Financial Data and Key Metrics Changes - Revenue reached HKD 13.3 billion, a 12.9% decrease compared to the same period last year, primarily due to a decline in sales of gold products caused by high gold prices [6] - The group's profit for the year decreased by 39.3% to HKD 1 billion, with basic earnings per share decreasing by 37.9% to HKD 1.87 [6][7] - Total operating expenses increased by 13.7% to around HKD 2.6 billion, leading to an increase in the ratio of total operating expenses to revenue by 4.6 percentage points to 19.6% [8][27] - The group's NAV per share was HKD 22.38, a 2.2% increase from the same period last year [11] Business Line Data and Key Metrics Changes - Retailing revenue decreased by 13.5% to HKD 11.1 billion, accounting for 82.7% of the group's total revenue, with segment profit decreasing by 17.7% to HKD 1 billion [14] - Licensing income decreased by 12.6% to HKD 904 million, accounting for 6.8% of the group's total revenue [16] - Wholesaling revenue declined by 8.8% to HKD 1.4 billion, accounting for 10.5% of the group's total revenue, with segment profit decreasing to HKD 14 million [15] Market Data and Key Metrics Changes - Revenue from Hong Kong, Macau, and overseas markets decreased by 19.6% to HKD 8.07 billion, accounting for 60.5% of the group's revenue [11] - Revenue from the Mainland market decreased by 0.2% to RMB 5.3 billion, accounting for 59.5% of the group's total revenue, with segment profit decreasing by 40.7% to HKD 577 million [12] - Retailing revenue in Mainland increased by 10.4% to HKD 3.1 billion, accounting for 59.9% of Mainland market's total [21] Company Strategy and Development Direction - The group has set a new three-year corporate strategy focusing on overseas market expansion, market-oriented products, and operational efficiency enhancements [29] - Plans to enter three more countries and establish 50 new overseas shops within the next three years [29] - The group aims to net 50 shops in the Mainland market and approximately 20 shops in overseas markets in financial year 2026 [31] Management's Comments on Operating Environment and Future Outlook - Management remains cautiously optimistic about medium to long-term business prospects in the Mainland and expects improvement in the Hong Kong market [30][52] - The group anticipates a rebound in sales performance in the Mainland market due to new product launches and effective marketing strategies [48][52] - Management noted that the high gold prices have affected consumer sentiment but expect sales of gold products to normalize as consumers adapt [41][42] Other Important Information - The average international gold price increased nearly 30% year on year, impacting sales of gold and platinum products [17] - The group has integrated ESG principles into its corporate planning and received 40 awards in FY '25 [40] Q&A Session Summary Question: Can you elaborate on the recovery in sales momentum for Mainland China? - Management noted strong performance in fixed price gold jewelry products due to new collections and effective promotions, with a new ambassador contributing positively [48][49][51] Question: What is the ASP trend for fixed price gold products? - The contribution of fixed price gold products to overall retailing revenue increased from 33% to 54%, with expectations for continued growth [56][66] Question: What is the guidance for same store sales growth and profitability? - Management expects double-digit growth for same store sales across all regions in FY 2026, with a stable gold hedging ratio maintained around 20% to 27% [61][62]

Financial Data and Key Metrics Changes - Revenue reached HKD 13.3 billion, a 12.9% decrease compared to the same period last year, primarily due to a decline in sales of gold products caused by high gold prices [5] - The group's profit for the year decreased by 39.3% to HKD 1 billion, with basic earnings per share decreasing by 37.9% to HKD 1.87 [6] - Proposed final dividend of HKD 0.55 per share, with an annual dividend of HKD 1.1 per share and a dividend payout ratio of 59% [6] - Total operating expenses increased by 13.7% to around HKD 2.6 billion, leading to an increase in the ratio of total operating expenses to revenue by 4.6 percentage points to 19.6% [7][27] Business Line Data and Key Metrics Changes - Retailing revenue decreased by 13.5% to HKD 11 billion, accounting for 82.7% of the group's total revenue, with segment profit decreasing by 17.7% to HKD 1 billion [13] - Licensing income decreased by 12.6% to HKD 904 million, accounting for 6.8% of the group's total revenue [15] - Wholesaling revenue decreased by 8.8% to HKD 1.4 billion, accounting for 10.5% of the group's total revenue, with segment profit decreasing to HKD 14 million [14] Market Data and Key Metrics Changes - Revenue from Hong Kong, Macau, and overseas markets decreased by 19.6% to HKD 8.07 billion, accounting for 60.5% of the group's revenue [10] - Revenue from the Mainland market decreased by 0.2% to RMB 5.3 billion, accounting for 59.5% of the group's total revenue [11] - Retailing revenue in Mainland increased by 10.4% to HKD 3.1 billion, accounting for 59.9% of Mainland market's total [21] Company Strategy and Development Direction - The group has set a new three-year corporate strategy focusing on overseas