Good morning and good evening, ladies and gentlemen. Thank you for joining, and welcome to Chindata Group Holdings Limited Second Quarter 2023 Earnings Conference Call. We will be hosting a question and answer session after management's prepared remarks. Please note that today's event is being recorded. I'll now turn the call over to our first speaker today, Mr. Don Zhou, from Investor Relations of Chindata Group. Please go ahead, Don. Oh, thank you, Amber. Hello, everyone, and welcome to Chindata Group's 2023 Second Quarter Earnings Conference Call. This is Don from Investor Relations team of the company. With us today are Mr. Nick Wang, our CFO, and Ms. Zoe Zhuang, our Senior Vice President, Finance. During this call, Nick will take you through the quarterly review of our operation performance, and Zoe will present our financial results. Management team will be here to answer your questions afterwards. Now, I will quickly go over the safe harbor. Some of the statements that we make today regarding our business, operations, and financial performance may be considered forward-looking, and such statements involve a number of risks and uncertainties that could cause actual results to differ materially. For more information, please refer to the risk factors discussed in our filings with the SEC. During this call, we will present both GAAP and non-GAAP financial measures. A reconciliation of non-GAAP to GAAP measures is included in our earnings press release, which is distributed and available to the public through our investor relations website, located at investor.chindatagroup.com. We have also updated our quarterly presentation on the company's investor relations website, which you can refer to as the supplementary material for today's call. Without further ado, I'll now turn over the call to Nick. Nick, please go ahead. Thank you, Don. Hello, everyone, and thanks for joining the call. Concurrently with the ongoing progress of privatization of the company, the management and the entire team continue to work diligently on our business, delivering another strong quarterly performance in the second quarter of this year. As a quick summary for our quarterly performance, we adhere to our demanding schedule, and delivery was on time. Demand from our existing clients remained satisfying, with demand in Southeast Asia market being a key driver during the second quarter. Ramp-up was usual as always, with overall and single project level utilization ratio in good shape. We continue to build our partnership and invested in research and development to prepare ourselves for the further AIGC era and patiently waiting for any signals on recovery of the market. To start with some key highlights for the second quarter, on slide 4, 2 new projects were put under construction in the second quarter. Total capacity increased by 47 MW to 945 MW, and total number of data centers was 35. 2 hyperscale data centers were put into service in our Datong campuses in Shanxi and Johor campuses in Malaysia, bringing our total in-service capacity to 730 MW, an increase of 91 MW during the quarter. Total client demand increased by 34 MW in the second quarter, bringing our total contracted and IOI capacity to 850 MW, with total client commitment rate remaining at a healthy level of 90%. Ramp-up was strong as we added 48 MW of utilized capacity in the quarter, bringing our total utilized capacity to 585 MW, with a solid utilization rate of 80%. Financials remain under healthy momentum and in high quality. Revenue in the second quarter was CNY 1,553.8 million, representing 49.7% year-over-year growth. Adjusted EBITDA grew by 49.9% year-over-year to CNY 816.1 million, with adjusted EBITDA margin remained well above 50%, at 52.5% in the second quarter. Net income grew by 9.8% year-over-year to CNY 219.2 million, with a net margin of 14.1%. With the current business momentum, we reiterated our full year guidance range, with revenue in the range of CNY 5.88 billion-CNY 6.08 billion and adjusted EBITDA in the range of CNY 3.1 billion-CNY 3.22 billion. Now, let's go into details, and first take a closer look at project delivery and construction on slide 7-9. We continue to work on the highly demanding schedules to ensure timely delivery, especially for our Malaysia business. In the second quarter, we put two projects into service with a total capacity of 91 MW. CN20, a 49 MW hyperscale project in our Datong campus, Shanxi Province, was delivered as originally scheduled. The project supports the anchor client and is currently 100% committed by the client. MY06 Phase 2 in Johor, Malaysia, was also delivered as scheduled. The 42 MW project supports the anchor client as well, and was already running at the 76% utilization ratio in the first quarter since operation. Two new under-construction project was added. Our flagship MY06 project saw further capacity