Hello, and thank you for standing by for JD.com's First Quarter 2024 Earnings Conference Call. At this time, all participants are in listen-only mode. After management's prepared remarks, there will be a question- and- answer session. Today's conference is being recorded. If you have any objections, you may disconnect at this time. I would now like to turn the meeting over to your host for today's conference, Sean Zhang, Director of Investor Relations. Please go ahead. Thank you. Good day, everyone. Welcome to JD.com First Quarter 2024 Earnings Conference Call. For today's call, CEO of JD.com, Ms. Sandy Xu, will share her opening remarks, and our CFO, Mr. Ian Su Shan, will discuss the financial results. Then we'll open the call to questions from analysts. Before turning the call over to Sandy, let me quickly cover the safe harbor. Please be reminded that during this call, our comments and responses to your questions reflect management's view as of today only, and will include forward-looking statements. Please refer to our latest safe harbor statement in the earnings press release on our website, which applies to this call. We'll discuss certain non-GAAP financial measures. Please also refer to the reconciliation of non-GAAP measures to the comparable GAAP measures in the earnings press release. Also, please note, all figures mentioned in this call are in RMB, unless otherwise stated. Now, let me turn the call over to our CEO, Sandy. Sandy, please. Thanks, Sean. Hello, everyone, and thanks for joining us today to discuss our Q1 2024 results. We kicked off the year with encouraging momentum in Q1. Our top line growth accelerated and market share expanded, while our bottom line trended healthily in the quarter. More importantly, our users showed strong enthusiasm for our further improved shopping experience and differentiated services. Our net promoter score, the NPS, notably improved year-over-year. This is a result driven by our strong execution amidst evolving industry dynamics. Our team stayed focused on our own strengths, strategies, and the pace of development, and continued to drive steady progress across all our strategic initiatives in improving user experience, price competitiveness, and platform ecosystem. Our strong execution is reflected in our improved category performance in Q1. To start with, our general merchandise had a great quarter as our supermarket category returned to healthy growth, while fashion and home goods maintained robust momentum. Particularly, the bounce back of our supermarket category is a great example of how we are able to drive strong business performance by focusing on the key aspects of user experience, namely product quality and selection, price competitiveness, and service quality. After spending the past year on strengthening procurement capabilities and upgrading fulfillment network and operating efficiency, our supermarket category recorded double-digit GMV and revenue growth in Q1, with increased order volume and shopping frequency. We expect supermarket's momentum to continue throughout the rest of the year and it to remain an important growth driver in the long run with massive TAM. Our electronics and home appliances category remained resilient in Q1. We are confident in our market leading position and proven supply chain capabilities in this category, and we will continue to focus on our own strategies to scale the business and profits with differentiated value add services, such as one-stop trade-in services, new product launches, more competitive price offerings, and a more dynamic platform ecosystem. Now, let me share some operating highlights we achieved in Q1 in executing on our strategies. First, user engagement. We are excited to see a series of positive signs in both our user base and user behavior in Q1. Our quarterly active customers delivered another robust growth year-on-year during the quarter, driven by growth across all user groups, including new users, existing users, as well as our PLUS members. As to user behavior, shopping frequency on our platform delivered a substantial double-digit year-on-year growth in Q1, more than offsetting the decrease in average order value as a result of our low price offerings. This led to a relatively stable ARPU in Q1 compared to the same period last year. In addition, driven by our expanding user base and shopping frequency, our order volume continued to increase at a double-digit rate year-on-year in Q1, a pace we have seen for three consecutive quarters. This robust momentum with users makes us confident to say that our relentless focus in user experience are paying off. We rolled out a number of user experience initiatives, and the team made solid progress in executing them. As such, our NPS continued to rise in Q1 on both 1P and 3P. We believe this is an important driver of our sustainable growth along the way. We are leveraging our core capabilities in supply chain to differentiate user experience on our platform. For example, the integrated trade-in services we provide