market expansion, market-oriented products, and operational efficiency enhancements [29] - Plans to enter three more countries and establish 50 new overseas shops within the next three years [30] - Commitment to developing e-commerce business and optimizing its own platforms to sustain growth in e-commerce revenue [30] Management's Comments on Operating Environment and Future Outlook - Management remains cautiously optimistic about medium to long-term business prospects in Mainland and plans to continue expanding in the Mainland market [31] - The group expects same store sales growth across all regions to be in the double digits for FY 2026 [63] - Management noted that high gold prices may affect sales performance, but increased profit margins will help mitigate the impact of declining sales [42] Other Important Information - The average international gold price increased nearly 30% year on year, affecting consumer sentiment and leading to a 15% decrease in sales of gold and platinum products by weight [16] - The group aims to net 50 shops in the Mainland market in FY 2026 and is optimistic about growth potential in overseas markets [31] Q&A Session Summary Question: Can you elaborate on the recovery in sales momentum for Mainland China? - Management noted strong performance in fixed price gold jewelry products due to new collections and effective promotions, with a new ambassador contributing positively to sales [49][50] Question: What is the ASP trend for fixed price gold products? - The contribution of fixed price gold products to overall retailing revenue increased from 33% to 54%, with expectations for continued growth [56][68] Question: What is the guidance for same store sales growth and profitability? - Management expects double-digit growth in same store sales across all regions for FY 2026, with a stable gold hedging ratio maintained [63][61]

Financial Data and Key Metrics Changes - Adjusted revenue increased by 3.8% to HKD 110 billion, with adjusted cash profit at HKD 266 million, primarily driven by property development [4][8] - Adjusted revenue from property development grew by 5.3% to approximately HKD 7.2 billion compared to HKD 6.8 billion last year [4][28] - Total bank loans and notes decreased by HKD 2.2 billion, and the net adjusted gearing ratio dropped by 1.2 points to 67.6% [9][19] Business Line Data and Key Metrics Changes - Hotel revenue was HKD 2 billion, reflecting a growth of 2.3% year-on-year [6][51] - Gaming revenue increased by 1.6% to approximately HKD 400 million, indicating stability in recurring income [8][51] - Revenue from car parks decreased by 2.6%, attributed to the phasing out of underperforming contracts [55][56] Market Data and Key Metrics Changes - The total accumulated attributable pre-sale value and unbooked contracted sales reached approximately HKD 8.9 billion [4][17] - The gross margin improved to 31.8% from 31% last year, particularly in the car park business [18][19] - The average selling price in Manchester increased by 35%, reflecting a strong market demand [40] Company Strategy and Development Direction - The company aims to accelerate project completion to enable early revenue recognition and optimize cash flow [26][47] - A robust development pipeline of around HKD 61 billion is expected to support sustainable growth over the next six to eight years [26][47] - The company is focusing on inventory monetization and asset disposal to reduce debt levels [65][66] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about the property market, indicating that they believe it has bottomed out [76] - The company plans to maintain a conservative approach to lower the gearing ratio while exploring new project opportunities [71][76] - Future cash flow visibility is supported by both property development projects and recurring income businesses [66] Other Important Information - The company has completed several significant property projects, including Aspen in Canary Wharf and Huon Hole in Singapore, contributing to revenue [4][30] - The company has entered into contracts for the sale of non-core assets, including a car park in Manchester and a hotel asset in North London [14][15] Q&A Session Summary Question: When will the dividend be restored? - Management indicated that due to market uncertainties and impairments, they are being conservative and have not yet decided on dividend payments [75][76] Question: How much of the HKD 8.9 billion pre-sale will be recognized in FY 2026 and FY 2027? - Approximately HKD 11 billion is expected to be recognized in FY 2026, with the remaining to be recognized in FY 2027 [79][80] Question: What is the company's stance on perpetual bonds given recent market events? - Management stated that they have not yet had internal discussions regarding the high coupon of perpetual bonds and will provide updates in due course [82][83] Question: What challenges does the company face in expanding its hotel portfolio? - Management acknowledged competition from global hotel groups and emphasized the importance of consistency in service and brand quality [84][88]

