipments remained low as many users still use illegally compatible flavored cartridges [16] - Gross profit margin remained stable at around 25%, with improvements in the core e-vapor business to provincial distributors [17] Market Data and Key Metrics Changes - A survey revealed that 40% of users now mainly use national standard compliant products, but only 17% have tried compliant products [6] - Users' lack of awareness of new regulations has slowed the transition to compliant products [7] - The number of retail outlets has remained stable, with more users beginning to try compliant products [33] Company Strategy and Development Direction - The company is focused on refining and broadening its product portfolio while improving operational efficiency [7] - Plans to expand internationally were highlighted, with the termination of a non-competition agreement to seize growth opportunities outside China [13][23] - The company aims to maintain a consistent and sustainable dividend payout policy that may grow progressively with earnings [24] Management's Comments on Operating Environment and Future Outlook - The company acknowledges external headwinds, particularly the lingering negative impact of illegal products and uncertainties in the consumption environment [13] - Management is confident in the gradual transition of users to national standard products in the medium to long term [27] - Positive operating cash flow for two consecutive quarters indicates the company's ability to adapt to changes in the macro and industry environment [29] Other Important Information - The company launched LEILI, a new series of compliant devices, and expanded its flavor offerings significantly [8][12] - The company received customer testing facilities certificate approval from European technologies, becoming the first e-vapor brand in China to gain this certification [12] Q&A Session Summary Question: Overseas development and dividend policy - Management explained the rationale for international expansion due to positive global regulatory developments and increasing acceptance of e-vapor products [22][24] - The cash dividend of US$0.01 per ordinary share reflects confidence in future prospects and a commitment to returning value to shareholders [24] Question: Industry growth and profitability targets - Management noted that user demand for national standard products has improved, but challenges from illegal products persist [27] - The company remains optimistic about achieving positive non-GAAP operating profit in Q4 if current trends continue [28] Question: Product sales and retail outlets - Recent approved flavors have gained popularity, contributing significantly to sales [32] - Retail outlet profitability has been increasing, with self-operated stores starting to turn profits at the operational level [33]