in our electronics and home appliances category are at an industry-leading level, and we are further working on this to provide users hassle-free services, including coordinated delivery, installation of new devices, and dismantling of used devices. In addition, our supermarket category also made full use of its supply chain to roll out differentiated services, including direct shipment from suppliers to end users, [Foreign language], and 24-hour fresh milk delivered to users since production, among others. Our service offerings are catching up on the 3P side as well. For example, our RMB 59 threshold for free shipping now also covers almost all of the 3P products on our platform. We also made progress to expand coverage of our free doorstep picking up for return service among 3P merchants. We are encouraged to see 3P user experience on our platform continue to improve, and our 3P NPS score trended upward in the quarter. Moving on to our low price offerings. Our price NPS continued to increase in Q1, both sequentially and on a year-on-year basis, as our improved price competitiveness increasingly resonates with users. Meanwhile, growth of our user base in lower-tier cities accelerated in Q1, exceeding our growth rate in higher-tier cities. Order volume and shopping frequency generated by users in lower-tier cities continued to record double-digit year-on-year growth in the quarter, faster than that of our total users. Moreover, growth of low ticket-sized order volume continued to accelerate meaningfully in the quarter. All this reflects our increased attractiveness to price-sensitive customers and our abilities to serve them effectively. With our 1P supply chain capabilities and enriched offerings of 3P, we are strongly positioned to pursue low price in a sustainable way. This is the essence of retail, the core of JD business model, and a key competence that helps us stay ahead of price competition. Next, moving on to our platform ecosystem. We were encouraged to see our active merchant base continue to rapidly expand on our platform in Q1, driven by our effective supporting measures and optimized operating tools. Both our 3P user base and 3P order volume continued to grow at a faster pace in Q1 compared to previous quarters. Our marketplace and marketing revenues returned to a positive growth in Q1 as we navigated one-off impacts in the past quarter. This was primarily driven by the growth in our advertising revenues, while commissions remained flat due to our strategy to prioritize the ecosystem development over monetization at the current stage. I want to point out that the low 3P monetization rate at the moment does not reflect the true potential of our marketplace and marketing revenues, and we anticipate more upside going forward. That said, we maintain our strategic priority of building a vibrant and thriving platform ecosystem, where both our 1P and 3P merchants are adequately incentivized to better serve users. On a separate note, 2024 marks the tenth anniversary of our listing on NASDAQ. Looking back on the past decade, our revenues have scaled up significantly by 16x, from RMB 69 billion in 2013, prior to our listing, to over RMB 1 trillion last year. Our non-GAAP net income attributable to ordinary shareholders has expanded by an even more impressive 157 times, from RMB 224 million - RMB 35 billion. The total amount we returned to our shareholders through dividends and share buybacks has surpassed the total capital raised over the course of the past 10 years, and we have created full-time jobs for over 500,000 employees with social insurance and housing benefits. As of the end of 2023, a 13-time increase compared to 10 years ago. We are proud of our achievements in the past as we created tremendous values to our users, employees, shareholders, and the society as a whole. We have a clear vision to navigate the next decade with our ever-improving user experience, stronger price competition, and thriving platform ecosystem. To conclude, 2024 is marked with our consistent strategies and continued execution, and we are pleased to kick the year off with a quarter of accelerated growth and healthy profitability. As we focus on executing our strategies, we will further improve the user experience, which leads to stronger demand share and user growth, thus helping to reinforce our market position and expand our market share. This will keep us on a sustainable path of healthy profit and cash flow, and allow us to continue to execute and deliver for the rest of the year and the years to come. With that, I'll turn it over to Ian for our financial highlights. Thank you. Thank you, Sandy, and hello, everyone. In Q1, we delivered a solid performance on both top line and bottom line. We also took active steps to return value to shareholders. Since the beginning of the year, we have repurchased a total of 98.3 million Class A ordinary shares, equivalent of 49.2 million ADS, for a total of $1.3 billion, amounting to around 3.1% of our, of our ordinary shares outstanding as