expansion in the second quarter, with the inclusion of MY06 Phase 4, a 12 MW new hyperscale project. It is scheduled for delivery starting from the first quarter of 2024, and was 100% committed. CN23, the other new under-construction project, is located in one of Zhangjiakou campuses in Hebei. The 26 MW hyperscale project is intended for one of our key international clients and is scheduled for delivery starting from the first quarter of 2025. The project is currently 49% contracted. Furthermore, thanks to the healthy momentum of our clients in Southeast Asia market, our existing MY06 Phase 3 project was further expanded by 10 MW in the second quarter, now reaching 53 MW. The project is currently 100% committed. With the above changes during the quarter, as you can see on slide 9, we have brought our total capacity up by 47 MW, reaching 945 MW by the end of the second quarter, with 730 MW in service and 214 MW under construction. Of the under-construction capacity by quarter- end, we currently expect another 15 MW to be delivered in 2023, and our teams in China and overseas are working diligently to ensure our supply readiness. Now, regarding demand on slide 10, we continue to receive additional demand on existing and new projects, with overseas business contributed meaningfully. We received a total amount of 34 MW new demand in the second quarter, among which 22 MW of additional demand were received from our anchor client following the expansion of the MY06 project. Another 12 MW new demand received from one of the key international clients on the business under construction project in Zhangjiakou. Meanwhile, contracted capacity increased by 60 MW in the quarter, including 16 MW of IOI conversion from CE02, CN12, and CN23, supporting one of the key international clients, and 45 MW IOI conversion and newly contracted capacity on project MY06 Phase 3 for the anchor client. In general, we are optimistic about opportunities in the Southeast Asia market. The additional demand that we received during the quarter further strengthened our revenue, and the company has been devoting dedicated internal resources to ensuring timely project delivery while securing necessary resources for future development in advance. Regarding the market in China, we are patiently watching the involvement of the market condition, waiting for further signals of recovery to emerge, while we continue to build our partner ecosystem to lay the foundation for future opportunities. We believe our healthy business and financial profile, as well as our continued effort in research and development, will be the key fundamentals for the company to win more opportunities as the market gradually recovers and to compete in AI, AIGC era. With the dynamics of demand in the quarter, the commitment status of our asset portfolio continues to look healthy. On slide 12, for our existing 730 MW of in-service capacity, 95% was committed by clients in either contract or IOI by the end of the second quarter, the same proportion as in the previous quarter and in the same quarter of last year. For our total capacity on slide 13, the commitment ratio was 90% at the end of the second quarter, compared with 91% in the previous quarter and 84% in the same quarter last year. The visibility of our business remains there, as by the end of the second quarter, over 95% of our contracts were for 10- year term or longer, leading to a weighted average remaining term of the current contract capacity of 8.6 years. We expect less than 4% of our existing contract capacity to expire by the end of 2027. Now, coming to customer move-in on slide 14. Our ramp-up remains healthy and in line with our schedule, with overseas project as the key driver. We added 48 MW of utilized capacity in the second quarter, bringing our total utilized capacity to 585 MW, compared with 401 MW in the same quarter last year. This represents 45.9% year-over-year growth. Quarterly move-in was contributed by projects in our Northern China campus, supporting the anchor client and a Chinese cloud client, as well by our overseas project in India and Malaysia, supporting the anchor client and one of the key international clients. MY06 Phase 2 is 76% utilized in the first quarter following its opening, indicating strong overseas demand. These quarterly dynamics lead to a quarter- end utilization ratio of 80%, compared with 78% in the same quarter last year. On a quarter-over-quarter basis, utilization ratio is 4% lower, mainly due to the inclusion of the 49 MW new in-service project that was just starting to ramp- up. Looking at the utilization ratio at single project level, 16 out of the existing 27 in-service projects, or 59% of them, are over 90% utilized. Geographically, with success to ramp- up of our Johor projects, overseas business now contributed to 14% of total utilized capacity during and by the quarter- end. On