Ladies and gentlemen, thank you for standing by, and welcome to the Kanzhun Limited Fourth Quarter and Fiscal Year 2023 Financial Results Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. Today's conference is being recorded. At this time, I would like to turn the conference over to Ms. Wang, Wenbei Wang, Head of Investor Relations. Please go ahead, ma'am. Thank you, operator. Good evening, and good morning, everyone. Welcome to our fourth quarter and full year 2023 earnings conference call. Joining me today are our Founder, Chairman and CEO, Mr. Jonathan Peng Zhao, and our Director and CFO, Mr. Phil Yu Zhang. Before we start, we would like to remind you that today's discussion may contain forward-looking statements, which are based on management's current expectations and observations that involve known and unknown risks, uncertainties, and other factors not under the Company's control, which may cause actual results, performance or achievements of the Company to be materially different. The Company cautions you not to place undue reliance on forward-looking statements and does not undertake any obligation to update this forward-looking information, except as required by law. During today's call, management will also discuss certain non-GAAP financial measures for comparison purposes only. For a definition of non-GAAP financial measures and a reconciliation of GAAP to non-GAAP financial results, please see the earnings release issued earlier today. In addition, a webcast replay of this conference call will be available on our website at ir.zhipin.com. With that, I will now turn the call to Jonathan, our Founder, Chairman, and CEO. [Foreign language] Hello, everyone. Welcome to our fourth quarter and full year 2023 earnings conference call. On behalf of the Company and our employees, management team, and the board of directors, I would like to express our sincere gratitude to our users and investors who trust and support us. [Foreign language] First, I would like to share our performance with you. In the fourth quarter, the company achieved calculated cash billings of CNY 1.78 billion, up 61% year-on-year, and 9% quarter-on-quarter. Our GAAP revenue reached CNY 1.58 billion, up 46% year-on-year and remained flattish with last quarter. Our adjusted net income, which excludes share-based compensation expenses, was CNY 630 million In the fourth quarter, the average verified MAU on the BOSS Zhipin app reached 41.2 million, representing a 33% year-on-year increase. In the fourth quarter, we noted an improving ratio between the demands from active enterprise users and the supplies from job seekers. We also noted continued steady recovery of medium and large scale enterprises since the third quarter, all of which contributing to our cash billings, GAAP revenues, and profit levels in the fourth quarter to exceed our expectations. Let's take a look at the full year situation in 2023. The company achieved operating cash receipts of CNY 6.69 billion, up 45% year-over-year, achieved revenue of CNY 5.95 billion, up 32% year-over-year. After deducting equity incentive expenses, the full year adjusted net profit was CNY 2.16 billion. Let's take a look for the full year of 2023. The company achieved a calculated cash billing of RMB 6.69 billion, up by 45% year-on-year, and the GAAP revenue of RMB 5.95 billion, up by 32% year-on-year. Excluding share-based compensation expenses, the adjusted net income for the year reached RMB 2.16 billion. [Foreign language] Furthermore, excluding other income such as wealth management income, the adjusted operating income for 2023 was CNY 1.64 billion, reflecting a remarkable 191% year-on-year increase. This resulted in a 27.5% adjusted operating margin, underscoring the company's robust profitability capability. [Foreign language] In 2023, we attracted more than 49 million newly added verified users, representing the largest annual growth in user base since the company's inception. This year, the number of users we serve has increased by nearly 50 million, and we are being able to help them with our products, which we are quite deeply proud of. [Foreign language] As of December 31, 2023, the company has served a total of over 178 million individual users and 13.3 million enterprises. The average verified MAU on the BOSS Zhipin app was 42.27 million in 2023, representing a year-on-year increase of 47%. Approximately 1.5 billion mutual achievements between job seekers and recruiters have been accomplished on our platform throughout the year. [Foreign language] In 2023, the number of paid enterprise customers increased by 44% year-over-year to 5.2 million. Moreover, both the number of paid enterprise users and the paying ratio of active users continued to achieve record highs. [Foreign language] As the company continues to expand our user coverage, both the user and revenue structure undergoes constant evolution, highlighted by the following key points: First, in 2023, the scale of newly added blue-collar users matched that of the white-collar users, with revenue contribution of the whole year from blue-collar users exceeding 34%. Second, revenue contribution from second and lower tier cities exceeded 60%, a five percentage point