Financial Data and Key Metrics Changes - Total net revenues for Q4 2024 were RMB 33.2 billion, down from RMB 34.7 billion in the prior year period, reflecting a year-over-year decrease [35] - Gross profit decreased to RMB 7.6 billion from RMB 8.2 billion, with a gross margin of 23.0%, down from 23.7% [35] - Full year 2024 non-GAAP net profit attributable to shareholders was over RMB 9 billion, maintaining a solid margin of 8.3% [32] - Full year gross margin reached an eight-year high of 23.5%, benefiting from strong apparel business contributions [31][41] Business Line Data and Key Metrics Changes - Apparel categories saw a 2% increase year-over-year, accounting for 75% of total GMV, the highest level in the company's history [8][17] - Non-apparel business narrowed its loss of sales in Q4, driven by home appliances and digital products [17] - Active Super VIP membership increased by 50% year-over-year, contributing 51% of online spending in Q4 [18] Market Data and Key Metrics Changes - Consumer sentiment showed slight improvement, with consumers becoming more active towards the end of Q4 [57] - The trade-in program contributed approximately RMB 300 million to RMB 400 million in incremental GMV from home appliances and digital products in Q4 [59] Company Strategy and Development Direction - The company remains committed to its long-term strategy focused on retail for brands, emphasizing quality growth and a differentiated business model [20][28] - Continued investment in merchandising capabilities, with over 1,500 new brands added last year [22] - The company aims to leverage AI to improve productivity and customer experience, focusing on personalization and operational efficiency [71][73] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning to sustainable and profitable growth despite ongoing uncertainties [28] - The company anticipates a positive trajectory for GMV and revenue in 2025, with a focus on maintaining solid profitability [52][66] Other Important Information - The company returned approximately $770 million to shareholders through dividends and buybacks in 2024 [33] - For 2025, the company plans to return no less than 75% of its full year 2024 non-GAAP net income to shareholders [34] Q&A Session Summary Question: Q1 revenue guidance and consumer sentiment - Management indicated that year-to-date performance is on track within guidance, with consumer sentiment slightly better than expected [50][51] Question: Drivers of Q4 outperformance - Q4 outperformance was attributed to improved consumer activity, effective merchandising, and targeted promotions [57][58] Question: Gross margin trend in 2025 - Management believes there is room for improvement in gross margin, with a focus on investing in brand partnerships [62][64] Question: AI applications in business - The company is rapidly investing in AI applications to enhance productivity and efficiency across various business areas [71][73] Question: ARPU and shopping frequency of Super VIP members - There was a slight decline in annual ARPU due to an increase in active Super VIP members, but the overall health of the SVIP customer base remains strong [75][76]