Financial Data and Key Metrics Changes - Total sales volume for Q1 2025 reached 203,000 units, a significant year-over-year growth of 57.4% [7] - Total revenue for Q1 amounted to RMB 682 million, reflecting a 35% increase compared to the same period last year [8][31] - Gross margin rebounded to 17.3%, with a 4.9% year-over-year increase, primarily due to cost reduction initiatives [8][33] - The net loss for Q1 was RMB 39 million, with a net loss margin of 5.7%, an improvement from a net loss of RMB 55 million in the same period last year [36] Business Line Data and Key Metrics Changes - In China, sales volume reached 183,000 units, driven by a focused product portfolio strategy emphasizing technology innovation and expanded sales channels [8] - Overseas sales volume was 20,000 units, with a significant increase in the electric two-wheeler market, achieving over 3x growth [21] - Revenue from accessories, spare parts, and services amounted to RMB 76 million, a 20% increase year-over-year [33] Market Data and Key Metrics Changes - The China market accounted for 89% of total revenues, with scooter revenue increasing by 39% year-over-year [31] - The average selling price (ASP) for scooters in China decreased to nearly RMB 3,000, attributed to a shift in product mix [32] - The overseas scooter ASP increased from RMB 2,577 to RMB 2,962, driven by stronger international demand for electric motorcycles and mopeds [33] Company Strategy and Development Direction - The company is focusing on expanding its product portfolio with new models, including the NX Pro and NL series, targeting premium consumers and Gen Z [10][12] - Strategic expansion of retail footprint with 384 new stores opened in Q1, focusing on tier three and tier four cities [19] - The company aims to enhance brand influence through strategic partnerships and advertising campaigns, targeting key demographics [18] Management's Comments on Operating Environment and Future Outlook - Management remains optimistic about the China market in Q2 2025, expecting continued growth based on strong product channel development [26] - The company anticipates a steady growth in the overseas market, with a focus on electric motorcycles contributing significantly to profitability [28] - Management expects the second quarter revenue to be in the range of RMB 1.3 billion to RMB 1.4 billion, representing a year-over-year increase of 40% to 50% [37] Other Important Information - The company has implemented a data-driven dynamic safety warning system in partnership with ScaldoMaps, enhancing driving safety features [17] - The company is adjusting its manufacturing base to Southeast Asia to mitigate tariff impacts on the U.S. market [60] Q&A Session Summary Question: Sales volume guidance for 2025 - Management confirmed that the sales volume guidance of 30% to 50% year-on-year growth for 2025 remains unchanged [40][41] Question: Margin outlook for upcoming quarters - Management expects gross margin to recover from last year's 15.2% and anticipates a positive net profit in Q2 [42] Question: Average selling price and gross profit margin relationship - The decrease in ASP was due to the launch of new models, but gross margin improved due to cost reduction initiatives [45][49] Question: Cash position outlook for the end of the year - Management expects the cash position to improve by the end of 2025, starting from Q2 due to increased sales volume [53][54] Question: Overseas business growth amid tariff impacts - Management maintains growth expectations for electric motorcycles while anticipating moderate growth for micro mobility products, focusing on profitability turnaround [61]