Good afternoon, investors. Thank you so much for your attendance to the 2023 Annual Results Meeting of Lilang. This is Angela from SPRG. The meeting is in the form of both telephone online and offline. By using the telephone, investors should have already received before the event the PPT. If you have not received the slides, please contact the SPRG team. Please be reminded that the English channel is only for listening, and if there's any question from the investors after the meeting, please dial into the Chinese channel to ask your questions. Let me now introduce the management: Mr. Wang Dongxing, Chairman and Non-Executive Director, Mr. Wang Liangxing, Vice Chairman and CEO, Mr. Wang Congxing, Vice Chairman and Executive Director, Mr. Frankie Shum, CFO, Mr. Song Chen, Director of the Group Strategic and Development Department. The agenda is that, first of all, Mr. Wang Congxing will share the results highlights, followed by Mr. Frank Shum for the financial status, and Mr. Song Chen to review business and operation. Finally, the chairman will share the group's views on outlook and strategy, and then follow with the Q&A session. Now, thank you, Mr. Wang Congxing. Thank you, moderator. Good afternoon. I am Wang Congxing, Vice Chairman. Let me brief you the 2023 results highlights. In 2023, the economy in the mainland was resilient, and under the guidance of the central government's policy to promote consumption, the retail market gradually warmed up. There was a moderate growth in the second half of the year. Transformation and expansion go hand in hand, achieving dual growth in sales and efficiency. This is not just a slogan, but the group has been working towards this direction, and the result to be achieved. Over the year, the group's revenue was 14.8% up year-on-year to RMB 3,543.8 million. The net profit was up 18.4% year-on-year to RMB 530.4 million. With the backdrop of the normal store operation resumed, the group's growth in both sales and profitability was mainly attributed to the upgrading store count and efficiency, together with the successful transformation of online and offline retail channels. The Smart Casual self-operated business has an outstanding performance, realizing a significant increase of 35.2%, which was the main driver of the sales growth. At the same time, the group also continued to drive the New Retail business, striving for innovation and breakthroughs. The e-commerce business grew by 17.6% during the year, achieving an overall growth rate. This proves that the group has made positive progress in the digital transformation. In terms of optimizing the retail network, a net increase of 51 stores this year was recorded. By the end of December 2023, Lilang will have a total of 2,695 retail stores nationwide. In terms of product strategy, the group adheres to the strategy of simplified design and excellent quality, making continuous efforts in producing product design and market competitiveness, and continuously upgrading its product through the development of differentiated and unique items, which has led to increasing the sales of high-end products. As a result, the group has not only enhanced the product value but also expanded its profit margins. Through the two-wheel drive of transformation and expansion, the group achieved double growth in sales and efficiency. This proves not only the correct strategy of the group but also lays a solid foundation for the future development. On page five, on the dividend, the group maintained a healthy financial position during the year, with operating cash inflow ranging from approximately CNY 650 million in 2022 to approximately CNY 1.1 billion in 2023, with sufficient cash flow. The board has resolved to pay a final dividend of HKD 0.13 per share and a special final dividend of HKD 0.05 per share, a total of HKD 0.36 per share for 2023, resulting in a stable dividend payout ratio of 74%. The accumulated dividend since the listing was already HKD 7 billion, and the dividend per share has reached HKD 5.8 per share, which is a substantial return to the shareholders. I will leave it to Mr. Shum and Mr. Song to brief the details of the financial and business situation. I will now pass the podium to Mr. Shum. Thank you. Thank you, Vice Chairman. My name is Frank Shum, Company CFO. I will now present you the financial situation of 2023. Page seven is on revenue and gross margin, which was 14.8% to RMB 3,543 million. Revenue for the second half of the year was 21.6% year-on-year. This was mainly due to the back-to-normal social activities and the resumption of normal store operations. Revenue from the Core Collection was 10.7%, mainly due to the Core Collection distributors who digest inventory of 2022 during the year, which suppressed the growth of orders for 2023. However, the group did not provide rebates to the distributors. The Smart Casual Collection, 35.2% growth, turnover of Smart Casual Collection up significantly due to the opening of new stores and the increase lead to a single-store sales and average unit price. The GP margin was 48.2%, up 2.2% year-on-year, benefiting from the improvement in inventory management. The reversal of inventory provision in 2023 was RMB 26.6 million, which was higher than that in 2022, and no rebate was provided to distributors. Page eight is about selling, distribution, and administrative expenses. At the left part of the chart, selling and distribution expenses total RMB 957.3 million compared to RMB 165.6 million in 2022. Part A is advertising and renovation expenses, accounted for 14.7% of revenues and ranging from RMB 119.7 million-RMB 521.4 million. Part B is Smart Casual and e-commerce operating