Hello, ladies and gentlemen, and thank you for standing by for JinkoSolar Holding Co., Ltd. fourth quarter 2021 earnings conference call. At this time, all participants are in listening only mode, and after management's prepared remarks, there will be a question and answer session. As a reminder, today's conference call is being recorded. I would now like to turn the meeting over to your host for today, Miss Stella Wang, JinkoSolar's Investor Relations. Please proceed, Stella. Thank you, operator. Hi, everyone. Thank you for joining us today for JinkoSolar's fourth quarter 2021 earnings conference call. The company's results were released earlier today and available on the company's IR website at www.jinkosolar.com, as well as on Newswire services. We have also provided a supplemental presentation for today's earnings call, which can also be found on the IR website. On the call today from JinkoSolar are Mr. Li Xiande, Chairman of the Board of Directors and Chief Executive Officer of JinkoSolar Holding Company Limited. Mr. Gener Miao, Chief Marketing Officer of Jinko Solar Company Limited. Mr. Pan Li, Chief Financial Officer of JinkoSolar Holding Company Limited, and Mr. Charlie Cao, Chief Financial Officer of Jinko Solar Company Limited. Mr. Li will discuss JinkoSolar's business operations and the company highlights, followed by Mr. Miao, who will talk about the sales and the marketing, and then Mr. Pan Li, who will go through the financials. They will all be available to answer your questions during the Q&A session that follows. Please note that today's discussion will contain forward-looking statements made under the Safe Harbor Provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements involve inherent risks and uncertainties. As such, our future results may be materially different from the views expressed today. Further information regarding this and other risks is included in JinkoSolar's public filings with the Securities and Exchange Commission. JinkoSolar does not assume any obligation to update any forward-looking statements except as required under the applicable law. It is now my pleasure to introduce Mr. Li Xiande, Chairman and CEO of JinkoSolar Holding. Mr. Li will speak in Mandarin, and I will translate his comments into English. Please go ahead, Mr. Li. We were very pleased to close a very challenging 2021 with excellent results. We were able to swiftly respond to supply chain volatility and logistic challenges thanks to our competitive advantages in supply chain management and the comprehensive advantages of our global network. Revenues and shipments grew significantly in the fourth quarter. As a result of the increasing proportion of in-house large size production capacity and large size product sales, our integrated cost declined further and our profitability further improved. Sequentially, operating profit quadrupled and non-GAAP net profit increased by approximately 13 times. In the first quarter of 2022, our principal operating subsidiary, Jiangxi Jinko, completed its listing on the Shanghai Stock Exchange Science and Technology Innovation Board. The capital raise provided greater momentum for the development of our state-of-the-art technology and the business. Our ability to successfully compete in the future rests on our comprehensive strength. We will continue to increase our competitiveness in technology, global market network, and also the comprehensive management skills. Despite a challenging 2021, the demand from end users keeps increasing compared with 2020. More flexible business models and a lower price sensitivity are helping the distributed generation business achieve rapid growth. China's installation capacity reached 55 GW for the full year of 2021, with DG contributing more than half of new installations due to its higher economic returns. We hope this trend to remain the driving force for newly added installations in 2022. We are highly optimistic about the development prospects in distributed generation markets, and we continue to grow our brand influence in these markets. With the strategic needs for energy transformation and energy security in major world economies, we expect the PV industry to continue its strong growth momentum in the coming years. Advanced and highly efficient N-type products will support the continued growth of the global PV industry. We continue to lead the industry with our innovative technology and in-depth market knowledge. In our Haining facility, our mass-produced N-type cell reached an ultra-high conversion efficiency of up to 24.5% in the fourth quarter last year. Energy yield is similar to that of the PERC. We have roughly 16 GW of N-type cell capacity operational in the first quarter of 2022, and currently are steadily ramping up our production capacity. Our integrated cost is expected to further decrease as our integrated production capacity structure consistently improves. In light of the rapid industry transition from P-type to N-type and the growing demand for higher efficiency products, we have launched the next generation of N-type ultra-efficiency Tiger Neo modules. These modules have received worldwide acclaim from our customers for better power generation performance and obtained a premium. In