increase year-on-year. Third, revenue contribution from enterprises with less than 100 employees also increased by more than five percentage points year-on-year. [Foreign language] All these changes further demonstrated that we are confident that our product can serve different users, and also our service can cover different kind of users. [Foreign language] This is mainly based on the down to earth research on actual detailed needs from different kind of users, and our continuous efforts in technology investments. [Foreign language] In January this year, our company's proprietary big model, which we named it Nanbeige, big large language model, which is believed to be the first large language model designed specifically for the recruitment industry, has successfully completed its online registration for generative artificial intelligence. Effect of this model has reached the industry leading level on some public benchmarks, and has gradually been applied in some recruiting and job seeking scenarios. For example, for those young entrepreneurs who are starting up their companies, we provide them with rapid job posting function. And for those young people or fresh graduate job seekers, we provide them with resume polishing functions, et cetera. [Foreign language] The company's investment in AIGC mainly focus on two principles: First, we keep track of the cutting-edge technology to avoid generational gaps in knowledge. Second, focus on industrial implementation and not make big investments blindly. [Foreign language] Next, we will briefly update the situation for this spring. Following the Spring Festival, the company's various user metrics continued to hit historical heights, with the peak DAU on the BOSS Zhipin app approaching 17 million, for example. From those data, we also identified several characteristics which are notably different from the same period last year, including the following keywords: [Foreign language] First, recruiters. Since the Spring Festival, the daily average number of newly posted job positions and active job positions have both reached historical highs compared with the same period in the previous years. The daily average number of active job positions increased by 20% year-on-year. [Foreign language] The second keyword is large enterprises. Since Spring Festival, the average daily active position from enterprises with more than 10,000 employees increased by 24% compared with the same period of 2023. [Foreign language] The third keyword is industry. The daily average number of newly added job positions and active job positions across all industries has shown positive growth since this year's Spring Festival compared with the same period of 2023. Among which, the blue-collar industry has once again reached a new year high, driven by the continuous expansion of urban service sectors. 另外，机械制造和交通物流的同比增长都在加速。 Additionally, the manufacturing and supply chain logistics sector have shown accelerated year-on-year growth rate. [Foreign language] Within the white-collar industry, sectors such as consumer goods, medical equipment, automotive, and advertising media are leading the growth. [Foreign language] The fourth keyword is business. There has been a noticeable shift in the types of job positions compared with last year. The positions focusing on the development and growth of the enterprise's business, such as sales guys, human resource services, finance and the related positions, have experienced a clear rebound in growth rate. [Foreign language] So we anticipate our quarter-on-quarter increase in both cash billing and that revenue for the first quarter. Today, the company's board of directors approved a new share repurchase plan today, upsizing to repurchase up to $200 million of the company's shares over the next 12 months. This marks $200 million of the company's shares over the next 12 months. This marks our third share repurchase plan, alongside the $80 million special cash dividend issued in last November, demonstrating the management's commitment and the sincerity towards long-term shareholder returns. I'm pleased to announce the company's board of directors approved a new share repurchase plan today, upsizing to repurchase up to $200 million of the company's shares over the next 12 months. This marks our third share repurchase plan, alongside the $80 million special cash dividend issued in last November, demonstrating the management's commitment and the sincerity towards long-term shareholder returns. I will now turn it over to our CFO, Phil, for the review of our financials. Thank you. Thanks, Jonathan. Hello, everyone. Now let me walk through the details of our financial results of the fourth quarter and full year of 2023. We are pleased to deliver a strong set of results for the fourth quarter and the full year of 2023. For the fourth quarter, our calculated cash billings reached a historical high of CNY 1.8 billion, grew by 61% year-over-year, and notably, 9% quarter-on-quarter, beating our expectations. Revenues increased by 46% to CNY 1.6 billion, compared to the same period last year, and stayed relatively stable sequentially due to the lower seasonality. Confirmed our observation of a gradual recovery, especially