Hello, and welcome to the MicroPort Scientific First Half 2022 Results Briefing Call. My name is Alex and I'll be coordinating the call today. If you'd like to ask a question at the end of the presentation, you can press star one on your telephone keypad. If you'd like to withdraw your question, you may press star two. I will now hand over to your host, Yolanda Hu from Morgan Stanley. Yolanda, please go ahead. Thank you. Hi, everyone. Good morning and good evening. This is Yolanda Hu from Morgan Stanley China Healthcare Team. Welcome to join today's MicroPort 2022 first half interim results briefing. First, I will be introducing management who will be presenting at today's call. We have Mr. Hongbin Sun, Chief Financial Officer, Dr. Qiyi Luo, Chief Technology Officer, Mr. Jonathan Chen, Chief International Business Officer, and Mr. Lian, the First Vice President and Board Secretary. Now I'll hand over to Jonathan for the results, you know, presentation. Jonathan, please. Yeah. Thank you, Yolanda, and welcome everybody to the MicroPort first half 2022 earnings call. During the next hour, Hongbin Sun and I will provide comments of our interim results and also the outlook for the rest of this year. After our prepared remarks, we will be happy to take your questions. Just a reminder, unless otherwise mentioned, reference to the year-over-year changes are given on a constant currency basis, adjusted for the impact of any foreign currency translation. In 2022, it was an extraordinary year for MicroPort. From the beginning of this year, the new round of pandemic hit most areas around China, and especially in the second quarter, Shanghai was stuck in a lockdown due to severe pandemic outbreaks, which brought huge challenges to our production, sales, R&D and supply chain. With the efforts of all of MicroPort employees, and also thanks to our global supply chain layout, we were able to ensure the continuous operation of our production bases and stable supply of our core products. Though under the strict lockdown, we successfully delivered our products to many hospitals and continued to provide online follow-up services in order to meet the clinical demand of our patients in a timely manner. These approaches fully reflect our commitment to social responsibility and putting patients first. During the short-term impact of COVID-19 on our business in China, we achieved global sales revenue of approximately RMB 405 million during the reporting period, with a year-on-year increase of 10.1%. Our business benefited from the rapid market penetration and new product launches. The heart valve business, the neurovascular business, and the endovascular and peripheral vascular devices business continued to maintain rapid growth and reported increase in revenue of 93.2%, 72.5%, and 45.6% respectively. Meanwhile, the overseas business grew steadily, with revenue from the overseas market for the CRM business, the orthopedic business, and the cardiovascular business recording growth of 8.1%, 9.7%, and 28.1% respectively. During the first half of 2022, we also have made significant progress in each of our business segments on which I will elaborate in details later. Just yesterday, our associate company, Shanghai MicroPort EP MedTech, was successfully listed on the STAR Board of the Shanghai Stock Exchange. In July of this year, our subsidiary, MicroPort NeuroTech, was also successfully listed on the main board of The Stock Exchange of Hong Kong Limited. Now I'll speak a little bit about our globalization. Our international business developed rapidly through our globalized strategy. During the first half of 2022, we achieved a year-on-year revenue growth of approximately 14% in EMEA, 10% in North America, and 7% in Asia. In terms of the cardiovascular business, our overseas revenue increased by 28% year-on-year during the reporting period. In Europe, with our CRM team acting as our primary distribution channel, our revenue has increased approximately 73% year-on-year. In the Indian market, we have created product portfolio of different price ranges and different stent products with our locally manufactured Firehawk IN and the imported Firehawk stents. During the reporting period, the sales for MicroPort products in India increased by 31% year-on-year, marking the great success of our dual stent portfolio strategy. For our CRM business, the launch of our Bluetooth pacemakers in Europe and Japan led to a particularly strong sales, driving the high growth in revenue for our pacemakers. During the reporting period, the revenue in EMEA, our largest market, reported a year-on-year growth of 5%. In Japan, a high margin direct sales market, we achieved a year-on-year revenue growth of 41%. In terms of R&D, our Honghu Orthopedic Surgical Robot has obtained FDA clearance, becoming the first and currently the only Chinese surgical robot to receive this clearance. In addition, our endovascular peripheral vascular devices, neurovascular devices, heart valve, and other business segments all have important products approved in the U.S., Europe, Japan, and South America, and overseas markets, or have submitted application for CE approvals and FDA clearances. Now I'll speak a little bit about the R&D achievement. As a global leading innovative high medical device group, we have also achieved fruitful results in R&D. From the beginning of 2022 to date, the group and its associate companies have 14 products attaining Class III initial registration