the long run, our stable supply and localized after-sales service network will continue to guarantee the reliability and the consistency of our products and services. These core qualities have become our competitive moat. We will reinforce the leadership position of our N-type modules globally and further enhance our global market share and the profitability. Our 7 GW mono wafer plant in Vietnam became officially operational in the first quarter this year. This integrated mono wafer cell module manufacturing capacity of roughly 7 GW overseas further consolidates our global supply chain advantage. We are closely coordinating with our upstream and downstream partners to tap into all our complementary resources and enhance our strategic cooperation. This will help us mitigate raw material shortages and production weak links. At the same time, we are committed to building a cluster of industrial ecosystems to solidify our supply chain. Vertical integration is essential to compete in the global PV market. By continuously consolidating our diversified industrial chain infrastructure, we believe we will continue to strengthen the competitiveness of our core products and bring great value to our global customers with high-quality, reliable modules and premium services. Before turning over to Gener, I would like to go over our guidance for the first quarter and full year 2022. We expect the total shipments to be in the range of 7.5-8 GW for the first quarter of 2022. The annual mono wafer solar cells and solar module production capacity is expected to reach 50, 40, and 60 GW respectively by the end of 2022. We expect our full year 2022 shipments, including wafers, cells and modules, to be in the range of 35-40 GW. Thank you, Ms. Li. Total shipments in the fourth quarter were 9.7 GW, of which module shipments were 9 GW, a significant increase compared with the third quarter of 2021 and the same period of 2020. ASP outside North America improved sequentially, thanks to the sales of high efficiency products in high-end markets. In terms of regions, module shipments in Asia Pacific and the emerging markets increased sequentially and year-over-year. China outpaced all other countries by contributing the largest portion in the fourth quarter, from less than 10% in the first half of the year to nearly 34%. As distributed generation gradually becomes the main driving force for newly added installations in China, the sector is expected to increasingly contribute to incremental market volume, encouraged by incentives from the 1+N policy framework that guides the country's climate action and action plan on peak emission and other policies. We are optimistic about China's demand will exceed 100 GW in 2022, and we expect the shipments in China market to further increase into 2022. In Europe, one of the most developed PV markets, clients have accumulated mature awareness for PV and have a higher acceptance of new products such as Tiger Neo modules. By end of 2021, we had shipped our products to more than 30 countries across Europe. Europe became one of our top contributors for total shipments in 2021. With increasing electricity prices making solar energy more economical and the strategic necessity of energy transformation and energy security, Europe is expected to maintain strong growth momentum. We are confident in maintaining our competitiveness in European market by leveraging our local network and the next generation N-type ultra efficiency module Tiger Neo. We launched the next generation N-type Tiger Neo module in the first quarter of 2021, and increased the global promotion and the sales, delivering high energy density, high bifacial factor, and the lower linear degradation. Tiger Neo module bring clients better power generation performance and obtain a competitive premium. Meanwhile, we are heavily invested in the future of distributed generation sector. The proportion of distributed generation in our shipment is expected to reach around 40% this year. We will continue to explore the global market demand for distributed generation based on market trends and customer needs. Proactively increase our presence in China, United States, Europe, Brazil, Australia, and explore other potential markets. Countries around the world have adopted various strategy in response to COVID-19 supply chain disruptions and the soaring household gas and electricity bills as the energy crisis bites. Under this backdrop, the global PV market has been driven by green, low carbon and the long-term energy security investment, which will usher in a new period of rapid development. Market demand in 2023 is expected to grow in excess of 20%. We will continue to track market condition and adjust our business strategy accordingly. We are confident that we will contribute to the global energy transformation with our high efficiency products and support customers with our sound marketing and global service network. With that, I will turn it over to Pan. Thank you, Gener. Our fourth quarter results exceeded expectations. Total revenues grew significantly quarter- over- quarter. We continued relentlessly to take effective management of integrated production costs and operating expenses. Sequentially, gross profit doubled, operating