Nano Dimension Q3 2023 Earnings Call Transcript

Quartr
Provided by Quartr
November 14, 2023

There are 12 speakers on the call.

Operator

Good evening and good morning. Welcome to Tencent Music Entertainment Group's Q3 2023 Earnings Webinar. I'm Nelson Tu, Head of IR at the company. CNE announced its quarterly financial results today before the U. S.

Operator

Market opened and its release is now available on our IR website and via Newswire services. Today you'll hear from Mr. Ka Shing Kang, our Executive Chairman, who will start the call with an overview of our company's strategies and business updates. Next, Mr. Ross Liang, our CEO, will share additional thoughts on our platform strategies and developments.

Operator

Finally, Ms. Shirley Hu, our CFO, will discuss our financial results before we open the call for questions. Before we continue, I refer you to our Safe Harbor statements in our earnings release, which applies to this call as we will make forward looking statements. Please note that the Company will discuss non IFRS measures today, which are more thoroughly explained and reconciled to the most comparable measures reporting under IFRS in the company's earnings release and filings with the SEC. At this time, all participants are muted.

Operator

After management's prepared remarks, there will be a Q and A session. And please be advised that today's webinar is being recorded. With that, I'm very pleased to turn over the call to Kresien, Executive Chairman of the company. Kresien?

Speaker 1

Thank you, Melissa. Hello, everyone, and thank you for joining our call today. We are pleased that you report another quarter of strong growth in our online music services. Despite the top line headwinds from the social entertainment business, while adjusting certain industry wide live streaming interactive features We presented some challenges for the quarter. It ultimately placed us on even stronger footing For our long term sustainable development, as a case in point, our evolving businesses have become more resilient, Illustrated by group wide margin expansion and strong cash flows for the quarter.

Speaker 1

What's particularly worth mentioning is our online music subscriptions. This business has registered accelerated year over year revenue growth. Growth momentum carried into the Q3 with expansion in both of our subscriber base and AR PPU. Our paying user base grew further to 103,000,000, a strong testament to the Board appealed And high value of our user products and services. Our impressive content offerings, compelling subscribers privileges And interactive product features together with strong execution enabled us to attract new subscribers while retaining existing ones.

Speaker 1

We are also pleased to see that monthly AR PPU expanded to RMB10.3. Thanks to disciplined promotions, effective member acquisitions and our high subscriber retention rates. These achievements will result from the solid execution of our dual engine content and platform strategy. It further unlocks the value of music and paved the way for our long term success. I'd like to share a few highlights.

Speaker 1

1st, we cultivate deeper, mutually beneficial partnerships with record labels and artists. Our insights across content and users as well as our holistic approach to growing the industry supported our strengthened cooperations With Music Partners. For instance, we strengthened our collaboration with TF Boys on the 30 day Head start the release of their 10 year anniversary single See You Tomorrow as well as the sale of their themed album 10 years To amplify user engagement and strengthen their bond with the artist, we launched several online song guessing contests And music based interactive features for this single. We expanded our partnership with YG Entertainment into ticketing, Where we opened a dedicated channel for users to purchase Blackpink's concert tickets, further expanding subscriber privileges. In addition, we formed a new partnership with Cube Entertainment, bringing in a prominent lineup of brands and groups Such as B2B, Pentagon, G Idle and Lightsong.

Speaker 1

This collaboration not only enriched our music catalog, but also grant us the privileges of a 30 day head start period for new song releases. Each of these examples strengthens our rush cycle and creates win win situation. Our evolved relationships with artists and labels fortify our music ecosystem, bringing more in turn Privileges to our users, while also creating prosperity for all stakeholders along the industry value chain. 2nd, leveraging TME's integrated resources and expertise, we expanded our industry influence by assisting artists at different stages with their career growth. With respect to top tier artists, in August, We host an online offline concert for Zhou Shen celebrating the 9 year anniversary of his debut, Highlighted by sales of sought aftertakers and social media buzz of nearly 2,000,000,000 event views in just 3 weeks.

Speaker 1

This event generated great excitement and acclaim among users. As for our strategic partnership, Artists, this quarter, we assisted Tia Wei with her appearance at the Mid Autumn Festival Gardens Organized by CCTV and Wulan Satellite TV, significantly increasing her influence nationwide. Among our emerging musicians, we have Wang Yi Lo, our indie musicians, perform and showcase his talents On the Vibhaji show, The Treasured Voice, through music exposure and social media, we helped him attract more users to explore his original songs on our platform. In Q3 this year, we also had over 20 up and coming musicians Forming at LINE Music Festival, many rising musicians from our Tencent Musician Program Showcased their talents at the Coca Cola sponsored 2023 Summer Limited Refreshing Music Festival. Such activities with high quality brands also encourage us to further explore sponsorship advertising opportunities.