certificates from NMPA, and also have attained the CE markings for five products and FDA clearances. In addition to our self-developed product, our prostatic urethral lift system was namely admitted to the Green Path. Up to date, we have a total of 26 products admitted to the Green Path, ranking the first in the industry for seven consecutive years. Now I'll speak a little bit about our cardiovascular device business performance in the first half of 2022. After the VBP of coronary stents, our market share in China has reached nearly 50%, covering more than 3,000 hospitals nationwide, with the largest market share in China and the second-largest in the globe. In the first half of the year, despite the disturbance of the COVID-19 pandemic in the domestic China market, our balloon products continued to maintain a rapid revenue growth of 31%. Thanks to the continuous development of our overseas market, the international business also saw a year-on-year growth of nearly 30%. In terms of R&D, the global large-scale clinical studies of Firehawk will complete all clinical trial enrollment this year and is expected to receive FDA clearance in 2024. Our Firesorb, our bioresorbable stent, is at the late-stage, one-year follow-up stage in its pre-market clinical trial in China and is expected to obtain NMPA approval in 2024. For our special coronary balloon products, the application of our self-developed anchor balloons has been submitted to the NMPA, and we have completed the first patient enrollment in the pre-market clinical trial of the coronary rapamycin drug-coated balloon catheter. In terms of active interventional products, the pre-marketing clinical trial of the rotary atherectomy system have also completed the first patient enrollment, signifying that the first Chinese-developed rotational atherectomy system has officially entered the clinical stage. Another important product, the intravascular lithotripsy balloon, has also entered into design validation stage. Now I'll transition to talk about our orthopedics device business. During the reporting period, our international business for orthopedics increased revenue by approximately 10% year-on-year. In EMEA, we achieved year-on-year growth rate of 32%, while the average growth rate for the market in the region was only approximately low- to mid-single digits, which means that we have gained significant increase in market share in the EMEA region. In China, however, during the reporting period, we received revenue of $8 million, which was down by approximately 44% year-on-year, which is mainly due to the following reasons. First, the lockdown of Shanghai from April to early June impacted our shipment of imported joint products, which accounted for a large amount, approximately 60% of our sales portfolio, which therefore affected our revenue in the second quarter. Secondly, in order to better fit in the business model in the post-VBP era, we coupled with the pandemic situation, we have made some comprehensive adjustments to our total orthopedic solutions. For example, in China, we have established in-depth more cooperation with the MedBot team in the promotion of our orthopedic surgical robots in order to provide more accurate and efficient solutions. Therefore, we have taken some measures to upgrade and reform the management team, sales channels, as well as the marketing systems. After the above efforts, we believe that our orthopedics business in China will be fully powered to make great progress in the long term. In addition, we benefited from winning U.S. bids in the national VBP of joint products. We have significantly improved the market coverage. A large number of new hospitals have been added to our procurement list, leading to a coverage of over 1,500 hospitals nationwide. We have also realized a rapid growth in the implantations of our domestic-made joint products. In addition, our spine and trauma business saw a year-on-year revenue growth of 35%, with two spinal products launched in Argentina and already generating sales revenue. Now I'll transition to talk about our CRM business. We have achieved a revenue of $104 million U.S. dollar for CRM business during the reporting period, which was a year-on-year revenue increase of approximately 7.2%. Among this, our international CRM business achieved a high single-digit growth of about 8%. We've maintained a solid growth revenue of 5% in EMEA, which was our main market. In Japan market, we've seen a rapidly growing trend for our business since we switched to the direct sales model with a 41% year-on-year increase in revenue in the first half of 2022. In addition, our Invicta defibrillation lead has obtained CE marking several months earlier in advance. Recall that these leads can be used together with our MRI-conditional, ICD Defibrillators. These series of products will fully unleash the potential of the group's cardiac defibrillation product line and provide a strong revenue growth and profitability for the future. Our CRM business in China recorded a revenue of $5.5 million. The decrease is mainly due to the reduction in elective surgeries and difficulties in order shipment as a result of the pandemic. However, just brought on by the pandemic, our team overcame all the obstacles and successfully positioned amongst all domestic CRM players. Now I'll discuss our endovascular and peripheral vascular device business. Despite the impact of the pandemic, we still achieved 27% year-on-year growth in revenue for