[Third Quarter 2023 Performance Overview](index=1&type=section&id=Third%20Quarter%202023%20Performance%20Overview) The company's Q3 2023 performance was marked by a significant revenue decline due to regulatory impacts, alongside strategic moves toward international expansion and shareholder returns [Financial Highlights](index=1&type=section&id=Financial%20Highlights) RLX Technology reported a significant year-over-year decline in its third-quarter 2023 financial performance, with sharp drops in revenue, gross margin, and net income Q3 2023 Key Financial Metrics (YoY Comparison) | Financial Metric | Q3 2023 | Q3 2022 | Change | | :--- | :--- | :--- | :--- | | Net Revenues | RMB 428.1M | RMB 1,044.4M | -59.0% | | Gross Margin | 24.7% | 50.0% | -25.3pp | | U.S. GAAP Net Income | RMB 172.7M | RMB 505.2M | -65.8% | | Non-GAAP Net Income | RMB 197.5M | RMB 328.6M | -39.9% | [Management Commentary](index=1&type=section&id=Management%20Commentary) Management addressed headwinds from illegal products and slow adoption of new standards while focusing on compliance, profitability, and combating the illicit market - The company is facing external challenges, particularly the impact of **illegal products** and **slow user adoption** of new national standard products due to a lack of awareness about regulations[3](index=3&type=chunk) - Core strategies include expanding the portfolio of compliant products, enhancing user understanding of new regulations, and collaborating with regulators to **combat the illegal market**[3](index=3&type=chunk) - Despite revenue headwinds, the company is focused on improving profitability through cost optimization, achieving a **second consecutive quarter of positive operating cash flow**[3](index=3&type=chunk) [Corporate Developments](index=3&type=section&id=Corporate%20Developments) The company is preparing for future growth by enabling international expansion and approving a cash dividend for shareholders - On November 10, 2023, the company terminated a non-competition agreement with Relx Inc, providing flexibility to **build an international presence** and conduct business outside China[11](index=11&type=chunk) - The Board of Directors approved a **cash dividend of US$0.01 per ordinary share/ADS**, payable in December 2023[12](index=12&type=chunk) [Detailed Financial Results](index=1&type=section&id=Detailed%20Financial%20Results) A detailed analysis reveals a sharp drop in revenue and gross margin driven by excise taxes and market challenges, leading to an operating loss [Revenue and Gross Profit](index=1&type=section&id=Revenue%20and%20Gross%20Profit) Net revenues and gross margin declined significantly year-over-year due to product transitions, illegal competition, and a new excise tax Q3 Revenue and Gross Profit (YoY Comparison) | Metric | Q3 2023 | Q3 2022 | | :--- | :--- | :--- | | Net Revenues | RMB 428.1M | RMB 1,044.4M | | Gross Profit | RMB 105.7M | RMB 522.0M | - The primary reasons for the revenue decrease were the **discontinuation of older products** and competition from illegal products[4](index=4&type=chunk) - The gross margin decrease was mainly caused by the imposition of a **36% excise tax** that came into effect on November 1, 2022[5](index=5&type=chunk) [Operating Expenses](index=2&type=section&id=Operating%20Expenses) Total operating expenses rose sharply, primarily driven by a significant swing in share-based compensation expenses from a credit to a charge Q3 Operating Expenses Breakdown (YoY Comparison) | Expense Category | Q3 2023 | Q3 2022 | | :--- | :--- | :--- | | Selling Expenses | RMB 39.7M | RMB 52.5M | | General & Administrative | RMB 74.5M | RMB (41.7)M | | Research & Development | RMB 30.8M | RMB 46.0M | | **Total Operating Expenses** | **RMB 145.0M** | **RMB 56.8M** | - The significant increase in total operating expenses was primarily due to changes in **share-based compensation expenses**, which were **RMB 24.8 million** in Q3 2023 compared to a positive RMB 176.6 million in Q3 2022[6](index=6&type=chunk) [Profitability and Earnings Per Share (EPS)](index=2&type=section&id=Profitability%20and%20Earnings%20Per%20Share%20%28EPS%29) The company shifted from a significant operating profit to a loss, causing substantial year-over-year declines in net income and EPS - The company reported a **loss from operations of RMB 39.3 million** in Q3 2023, compared to a profit from operations of RMB 465.2 million in the same period of 2022[7](index=7&type=chunk) Q3 2023 Profitability & EPS (YoY Comparison) | Metric | Q3 2023 | Q3 2022 | | :--- | :--- | :--- | | U.S. GAAP Net Income | RMB 172.7M | RMB 505.2M | | Non-GAAP Net Income | RMB 197.5M | RMB 328.6M | | U.S. GAAP Diluted EPS | RMB 0.127 | RMB 0.379 | | Non-GAAP Diluted EPS | RMB 0.146 | RMB 0.246 | [Financial Statements and Supplementary Information](index=3&type=section&id=Financial%20Statements%20and%20Supplementary%20Information) The company maintained a strong balance sheet and positive operating cash flow, with detailed financial statements and non-GAAP reconciliations provided [Balance Sheet](index=3&type=section&id=Balance%20Sheet) The company maintained a robust balance sheet with strong liquidity, substantial cash reserves, and minimal total liabilities Key Balance Sheet Items (as of Sep 30, 2023) | Item | Amount (RMB Million) | | :--- | :--- | | Cash, deposits, and investments | 15,132.5 | | Total Current Assets | 9,113.3 | | Total Assets | 16,579.9 | | Total Liabilities | 651.5 | | Total Shareholders' Equity | 15,928.5 | [Statement of Comprehensive Income](index=7&type=section&id=Statement%20of%20Comprehensive%20Income) The Q3 2023 income statement details the decline in revenue and gross profit, resulting in an operating loss but a positive net income Q3 2023 Income Statement Summary | Line Item | Amount (RMB thousands) | | :--- | :--- | | Net revenues | 428,069 | | Gross profit | 105,700 | | Loss from operations | (39,302) | | Income before income tax | 173,231 | | Net income | 172,697 | [Statement of Cash Flows](index=10&type=section&id=Statement%20of%20Cash%20Flows) The company generated positive cash from operations for the second consecutive quarter, a significant improvement from the prior year Q3 2023 Cash Flow Summary (YoY Comparison) | Cash Flow Activity (RMB thousands) | Q3 2023 | Q3 2022 | | :--- | :--- | :--- | | Net cash from operating activities | 67,452 | (1,016,862) | | Net cash from investing activities | 967,342 | 211,064 | | Net cash used in financing activities | (229,492) | (19,822) | - The company achieved a **second consecutive quarter of positive operating cash flow**, underscoring business resilience in the post-regulatory era[3](index=3&type=chunk)[10](index=10&type=chunk) [Reconciliation of GAAP and Non-GAAP Results](index=4&type=section&id=Reconciliation%20of%20GAAP%20and%20Non-GAAP%20Results) This section reconciles GAAP to Non-GAAP net income by excluding the impact of share-based compensation expenses Q3 2023 GAAP to Non-GAAP Net Income Reconciliation (RMB thousands) | Line Item | Amount | | :--- | :--- | | Net income (GAAP) | 172,697 | | Add: Share-based compensation expenses | 24,790 | | **Non-GAAP net income** | **197,487** | - The company uses non-GAAP measures to evaluate operating performance and believes they help identify underlying business trends by excluding certain expenses like **share-based compensation**[18](index=18&type=chunk)[19](index=19&type=chunk)

RLX Technology Inc. (NYSE:RLX) Q2 2023 Earnings Conference Call August 18, 2023 8:00 AM ET Company Participants Sam Tsang - Head of Capital Markets Kate Wang - CEO Chao Lu - CFO Conference Call Participants Charlie Chen - China Renaissance Lydia Ling - Citi Peihang Lyu - CICC Operator Hello, ladies and gentlemen. Thank you for standing by for RLX Technologies Second Quarter 2023 Earnings Conference Call. [Operator Instructions] Today's conference call is being recorded and is expected to last for about 40 m ...

Exhibit 99.1 RLX Technology Announces Unaudited Third Quarter 2023 Financial Results BEIJING, November 13, 2023 /PRNEWSWIRE/ - RLX Technology Inc. (“RLX Technology” or the “Company”) (NYSE: RLX), a leading branded e-vapor company in China, today announced its unaudited financial results for the third quarter ended September 30, 2023. Third Quarter 2023 Financial Highlights · Net revenues were RMB428.1 million (US$58.7 million) in the third quarter of 2023, compared with RMB1,044.4 million in the same period ...