Speaker 1

3rd, we enhanced our technology capabilities in content creation, promotion and distribution. Some of this content also recorded initial success overseas. In the Q3, VENERS Introduce a Zero Shot AI powered music production tool featuring fast and convenient generation of a user's AI voice To produce musical works, Kugao Music's vocal producer also upgraded its functions to allow AI generated Music content in multiple languages. Through a brief training session, it can effectively and efficiently produce songs in Mandarin, Cantonese, English, Korean and Japanese, both tools substantially boosted creators' creativity. TME's initial promotion and distribution toolkits such as the TME Music Cloud and Google's To More Music platform Big advancement in helping record labels, creators and musicians efficiently promote their musical work.

Speaker 1

Our deep industry insights and ASUS data and analytics enable us to successfully promote Chinese songs overseas. For example, we helped Angela Zhang's Biz and Yang Junan's Summer Love Chart on various popular music lists in Singapore during the quarter. Moving on to our continued efforts on VSG. In the Q3, we joined Han with Tencent's SSV and launched our 2023 Youth Music Tech X program, Inviting high school students to explore our technology inspired music journey. Working side by side with the student, We commissioned a film song, the most beautiful sound in the world, to campaign the public air And support the hearing inspiring senior citizens.

Speaker 1

In addition, we organized a special music education project, Music Garden Space to help children from ethnic minorities and remote areas appreciate the beauty and power of music. These initiatives demonstrate the value and positive influence we can bring to a wide range of communities. In summary, our holistic and strategic approach is strengthening and expanding our capabilities, Making our platform and ecosystem increasingly robust, we continue to grow our music subscriptions and strengthen our partnerships with label and artists, Enriching our content and perpetuating our virtual circle. We are also fostering new talent And leveraging our adviser technology to support our efficient growth. This powerful combination and evolution will drive Our company's sustainable development in the long run and support the broader industry advancement.

Speaker 1

Now I would like to turn the call over to Ross For more color on our platform development, Ross, please go ahead.

Speaker 2

Thank you, Kanshan. Hello, everyone. Music is the heart and the soul of TME. I would like to begin by commenting that Qiu's Quarter 3 results highlighted the efficiency gains across our platforms. Specifically, Our ecosystem's strong platform scale and AI important technology have enabled us to transition into an increasingly robust music powerhouse.

Speaker 2

From the operational level, one key highlight is our effort to expand the application of AI technologies Across our products and services based on our upgraded music LMM. This quarter, we integrated our LLM integration platform, allowing third party models To be better integrated with an adaptive to the music vertical. With the power of AI, Better content connection and discovery. This quarter, we continued to upgrade our recommendation middle platform And enhanced personalized recommendations on each of our music apps. As a result, We reached a new record in the share of streams from recommendations as well as an increase in the number of songs added to users' personal favorites.

Speaker 2

We also significantly allowed the barriers to music discovery. For example, QQ Music introduced its Quick Listen mode, which allows users to listen to a song's Chorus and then quickly locate the full song. Another example is Kugomusic's revamped version, Featuring faster discovery of multiple songs, song covers, as well as AI rendered versions played by different instruments. 2nd, better facilitating music consumption through more User cases and entertainment scenarios. In the in car use case, we extended our Mobile and offerings such as our seamless user interface, premium sound quality And a tailored playlist to enrich in cabin music consumption.

Speaker 2

To increase our car coverage, we recently signed additional car models, including Mercedes Benz Smart And more BYD models. Partnering with the hardware manufacturers, we led the industry by leveraging Qualcomm's latest AI computer capabilities to enhance users' music listening experience with richer details and more vivid sensations. In terms of broadening entertainment content consumption, We customized our music services, including content production, promotion and data analysis Crossing the areas of film and television, gaming and animation. Through tailored music works, we create unique touch points for original IPs, unlocking their value. For example, WeCo produced both the same and undercredited songs for the blockbuster We also produced original soundtracks from mobile games, including Peacekeeper, Allied, Crossfire and Dungeon and Fighter, all of which Have received widespread acclaim.

Speaker 2

3rd, for our immersive user connections, We have created a striving community where music lovers can bond ultimately making Their experience on our platform more enjoyable and long lasting. For example, QQ Music launched over 30 interactive song guessing contests featuring artists such as J Cho, Zhou Shen, Blackpink and Teams in Times. These events quickly went viral across social media platforms And our in app community and fund growth amplifying TME's influence. To sum up, these three dimensions of connections inspire us to further unlock music's value. Increasing efficient.

Speaker 2

Our online music business has become Diversifying and crucial growth pillar. Social entertainment services Remain adaptive as part of our holistic music offerings. For 2024 And the years ahead, we will stay laser focused on providing enlightening user experiences We are driving operational efficiencies across the platform. With that, I will turn the call over to Shirley, our CFO for a deep dive into our financials.

Speaker 3

Thank you, Lars. Hello, everyone. Next, I'll discuss our results from financial perspective. In the Q3 of 2023, revenues from online music increased by 33 to RMB4.6 billion on a year over year basis, driven by strong growth in our music subscription and advertising business. Our total revenues were RMB6.6 billion, down by 11% year over year Music subscription revenues in Q3 reached RMB3.2 billion, up by 42% year over year up by 0.1 percent year over year, representing net adds of 3,600,000 users sequentially.