our endovascular and peripheral business line. To date, the revenue and net profit of this business segment have maintained fast growth for six consecutive years, and the domestic market share of aortic products has also remained the number one domestic brand for many years in a row. In the international business, our products have entered 21 markets, overseas markets, with the important breakthroughs in product implantation in Germany, Poland, and other European markets. The Hyperflex Balloon Dilation Catheter was approved for launch in Japan, and the ReeKNOW DCB received a registration certificate in Brazil. In July of this year, the Castor branched aortic stent graft system was approved for customized distribution in Europe. In terms of R&D, the iliac vein stent system has completed all patient enrollment for the registration clinical trial, and the Fishhawk Mechanical Thrombectomy Catheter has successfully carried out the pre-market clinical trial. Now I'll discuss our neurovascular device business. On July 15th, MicroPort NeuroTech Limited was successfully listed on the main board of The Stock Exchange of Hong Kong Limited, becoming the group's fourth-listed subsidiary. In the first half of 2022, despite the impact of the pandemic, we took various measures to safeguard our production and operations and did our best to mitigate the adverse impact, which contributed a 23% year-on-year increase in our top-line revenue. During the reporting period, we had several breakthroughs to our international business. The NUMEN Coil and APOLLO Intracranial Stent System have entered several countries with a top ten surgical volume of neurointerventional treatment, including the U.S., Japan, Korea, Brazil, and several countries in Europe. In terms of R&D, we have four products approved in China, including our fully visualized NeuroHawk Intracranial Thrombectomy Stent and the X-track Intracranial Distal Access Catheter. Our commercialized product portfolio has covered all three major fields of neurovascular disease. The world's first adjustable, fully visualized thrombectomy stent, TIGERTRIEVER, for which we act as exclusive distributor in Greater China for Rapid Medical, is at the NMPA registration stage. In addition, another flagship product of Rapid Medical, the Tigertriever 13 distal access thrombectomy device, for which we have exclusive distribution right in China, also received FDA clearance in July 2022. This product is the smallest thrombectomy stent in the world to date, and we are actively promoting the commercialization process of this product in China. Now I'll discuss our heart valve business. In the first half of the year, we achieved a high year-on-year growth of 45% in revenue and improved our gross margin by nine percentage points to 64%. By integrating the group's strength in total cardiac disease treatment area, our TAVI sales team worked closely with our cardiovascular team, as well as the FireSwallow Program team in carrying out patient screening and related consulting services and driving a great increase in both clinical usage and hospital penetration for our TAVI products. The implantation volume of our VitaFlow series of products reached 1,335 units in the first half of the year, and we have covered more than 390 hospitals nationwide so far, with leading market share in more than 230 hospitals therein. In overseas markets, the VitaFlow series has completed several commercial implantations in Argentina, and the second-generation product, VitaFlow Liberty, has been approved for launch in Colombia, which will add new momentum to the growth of the overall franchise. Now I'll transition to our surgical robot business, MedBot. In the first half of the year, we have made significant progress in our surgical robot business. First, our Toumai laparoscopic surgical robot was approved for launch by the NMPA and has completed all enrolled surgeries in the multidisciplinary and multicenter registration clinical trials, making Toumai the second laparoscopic surgical robot in the world and the first of its kind in China that can cover important and complex procedures in the thoracic, abdominal, and pelvic cavities. We have already submitted the application for registration to the NMPA for the expansion of this multidisciplinary application. In June of this year, Toumai successfully completed the world's longest distance 5G ultra-long-distance robotic surgery, fully demonstrating the leading technical strength and advantages of domestic surgical robots in the field of 5G ultra-long-distance surgery. Immediately afterwards, our Honghu SkyWalker Orthopedic Surgical Robot was approved for launch in both China and in the U.S., becoming the first and only Chinese-developed surgical robot cleared by the FDA to date. We have also submitted the application of SkyWalker for the CE mark. In the field of transnatural lumen intervention, our self-developed transbronchial surgical robot has completed the first-in-man trial of transbronchial robotic lung biopsy, which is a breakthrough achieved by Chinese-developed surgical robot in the field of non-invasive natural cavity surgery. In addition, our Mona Lisa robot, robotic transperineal prostate biopsy system, has also completed the registration clinical trial, and its application for registration has been submitted to the NMPA. The R-ONE Vascular Interventional Surgical Robot has also completed all patient enrollment for the registration clinical trial in China. In terms