expenses, accounting for 8.1% of revenue ranging from RMB 9.4 million-RMB 287.8 million. Part C is other selling and distribution, ranging from RMB 36.5 million-RMB 148.1 million, accounting for 4.2% of the total revenue. The chart on the right is the administrative expenses. Deduction in expenses was mainly due to the continuous optimization of accounts receivable management, with the provision for accounts receivable amounted to RMB 6.9 million compared to 2022. The strong growth of Smart Casual store sales resulted in a reversal of the capital asset provision of RMB 2.5 million in 2023. Page nine summarizes the group's gross profit margin was 48.2%, representing 2.2 percentage points year-on-year. Operating profit amounted to RMB 610 million or 76%, and operating margin was 0.4%, up to 17.2%. The net profit amounted to RMB 530.4 million or 36.1%, with net profit in the second half of the year amounting to 0.5% year-on-year, and the net profit was 0.5% to 15%. On page 10, we can see on the working capital turnover days, the group's average turnover of accounts receivable was 42 days during the year. The decrease was due to an increase in the collection of longer outstanding receivables and an increase in the proportion of Smart Casual sales, mainly retail, during the year. In terms of inventory, the average turnover days were 170 days. The decrease was mainly due to a higher stock sell-out rate as a result of more effective inventory management. The total inventory balance increased by CNY 59.4 million. As of December 2023, the total provision of CNY 66.5 million had been made in accordance with the group's provision policy. As for the trade payables, the average turnover days during the year was 130 days, mainly due to the increase in the use of trade bills to be repaid at a later stage. The balance of trade and bills payable decreased to CNY 150.1 million-CNY 729.9 million during the year. On page 11 is the cash flow. The cash equivalents increased by RMB 116.8 million. Net cash inflow from operating activities amounted to RMB 1,117 million. The main reconciling item between operating cash flow and net profit for the year were increase in trade payables and depreciation expense of RMB 225 million. For investing activities, net cash outflow amounted to RMB 121.9 million, mainly comprising of payments of RMB 131 million, time deposits of RMB 109 million, net of interest income of RMB 2.05 million. Net cash from financial activities amounted to RMB 228 million, comprising payment of final dividend and interim dividend RMB 23 million, totaling RMB 344 million, and lease payments totaling RMB 838 million. Net of net borrowings of bank loans RMB 687.5 million. Page 12 is the bank and cash balances. The group's cash position remains healthy. As at the end of December 2023, we have the net cash of RMB 1.96 billion. I will now pass the podium to Mr. Song. Mr. Song, please. Thank you, Frankie. My name is Song Chen. Let me brief you with some overview of business operations. First of all, we have to review the sales. In the past years, we are still on the dual systems, the core. And also the Smart Casual, which will continue to provide with high-quality and minimal men's apparel and fashionable dressing experience. LESS IS MORE is based on the 20-40 years in first and second-tier cities. And to adhere to the LESS IS MORE, meet their consumption demand during this year, the consumers will be more diversified for their demands and also their brand significance. The focus on the core and also Smart Casual is because the group believes that not only the dual collections but also quite good performance and profitability in 2023. We have to digest the 2022 inventory resulting in a growth rate of revenue of 10.7%. The group believes that also on the casual Smart Casual was going up to 19.8%. So I would like to say that in 2020, ever since 2020, originally for the franchise to our direct sales, the percentage has already reached 0.8% with also upgrade of the GP margin, also B2C. Now, I'd like to brief you also on the channels. As you can see on the various regions, some of the changing of the numbers, Eastern China and Central and South China remain the largest contributors to sales according to 65.5% of the total revenue. Eastern China sales up by 14% due to an increase of stores and the growth of e-commerce sales, including its self-owned operation. Sales growth in the Central and South China region remains to 12.4% growth. In addition, the Northwest China and North China benefited from an increase of stores with sales up to 22.5% and also 29.4%. The Northeast China and Southwest China had a lower sales growth due to a reduction of stores. However, it was 11% and also 8.1%. Up to the end of December 2023, Lilang had a total of 2,695 retail stores. With a net decrease of 51 stores, the total area was approximately 40.9 million sqm of 6.4% year-on-year increase. For the last. The group also proactively carried out sales channels reform. After three years of endeavor, four sales channels were established during the year. The distribution and reseller model of the Core Collection self-operated model for Smart Casual and the self-operated e-commerce sales enabled the group to stay closer to match the purchasing patterns of Chinese men's apparel with products and services. Now, the Smart Casual has also expanded. Up to 2023, we have altogether more than 300 shops, including 80% of them in the shopping mall and also outlets. On the Smart Casual, we still optimized going through also the locations of the stores to drive also the Core Collection of this group and also the other channels to consolidate also the sales. At the same time, insist