profit more than quadrupled, and non-GAAP net profit increased by thirteen times. Operating efficiency improved as a result of our efforts to closely align inventory management with market supply and demand dynamics. Let me go into more details now. Total revenue was $2.57 billion, an increase of 91% sequentially and 77.4% year over year. Gross margin was 16.1%, compared with 15.1% in the third quarter this year and 16% in the fourth quarter last year. Excluding antidumping and countervailing duties reversal benefit, gross margin was 14.3%. Total operating expenses nearly doubled year over year due to a substantial increase in module shipments during the fourth quarter, which increased shipping costs. On one hand, we increased shipments to China to reduce the impact of shipping costs on profitability. On the other hand, we leveraged our long-term agreement with major shipping companies to obtain more competitive prices compared with the rest of the market. In general, the impact from changes in shipping costs on profitability was relatively under control. Total operating expenses accounted for 13% of total revenues in the fourth quarter this year, flat sequentially and slightly improved compared with 15% in the fourth quarter last year. Operating margin was 3% in the fourth quarter of 2021, compared with 1.3% in the third quarter and 0.8% in the fourth quarter last year. EBITDA was $183 million, doubled compared with $89 million in the third quarter of 2021. Non-GAAP net income was $34 million, an increase of 13 times sequentially, resulting in diluted earnings per ADS of $0.67. Now a brief view on our 2021 full year financial results. Total module shipments were 22.2 GW, up 18% year-over-year. Total revenues were $6.41 billion, up 16.2% year-over-year. Increase in module shipments, higher integrated production volumes together with cost reduction from our industry-leading integrated cost structure, resulting in improved profitability. For the full year of 2021, gross profit was about $1 billion, an increase of about 8% year-over-year. Gross margin was 16.3% compared with 17.6% last year. Operating margin for the full year of 2021 was 2.7% compared to 5.1% in 2020. Operating expenses were 13.6% of the total revenues in 2021 compared to 12.5% last year. EBITDA was $538 million in 2021 compared to $463.5 million last year. Non-GAAP net income was about $88 million in 2021 compared to $147 million last year. This translate into non-GAAP basic and diluted earnings per ADS of 1.84 and 1.78 respectively. Moving to the balance sheet. At the end of the fourth quarter, our cash and cash equivalents were $1.4 billion, up from $1.14 billion at the end of the third quarter and $1.24 billion at end of the fourth quarter last year. Our operating efficiency continues to improve quarter-over-quarter. AR turnover days were 52 days in the fourth quarter compared with 65 days in the third quarter of 2021. Inventory turnover days were reduced to 88 days in the fourth quarter compared with 171 days in the third quarter of 2021. Total debt was $4 billion at the end of the fourth quarter compared to $0.8 billion at end of fourth quarter last year. Net debt was $2.56 billion compared to $1.56 billion at the end of the fourth quarter last year. With the listing of Jiangxi Jinko earlier this year, our financial structure is expected to improve with access to competitive financing. This concludes my prepared remarks. We are now happy to take your questions. Operator, please proceed. Thank you. If you do wish to ask a question please press zero, one on your telephone, and zero, two to cancel. Our first question comes from Brian Lee with Goldman Sachs. Please go ahead. Hey, guys. Thanks for taking the questions. I guess maybe just to start off on the guidance, appreciate you giving the views for shipments here in Q1 and for the full year. I think, you know, customarily you've given gross margin guidance, not for the year per se, but at least for the out quarter. Any reason, I might have missed this, but did you provide the gross margin guidance and revenue guidance for Q1? And if not, kinda what's the rationale? And I guess, what are the puts and takes around the outlook for those metrics in Q1? Brian, this is Charlie speaking, and you're right. You know, in terms of guidance, we make some small changes compared to the couple of quarters before. We plan to only give the guidance for the shipments. In terms of gross margin revenue range, firstly, we want to be consistent with because our subsidiaries in China has been invested in China's capital market, so we want to make the consistency with the regulations in China, which the entities did not provide any gross margin guidance or as well as the revenue range. Second one is in terms of gross margin, because, you know, the supply chain is so volatile, and, we don't believe it's, you know, at this stage to give, the level, you know, the gross margin range is still in challenge. Okay. That's fair enough. Maybe at a big picture level, you know, gross margins came in sort of right above the high end of the range for 4Q. You know, kudos to you for good execution on that. Are you saying that the supply chain slash margin environment is more uncertain in Q1 2022 than