of commercialization, we have established more than 10 new training centers nationwide, trained more than 200 new healthcare professionals, and completed more than 800 training surgical operations, laying a solid foundation for the subsequent large-scale product commercialization. Now I'll finally discuss our emerging businesses and subsidiaries. In addition to the rapid growth of our established businesses, the group is also expanding into multiple emerging businesses. I will highlight some of the business segments operated by our subsidiaries. In the field of urology, respiration, digestion, and gynecology, the group's two major products, namely the single-use flexible digital ureteroscope catheter and the single-use hemostatic clip device were approved by NMPA for launch in China. The Green Path product, the prostatic urethral lift system, has also completed first-in-man clinical trial. As for the field of medical imaging, the group launched the MicroPort Argus Intravascular Optical Coherence Tomography or OCT system. It's the only purge-free disposable imaging catheter in China, which has achieved a rapid market introduction and realized the first batch of commercial sales by leveraging our cardiovascular existing channels. In the field of APIs, our Kerui Pharmaceutical, our subsidiary, is mainly engaged in the R&D production and sales of APIs, including rapamycin, cyclosporine, tacrolimus, and mycophenolate mofetil. Our sales scope have already covered the U.S., Japan, and multiple countries in Europe. The CAGR of revenue and net profit for the past three years both reached around 50%. Lastly, in the field of ophthalmology and ENT, our orthokeratology lenses have completed type validation. Next, I would like to introduce the business of some of the group's associate companies. In electrophysiology device business, as I mentioned earlier, our associate company, Shanghai MicroPort EP MedTech, was listed on the Sci-Tech Innovation Board of the Shanghai Stock Exchange yesterday, becoming the first innovative medical device company to be successfully listed on the STB since the release of the fifth set of listing standards to medical device enterprises. In terms of the business progress, this segment achieved a year-on-year revenue growth of approximately 35% in the first half of this year, successfully turning to being profitable. In addition, the products have entered 22 overseas markets with a total of four CE markings and three FDA clearances. As for the sports medicine, the multicenter registrational clinical trial for Archimedes, the world's first long-term implantable balloon rotator cuff system, is close to completion, and the accomplishment of its FDA pre-submission. Additionally, three products, including the 4K high-resolution arthroscopy system, have entered the registration stage. In the field of management of blood glucose, tumor chemotherapy, and pain, the first chemotherapy injection pump was approved for marketing, and the patient controlled anesthesia PCA pump has entered into NMPA registration stage. In the future, by leveraging on the efficiency and synergies from the group operation, we are committed to building a complete business portfolio from prevention and diagnosis to treatment and rehabilitation that covers the entire life cycle of human beings. That's all for the operation performance for first half of 2022. I'll now turn it over to CFO, Hongbin Sun, to provide you with further financial details for the interim results and the outlook for the rest of this year. Hongbin Sun? Okay. Thanks, Jonathan. Hello. Good morning and good evening, everyone. Now I will take you through our financial performance of the interim, as well as the updated guidance for the full year. During our first half year, MicroPort generate the total revenue of $405 million, up 10% at a constant currency basis. As our Jonathan already gave a very detailed introduction on each segment, I will not repeat it here again. I just want to highlight that despite COVID-19 and the China VBP policy pose a very significant challenges on our top line, the group still managed to achieve double-digit growth, driven by the strength in our international business and the strong momentum of endovascular, neurovascular, and. As a result of both, the group made a net loss of $253 million compared to the $114 million last year. The loss attributable to ordinary shareholders of around $200 million compared to the $90 million last year. The widening of the net loss was mainly attributable to several business. First one, the surgical robotics, with loss increased by $24 million for significant R&D investment and commercialization in the first half year. Our neurovascular business with loss increased by 20 million due to accrued interest of preferred shares. The cardiovascular business with loss increased by RMB 12 million due to our clinical trials for our Firehawk being for FDA purpose. Our surgical device with loss increased by around RMB 10 million due to loss of newly acquired subsidiaries, Hemovent, and the investment in the ECMO pipeline. However, with loss increased around RMB 8 million due to increased R&D and marketing expenses. Moving on to our balance sheet, I will quickly highlight some major movements. The first one, investment in our JV and associates account. During the first half year, we completed a number of follow-up equity investment in associated companies such as Robocast for the surgical robotic business, Precise