on quality malls and also quality shops. At the end of December, there will be a total of shops. We can see that shopping malls and outlets within the year, we have closed part of the stores or the shop within shops. So trying to continue our optimization up to the end of December 2023, we have also 2,695. There will be 50 new stores and the group operating also Smart Casual 43. One thing is that within this year, there will be altogether 22 outlet stores, which further increased the sell-out rates of its core and Smart Casual stores, strengthening the group's inventory management. At the same time, with the commissioning of the new logistic park and the smart logistic system, the group's nationwide logistics state was effectively implemented, thus accelerating the rollout of goods to individual stores, improving the group's inventory control, and realizing cost reductions and efficiency gains. Then the New Retail business, it has been always our development priorities in 2023 on the online sales. The new has also had significant increase, mainly from three. One is also on the 618 e-commerce shopping festival. And also the Double 11, also on the online has a very good foundation. Number two, we are also on the new e-commerce on the streaming. With the kind of vivid explanation, the consumers will have the latest information and also rich full information, for example, on the TikTok. Number three, we also work together with also the group to also new smart production lines to have also the very flexible supply, further also increase the business. So within the year, it has also realized 17.6%. We've also completed the transformation of e-commerce business into a self-operation, allowing to deploy more flexible online business, increasing the number of new commerce products, and also improving the online sales to the consumers. We also continue to make use of the WeChat platform to raise the number of stores in micro mall and to offer CRM services, providing personalization and also leveraging on the strengths of the online-offline platforms. In terms of the product during the year, we have also implemented a strategy of simplified design, excellent brand, and also upgrading products, offering even quality experience. Also on the Lilang's brand, one thing is that within the year, we have also upgraded Water Resistant Down 2.0, which was awarded the world's highest water resistance down jacket and the world's outstanding water resistance down jacket with superior warmth resistance technology by WRCA. This has also been focused on consumers compared to year. It was another increase of 30%. The group also launched a series of washable polo shirts, also using our own in-house Lilang fabrics with smooth and colorful even after repeated wearing, washing, and ironing. At present, we have altogether 343 members of the R&D department engaged in product design, material development, and sample production with a view to enhancing competitiveness of the group. Lastly, during the year on the brand management, we have also launched a redesigned logo. Based on the original one, the group optimized the balance of the visual properties and graphic design, backing the aesthetic ideas and business philosophy of China Lilang, as well as also other. The group continues to explore a new diversified strong sense of technology-clear fashionable style of contemporary youth. In terms of the promotion, we have also a different kind of way. Hopefully, we have actually with some of the partners working together with Mango TV, for example, Call Me by Fire, Season 3, Chen Chusheng, Zhang Yuan, our brand ambassadors. In addition, also work together with National Geographic China, launched the Most Beautiful Highways and epic landscape style tour and also LESS IS MORE. We also have in Fujian and Jinjiang in late October, the grand Anping Bridge show. Now, I would like to invite the chairman to introduce the group's outlook and the strategies to us. I will now pass the podium to the chairman. Thank you, Mr. Song, and good afternoon. I'm the chairman of the company, Wang Dongxing. Please allow me to present the group's development strategy for 2024. Looking ahead, the international environment will continue to be complex and complicated with overcapacity in some industries in China and weak social expectations. However, with the central government's efforts to promote the economy to designate 2024 as the year of consumption, a positive retail atmosphere is expected. In response to the rising tide of the new middle class, the group will continue to invest in product R&D, differentiate its products from other men's apparel brands, and promote the upgrading of the Lilang minimal menswear branding strategy with a sales channel that is more oriented towards the consumer segment, expand the store network, and accelerate the development of New Retail in order to cater to and lead the needs of consumers. In 2024, the group will strive to capitalize on the advantages of sales channel reform and insist on opening stores in provincial capitals and premium shopping malls in prefecture cities with a net of 100-200 stores. At the same time, we plan to complete the seventh-generation renovation of 400 stores in 2024 to upgrade the brand image. To further strengthen the channel, the group will continue to expand our stores opening outlet malls, which serve as a channel for customer inventory clearance to enhance product sell-out rates. At the same time, we will also continue to introduce new products and increase the ratio of higher-priced new products so as to increase the average selling price and overall product profitability. By 2024, the group will have a net