at medium and large-sized companies. Revenue contribution from key accounts and their ARPU also recovered sequentially in this quarter. For the full year of 2023, our calculated cash billings and revenues increased by 45% and thirty-two percent respectively. Number of paid enterprise customers reached 5.2 million in 2023, up by 44% year-over-year, marking another new high level of paying ratio among active enterprise users, and demonstrated our ample space and flexibility in monetization. Moving to the cost side, total operating cost and expenses decreased by 4% year-over-year to CNY 1.4 billion in the fourth quarter, and increased by 16% year-over-year to CNY 5.4 billion in 2023. This year, we managed to achieve a robust user growth while still seeing margin expansion. The annual adjusted operating margin improved from 12.5% in 2022 to a record level of 27.5% in 2023, up by 15 percentage points. Cost of revenues increased by 36% year-over-year to RMB 275 million in the fourth quarter, and 40% year-over-year to RMB 1.1 billion in 2023. This increase was primarily driven by increased server and bandwidth costs and payment processing costs, in line with the growth of user engagement and transactional volume. Our sales and marketing expenses decreased by 36% year-over-year to RMB 433 million in the fourth quarter, as we didn't have a similar marketing campaigns like 2022's FIFA World Cup sponsorship in the year, and remained stable with last year at RMB 2.0 billion for the full year of 2023. Even excluding the World Cup sponsor fees, adjusted sales and marketing expenses as percentage of revenue went down by seven percentage points this year compared to 2022, when at that time, we could only have user growth of half of the year. This proves the effectiveness of our marketing strategy, which emphasizes more towards branding campaigns. Our R&D expenses increased by 46% year-over-year to CNY 430 million in the fourth quarter, and 31% year-over-year to CNY 1.5 billion in 2023. Excluding share-based compensation expenses, adjusted R&D expenses increased by 62% year-over-year to CNY 316 million in the fourth quarter, and 25% year-over-year to CNY 1.1 billion in 2023. This increase was mainly driven by our further investments in talents and AI technology developments, which incur AI-related server and cloud service fees. Our G&A expenses decreased by 9% year-over-year to CNY 225 million in the first quarter, and increased by 13% year-over-year to CNY 812 million in 2023. Excluding share-based compensation expenses, adjusted G&A expenses decreased by 32% year-over-year to CNY 122 million in the first quarter, and 8% year-over-year to CNY 482 million in 2023, mainly due to decreased professional service fees. Our net income was CNY 331 million in the fourth quarter, and CNY 1.1 billion in 2023, the full year. Adjusted net income increased from CNY 59 million in the first quarter of 2022 to CNY 629 million, an increase from CNY 799 million in 2022 full year to CNY 2.2 billion for full year 2023, representing a significant year-over-year increase. Adjusted net margin for the full year of 2023 reached a record high of 36.2%, up by 18.5%. Net cash provided by operating activities was RMB 927 million for the Q1, and RMB 3 billion for the full year of 2023. As of December 31, 2023, our cash and cash equivalents, time deposits and short-term investments totaled RMB 12.9 billion, and long-term investments in fixed rate notes and wealth management products were RMB 2.3 billion. With our commitment to share our success with shareholders and supported by our robust cash reserve, we paid a cash dividend of RMB 563 million in December 2023. Additionally, our board has repurchase program over the next twelve months and upsized the program to $200 million, demonstrating our strong commitment to shareholder returns. Now, for our business outlook, we have seen encouraging trend of recovery recruitment demand post-Chinese New Year, and we are confident to deliver better than expected results for the current quarter. In the Q1 of 2024, we expect our calculated cash billings to increase sequentially by at least 12.1%-12.2%, and revenues to be between RMB 1.64 billion and RMB 1.67 billion, with a year-over-year increase of 28.3%-30.7%. With that, that concludes our prepared remarks, and now we would like to answer questions. Operator, please go ahead with questions. Thank you. We will now begin the question and answer session. To ask a question, please press star one one on your telephone and wait for your name to be announced. If you'd like to cancel your request, please press star one one again. Our first question comes from the line of Eddy Wang from Morgan Stanley. Please go ahead. Hey, President Zhao, Wenbei Wang, thank you for taking my question. My first question is about the recruitment demand situation after Chinese New Year. Can you give us more details in terms of the different sub-industries by different, you know, enterprise sizes on this supply demand situation compared with last year? And my second question is, what's your forecast or expectation for the revenue growth of the company for this year? Thank you. [Foreign language] Thank you for your question. Regarding