for the Hubot business, and EndoPhix specializing for medicine, and AccuPath, specializing in the intelligent manufacturing. Those associated companies pose advanced R&D capability and a product pipeline, which are important for the group in our strategic imperatives. As can be seen from the balance sheet, this has resulted in a significant increase in the amount of our equity accounted investments. Our cash balance decreased from $1.75 billion opening to $1.4 billion at the end of June. That net outflow was mainly attributed to the first, the surgical robotic Hubot and the surgical devices segment, accelerating their investments in R&D registration and commercialization. Just to remind you, all those businesses are on their independent financing channels. The second is the follow-up investment in the associates, as mentioned previously. The third one is capital expenditures for construction and renovation of new facilities and equipment. Our interest bearing borrowings loan increased by around $57 million to total $420 million to support operations and the growth. The proceeds have helped improve our cash liquidity of the group, and it will be an important source of funds for supporting our extensive R&D pipeline. That was a quick financial review for our first half year performance. Now I will provide the update guidance for the full year of 2022. First one, start with our revenue. You know, while COVID-19 may not be fully behind us and will continue to adversely impact our business to a certain extent during the rest of the year. Our management are optimistic about our top line performance for year, full year, and would like to maintain our previous guidance, which is the overall growth of at least 20% year-on-year at constant level at consolidated level. Next, I will share more details on each key segments. First one, our cardiovascular business. In the first half year, you may see we suffered from our major COVID disruption, especially to the supply chain and the logistics network at our Shanghai manufacturing plant, which results in a temporary back orders and a sales decline. For our second half year, as operations return to the normal level, we have been able to accelerate our order fulfillment. As such, the management are very optimistic about the volume potential in both the China and overseas market, and expect the global cardiovascular revenue to grow double digits in a range of 12%-14%, which is unchanged from the previous guidance we provided. From a product perspective, first one, our Firebird2, our primary selected products that win the national VBP tenders. It is expected to achieve steady growth by high single digit for the full year. The VBP policies has helped to accelerate our penetration into an increasing number of hospitals and further strengthen our leading position in the China coronary stents market. The second is our Firehawk. It is our premium DES products targeting at the mid and higher end market. That is expected to step up rapidly in volume and increase by 50% year-on-year, benefiting from its superior clinical data and our expanded hospital coverage. At the same time, we also believe our cardiovascular accessories and the balloon products will grow very rapidly by at least 50% as they continue to gain traction among surgeons, partially contributed by the positive bundling effect of the Firebird2 VBP tender. As for our overseas EP market, despite the uncertainty brought by the COVID-19 impact and the geopolitical and the geoeconomic tensions in the regions, we also anticipate a fast growth by over 40% year-on-year, benefiting from our expansive global footprint and the strengthened foundation built in the recent years. Now we move to our second business, the CRM business. In view of our recent market condition, we estimate the revenue of global CRM business to grow by 7%-10% year-on-year, much higher than the average global market rate. By geographic region, the revenue of our international CRM business is expected to grow steadily by high single digits in the range of 6%-9% in line with our previous guidance. This will be driven by the launch of Alizea, our Bluetooth pacemaker, and top performance in key regions like Europe and Japan. For our China CRM business, we saw a slight revenue decline in the first half year, resulting from the delayed execution of VBP tender by three months, which had an adverse impact on the sales of VBP selective products. However, in the second half year, we expect that the VBP execution to drive rapid market penetration of our made-in-China products, such as Rega pacemaker and Alizea. Our China CRM business, the total revenue growth will achieve the high tens like 15%-20%. Now move on to our orthopedic segment. Revenue growth for the global orthopedics business is estimated in the range of 11%-13%, also higher than the average global market growth. For our non-China orthopedics market, the estimated revenue growth will be in the range of 11%-13%, mainly coming from the successful execution of the marketing strategy to expand the sales channel and gain market shares. Secondly, relatively stability of COVID-19 condition in U.S., EMEA, and Japan, which are the largest market for our orthopedics products. In our China market, we expected the business to turn around in the second half and achieve the full year top line growth of 13% through the VBP-driven account expansion and the reliable supply of the import products. This is coming from the