what you saw in Q4 2021? You know, the poly still, you know, the polysilicon price is still well, you know, above our expectations. In terms of gross margin, we expect some, you know, pressures from that perspective. From the long-term perspective, we think the poly price will return to a, you know, more rational level, particularly with more supply, you know, production volume from poly producers in the second half year. Okay. Fair enough. For Q4, you know, there was a good amount of non-module shipments. What was your kind of gross margin delta, roughly between modules and non-modules? Were they same range or, you know, higher on the non-modules? If higher, what sort of, you know, percentage or, you know, basis points difference? You mean the Q4 last year or Q1 this year? Sorry. Yeah. Asking about Q4, and then I guess, the follow-up. Okay. To that would be what's embedded in your shipment guidance for 2022 in Q1 in terms of, you know, wafer, and non-module versus module? You know, for the 2022, the guidance for Q1 as well as, you know, the full year, the majority of part is the module. You can take the guidance as the module shipments. Regarding the Q4 last year, we did have some, you know, the 600 MW, you know, for the wafer and cell, you know, shipments. It's for the low efficiency, you know, wafer and cell. The margin is roughly very low. I think, you know, if you excluding the wafer and the cell margins, the module margins will be a little bit better than the total amount. Okay. That's great. Last two housekeeping ones, and I'll get back in the queue. The CapEx guidance for 2022, might have missed that, but do you have a CapEx range or number for this year? And then, I noticed the tax expense was much higher than usual in Q4. You know, maybe what was the driver of that? And should we be modeling a similar tax rate in 2022? It seems like it was high 20%, sort of close to 30% in Q4. Thank you. Yeah. You know, this comes from me? Yeah, this is for CapEx. Please go ahead. Yeah. First, CapEx for last year, 2021, and it's approximately $1.3 billion. We expect some new capacity in this year. It might be around $1.8 billion-$1.9 billion. Just lastly, on the tax rate. The what? Yeah, the tax rate, you know, it's in the range of 15%-20%. Okay. Thanks, guys. I'll pass it on. Thank you. Our next question comes from Philip Shen with Roth Capital. Please go ahead. Hi, everyone. Thanks for taking my questions. Just wanted to revisit the margin question for Q1. You know, there are just three days left in the quarter, so you guys probably have a sense for where margins are. What do you think could still drive or change, you know, be a material kinda impact versus your view, given how late in the quarter we are? What do you think, can you give us a sense for, you know, how do you expect margins in Q1 to be flat versus Q4 or potentially weaker as a result of the higher poly price? Thanks. You know, in terms of margin in the first quarter, I think it's roughly, you know, be flat, you know, quarter- over- quarter, and maybe slightly lower because of the polysilicon price and as well as, you know, the RMB, you know, it's the appreciation, you know, standards, you know, particularly, you know, January and February. Okay. Thanks, Charlie. Shifting back to some comments I think Gener made about Europe and the demand there. I was wondering if you could provide a little bit more color on how demand has changed over the past four weeks to the European market. Do you also serve the European market from your Southeast Asia facilities? Any kinda color there would be really helpful. Thanks. Thank you, Phil. This is Gener. For the global demand of 2022, we are pretty optimistic about the global demand, especially what happened in the last, let's say three to four weeks' time in Europe. We have observed quite a stronger than expected demand coming from Europe, plus the, you know, this rush in India, and also the recent, excuse me, the recent strong push from China side. You know, adding everything together, we are, you know, looking at the global demand at the range around 240-250 GW range. Regarding Europe, we believe European market will beat 30 GW pretty soon, as a whole. Currently we still supply European market from China manufacturing base. Our non-China factory base is mainly the origin for U.S. market right now. I hope that answered your question. Yeah. Gener, that's great. Thank you. As it relates to the capacity expansion, you know, I think last quarter you guys were expecting wafer cell module to be 40, 40 and 50 GW respectively, and now you're expecting it to be 50, 40, and 60 GW. Wanted to see if you could help us understand, you know, what's driving that meaningful increase in capacity. It seems like it could be related to the stronger demand, but was wondering if you might be able to share more there. Then can you talk about, you know, if you expect 2022 to be, you know, call it 35-40 GW, how much of that is booked already for the year? You know, you often have bookings well in advance, and so do you, do you think that's 50% booked or possibly even more? Thanks. Hi, Philip. Let me briefly talk about this topic. For the capacity expansion, yes, we have seen a stronger than expected demand, but