some other aspects of business development on slide 16, we released our 2022 ESG report on July 24, 2023. We continue to run our business in an energy- efficient way, with a total power consumption of 3.032 billion kWh in the year 2022. We managed to keep the annual PUE for our Chinese business at 1.21, remarkably lower than industry average. We reinforce our safe ESG strategy that was set forth in the year 2021, while committing ourselves to the mission of efficiently converting electricity into high quality computational power in a stable, eco-friendly, and high quality manner, thereby increasing operational stability and enhancing partner confidence and building a more sustainable brand. More information can be referred to in our ESG report. On slide 17, as a first mover in executing energy abundant lower tier region layout strategy, our years of operation in Huailai County, Zhangjiakou City of Hebei Province, is gaining more recognition. Hebei Qinhuai, excuse me, a subsidiary of Chindata, has earned a place on a national list of specialized and innovative Little Giant enterprises. This accolade is bestowed upon companies that focus on niche markets, demonstrate strong innovation, maintain a significant market share, master core technologies, and attain remarkable levels of quality and efficiency. We are the first data center enterprise in Hebei to earn this esteemed recognition. Our four campuses layout in Huailai County is now well established, with our IT capacity surpassing 300 MW and a server deployment scale constituting 80% of the total in Huailai County. Furthermore, in this region, as we mentioned previously, we continue to build our partner ecosystem to lay the foundation for future opportunities. On slide 18, on July 28th, we entered into a 10-year strategic cooperation agreement with Zhangjiakou Construction Investment Group. This local SOE boasts a wealth of experience and capabilities in asset management, capital operation, resource development, and industrial investments. Through the partnership, both parties would engage in deep cooperation in land and water resource development, energy development, data center collaboration and operation, and integrated products of source- grid- load- storage, and further explore other collaborative opportunities in the big data industry chain. This partnership signifies the continued commitment of Chindata in Huailai, Zhangjiakou, to further strengthen and optimize the local digital economy. With that, I've concluded my part, and I will turn to Zoe for the details of our financial performance. Zoe, please. Thank you, Nick. Now, let me walk you through our quarterly financial performance. Generally speaking, we have maintained a very healthy financial momentum in the second quarter of 2023. Our revenue growth in the second quarter remained healthy, recording 49.7% year-over-year growth to reach RMB 1,553.8 million, which is in line with the 45.9% year-over-year increase in utilized capacity. Overseas business contributed to 14% of total utilized capacity in the second quarter, up from around 9% in the previous quarter. Looking further down, on slide 25, total cost of revenue in the second quarter increased by 51.3% to CNY 911.2 million, from CNY 602.2 million in the same period of 2022, mainly driven by increase in its utility costs and depreciation and amortization expenses. Total operating expenses in the second quarter of 2023 increased by 56.9% year-over-year to CNY 197.6 million, primarily due to more marketing activities conducted by the company, higher professional service fees increase in research and development personnel, and higher share-based compensation expenses. Specifically, selling and marketing expenses in the second quarter of 2023 increased by 4.1% year-over-year to CNY 16.1 million. General and administrative expenses in the second quarter of 2023 increased by 69.6% year-over-year to CNY 154.5 million. Research and development expenses in the second quarter of 2023 increased by 39.3% year-over-year to CNY 27 million. As a result of this, operating income in the second quarter of 2023 increased by 43.5% to CNY 445 million, recorded an operating income margin of 28.6%. Net income in the second quarter of 2023 increased by 9.8% year-over-year to CNY 219.2 million, with a net margin of 14.1%, compared with 19.2% in the same period of 2025, and 17.5% in the first quarter of this year. The year-over-year change in the net margin was mostly contributed by increase in interest expenses. For a breakdown of core costs and expense item on slide 26, with the growth of our business, we continue to maintain our adjusted EBITDA margin at above 50% level. Maintenance and other costs was 7.5% of revenue in the second quarter, compared with 6.6% in the previous quarter. Adjusted SG&A was 9.7% of revenue, compared with 6.8% in the previous quarter. On