of December 31st, 2023. We have also completed our $1.2 billion annual cash dividend payment in April 2024. These moves demonstrate our commitment to creating value for our shareholders through shareholder return, and more importantly, through our sustainable business growth over the long term, as we've done since our listing on NASDAQ in 2014. With that, let me turn to our Q1 financial performance. Our net revenues grew by 7% year-on-year to RMB 260 billion in Q1. Breaking down the mix, product revenues were up 7%. Within product revenues, our electronics and home appliances category was up 5% in the quarter, thanks to the resilience of mobile phones and home appliances, offset by the softness of PC due to industry headwinds. Our general merchandise category returned to a solid new growth year-on-year, as supermarket categories rebounded to achieve double-digit revenue growth in the quarter. Other categories from general merchandise, such as fashion and home goods, also maintained strong momentum in the quarter. Service revenues grew by 9% year-on-year in Q1, primarily driven by logistics and other service revenues, which were up 14% year-on-year in the quarter. Marketplace and marketing revenues returned to positive growth in Q1 as we've more 3P merchants and nurture our platform ecosystem. Our advertising revenues resumed healthy momentum in Q1 as we improved traffic allocation efficiency on both our platform for both 1P and 3P merchants. Commission revenues under marketplace and marketing continue to decrease at this stage due to our supporting measures to merchants to cultivate our platform ecosystem. Now, let me turn to our segment performance. JD Retail revenues increased by 7% year-on-year in Q1. I would like to highlight that even as we dedicate ourselves to low price offerings, JD Retail's gross margin continued to increase in the quarter. Higher 1P product sales growth margin across almost all categories. This again demonstrates the beauty of JD's business model. With strong supply chain capabilities at our core, we're able to continuously expand our economies of scale and pass the benefits to our users. In addition, we continue to improve our user experience, including lowering the threshold for free shipping, improve user engagement through initiatives like our sponsorship Spring Festival Gala. As a result of these efforts, we achieved higher user shopping frequency and increase order volume. JD Retail's non-GAAP operating profit decreased by 5%, and operating margin was down 50 basis points year-on-year to 4.1% in Q1, in line with our. Moving on to logistics. JD Logistics. Revenues of JD Logistics increased by 15% year-on-year in Q1, with strong momentum for both of its internal and external revenues. Moreover, JD Logistics non-GAAP operating margin increased to 0.5% in the quarter, a meaningful improvement compared to a loss margin of 3.1% a year ago. This is the result of JD Logistics to optimize the fulfillment network and operating efficiency, increased scale benefits, as well as healthier revenue growth. Turning to new business, please note that from Q1 2024, we start to report Dada's results on the new business. Therefore, this segment mainly includes JD Property, Dada, Jingxi, and overseas business. Revenues of new business were down 19% in Q1, primarily due to the adjustment of Jingxi business. Excluding the impact of the disposal of listed assets of JD Property, non-GAAP operating loss of new business was RMB 670 million in the quarter, narrowing from RMB 846 million in the same quarter a year ago. Moving on to our consolidated bottom line. Our non-GAAP net income attributable to shareholders at the group level came in at RMB 8.9 billion, a 17% increase year-on-year, with non-GAAP net margin coming at 3.4%, 30 basis points year-on-year. This was primarily driven by increased gross margin, effective investments in JD's experience, and JD Logistics improved bottom line performance. Non-GAAP diluted net income per ADS grew by 19% year-on-year in the quarter to RMB 5.65. Ladies and gentlemen, we've lost connection with the speaker line. Please hold and the conference will resume shortly. Please go ahead. Okay, we're back. So our last 12-month free cash flow as of the end of Q1 was RMB 51 billion, compared to RMB 19 billion in the same period last year. The year-on-year increase of free cash flow was mainly due to our further optimized cash conversion cycle, improved profitability, moderated CapEx, as well as seasonality factor. Notably, our last 12-month inventory was a historical low level of 29 days in Q1, compared to 32 days in the same period last year, which also contributed to our increase in free cash flow. By the end of Q1, our cash and cash equivalents, restricted cash and short-term investments added up to a total of RMB 179 billion. To conclude, we're encouraged by our solid results in Q1, and we are confident to deliver our operating targets while staying focused on executing our long-term strategies. 