mainly, we are holding the confidence about the long-term momentum of the stronger global demand. That is one of the important reasons why we expand our capacities. Meanwhile, you know, we, you know, noticed that lots of capacity will release in the second half, even year-end. That might, you know, help us, you know, to meet the demand, not only in 2022, but also in 2023 and, you know, 2024 even. For the booking side, I think we are looking at our bookings. We are more or less around half bookings based on our plan, and we are trying to build more. Very important note here is that we are witnessing a stronger than expected demand for the N-type product. That's, I think, the key highlights. We're trying to expand our capacity. The focus will only be the expansion on the N-type product. Thank you. Okay, great. Thanks. One last question for me. As it relates to the shipments from Vietnam and Southeast Asia into the U.S., have you guys been able to get new volume of shipments into the U.S.? I think it's you guys have non-China poly going into modules. If so, when do you expect those shipments to arrive at U.S. shores without being impacted by the Hoshine WRO? Thanks. For that, I think we have seen some positive feedback in the last couple of weeks. We have seen some smaller volume, let's call it samples, have been accepted and passed through the CBP inspection. We are expecting you know to build a trustworthy tracking system to make sure that all the shipments going to U.S. market will be fully compliant with the CBP and the WRO requirements. With that, we relaunch or we started our non-China productions, I think in the last month or two. Back to your question, we haven't got any massive, let's say 100-megawatt level of shipments arrival in U.S. border yet, but we're still holding the positive views about the future shipments to U.S. market. For sure, there are still some concerns on this recent filings about this anti-dumping stuff, but we will keep a close eye on it. In general, I think we have one of the best solutions in the industry with our vertically integrated non-China production bases. Okay. Thank you very much, Gener. I'll pass it on. Thank you, Phil. Our next question comes from Alan Lau with Jefferies. Please go ahead. Thanks a lot to the management for holding the meeting, and congratulations on the good details. My first question is about the new TOPCon product. On a per watt basis, what do you expect the premium of TOPCon products versus PERC products? Thank you for your question, Alan. This is Gener Miao speaking. Regarding the premium, it's hard to justify, you know, general numbers, but we are building the business model based on, you know, profit sharing business model with our customers. In some cases, we might share, we might get a bigger premium. In some cases, we might get a smaller premium, based on, you know, different markets, different radiation conditions, different, system designing or, you know, et cetera. It varies a lot. But in general, we are seeing, you know, the N-type premium in the current stage, we are seeing N-type premium stay around $0.02-$0.03, but we expect that may become up and down a little. We still are pretty optimistic about this stronger than expected demand about the N-type product. Thank you. Thank you. It's around $0.02 to $0.03, and I wonder, in terms of the margin, would this be better compared to the PERC products? Yes. You know, this is Charlie speaking. It's for sure, you know. You know, the new product, you know, in time, we can get the price premium as well as we are in, you know, on the progress to ramp up our capacities to make the, you know, the cost, integrated production costs is competitive with traditional PERC product. Thank you. Next question relates to the European markets, because there were ambitious installation targets with the REPowerEU initiative, et cetera. At the same time, actually, euros have depreciated, so meaning that probably modules is module prices is increasing to them. I wonder if the company sees still strong demand on the European market in the second quarter versus the first quarter. Do you see quarter-over-quarter growth with probably higher module prices? Okay, this is Gener. Let me take this one. The European demand is stronger than expected, especially in the recent three to four weeks time. We can feel the stronger than expected demand mainly coming from this, not only from the distributed generation market segment, but also coming from the utility side as well. We have seen, you know, quite several, let's say, headwinds around the stronger demand from Europe. One of the challenge just mentioned by you is currency exchange rate. The other challenges are like the logistics cost. You know, the shipping costs continue to climbing up, which is, you know, big impact factors. As well as, you know, just the cost of raw material like the polysilicon, like aluminum frame, et cetera. Having said that, you know, because the local electricity cost is higher and higher, so we can expect that even with a slightly higher than expected module or solar system cost, you know, the solar system or solar electricity from solar system is one of the most competitive electricity contributors across the whole