the first question, we are not suitable to comment on the entire job market, but we at the platform have our own data, and as one of the players, we would like to share with you our observations. First, it's about the enterprise side, which we have witnessed a year-on-year growth from the enterprise side higher compared to the job seeker side, which result in the ratio between job seekers and enterprise users continue to improve. I have been within this industry for quite a long time, and any, I mean, within any detailed industries, the ratio between enterprise users and job seekers, its relative balance, have been quite significant to me. Since the Spring Festival this year, my observation is that the ratio between enterprise users and job seekers, it has been balancing, rebalancing towards a relatively normal situation. [Foreign language] Regarding whether the enterprises have restored the confidence for the market and for the future, the data we just mentioned is that both newly posted jobs and online active jobs have reached a record-breaking new high and very significant year-on-year growth. [Foreign language] To share with you some detailed trend on particular sectors. For example, for manufacturing workers, logistics, urban service related blue collar sectors have recovered quite well after the Spring Festival. [Foreign language] Another angle is that, for those cities along the sea, which is more external related connected economics, shows better user growth after the Spring Festival, so which implies the manufacturing related to export have been performing quite well recently. [Foreign language] Another observation we shared, we discussed about last spring, is that the small and micro companies recovered much better after the Spring Festival last year. However, this year, the larger companies, they have postponed a recovery trend. However, this year, as we just said, enterprises with more than 10,000 employees grow much better compared to those medium-sized enterprises. This situation has been started since August last year and continued after the Spring Festival, which shows the continuity of the white collar recovery. [Foreign language] Regarding your second question for our outlook for this year, I would starting with reviewing for the performance for last year. So since the beginning of 2023, what we witnessed that we have seen improvement sequentially from Q1 to Q4, and until Q1 this year for the consecutive five quarters. This feeling, from our consecutive past four quarters, including this year's Q1, on the quarter-by-quarter data, actually can also be verified. So, speaking of this year's Q1, just now Phil also talked about this forecast. We are quite confident. This year's Q1 compared to last year's Q4, at least should be a growth of over 12%. And that observation have been proved by our quarter-over-quarter, sequential growth data, and we hope that the trend can continue within this year. And for the first quarter this year, as Phil just discussed, we are expecting our calculated cash billings have at least a 12% of quarter-over-quarter growth compared to the fourth quarter last year. [Foreign language] Given my experience and observations for the operation, I'm pretty sure that in the second quarter we will continue to have sequential growth. [Foreign language] That concludes my answer to your question. Thank you. [Foreign language] Thank you for the questions. Next questions comes from Timothy Zhao from Goldman Sachs. Please go ahead. [Foreign language] Thank you very much for taking my questions, and congrats on the very strong results. I have two questions here. First, we noticed that some of our competitors have increased marketing spending post Chinese New Year. Could management share your strategy for this year's user growth and marketing campaigns? Have you observed any incremental change in the competitive landscape? Second question is your outlook regarding this year's operating expenses as well as profitability margin. Thank you. [Foreign language] Thank you for your question. Regarding the competitive landscape, yes, we have noticed the newly published third-party data, and we are quite aware of our own data, which the conclusion is that we don't notice any fundamental changes regarding the competitive landscape. For some of our peers who increase their investment in marketing after Spring Festival this year, because some of them are not public companies, we cannot have their data. But I have been within this industry for a long time, so I know that because there are some signs of improvement from the revenue side, then people are willing or more willing to invest in the marketing to spend more, which I believe is a reasonable explanation, and also concurring as echoed by our own data. So this is actually a positive sign for me, because not only us, but the whole industry are recovering or moving up. So we are not only duck within a warming water. And for our user growth target, we are still targeting for at least 40 million newly verified users this year. Because as you said, our peers have increased their investment on marketing, so I will not discuss too much on the details. But I can guarantee you that we will