Financial Performance Overview - Group revenue increased by 1% for the full year, with a gross profit margin improvement of 1.3 percentage points to 51.3% [6][30] - Profit from operations grew substantially by 9622%, and profit attributable to equity shareholders increased by 102% to HKD235 million [7][30] - EBITDA increased by 29% year on year, driven by higher gross profit contribution and effective operating cost rationalization [5][30] - Cash on hand was HKD1.27 billion, with a net cash position of HKD657 million and a gearing ratio decreased to 20% [8] Business Line Performance - Mainland China revenue grew by 2% in the second half, contributing to a full-year growth of 1% amid intensified market competition [12][15] - Operating profit in Mainland China increased by 41%, achieving a 9% operating margin [19] - Hong Kong's operating profit grew by 24%, with a 12% operating profit margin, driven by higher sales volumes and favorable commodity costs [23] - Australia saw a revenue growth of 5% in local currency, with a narrowed operating loss by more than 30% in local currency terms [24] Market Performance - Mainland China remains the largest market, accounting for 54% of group revenue [15] - Singapore experienced a slight revenue decrease, but growth in the export tofu business helped offset some softness in beverage sales [25] - The Philippines joint venture with Universal Robina Corporation continued to drive scale and market share growth [25] Company Strategy and Industry Competition - The company will prioritize sustaining business scale and profitability amid geopolitical and economic challenges [14][30] - Focus on maintaining structural profitability in Mainland China while solidifying core portfolio in Hong Kong [14] - Plans to improve field sales execution and increase portfolio innovation to enhance value competitiveness [20] Management Commentary on Operating Environment and Future Outlook - Management expressed confidence in gradual improvement and long-term prospects despite short-term macro challenges [15][30] - The company aims to leverage local sourcing and manufacturing to mitigate international tariff risks [14] - Emphasis on enhancing energy efficiency and sustainable practices as part of the long-term strategy [29] Other Important Information - The company announced an updated sustainability framework with ambitious goals for reducing sugar content in products [28][29] - The eleventh annual sustainability report will be available in July, highlighting progress on sustainability targets [26] Q&A Session Summary Question: What are the expectations for growth in Mainland China? - Management indicated that sales growth must come from market share due to significant competitive pricing pressure [19] Question: How is the company addressing the competitive environment in Australia? - The company is implementing commercial programs to improve brand presence and impact across grocery and coffee channels [24] Question: What are the sustainability goals moving forward? - The company aims for 80% of its portfolio to be low sugar or no added sugar products by 2030, reflecting a stronger focus on health trends [28]

Summary of Sunny Optical Technology (Group) Co (02382) 2025 Investor Day Company Overview - **Company**: Sunny Optical Technology (Group) Co - **Event**: 2025 Investor Day held on June 19, 2025 - **Focus**: Market opportunities in optical electronic markets, technological trends, and strategic positioning across key sectors [2][4] Key Industry Insights - **Geopolitical Tensions**: The company has faced challenges due to geopolitical tensions, particularly between China and the US, which have slowed economic recovery [8] - **AI Development**: Breakthroughs in AI are creating new opportunities in mature businesses like handsets and vehicles, driving growth in the optoelectronics industry [9][33] - **Market Competition**: Increased competition in the market is noted, with a focus on innovation and risk management to navigate future challenges [9][10] Financial Performance - **Sales Target**: The company aims for a sales target of 100 billion RMB, emphasizing long-term sustainable development [21][22] - **Market Share**: Sunny Optical ranks number one in market share for headset and vehicle handsets, with a strong focus on technological advancements [23][24] Technological Advancements - **Core Technologies**: The company has developed advanced technologies in optical coating, testing, and precision manufacturing, which support various business areas including automotive and smartphones [26][30] - **AI Integration**: AI is being integrated into smart manufacturing processes to optimize yield rates and enhance product capabilities [36][37] Automotive Sector Insights - **Smart Driving Growth**: The automotive sector is expected to see significant growth, particularly in the vehicle lens market, driven by advancements in electric vehicles (EVs) [41][42] - **Market Projections**: The global number of land sets per car is projected to surpass 4.3 by 2025, with Sunny Automotive maintaining a high market share in vehicle handsets [42][43] - **ADAS Technology**: The company is preparing for mass production of advanced driver-assistance systems (ADAS) with a focus on high pixel cameras and rapid response capabilities [44][45] Smartphone Market Trends - **Sales Forecast**: Global smartphone sales are projected to reach approximately 1.17 billion units in 2025, with a slight increase of 0.2% year-over-year [78] - **High-End Demand**: There is a growing demand for high-end camera modules, particularly in the Chinese market, which is expected to grow by 2.2% [79][80] - **Miniaturization and OIS**: Trends towards extreme miniaturization and improved optical image stabilization (OIS) are driving product development in the smartphone sector [81][82] Future Outlook - **Technological Leadership**: Sunny Optical aims to leverage its technological expertise to navigate competition and contribute to the healthy growth of the optoelectronics industry [63] - **Integrated Solutions**: The company is focused on providing integrated solutions across various domains, enhancing its product portfolio to meet rising market demands [36][63] Additional Insights - **Customer Engagement**: The company encourages feedback and suggestions from investors to foster high-quality development and create more shareholder value [11] - **Innovation Commitment**: Sunny Optical is committed to continuous innovation and technological advancements to maintain its competitive edge in the market [10][21]

Financial Data and Key Metrics Changes - The company reported a revenue of HKD 1.5 billion for H2 2025, representing a 10% increase compared to H2 2024 [1] - Net profit for the period was HKD 200 million, a significant increase of 25% year-over-year [1] - Gross margin improved to 45%, up from 42% in the previous year [1] Business Line Data and Key Metrics Changes - The skincare segment saw a revenue increase of 15%, contributing HKD 800 million to total sales [1] - The fragrance business experienced a decline of 5%, generating HKD 300 million [1] - The makeup category remained stable with a slight growth of 2%, totaling HKD 400 million [1] Market Data and Key Metrics Changes - The Hong Kong market accounted for 60% of total sales, with a growth rate of 12% [1] - Sales in mainland China increased by 20%, reflecting strong demand [1] - The company’s online sales channel grew by 30%, now representing 25% of total revenue [1] Company Strategy and Development Direction and Industry Competition - The company plans to expand its product offerings in the skincare segment to capture more market share [1] - There is a focus on enhancing the online shopping experience to drive e-commerce growth [1] - The competitive landscape remains challenging, with new entrants in the beauty market [1] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the recovery of consumer spending in Hong Kong [1] - The outlook for mainland China remains positive, with expectations of continued growth [1] - Concerns were raised about potential supply chain disruptions affecting product availability [1] Other Important Information - The company announced a share buyback program to enhance shareholder value [1] - A new marketing campaign is set to launch in Q3 2025, targeting younger consumers [1] Q&A Session Summary Question: What are the expectations for the skincare segment moving forward? - Management indicated that they expect the skincare segment to continue its growth trajectory, driven by new product launches and marketing efforts [1] Question: How is the company addressing supply chain challenges? - The company is actively working with suppliers to mitigate risks and ensure product availability [1] Question: What are the plans for international expansion? - Management mentioned that while the focus remains on Hong Kong and mainland China, they are exploring opportunities in Southeast Asia [1]

Financial Data and Key Metrics Changes - Revenue declined by 17.5% to HKD 89.7 billion, while operating profit grew by 9.8% to over HKD 14.7 billion [5] - Gross profit margin increased by 550 basis points to 29.5%, and operating profit margin expanded by 400 basis points to 16.4% [5] - Profit attributable to shareholders decreased by 9% due to losses from gold loan contract revaluation amid gold price volatility [5] Business Line Data and Key Metrics Changes - Revenue from fixed price gold products surged by 105.5% year on year, contributing significantly to gross profit margin improvement [10] - The contribution of fixed price product categories to the group's revenue expanded to approximately 29% from 19% a year ago [27] - Same store sales in Mainland declined by 19% in self-operated stores and 14% in franchise stores, while Hong Kong and Macau saw a 26% decline [28] Market Data and Key Metrics Changes - E-commerce sales in Hong Kong and Macau increased by 91%, driven by a revamped brand website [21] - Revenue from other markets grew by over 9%, primarily from Singapore, Malaysia, and Thailand [22] - E-commerce contributed 6% to retail sales value and 14% to volume in the Mainland business [19] Company Strategy and Development Direction - The company is focused on brand transformation and product optimization, with plans to unveil further differentiated signature collections [12] - New image stores are being strategically opened in prime locations to enhance customer experience and sustain market leadership [12] - The company aims to expand its presence in high-potential new territories while revitalizing existing markets [22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for the upcoming year, expecting continued momentum in same store sales growth [28] - The company is closely monitoring macroeconomic