a quarter-over-quarter basis, utility price did not see material fluctuation across the regions in which we operate, leading to stable utility cost percentage points of revenue at 31.2% in the second quarter, similar to the previous quarter. On a year-over-year basis, utility cost of revenue rose by roughly two percentage points. With this, on slide 27, adjusted EBITDA recorded a 49.9% year-over-year growth or 0.3% quarter-over-quarter growth to reach CNY 816.1 million, and a margin of 52.5%. Adjusted net income increased by 6.7% year-over-year in the second quarter to CNY 258.2 million, at a margin of 16.6%. Details in the GAAP to non-GAAP reconciliation on EBITDA and net income would be available in our 6-K filing or the appendix in our IR PPT. On slide 28, given the highly demanding delivery schedule, we continue to incur similar level of CapEx during the quarter that recovered existing under construction projects, as well as some initial investments in potential pipeline projects with good certainty. CapEx in the second quarter was CNY 1,254.6 million, compared with CNY 1,653.9 million in the previous quarter. On slide 29, our operating cash flow continued to recover and improve following the COVID-19 epidemic in 2022, and the completion of client system upgrade. Operating cash flow in the second quarter was CNY 1,186.8 million, which is around 145% of our adjusted EBITDA, compared with CNY 693.3 million in the first quarter of 2023. Such improvement of operating cash flow is also in line with substantial lower value of our accounts receivable by quarter- end. Financing cash flow was CNY 259.1 million in the second quarter, with another CNY 1,396.4 million invested cash flow. We ended up with a higher total cash position of CNY 5,915.3 million by quarter- end, and a net debt position of CNY 5,569.3 million. Our leverage and the coverage ratios remain in the reasonable and healthy range. On slide 30, key leverage ratios do not see much fluctuation quarter-over-quarter, neither are key coverage ratios. On slide 31, asset returns continued to improve in the second quarter, with the overall utilization ratio of our total in-service capacity at 80%. We are seeing the company- defined pre-tax ROC further rise to 19.3%, compared with 18.7% in the previous quarter, and 17% in the same quarter last year. Finally, based on the company's current and preliminary views on the market and operational conditions, we reiterated 2023 revenue guidance in the range of RMB CNY 5,880 million-CNY 6,080 million, and adjusted EBITDA guidance in the range of CNY 3,100 million-CNY 3,220 million. This reflects the company's preliminary views, which are subject to change. This concludes our prepared remarks for today. Operator, we are now ready to take questions. Thank you. We will now begin the question and answer session. To ask a question, please press star one one on your telephone keypad. You would hear an automated message advising your hand is raised. To withdraw your question, please press star one one again. When asking the question, please state your question in Chinese first, then repeat your question in English for the convenience of everyone in the call. Please ask one question at a time. Please stand by while we compile the Q&A roster. Once again, the star one one for questions. Our first question comes from the line of Yang Liu from Morgan Stanley. Please go ahead, Yang. I will translate my question in English. My question is related with the patent on the cooling technology supporting the AIGC future demand. We noticed that Chindata has a lot of patents in immersion liquid cooling and cold plate liquid cooling, et cetera. And I would like to ask, what is your customer's acceptance, especially anchor customer and global cloud customers' acceptance of such kind of technology route in AIGC- related to computing cloud hosting? And a related question is whether such kind of technology can increase the ROIC of the company. Thank you. Hi. Thank you, Mr. Yang Liu. I think, the reason why, you know, we think that the from our anchor client and the future customer will be very willing to accept our diversified cooling solution is simply because, we are operated in such a diversified geography. Especially if you compare our North China campus versus our Southeast Asia, Johor campuses. The weather conditions, humidity conditions, and also temperature conditions are completely different. So you need to have a lot of tools, you know, toolboxes. So when, when the customer want s different conditions, or the demand from technical perspective, given the AIGC, more requirements on the airflow and also the cooling requirements, you know, you need to be ready. So therefore, we are very confident with all this technology, patents in-house, and most importantly, with our the talent pool in-house, leading by our CTO, Mr. Zhang Binghua. We are