Europe. That's the reason why we are holding a very big confidence on the European demand, not only for the next coming quarters, but also for the next coming even, you know, three or even five years. Did that answer your question? Yeah. That's very comprehensive. Thanks a lot. Yeah. Thanks for management. I've finished all my questions. Thanks a lot. Thank you. Our next question comes from Rajiv Chaudhri with Sunsara Capital. Please go ahead. Good morning, first of all, I want to congratulate you on an amazing fourth quarter as well as on a very successful IPO. Those are big game changers for JinkoSolar going forward. The question I wanted to ask you, I have several questions. The first question is about operating expenses. You had noted that the big change from quarter to quarter in the operating expenses, which was almost $100 million, was because of shipping expenses. Yet, when I look at the line items, the G&A went up from $60 million in Q3 to $122 million in Q4. Is there any shipping expense included in the G&A? Can you just explain why G&A went up so much and what the components are of that, and how sustainable that is on a go-forward basis? Because G&A has been trending at $50 million-$60 million for several quarters now, and all of a sudden it has jumped up 100% in one quarter. So that's my first question. Hello? Operator, I cannot hear anything. Hello, this is Charlie speaking. Yes. You know, regarding the, you know, the, I think the G&A expenses, it's you know, it's because you know, the increase of the fourth quarter is particularly you know, some G&A expenses, it's relating to the employee you know, year-end bonus, as well as we have incur additional you know, expenses relating to this year company listings. It's you know, it's some of the part is not recurring. Looking. I think the most important is looking to 2022, and we plan you know, a significant increase of revenue shipment, you know, 35-40 GW, versus 25 GW. In terms of operating expenses, including everything, you know, we think it's, we are going to benefit from the, you know, leverage of the large scale and operating expenses versus, you know, the total revenue will continue to drop quarter by quarter. Absent the employee bonuses, would you say that, at least in the first few quarters of the year, G&A will drop back to the $60 million range, and then the employee bonus will kick in at the end of the year, I assume? No. It's, I think the major part is, you know, the incremental part or the major part is the IPO expenses as well as the legal expenses. We, you know, we are doing a lot of, you know, legal related work, particularly, for example, the WRO in the U.S., right, and the litigation with the patent. For the year-end bonus, we did accrue quarter by quarter. Because we have better, you know, performance, particularly in the fourth quarter, the employee, you know, the bonus is relatively higher in the fourth quarter because it's based on the better than expected year-end performance. Okay. Charlie, my next question is about the shipping costs. At this point, you know, it has become very clear that the shipping costs will stay higher for longer than was originally thought maybe a year ago. Are you having any success in passing the shipping costs and the risk of changes in shipping costs to the final consumer, or you are still having to swallow that cost and its volatility by yourselves? Sure. Shipping costs were firstly if the shipping costs will continue to remain at high level throughout 2020, 2022. Given the solar energy is very competitive, a lot of markets are highly demanding for the solar modules. We are seeing our flexibility from the, let's say, the customer acceptance for the higher module price, including the shipping cost. Based on our experience with customers, we are, I think, able to pass through the majority part of the shipping cost to our customers. Charlie, as you are looking out at Q1 is almost over, Q2 and beyond, it's clear that at least for now, polysilicon costs have also been higher and may stay higher for longer, especially in the second quarter. Does that mean that module prices will continue to grow, go up? Would you say that module prices in Q1 were higher than Q4, and Q2, they'll be higher than Q1? Last year in Q4, you know, the module price, you know, market price is reaching to extremely high, almost over, you know, I think RMB 2 in some cases. It's lower a little bit in the first quarter. Given the high polysilicon price, particularly in the first half year, we're expecting, you know, strong demand and relatively shortage of polysilicon. We are expecting the, you know, the module price will remain stable and may have upward pressure. In the second half year, given more, I think the polysilicon supply, we are relatively, you know, optimistic for the downward trend for the polysilicon. Are you giving yourself some pricing flexibility in the way you are writing your long-term contracts, so in case silicon prices stay higher for longer, you are not squeezed by that? I see we have different arrangements, you know, with our customers. Some of the customers, module prices, they have something kind of linkage with the spot market polysilicon. Some of the contracts are, you