2024 not only marks the tenth anniversary of our listing on NASDAQ, it's also a start of a new chapter for JD to serve more users and provide them unparalleled user experience by developing an ecosystem that fosters the prosperity of both 1P and 3P. With that, I will turn it to Sean. Thank you. Sure. Thank you, Ian. We apologize for the breaking up for today's call. So for the Q&A session, you're welcome to ask questions in Chinese and/ or English, and where our management will answer your question in the language you ask. We'll provide English translation when necessary for convenience purpose only. In case of any discrepancy, please refer to management statement in the original language. Okay, operator, can we open the call for Q&A? Thank you. Thank you. To ask a question, please press star one on your telephone and wait for your name to be announced. The question and answer session of this conference call will start. In order to be fair to all callers who wish to ask questions, we will need, we will take one question at a time from each caller. If you have more than one question, please request to join the question queue again after your first question has been addressed. Your first question comes from Ronald Keung with Goldman Sachs. Please go ahead. Thank you. Thank you, Sandy, Ian, and Sean. I have a question on our growth, and then how do we balance growth and profitability? Let me ask first in Chinese, and I'll translate my question. [Foreign language] Thank you, management. I have a question on our growth, and then how do we balance that with profitability? We've seen many players this year, even our incumbents, I call them, each aiming to grow faster than total retail and aiming to sustain market share. So in this overall industry, where everyone wants to grow faster than industry, how do we see the key drivers for JD this year sustaining, regaining market share across categories, electronics, where there was a high base last year? How do we see this growth? FMCG and general merchandise, just talked about the supermarket growth that Sandy mentioned. How do we drivers to grow faster than industry and from user and frequency perspective, existing from new users? How do we balance this, growth and profitability, our targets for, margins as more players, reinvest for growth? Thank you. Hey, Ronald, [Foreign language] Thank you, Ronald, for your question. So first of all, I want to point out that China has a vast consumption market, and this market continue healthy growth. And in the meantime, this China consumption market is fragmented, with over 300 cities in China, boasting population of over 1 million people. So in 2023, we see that China's penetration of online physical goods sales stood at around 30%. So this is a figure expected to rise as e-commerce platforms, we enhance our efficiency and evolve our business models. [Foreign language] Category wise, we see certain categories, such as computers and home appliances, have a higher than expected potential to further penetrate online, despite that we think these categories already have a relatively high online consumption rate. [Foreign language] Moreover, significant room for online penetration exist in some other categories, like we can see, supermarkets, home goods, automotive, sport and outdoor, and services. These categories, they have a large potential to continue online penetration, and these are also among the fastest growing categories on our platform. So with that, I want to say is that we believe, we are still facing a massive, total addressable market. [Foreign language] So in terms of JD's core competitiveness, it lies in... For JD, we are the China's largest retailer. Leveraging our 1P business, we're able to lever supply chain capabilities to provide users with a premium and differentiated user experience, and to excel in cost and efficiency management. Also paves way for us to develop our platform ecosystem. [Foreign language] So, as discussed last quarter, over the past year, we centered around user experience, low prices offerings and platform ecosystem, and we've taken a set of proactive moves with a focus on business health, including enhancing our competitiveness, reducing procurement costs, and introducing a various customer service upgrade, such as the lowering threshold for free shipping, upgrading the one-click price guarantee service, offering free doorstep pickup for returns, and implementing only policies, among others. [Foreign language] So all our efforts on improving user experience have paid off with some positive changes on our user growth and engagement. So in this Q1, both JD Group's and JD Retail's quarterly active number experienced double-digit growth, continuing the trend of high growth rate from Q4 last year. So at the same time, we've also observed a clear uptick in users' shopping frequency as they engage more actively on our platform. [Foreign language] Furthermore, our NPS has shown consistent improvement. So in Q1, our NPS saw meaningful improvement on both 1P and 3P side on a year-on-year basis, as well as