very confident that all this liquid cooling patents and technology and solution or cold plate, the cooling solutions will be well accepted, well accepted, and by our customer. Actually, as a matter of fact, some of them are already being applied in the, in our campus in China as well as overseas. In terms of a financial return, yes, there will be a marginal, I would say the ROIC improvement, especially if you look at full life cycle of the, of this, solution application. There are gonna be requirement and more investment, but there are gonna be a cost saving later, especially on energy saving part. So overall, I think our study shows that, the ROIC gonna be improved marginally. Thank you. Great. Thank you. Thank you. you. Thank you. Our next question comes from the line of Sarah Wang from UBS. Please ask your question, Sarah. Thank you for the opportunity to ask a question. So, according to the latest SEC filing, it seems the 2023 CapEx is estimated at $1.3 billion. So just wondering what's the key driver of the CapEx for this year? Thank you. Yeah. Thank you, Sarah. I think that you are referring to the document or whatever filing we already filed to SEC regarding the privatization issue, right? So that's where you see this $1.3 billion. I would say that first of all, that's actually the part of the work prepared by Citigroup, who is the advisor to our special committee, who review the whole process. So for any, I would recommend for any evaluation and also the financial forecast as part of the valuation process methodology, you'd better ask Citi. But from our side, we're only focusing on the business. Especially, we're only focusing our business progress, delivery schedule, and obviously, the future pipeline of potential project, not only the project we disclose to the marketplace. So having said that, that we used in the previous conference call, we used to estimate our whole year CapEx number gonna be around CNY 5 billion-CNY 7 billion, you know, RMB. Now, I would say that, this the number for the whole year, 2023, gonna be in the range of CNY 7 billion-CNY 9 billion, from the latest internal estimate for the whole year, 2023. Now, we already have, the first year you see the number, we already spent, like, CNY 3 billion, you know, the cash outflow on CapEx-related stuff. So on the second half, we're gonna be, we're probably gonna spend CNY 4 billion or CNY 6 billion, you know, further. I think, we think that this potential upside or increased spending will be a good news for everybody. Why is good news? Because, this is driven by the progress of some incremental pipeline project, new project, which company is optimistic to obtain in the second half of this year. And these pipeline projects may bring better revenue and EBITDA for future years, not necessarily this year, 2023, but future year, 2024 and 2025, beyond, you know, beyond previous estimate. In addition, you know, and a significant portion of this incremental pipeline project, again, not the project we have disclosed, you know, so these projects are actually driven by our overseas business. In other words, overseas project will have a larger than expected shares, and that basically means an increase of the unit CapEx accordingly. So obviously, you know, the timing of the spending may vary at around late 2023 or start of beginning of 2024. So part of the $1.3 billion you saw those privatization documents, and very small part of it may be carry over to 2024 to spend. But on an aggregate level, if you combine 2023 and 2024 CapEx together, they should stay the same. So, yeah, that's hopefully I’m answering questions. It's a good news, actually, you know? Yes, very clear. Thank you. Thank you. Our next question comes from the line of Mingr an Li from CICC. Please ask your question, Ming Ran. Let me translate myself. I want to ask about more color about the AI-related demand. Like, what percentage of new capacity using this year is AI-related? And, besides our anchor customer, is there any new clients with new AI demand you are seeing recently? And also, we see some domestic ISP peers decided to buy their own GPUs to start computing infrastructure business. Do you have any plan or strategy about this, or you just want to focus on our colocation service because your demand is strong? Thank you. Thank you, Ming Ran. Actually, the client doesn't tell us, you know, when they install the server into our IDC centers and how many of them is AI-related, so but we can guess, right? But so based on the application and utilization of the high density cabinets, and based on the server type they put in our data center, we think that the AI portion, the AI-related servers, probably account for around, you know, 5% of our current overall capacity. On an incremental basis, we are still under some serious discussion with them about incremental, you know, orders and