still spend money reasonably. I don't have the ability to increase a lot of our marketing expenses. It's not actually necessary, so we will spend reasonably in a reasonable range. But at the same time, we will maintain our strong competitive edge in terms of user penetration, in terms of market share, and the whole leading position. That's the answer to your first question. So regarding the user acquisition, so definitely there will be expenses. So simply speaking, we would like to keep our user growth at a still quick or faster pace. But meanwhile, we would like to keep selling marketing as a percentage of revenue at the most flat or in better scenario would be slightly lower than 2023. So this selling marketing percentage of revenue. So regarding the gross margin trend in short term due to you know seasonality, Q4 is low quarter, so gross margin was affected slightly. So Q1, the gross margin to be flat, and this is mainly because of the high online revenue contribution which involves higher payment processing fees in short term. But for the full year of 2024, we would like to see gross margin improvement, mainly due to the leverage from personnel costs backed up by quick revenue growth. So basically, simply speaking, gross margin to be further improving in 2024. As I just mentioned, selling and marketing expenses. So rest of other items, like R&D and G&A, we won't expect to increase these expenses aggressively. So operating margin on bottom line to continue seeing up trends. So basically, we would like to keep our, you know, most of the costs or expenses lines sell in a self-disciplined manner. So therefore, we can leverage, you know, driven by our faster business or revenue growth for the full year. That concludes our answer to the question. Operator, let's proceed to the next question. Thank you. One moment for the next question. Our next question comes from the line of Yang Bai from CICC. Please go ahead. [Foreign language] What are the expected trends in the payment ratio and ARPU? And my second question is, what's the progress of the company's blue collar business, and what are the future planning direction for the blue collar sector? Thank you. Okay. So I'll answer the first question regarding the monetization or commercialization for our business. So we just reported that for the latest quarter, there was 5.2 million trailing 12 months paid enterprise customers. So this is, this was a historical high. And regarding our commercialization, there were two components: one is paying ratio, another is ARPU. So we expect that the paying in terms of the paid enterprise customers in 2024, so we would like to continue to see the growth of the paid enterprise customers sequentially. And in terms of their ARPU. The blended ARPU in the last quarter looked dropped a little bit. This is mainly because of the contribution from small medium-sized enterprises. Their revenue contribution, you know, is bigger because of the fast growth from SME companies. And the blended effect makes blended ARPU drop a little bit. But if you look at small medium-sized accounts and the key accounts separately, you would like to see both of them, their ARPU increased in the last quarter. So, their ARPU are all increased, respectively. And in terms of the paying ratio, compared with 2022, 2023, the overall paying ratio increased by 3%. At this moment, the paying ratio for the platform is still at a low level, so we believe there would be still a good room to grow. So, it will take several years to gradually increase the paying ratio for us. And in short term, the paid enterprise customers' growth mainly comes from the user growth. And, as we just mentioned, our marketing strategy. So basically in this year, we will still continue to acquire users and at a very quick or faster pace. So basically that will contribute us with new users, new business users, new enterprise, paid enterprise customers. And for the longer term, we expect paying ratio to continue to grow and the recovery from large enterprises, as Justin- Jonathan just mentioned, with that definitely will increase their output. So paying ratio increase and ARPU increase, those two parts have good potentials, will support our long-term growth with our commercialization. [Foreign language] I will briefly talk about the blue-collar business. Our blue-collar business have experiencing continued healthy growth. A data point to support that, which is our revenue grew by 32% year-on-year. However, the revenue contribution from blue collars goes up by 6% from 28% to 34%, which is a very powerful demonstration of the good performance of our blue-collar business. There are four detailed sectors within blue collars, which are urban service, manufacturing, construction, and warehousing and logistics. Every subsector, the numbers of users have is less than white collars, however, combined together, they are quite a considerable amount, so we need to better serve them. Within urban service sector, we have been doing well. We have a good recommendation and reputation, so we also make some money from there. Within manufacturing, we are still under very hard exploration, which actually it has been going for a while. We talked about there