target of approximately 100-200 stores with a total retail sales targeted to grow by more than 15%. This page shows our future development plans for New Retail and brand promotion. In 2024, the group will step up the development of New Retail business, in particular to provide a personalized shopping experience through TikTok, live streaming, etc., to establish closer ties with consumers, and combine the complementary strength of online and physical stores, optimize the channel, and drive further sales growth. The target of achieving a growth of 20% or more in 2024 for the New Retail business. We will also continue to introduce innovative and differentiated new products and implement its new multi-brand internationalization development strategy. We are now actively seeking cooperation with international brands in China, and we also plan to take Lilang brand to the international stage, exploring overseas markets. We believe that the internationalization of brands will not only bring us new styles and enrich our product design but also widen our income source and open up more market opportunities. In the long run, the group intends to further strengthen our leading position in the men's apparel industry and achieve sustainable long-term growth in order to reward its shareholders, employees, and customers. This is the end of my briefing. I will now pass the podium to the MC to conduct the Q&A session. Thank you for the management presentation. It is now the Q&A session. We will let the onsite attendees ask questions, then follow with the telephone online people, the delegates, for asking questions. Management, good afternoon. I've been following this company for a long time, and it seems that you have a very good response. I do have three questions. Number one, would you expect more on the wholesale to franchise and also on the direct sales? And what about the other integrations? What about the difference of the ways of sales? Number two, for last years, it seems there was a very good performance this year from the Smart Casual. And also what will be the contribution, especially this year, because there might be some less transmission of the change of the transformation? Number three, would there be any figures to share with us on the new products and also on the percentage between the new products and the inventory products? Would there be also some kind of comparison figures? Wholesaling to franchise? And would there be any improvement on discounts? It's 8% for the franchise or the other wholesales. In other words, it's only about one year for this change, so we don't see too many figures, including our inventory. The highest would be also on the stores' efficiency. It is quite correct. And we can also see that it's quite successful. This franchise sale, we have put all of our inventory stores to support individual stores to prevent any kind of sell-out rate. More importantly, for those who are capable of having good operations and to reduce their capital investment and to bring more funds for more new shops, more contribution then. And for the inventory sales, comparing to the new products, do we have any figures from Mr. Song? Let me answer this part of the question. On wholesale to franchise to direct sales, from the past two years, we can see that. Number one, as you had mentioned, that the overall turnover rate is much better, whether it's inventory or the sales. This is quite better. Number two, we can see that some of the franchise and also on the other stores, there is a difference, as Mr. Song also mentioned that. Number three, on the direct sales, it was much better. In 2023, on the direct stores, it is even much better in terms of the sell-out rate. The overall discount is about 8%. You mean the store efficiency? I can give you some figures in 2023. From 78%-83% this year. Last year's condition was 75%-82%. The clearance rate is also further improved. It was also again asking about the wholesale to franchise in terms of the efficiency or simply from one store to we have to see it from the whole, whether it's converted to a direct sale because of the inventory. The way we are trying to also reach the outlets is because for those, we cannot sell it on the stores. We can just transfer them to the outlets. In terms of these kind of distributions, if they have some also stocks of the off-season, they have to dispose it. But then it depends how efficiently they can deal with those leftover stocks. With this kind of transformation model, is there any other indications? Well, put it this way. In 2023, with a very adverse situation, we have already achieved the best way we can. So for store operators' growth, the overall so both online, offline, and outlets, in terms of the growth of the stores, we do see a good situation. It was quite promising. Number one, on the channels, definitely, there will be also some increase, especially we still have some room for development. The Smart Casual and also the e-commerce and also on the outlet channels, there is a less percentage. The outlet this year would have quite a good percentage. This year will also increase some percentage. The new products percentage is also increased, including some JD and also PDD. That will also increase the varieties of the products. We will still maintain some kind of higher level. Overall, in 2023, it's approximately 10%. It is expected that there will also be more improvement in the future. Thank you. Okay. Thank you so much. Next question, please. Good afternoon, management. First of all, congratulations to a very, very outstanding performance. One question is about all of the diversified channels of income, revenue, online, offline. And