two aspects. First, we have seen significant revenue increase in our spine trauma products as a result of the execution of trauma VBP tenders during the first half year. Second is because of the COVID lockdowns in Shanghai, we have suffered a revenue loss from the limitation of import products in the first half. Also in preparation for the VBP implementation starting from the Q2, we have taken action to optimize our sales team and distribution channel during the first half year. All those result in the temporary decline of the sales orders in the first half year. However, when it comes to the second half year, with the elimination of the above said adverse impact, we have considerable confidence and see the VBP tenders as a positive opportunity for our recurring products. The revenue will revert to growth in the second half and achieve a full year double-digit growth. Apart from the three largest segments I've mentioned above, namely the cardiovascular, CRM, and orthopedics business, the remaining portfolio such as endovascular, neurovascular, and heart valve business have become our new growth engines and are all expected to maintain a very strong momentum with high double digits top line growth in this year. In addition, certain emerging business and the new acquired business are all expected to contribute the additional revenue to the group. Moving to our gross margin, we anticipate the full year margin to be in line with our or slightly above that of the first half at 61%-63%. Despite the minor headwinds from the VBP price erosion in the China market, our overall margin will benefit from several favorable factors at the same time, such as the first one, favorable mix from fast growth of the high margin products such as Firehawk, endovascular and the neurovascular products. Second is economics of scale from volume increase across the business. Third is continued improvement in the production efficiency and the greater synergies. Now turn to our operating expenditures. We expect no significant changes in the distribution cost, which will stay at approximately 38% of total revenue. Our administration expenses will decline to 27%-29% of revenue, lower than 31% of last year, representing a better efficiency year- on- year. Our R&D accounts for a large portion of our operating expenses, operating investment. Armed with the equity funds successfully raised, we will be accelerating our investment in R&D broadly across the group. For full year, our R&D expenses are expected to be at roughly 40% of group revenue. The impact, lastly, we should say that there's two recent fundraising events will have some positive impact on our financials in the second half. The IPO of our neurovascular business. In July, our neurovascular business successfully listed in the Hong Kong Stock Exchange, which triggered a cancellation of the share repurchase obligation in connection with the Series A preferred shares. That implication are twofold. The first one, from the balance sheet perspective, that will decrease by RMB 207 million, which will help reduce our asset liability ratio and improve our capital structures. From our P&L perspective, financial costs will decrease in the second half year as we no longer need to accrue the interest for those share repurchase obligations. The second one is the IPO of our EP business. As the EP business successfully listed on China's STAR Board yesterday, it is one of our equity-accounted associated company. A one-time gain for the increase in the fair value will be recognized in the P&L in second half. Okay. That's all our guidance this year. Thank you for listening. I will now hand over to Yolanda for the Q&A session. Thank you. Thanks, Hongbin Sun, and thanks, Jonathan, for the prepared remarks. Operator, maybe we can remind investors how to raise questions online and later I will kick off with the first question. Thank you. As a reminder, if you'd like to ask a question, that's star one on your telephone keypad. If you'd like to withdraw your question, that's star two. Please ensure you're unmuted locally when asking your question. While we are waiting for the questions, maybe my first question would be really on this cash flow and also the potential fundraising, if any. Hongbin Sun, can you help us understand what's your capital expenditure and cash burn in next, say, six to twelve months? You know, with regard to the operating cash flow, how should we think about the, you know, funding for the overall, like, expenditure, especially on various subsidiaries, including, say, Medbot, et cetera. Do you think there's need for us to raise money on the group level or on subsidiary level? If there is any plan, what kind of, you know, is it gonna be, another round of, bond borrowing or just the CBs or any options we're thinking about at the moment? Thank you. Thank you, Yolanda. Thank you for your question. I think as you already see our first half year performance, for our second half year, our cash spending is quite similar or maybe a little bit more than our first half year, the cash burning. That's the good thing is our operating cash flow, you know, operating cycle cash flow, that will be better than the first half year. As you may see, I gave the guidance update for the full year. Our second half year, we will accelerate our revenue operations, and also we will keep the discipline spending on our distribution cost and also better on the administrative expenses. That which is favorable to our