know, fixed. The ones that are variable, are those going up as a percent of total contracts? Excuse me. Can you speak again? Yeah. The number of contracts where module pricing is variable based on the spot price of polysilicon, is that kind of contract gaining in popularity right now? I think depending on different regions, different customers. It's hard to say, but some customers they like to, you know, based on their estimations, they are more pessimistic, you know, pessimistic or optimistic for the polysilicon price. Some of our customers, they're more confident, you know, on the projections of polysilicon price. They may, you know, like to have the variable arrangements with us. Okay. Final question is on the N-type. You mentioned that you have about 16 GW of N-type operational right now. You also mentioned that the target for capacity for N-type cells at the end of 2022 is also 16 GW. I don't understand. You're not increasing the N-type cell capacity at all this year? The N-type- Did I read that wrong? The 16 GW. Yeah, the 16 GW is getting online, you know, in the first quarter, but it's in the ramping up stage. By the end of this year, we didn't have plans so far to increase again. That is, you know, the N-type, the 16 GW is new for 2022, but it's getting ready in first quarter. That is why, you know, when we give the guidance, you know, by the end of the year, the N-type capacity is 16.9 GW. You're saying right now it is not 4 GW a quarter? Sorry. Let me explain. We get, you know, 16 GW N-type, you know, TOPCon cell capacity online in the first quarter. The 16 GW is annual capacity, and it's in the ramping up stage, and we expect the capacity will reach to full capacity by, I think, by end of second quarter. You know, so far we have already get, you know, 16 gigawatt capacity for the N-type. The goal for end of the year is also 15 GW N-type. Out of the 40 GW cell capacity, the target is only 16 GW N-type, or did I read that wrong? You're right. Because by the end of last year, we had only, I think, 24 GW cell capacity. The additional new 16 GW this year. Total number 40 GW. Okay. I'll take it up later, Charlie. Thank you. Congratulations again. Thank you. Our next question comes from Tony Fei with Bank of China. Please go ahead. Hi. Thanks, management. Thanks for your time. This is Tony Fei from BOCI. I have two questions. First one is also a follow-up on the N-type products. I understand the new plants are still ramping up and you may not have the final figure on the cost side, but maybe can you speak of the kind of by design these new N-type products? Their wafer, are they thinner compared to the PERC products so they consume that poly? Tony, can you repeat your question regarding the N-type? Yeah. You mean the wafer? Yeah. I mean The N-type wafer. Yeah, the wafer and cell, their thickness, are they thinner compared to the PERC modules so they consume kind of less polysilicon. It will help on your cost of production side? Yeah, you're right. You know, we have that advantage, you know, for the N-type, not only the TOPCon cell, you know, solar cell productions, as well as we are, you know, doing the N-type wafer, you know, N-type modules. For the N-type wafer, it's has an advantage of, you know, thinner, you know, the wafer, right, compared to the P-type. Okay. From the, you know, the perspective, I think, you know, N-type wafer, you know, it could get some advantage from the, you know, consumption and less consumption of the polysilicon. Got it. You just said that you are not going to add new N-type cell capacity this year. If in the coming quarters you see the premium of the N-type products is certain enough, do you think that you'll continue to invest in the future and early retire your existing P-type cell capacities? You know, for the next stage, you know, capacity expansion plan, we are still evaluating. You know, let's say if we plan to invest additional more, you know, let's say solar cell capacities, it's 100%, it's a TOPCon N-type, you know, cell capacity. But at this stage, we are still in the evaluation stage. Okay. Got it. Thanks. My last question is on your product mix. Last year, I guess your DG shipment should be around 30%-35% of the total market shipment. In this year, do you think the share of DG products should be higher than last year? And how does it help your margins? Because some of the new DG sales should be coming from China market, so will it still be higher, maybe sales channeling and sales expenses on the price? Yeah. I think you prepare remarks by Gener, and we mentioned, you know, the DG roughly will increase around, you know, 40%, which is 30%-35%. It will, you know, we will focus not only, you know, in the overseas markets as well as China DG markets. Okay. Do you think, the DG, kind of in the margin side, do you think the DG product is higher than the regular grid scale products? Yeah. It's helpful. You know, DG, it's you know, the HP, you know, the customer, the sensitivities for the price is more is better, you know. We expect to get more higher margin and from the DG perspective. Okay. Thanks a lot, Charlie. That's all from me. Okay. Thank you. This is the end of today's call. Thank you all for participating. You may now disconnect your lines.