the sequential basis. While, the influx of new to our platform as we push forward our platform ecosystem last year led to some fluctuations in our NPS. Whereas our ongoing improvement in platform governance and risk control have driven an upward trend in user satisfaction. [Foreign language] In summary, our efforts have yielded some promising outcomes as we see users' mindshare resume momentum towards JD, our ability to provide more diverse, affordable and high quality products at a faster speed. It also gives us the confidence to achieve long-term growth trajectory and market expansion. [Foreign language] [Foreign language] This is Ian. To address the second part of your question, to follow on what Sandy just said, we're confident that 2024 full year growth will outpace China's total retail sales of consumer goods, and we will deliver stable profits for both JD Group and JD Retail. On top of that, we will remain committed to disciplined investments aimed at enhancing user experience and expanding our market share. So, in JD's view, business growth and profitability is more reinforcing than contradictory. JD's business model is based on supply chain, with user experience at the core. Therefore, our investments enhancing both supply chain efficiency, capabilities, and user experience. So we firmly believe that our long-term sustainable profits will stem from our strong market position and exceptional user experience. [Foreign language] So, for JD's, JD.com, from our perspective, we believe that by constantly, dedicating energy and resources to enhancing product, price and service, we can deliver superior user experience. And this, in turn, drives up GMV growth and expands our market share. And as our business size expands and the market position gets enhanced, our advantage in supply chain and, efficiency is further strengthened, which leads to healthy profit growth. And this enable us to continue to invest in product, price, and service to constantly improve user experience. This is, this forms a virtuous cycle among business growth, user experience enhancement, and long-term profit growth. So, last year, much of our efforts was directed towards internal enhancements, including boosting operational efficiency, streamlining workflows, and enhancing long-term cost competitiveness. And thrugh this process, we identified significant opportunities to further improve our operating abilities. We believe that strengthening these capabilities is crucial for our success in enhancing profits and long-term competitiveness. [Foreign language] So in terms of business focus and investment, since last year, we've been working on several key initiatives. We've lowered the threshold for merchants to onboard our marketplace, while we enhanced the support measures for SME merchants. In addition, we've provided them with a range of effective tools to operate on our platform. Therefore, we're able to increase the variety of product choices available to our customers. And regarding user experience enhancement, we've implemented a series of gradual updates of various customer services. These include lowering the thresholds for free shipping services for 1P, improving the functionality of our one-click price guarantee feature, introducing free doorstep pickup for return services for both 1P and 3P, and implementing refund-only policies and more. These industry-leading service innovations have resulted in a notable increase in user satisfaction, as evidenced by our rising NPS. To conclude, from the long-term perspective, we will consistently leverage the advantage we have in our 1P and continue to promote our platform ecosystem to strengthen the virtuous cycle between our business scale and profit growth, and we're confident to achieve that objective in the long term. Thank you. Next question, please. Thank you. The next question comes from Alicia Yap with Citigroup. Please go ahead. Hi, thank you. [Foreign language] One is, if the home appliance trade-in policy can be implemented, under the situation where consumption remains cautious, can this policy effectively stimulate consumers' true consumption? Then JD expects to gain what kind of incremental growth from this trade-in policy. Then the second question is, about the supermarket category. I remember management previously mentioned that the supermarket category, this FMCG will become an important category supporting JD growth this year, besides the low base, does management think consumers really will spend more income on this FMCG? If consumer demand remains sluggish, will such supermarket still be the main growth driver this year? Management expects JD will occupy more share in this category. I will translate it myself. Good evening, management. Thanks for taking my questions, congrats on the solid result. First question is, if the appliance trade-in policy were implemented, amid the conscious consumption spend remain, will the policy effective enough to boost consumer to really spend? And what could be the incremental growth JD expect to