conditions, gold price movements, and government policies to inform business decisions [41] - The commitment to brand transformation is expected to bolster long-term growth prospects and increase shareholder returns sustainably [41] Other Important Information - The company launched the Zhuhai Folk Jewelry Sustainability 2049 blueprint, integrating sustainability into operations [8] - The CTF Rouge collection achieved approximately HKD 4 billion in retail sales value, exceeding expectations [10] - The return on equity reached 21.9%, showing sustained improvement against a five-year historical average of around 18% [40] Q&A Session Summary Question: What are the expectations for same store sales growth? - Management expects same store sales growth to return to positive at some point in fiscal year 2026, supported by current observations [28] Question: How is the company managing its capital structure amid uncertainties? - The company is maintaining a disciplined and prudent approach to managing its capital structure and gearing ratio to enhance financial stability [40] Question: What are the key drivers for e-commerce growth? - The establishment of an in-house live streaming studio and enhanced social media promotions significantly contributed to e-commerce growth [19]

Financial Data and Key Metrics Changes - Revenue declined by 17.5% to HKD 89.7 billion, while operating profit grew by 9.8% to over HKD 14.7 billion [7] - Gross profit margin increased by 550 basis points to 29.5%, and operating profit margin expanded by 400 basis points to 16.4% [7] - Profit attributable to shareholders decreased by 9% due to losses from gold loan contract revaluation amid gold price volatility [7] - Total dividend proposed is HKD 0.32 per share, representing a payout ratio of 87.8% [7] Business Line Data and Key Metrics Changes - Revenue from fixed price gold products surged by 105.5% year on year, contributing significantly to gross profit margin improvement [11] - The contribution of fixed price product categories to the group's revenue increased to approximately 29% from 19% a year ago [28] - Same store sales in Mainland declined by 19% for self-operated stores and 14% for franchise stores, while Hong Kong and Macau saw a 26% decline [29] Market Data and Key Metrics Changes - E-commerce sales in Hong Kong and Macau increased by 91%, driven by a revamped website and successful key IP collection launches [21] - In other markets, retail sales value grew by over 9%, with new store openings in Thailand, Malaysia, and Japan [22] - E-commerce contributed 6% to retail sales value and 14% to volume in Mainland business [19] Company Strategy and Development Direction - The company is focused on brand transformation and product optimization, with plans to unveil further differentiated signature collections [13] - New image stores are being strategically opened in prime locations to enhance customer experience and sustain market leadership [13] - The company aims to expand its presence in high-potential new territories while revitalizing existing markets [22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for the upcoming year, expecting continued momentum in same store sales growth [29] - The company is closely monitoring macroeconomic conditions, gold price movements, and government policies to inform business decisions [42] - The commitment to brand transformation is expected to enhance competitiveness and long-term growth prospects [42] Other Important Information - The company launched the Zhuhai Folk Jewelry Sustainability 2049 blueprint, integrating sustainability into operations [9] - The CTF Rouge collection achieved approximately HKD 4 billion in retail sales value, exceeding expectations [11] - The company maintained a healthy cash balance of RMB 7.6 billion and reduced financial leverage [39] Q&A Session Summary Question: What are the expectations for same store sales growth? - Management expects same store sales growth to return to positive at some point in fiscal year 2026, supported by current observations [29] Question: How is the company managing its capital structure amid uncertainties? - The company is maintaining a disciplined approach to managing its capital structure and gearing ratio to enhance financial stability [40] Question: What are the plans for international expansion? - The company is set to kick off strategic expansion in high-growth Southeast Asia markets to capture rising local demand for Chinese gold jewelry [22]

Financial Data and Key Metrics Changes - Group revenue reached RMB2.34 billion, up 9% year over year [6] - Revenue from office software and services decreased 6% year on year to RMB301 million [14] - Online games revenue increased 40% year on year to RMB370 million [16] - Gross profit increased 10% year on year to RMB1.19 billion, with a gross profit margin of 82% [17][19] - Net profit attributable to owners of the parent was RMB284 million, slightly down from RMB285 million year on year [19] Business Line Data and Key Metrics Changes - Kingsoft Office Group revenue reached RMB1.301 billion, marking a 6% year on year increase [8] - WPS individual business generated revenue of RMB857 million, up 11% year on year [8] - Online gaming business revenue reached RMB1.037 billion, a 14% year on year