would there be other plans on the number of stores in the future? And on the New Retail, you have a very good performance in 2023. What about 2024 this year? What kind of ratio in 2024 for this New Retail? The last question, overall, last year, economies has improved a little bit better in 2024. How do you look at this sector on the Smart Casual men's wear? Generally, the channels, two to three years, it will be more than 20%. On the distribution, it will be 25% and then 20% on the others, e-commerce. This is roughly the percentage. For the wholesale to franchise, there should be a kind of stable development. Temporarily, there won't be a big change. On the e-commerce platform, overall, it is about 10% of the group. Tmall is approximately 50% of the online. The other one is TikTok or the others and JD's platforms. In the past 1 year, what we think that one is to see on the current situation. The other one is changes on the JD channels. We also see others including TikTok's and also PDD channels for some kind of rearrangements. So we can also still give an example. Reason three, overall for the Q1 this year. There are some unexpected situations. Last year, it was altogether consumptions increased, the warm period. So last year was a little bit good. Some of our core areas were also having some kind of problems because of the weather conditions. But however, it's a positive growth. Any other question? We have the confidence of the commercial menswear or the business menswear. We still have a lot of room to improve and expand with much better foundations regarding selling. Whatever the reason, we can see it's a much better year this year. Thank you. Any other question from the floor, please? We are now accepting any online questions. Please start Chinese channels, analysts, for your questions. Please press S, wait, and press one for your questions. Thank you. Repeat the message of how to dial in for the questions. Okay. Questions, please. We have one online. You can start asking your question. I really thank you for your good strategic question. With the next two to three years, I understand there are some adjustments in the next two to three years of the menswear industry. With that situation, do you expect or forecast on the changes? Thank you. Overall, 2024 is going to be possibly there might be some external factors to be influenced. Others are less influential. Thank you. How do you build up your teams? How do you do the recruitments? What kind of candidates? We do not operate on the Core Collection directly, but there are also some kind of cooperation to much better conditions on the Core Collection. But then, of course, we are also still having the management at the end. Other than the Smart Casual, we also have a team for the Core Collection to maximize and also enlarge the operation capacity. We can offer at any time more sales outlets. My other question is that a very strong team 2024 and also the next couple of years on the business menswear trend, what is going to be next couple of years? We will also increase our R&D this year on the menswear. And we also set up an R&D center. Lilang is still on the minimals and also on the business instead of the outdoor apparels. Would there be any kind of plan for M&As? Maybe we are thinking about the M&A in 2024. What kind of scope are you thinking about the M&A if there is a possibility? The scale is big, but it's going to be a single digit. Okay. A kind of a scale like that. Thank you. Thank you. Thank you. I've finished my questions. Any other questions from the telephone? Yes? Okay. Thank you. First of all, congratulations on your performance. Two small questions. One is the management mentioned earlier that 48% of the franchise in wholesale. However, the store accounts were not related. My question is on the franchise, when confirming their revenue, what will be the ratio in terms of your total revenue? Question number two is on the Core Collection and also the Smart Casual and also on the e-commerce. Thank you. Please explain a little bit more details. Can you repeat the second question again? My question is that on the core and also the Smart Casuals versus on the e-commerce, on the gross profit margin, franchise approximately 47% and 45% for the e-commerce, 43%, self-operated, 63%. Understand. Thank you very much. My first question is on the how do you confirm the sales of revenue? For the franchise and also distributors, they are different. For the franchise, it's 3.8, and then distributors, 3.7 for the franchise revenue. So it's almost like double the times. However, for the franchise, it is quite similar to the distributors. So would that be also higher in terms of the revenue? The store quality or the products range are not so even. So for the single store sales, even we can satisfy their orders. Some stores, trying to expedite our also store inventory and also the supply and also replenishment in terms of the product type and also the ratio and frequency, we also have to take into consideration the possibility of the sales growth together with the replenishment. My other question is that on those stores for the franchise, what about their location? Would that be in larger city or that be a little bit higher in price? What about those remote cities? They'll be using distributors, for example. Yeah. I understand your price ranges, price differences in different locations. Thank you. Any other question from the telephone online, please? We have no more questions from the telephone online. Any other questions from the floor, please? If no further questions, is there any last comments from the management? Ladies and gentlemen, this is the end of the meeting.