be able to enjoy from the trade-in policy? From second question is, management previously know that that, you know, FMCG will be an important category to support growth for JD this year. Other than low base and easier com, do you think consumer will really spend more income on FMCG category? If consumer demand remains lackluster, will FMCG still be the key growth driver this year? Do you anticipate JD to take more share in this category? Thank you. [Foreign language] Thank you, Alicia, for your question. First on the trade-in service. So, as you know that it has been about a decade since China last introduced a nationwide trade-in initiatives. So for many Chinese households, it's now time to replace their home appliances and other durable goods. And these old products are often low in functionality, high in energy consumption, and may pose risks to health and safety. However, due to the high cost of replacement, many families just continue using them for the moment. [Foreign language] So, this round, the introduction of a new trading policy offers incentives to address this long-standing demand. It will encourage Chinese families to trade in their old items for new ones at a lower cost, thereby enhancing the overall quality of life for, for many people. [Foreign language] So currently, we've seen that governments at all levels are actively promoting the implementation of trade-in policies. So we see the Ministry of Commerce has released the action plan to promote trade-ins of consumer goods, while local governments are also conducting research and making arrangements, and we're also coordinating with different levels of governments, and we look forward to the introduction of additional trade-in subsidizing measures that will directly benefit Chinese consumers. [Foreign language] Meanwhile, JD, we have collaborated with over 100 brands, including the top brands like Haier, Midea, Gree, and so on, to launch Trade-in Alliance for household appliances and home goods. And these allies has so far launched a trade-in subsidizing promotions in 20 cities and regions across China. With the goal of offering more cost-saving and hassle-free trade-in services to consumers nationwide. [Foreign language] So over the years, at JD.com, we've also been building and refining our trade-in service capabilities and leveraging our strengths in supply chain, logistics and services. We continuously elevate the trade-in service experience to new heights. So we introduced integrated one-stop trade-in service, which includes free doorstep pickup, dismantling, handling of the old goods, and free delivery and installation of new goods, et cetera. And moreover, there are no restrictions on the trading items, original purchase channel, brand, age or condition. So with these offerings, JD has shortened the trade-in process no more than two times of user home visits. So this is a very unique strength we can provide our services to our users because we are not only having retail services, but also logistics services. On the back end, we have also done a lot of work over the years to provide the systematic support. So, all of these infrastructures and abilities enable us to provide such a seamless trade-in services to our consumers today. [Foreign language] Since 2023, more than 16 million users have chosen JD to trade in their old appliances for new ones, and the first time users of our trade-in service has also recorded a 200% year-on-year increase. [Foreign language] In 2023, our trade-in program accounted for mid- to high single-digit percentage of JD's home appliances sales. With its government active promoting this initiative this year, we anticipate more incremental sales to our home appliances category, and this trade-in driven sales are expected to comprise a higher percentage of our overall sales in this category. [Foreign language] And, about FMCG question. So first of all, I want to share from the consumption trend standpoint, the overall FMCG sector maintains positive growth momentum. According to the Q1 NBS data, FMCG categories, particularly basic living goods, have shown robust growth. And, FMCG and the fresh produce are the two sectors that enjoy a rapid increase, a rising sales, whereas they have relatively low online penetration. So we've seen a lot of online platform and e-commerce players. We are steadily capturing market share from traditional offline markets. [Foreign language] And in light of JD's Q1 data, the anticipated swift rebound of FMCG played a significant role in driving the overall growth of our general merchandise sales and revenues, leading to our general merchandise growth rate outperforming the corresponding industry growth released by NBS. In terms of our strategies for the supermarket categories, we've seen significant enhancement in this category as we delving deeper into each subcategory to enrich product offerings and reduce procurement costs and pass on the benefits to our consumers. Additionally, to address user demand and consumption pain points, we are exploring