increase [11] Market Data and Key Metrics Changes - WPS Office global monthly active devices reached 647 million, an 8% year on year increase [9] - Monthly active devices for the PC version increased by 11% year on year to 301 million [9] - Monthly active devices for the mobile version increased by 5% year on year to 346 million [9] Company Strategy and Development Direction - Kingsoft Office Group focuses on AI integration and global expansion, enhancing product experiences and user engagement [6][10] - The gaming business aims to deepen the ecosystem around flagship IPs while exploring new genres [11][12] - The company plans to enhance its international presence and develop multiple game categories beyond martial arts [28] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining growth through AI collaboration and product innovation [12][57] - The company is optimistic about the gaming sector's performance despite market uncertainties [49] - Management highlighted the importance of empowering enterprises through AI solutions [57] Other Important Information - Research and development costs increased 16% year on year, driven by AI-related expenses [18] - The company maintains a strong cash position with cash resources of RMB26 billion [20] Q&A Session Questions and Answers Question: Strategic plans for gaming business and updates on Metro Break launch - Management emphasized the need for quality games, diversification into multiple genres, and international market expansion [28][30] - Metro Break is expected to launch in July, with an official announcement in June [31] Question: Updates on WPS office business overseas - Management discussed plans for multiple language versions and operational strategies to enhance overseas presence [34][36] Question: Major optimizations for Metro Break and performance expectations - Management noted ongoing modifications based on player feedback and expressed cautious optimism for post-launch performance [42][45] Question: Trends in active user base and revenue growth for JX3 - Management indicated stable performance for JX3, with expectations for continued engagement despite seasonal fluctuations [46][49] Question: Potential collaboration with Xiaomi in AI - Management outlined a strategic focus on AI development and collaboration with Xiaomi to enhance enterprise solutions [51][57]

Financial Data and Key Metrics Changes - Group revenue reached RMB2.34 billion, up 9% year over year [5] - Revenue from office software and services decreased 6% year on year to RMB301 million [12] - Revenue from online games increased 40% year on year to RMB370 million [14] - Gross profit margin increased by one percentage point year on year to 82% [15] - Profit attributable to owners of the parent was RMB284 million, slightly down from RMB285 million year on year [18] Business Line Data and Key Metrics Changes - Kingsoft Office Group revenue reached RMB1.301 billion, marking a 6% year on year increase [7] - WPS individual business generated revenue of RMB857 million, up 11% year on year [7] - Online gaming revenue reached RMB1.037 billion, a 14% year on year increase [9] Market Data and Key Metrics Changes - WPS global monthly active devices reached 647 million, an 8% year on year increase [8] - Monthly active devices for the PC version increased by 11% year on year to 301 million [8] - Monthly active devices for the mobile version increased by 5% year on year to 346 million [8] Company Strategy and Development Direction - Kingsoft Office Group will focus on AI collaboration and global expansion, sustaining R&D investment [10] - The gaming business will prioritize the development of flagship IPs and explore new genres [10] - The company aims to enhance its international presence and diversify game categories beyond martial arts [27] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the gaming business's ability to adapt and innovate despite market challenges [46] - The company is committed to empowering enterprises through AI and enhancing its own capabilities before assisting others [56] - Management highlighted the importance of quality and passion in game development for future success [28] Other Important Information - Research and development costs increased 16% year on year to RMB828 million [16] - The company had cash resources of RMB26 billion as of March 31, 2025 [19] Q&A Session Summary Question: What are the strategic plans for the gaming business going forward? - Management emphasized the need for quality games, diversification into multiple genres, and internationalization of products [28] Question: Updates on the launch schedule for Metro Break? - The game is expected to launch in July, with an official announcement in June detailing the release specifics [30] Question: Updates on the overseas business of WPS Office? - Management discussed plans for multiple language versions and a comprehensive strategy for overseas operations [34][36] Question: Major optimizations for Metro Break post-testing? - Management mentioned modifications based on player feedback and design adjustments to enhance gameplay experience [42] Question: Trends in active user base and ARPU for JX3? - Management noted stable performance but acknowledged a slight year-on-year decrease compared to the previous quarter [45]