products. And I believe gonna be higher portion of the gonna be AIG C related, for sure. And also you probably heard the same thing, you know, as myself from the Street that simply one of our anchor customers have the biggest reserve or inventory of the AIGC-related GPU units or chips or service in China for both their China business and also, you know, their overseas business. So hopefully that we can get a significant share out of it when they consider AI IDC partners for their future projects. And also, on top of the existing client, we do these days accommodate a lot of visits from quite a number of other AI customers, small and medium-sized these days, particularly to our overseas campus. And we believe the portion will be higher moving forward. As regard to our future strategy on the computing power service, we will focus on colocation only, colocation service only. That is our current plan. I haven't heard anything, anything further about, we're gonna provide, a computing power, business to our clients. Although we are doing, as everybody knows, we're doing the best job of, converting the electric power to computing power business. We will not offer, the computing power for now, and I believe in the, in, in the near future as well. Very clear. Thank you. Thank you. As a reminder, to ask a question, please press star one one on your telephone keypad. Next is a follow-up question from the line of Yang Liu from Morgan Stanley. Please ask your question, Yang. I will translate my question. We recently observed that the anchor customer signed a consortium with another data center player, and it is based on the portal in Singapore. And also that partner also initiated a new project in Johor as well. At the same time, Chindata also got a sizable new booking, a new order from the anchor customer. So we would like to ask about the computing dynamics in the Southeast Asia market. Thank you. Thank you, Yang Liu. I think we've come back to the issue of whether we want a smaller share of the bigger pie or bigger share of the smaller pie. But the Southeast Asia market, hopefully, our goal is to get both, essentially. So, you know, the Southeast Asia offers a better prospective market in terms of overall IDC demand than China over the course of next three years. That's our belief. We believe that with our competence and efficiency in terms of delivery and operation and the economy of scale, which gonna sooner rather than later gonna turn it into a huge cost advantage, as well as our credit, the track record we demonstrate to our clients in China and in our Johor project, we will get a bigger share, bigger pie than everybody anticipated in the future. So, but you know, the other reality we have to face is actually from day one, when we had a conversation about our chances in the Southeast Asian market, I keep saying that it's open field competition. So you need to show all your hands, all what you have in the, in your pocket in terms of cooling solutions, you know, your supply chain, entire supply chain solution from China all the way to Southeast Asia market, your talent pool, and your capital power, your powerness, you know, all these, you gonna actually show much more than you have been doing in China to recline in order to win a bigger, bigger shares out of this bigger pie. The follow-up question is, do you have any sense on what is the wallet share for the Chindata in this anchor customers demand in Southeast Asia market? We're striving to get over 50% of the overall, you know, overall shares. And we believe with all the solutions, you know, we put on table and all the good performance we put on the table, that we have a very good chance to get it, you know. And our overall objective of the overseas business as a share of our overall portfolio gonna be around 30%, probably by the end of 2025. Thank you. Thank you. Once again, to ask a question, please press star one one on your telephone keypad. I am showing no further questions. Thank you very much for all your questions. I'll now turn the conference back to the company for any closing comments. Oh, thank you. I think everybody has been focusing on Chindata, and which we highly appreciate it. And also we highly appreciate all the investors and analysts, analysts, you know, the friends, your support, for the company in the past two or three years since we become, since the IPO. While there is a privatization process of the company going on, we can assure you that the management and our entire team will continue to work very hard, delivering our business, sticking to our original mission of converting, efficiently converting electric power to computing power, and again, striving to become the best IDC leader, in the Pan- Asia Pacific regions. Thank you. Ladies and gentlemen, we conclude our conference for today. Thank you for participating. You may now disconnect your lines.