various measures such as open sourcing of products, customize the development of new products to provide consumers with high quality products, competitive prices, and excellent services. So, at the same time, our logistic fulfillment network reform has also empowered us to lower the threshold for free shipping. Tailored to the characteristics of different product categories, we are undertaking fulfillment network reforms. As JD's business scale and category mix have evolved significantly over the past years, we've adjusted the algorithm and design of fulfillment network every few years. So for instance, our unique city-based warehouse model offers a superior shopping experience compared to the industry-wide, sending nationwide from one place model. However, our city-based warehouse model require us to improve scale efficiency, to reduce parcel moving times from one place to another, and reduce the delivery distances through algorithm upgrades, and thereby, continuously reducing overall fulfillment costs. So all in all, we believe the essence to continue to promote the growth of, the supermarket category, is to return to the essence of retail, which is to, focus on the better cost, efficiency and user's experience. So, looking ahead, so despite, fierce competition in the supermarket categories and the industry players adopting, various strategies, we remain confident in the growth, potential of this category and to view the supermarket category as the crucial driver of our overall growth. Thank you. Next question, please. Thank you. Your next question comes from Kenneth Fong with UBS Head of China Internet Research. Please go ahead. Hi. Sandy, Ian, Sean, thank you, management, for taking my question. I have two questions. The first point on content. JD has been trying different means on the e-commerce content that have been very innovative and differentiating versus our peers like merchandise, live streaming, and recently, Richard AI live streaming. They have received very positive results. Can management share with us the progress and upcoming strategy for content investment into our core e-commerce platform? And my second question is about shareholder return. We have substantially step up shareholder return, and we purchased $1.2 billion worth of shares last quarter. How should we think about the pace, the scale, and the sustainability of the buyback going forward? Thank you. [Foreign language] So thank you, Kenny. Let me share some thoughts on live streaming and content ecosystem. So, for JD Retail, we announced our commitment to strengthen our content ecosystem at the beginning of the year, aiming to offer users more diverse and comprehensive content experience alongside our superior shopping experience. Because we believe that by offering premium content, we will attract new traffic to JD's platform and reduce our users' acquisition costs and benefit our platform ecosystem. And we also believe that rich content also play a crucial role in increasing user engagement and the time spent on our platform, and consequently enhancing our traffic distribution efficiency and conversion rates. [Foreign language] So, our attempts on live streaming, as what you mentioned, with the popular sessions led by our category managers during the Singles Day Grand Promotion, and our recent showcases featuring an AI digital representative of our founder, Richard, exemplify our commitment to content innovation, leveraging our JD's technological capabilities. And notably, Richard's avatar live streaming, which marks the industry's first live streaming hosted by an AI avatar of an entrepreneur, drew over 20 million views within the first hour, which also showcases our, AI and other capabilities, and the, these applications in the e-commerce scenarios. So, moving forward, we will persist in, making, technological investments centered on JD's core business, including our large language model, et cetera. [Foreign language] So we're still at the early stage of our content ecosystem building, and we hope to provide greater exposure and more traffic to high quality and original content and its creators. So thereby adding value to our consumers by helping them discover products and make informed shopping decisions. [Foreign language] Thank you. To answer your question on the shareholders returns is, I would like to draw your attention on our three years plan for the $3 billion plan, and so far, we still have around $2.3 billion as we scheduled in the years ahead. Year to date, we repurchased a total of 98.3 million Class A ordinary shares, equivalent to 49 million ADS for a total of $1.3 billion in open markets from both NASDAQ and Hong Kong, accounting for approximately 3.1% of the total ordinary shares outstanding at the end of 2023. [Foreign language] So in the long term, our returns will focus on our sustained and healthy business growth, profitability, and the dividends, share buybacks, et cetera. So, we will continue to reward our shareholders through various means and sharing the success of