cash flow. However, our CapEx in the second half year will be a little bit larger than the first half year. You know, several at the consolidated level, you may know there are several our business will continue invest their facilities to expand their you know the production scale like the endovascular business and the neurovascular business, and also including some MedBot. But that, there's no worry because on the cash burning because all those companies expanding and increase their spending on CapEx is because they are the financial independent listed in capital market. Then that's their the needs to expand their business. I think for the group level, we will continue investing the orthopedics because, as you see the second half year, our orthopedics business will recover and accelerate their operations in China. They need more the instruments investments, which is representing the CapEx. I think, you know, better operating cash flow and a little bit worsening on the CapEx. I think, in total, there will be next the second half year, our free cash flow. And that will be a little bit over or close to RMB 400 million. That's the a little bit lowdown information on the cash flow. To answer your question, you see that our cash at the balance in June and at June end, we still have around $1.4 billion cash on hand. But we don't. We think that all these proceeds or the cashes we have very detailed plan to support the business. So we don't. Right now we have no plan to continue like to raise some refinance. We don't have a refinance plan to consider, like, the CB's repayment. Okay. Thank you. Okay. That's, I hope that. Yeah. Operator, I think we can open line for questions now. Thank you. As a reminder, if you'd like to ask a question, that's star one on your telephone keypad. Our first question comes from Jason Liu from Credit Suisse. Jason, your line is now open. Thanks. Thanks management for taking my questions. I just have two quick questions and one clarification question. The clarification is on guidance provided. I was wondering for guidance, is that including or excluding Forex impact? The guidance is exclude FX impact. Okay. Got it. Thank you very much. My first question is on cardiovascular segments, specifically around VBP. As we know that VBP for cardiovascular stents is a two-year program, so this year should be when we see potentially renewal. Wanted to hear company's thoughts on VBP and then also continuing next year, what VBP would look like. I don't think we have. So far, as far as we know, we don't see a big change on the next upcoming VBP policy. At this stage, right now we see that they will give a little bit initial guidance. For the next upcoming VBP on stent business. They're around RMB 800 per stent. RMB. RMB 800, yeah, per stent. We don't see there's more competition like significant reduction virtually. Yeah, I think that's. The good thing is also for MicroPort. Eddie, we have a very large volumes during this past two years thanks to the VBP policy. We penetrated a lot of hospitals. I think the next upcoming VBP, the volume guarantee that will be based on this, the update later. That's what we have. Yeah. Okay. Got it. That's very clear. Yeah, we haven't seen anything yet either, so we were wondering if you guys have as well. Okay. That's very helpful. My second question is just around the orthopedic robot that was approved or just SkyWalker approved in the U.S. We understand that it will take some time before we see perhaps the first order come in through the U.S. But I was wondering for the U.S., when we do receive the first order, is the manufacturing for SkyWalker done in China and then shipped over to the U.S. or is that just done in the U.S.? Thank you. I think this question, Jonathan, better. But I just want one more clarification. That's the SkyWalker not fully made in China. That is, we made several components. They're finally assembled in U.S. and our Boston facility. Jonathan, can you take that question? Yeah. This is Jonathan. Responding to your question, Jason, on the U.S. commercialization. You know, we received a FDA 510(k) approval about a month ago for the SkyWalker device. Our U.S. MedBot team, in conjunction with our MPO team, have been actively preparing for the commercial launch of that system since FDA approval. We do anticipate that we will be able to place several systems into U.S. hospitals by year-end, and some of these hospitals are very prominent names. This will be a very strong announcement when we are able to place them. We anticipate that we will have some systems placed and be in a very good position for, you know, in 2023 for a full year's worth of adoption and penetration of this SkyWalker system in U.S. hospitals. Got it. That's very clear. Thanks. I have no more questions. Thank you. We currently have no further questions, so I will turn the call back over to the management team. Yeah. Thank you everybody for attending our MicroPort first half earnings call for 2022. We look forward to communicating our progress for the second half of the year. We have some upcoming conferences that we will be attending, and we also have a full slate of one-on-one meetings that we will be discussing and communicating through our first half of performance. Thank you again, everybody for attending today and look forward to keeping in touch with everyone. Thank you. Thank you. Thank you. Bye-bye. Bye-bye. Bye-bye. Thanks for joining today's call. You may now disconnect.