are four players within manufacturing recruitment business, which are the factories, which is employers, the agents, the offline agents, which who have been playing there for a long time, and the last one is the platform. So, so the game is that in a considerable long term, longer term, within those four parties, among two or three of them, there have been contradictory situations. So actually it's a zero-sum game. But we have been the hard sorting exploring for quite a long time, and we made some progress. And also the industry situation for manufacturing in the past two or three years have been quite different from previous period. So we will continue to work on that area. So, that's my update on our progress of blue collar business. And, that concludes our question for CICC. And operator, let's move to the next question. Certainly. The next question comes from the line Robin Zhu of Bernstein. Please go ahead. Thank you, Wang Yi Cheng. Thank you. For your question. So, regarding the cash allocation. So it is actually to make the best arrangement, optimize the allocation of company's capital, and continues to increase shareholder return is a duty for any public company, any management of public company, and the CEO of any public company is our pursuer and our duty. And we have roughly, as you said, CNY 15 billion cash on hand. So for me, the priority to use this cash, there are priorities. The top priority will always be we will use our money for future development, for user growth, to expand our advanced model to more user groups, to more industries, areas and countries, to initiate our business. Then, the cash can be used to reward shareholders, including what we are currently studying is that last December, we carried out our first cash dividend. Currently, we are studying and promoting a sustainable dividend policy for the dividend. Currently, we are studying and promoting a sustainable dividend policy for the future. And, the second priority is to provide shareholder return. We are currently exploring a possibility, following our initial special cash dividend last year to pay cash dividend continuously in the future. From the perspective of share repurchase, our board of directors today approved a $200 million share repurchase plan. So this is something we have been doing all along. Through a share repurchase method, we can make the entire our shareholders, the company they hold [Foreign language] And the last one is from share repurchase perspective. So we just approved this $200 million new repurchase program. So we, that's what we have been doing and we are coming to do. So we want to utilize this share buyback program to guarantee our shareholders their shareholding percentage. And we will in the future, we will coordinate between all these several methods or several ways to to provide the best return to our shareholders. [Foreign language] And from the AI investment, our policy, like we just discussed, first is to keep up with the latest leading technology and teams to avoid any knowledge gap, generational gap, compared with the first year teams. And secondly, is we will continue to pursue the industrial implementation, and not to blindly investment to compete with chips, compete with spending of electricity powers, which is not worth well. We will spend our money cleverly. [Foreign language] Regarding the opportunity that the AI have brought about for our company and for our industry, I would like to share with you of one of my understandings, which is, if something is development cannot go proceed without artificial intelligence, without AI, then we need to invest that. So if something can function quite well, even without AI, then we should be very cautious on the investment. That's the distinction between whether we should spending more from an industrial perspective. [Foreign language] And about the overseas business, which many of the investors may concern, our policies are also quite clear. First, we will go overseas to make money. Second, so we want to make money from wealthy people. Third, the recruitment and job seeking business is quite serious, regarding the power and protection of job seekers, so which have a quite high requirement for the local labor law. And fourth, and so based on those requirements and considerations, we will invest in the top, like five or six GDP countries or areas, where the legal environment is quite clear and mature, and the enterprises are used to pay for services, and all those traditional business models can make good money. So, those are quite clear. We will go to mature market, ancient players, good, good laws and wealthy people. So that's our strategies for overseas business. [Foreign language] For your reference, that wraps up our answers for those questions. Due to the time constraint, that will be the last question. Oh, operator. Thank you. At this time, I will turn the conference back to Wenbei for any additional or closing remarks. Okay, thank you once again for joining us today. If you have any further questions, please contact our team directly, and thank you. That does conclude today's conference call. Thank you for participating. You may now disconnect your lines. Thank you. Bye bye.