JD's business. N ext question please. Thank you. Your next question comes from Thomas Chong with Jefferies. Please go ahead. [Foreign language] Thanks, management, for taking my question. My first question is about 618 and industry competition. How should we think about this year 618, and also how we should think about the industry landscape, how is it different versus the previous year? And my number two question is about our ecosystem strategy. Can management comments about the number of new merchants as well as the contribution in coming quarters? Thank you. [Foreign language] So thank you, Thomas. Let me share some plans of the upcoming JD 618 grand promotion. So this year's grand promotion theme is quality and affordability. We've noticed a trend in the market where many low priced products appear identical. So as we continue to implement our low price strategy, our focus for this year's shopping festival is to highlight JD's ability to offer differentiated good products at inexpensive price with excellent service. This year's promotion approach and pace will have some difference from the previous years, and all arrangements will be centered on enhancing users' experience, and the event will kick off at 8:00 P.M. on May 31st, with products readily available for immediate purchase. [Foreign language] And we will also step up efforts to support SME merchants, and to support more than double the number of merchants to achieve over 1 million sales, and to support more partners to achieve their growth objectives. [Foreign language] So overall, we are optimistic about the overall performance of this year's 618 promotion, and we believe that with different market players, we have different strategies in the everyday sales and during the grand promtions. What make JD stand out is still the our advantages in supply chain and the reliabilities we can offer to our users. [Foreign language] So we firmly believe that JD's business model, based on robust supply chain and user centric experience, is resilient and sustainable across various economic cycles. And we're confident in our ability to consistently gain market share over the long term with this business model. Thank you. Thank you. we haven't... We haven't heard the second part of Thomas' question. [Foreign language] Yeah, to address the question about the platform ecosystem. So, our initial focus is to expanding our ecosystem scale by attracting merchants. We are actively working on onboarding more merchants and support them in improving their business performance on our platform, thereby offering a diverse range of products on our platform to our customers. And over the past year, we've successfully attracted a significant number of new merchants by continuously streamlining our onboarding processes, reducing their store operating costs, improving operational efficiencies, and providing traffic support. So in this quarter, the number of effective merchants on our platform exceeded 1 million, with the number of active merchants experiencing accelerated growth for four consecutive quarters. Admittedly, our merchant count may not be as high as some other platforms, and we remain committed to further enhancing our merchant recruitment efforts and supporting their activities on our platform, and we anticipate continued growth in the number of merchants in the following quarters. So for the second phase of the platform ecosystem building involves encouraging user participation. Ultimately, we aim for it to become a natural process, a natural choice for our users to purchase either self-operated or third party products. Thus far, we've observed the favorable interactions between our users and third party offerings. In Q1, we achieved accelerated growth in both 3P transaction users and 3P order volume. Meanwhile, NPS for 3P has continued to improve. Since the second half of last year, we've been collaborating with our merchants to pioneer service innovations. This has led to the implementation of services like late delivery, compensation, refund-only policies, and free doorstep pickup for returns and more services, all of which have constantly elevated our shopping experience for our top users. Um, [Foreign language] Yeah. Leveraging our 1P business and the collaborations with merchants from our 3P marketplace, we are able to foster a thriving platform ecosystem and providing richer supplies of high-quality goods, and to increase the engagement of our users on our platform, so as to achieve a virtuous cycle. And we believe for this virtuous cycle will be an important driver for the continued growth of our long-term revenues and profits. Thank you. Thank you, operator. Thank you everyone for joining the call today, and thanks for your question. If you have further questions, please contact me and our team. We appreciate your interest in JD.com, and look forward to talking to you again next quarter. Thank you. Thank you for your participation in today's conference. This concludes the presentation. You may now disconnect. Good day.