Speaker 3

Marketing up was RMB10.3, up by 17% year over year and 6% sequentially. Mark is 6 consecutive quarters of growth and another record high amount. This will result from our products more appealing member privileges, interactive product to futures, Attractive music content and the dissapined promotion and the member acquisition strategies As well as a high subscriber retention rate. Additionally, revenues from advertising achieved strong growth On a year over year basis, as our diversified product portfolio and the innovative AD formats, Including AD supported model and a sponsorship advertising are highly attractive to advertise high subs. Our campus music contest, QQ Music 2023, young music contest, trend music competition, And the Coca Cola sponsored 2023, summer limited refresh music festivals were 2 good examples of how Social entertainment services and other revenues were RMB2 billion down by 49% year over year.

Speaker 3

The decrease was mainly caused by our adjustments to certain live streaming and active functions and the most stringent company as procedures Gross margin in Q3 was 35.7%, up 3.1 percentage points year over year, Primarily due to the following factors. First, our milk subscription revenues had strong growth this quarter. Specifically, Expansion in paying user base and improvement in monthly AR TPU both had a favorable impact on our gross margin. 2nd, our advertising revenues also had a strong growth, which also benefit our gross margin. 3rd, as we gradually ramp up our own content, it has positively impacted our margin.

Speaker 3

As you see here, Shifting to win win relationships with laborers and artists and increasing subscription ARPP. Over the past several years, I've enabled us to move to a healthy margin model and more than offset the impact from decline in live streaming revenues. Now moving on to operating expenses. Total operating expenses for Q3 were RMB 1,300,000,000 or 19.3 percent as a percentage of total revenue, down by 0.2% from 19.5 percent of total revenues in the same period last year. Selling and marketing expenses each promotion channel and improve the effectiveness of promotions.

Speaker 3

General and administrative expenses were RMB1 1,000,000,000, As a result of improved headcount efficiency and the basis related to the Hong Kong secondary listing incurred in the same period of 2022. Our effective tax rate for Q3 was 12.2 percent. For Q3, our net profit and net profit attributable to equity holders of the company attributable to equity holders of the Company were RMB1.5 billion and RMB1.4 billion respectively. As of September 30, 2023, our combined balances of cash, cash equivalents and term deposits were RMB as compared with RMB30.5 billion as of June 30, 2023. Such combined balances was also affected by the change in exchange rate of RMB to USD at different balance sheet dates.

Speaker 3

In March 2023, we announced a share repurchase program of US500 million dollars. As of September 30, 2023, we had repurchased 15,800,000 ADS from over the market with cash for a total consideration of approximately US103 million dollars. In conclusion, our music subscription business has demonstrated a strong growth trajectory prepared by Quarterly growth in both AR PPU and the paying users, and we expect such trend to continue with a keen focus on RSC management Last but not least, we will keep investing in new products and services, high quality content, This concludes our prepared remarks. We are ready to open the call for questions.

Operator

Thank you, Shelley. Hello, everyone. If you have value in And then the first question comes from the line from Alicia Yap

Speaker 4

Congrats on the solid results. I'm going to ask the questions and Mandarin first. I'm going to translate myself. So I wonder if management can share your preliminary view on your expectations For the online music's revenue growth in 2024 and how you expect the business and The competitive landscape to evolve in the next 3 years. In addition, wondering if management could share how you think the macro environment might affect the growth prospect in next year and also the next 3 years?

Speaker 4

Thank you.

Speaker 1

Thank you for your questions, Alicia. And I think 2023 is a critical year for us. We have been transitioning and First, we responded quickly to the challenges facing the live streaming industry, taking proactive actions to our social entertainment business and making it more sustainable. Secondly, we continue to drive the prosperity of our music ecosystem While diversifying our revenue streams. And thirdly, our core business like the online music subscriptions and advertising record the robust growth Amid an evolving macro environment, so you can see this in our second and third quarter financial results.

Speaker 1

For 2022, I think that assuming we are going to have a stable external environment and we see the opportunity to drive our overall top line growth and margin expansion compared to 2023. Especially, we will continue to drive solid growth of our online music business The subscription revenue driven by the subscription base growth and also AR PPU expansion as well. Outside of the subscription revenue, we expected The revenues from advertising and new initiatives such as artist merchandise to continue to grow healthily. For the social entertainment services, we will continue to execute our current operational strategy with The backdrop of the macro factors and competition for 2024, our primary target is to stabilize the business And better serve our core users. As a part of our holistic music ecosystem, we expect our social entertainment business to continue generating a healthy In 2023 and continue to drive both gross and net margin expansion.

Speaker 1

For the 3 years outlook, I think TME's core businesses, especially our online music services, still have lots of room to grow over the next 3 years. We are excited to see the growth opportunities in existing areas including the subscription, AR PPU, advertising and more potential from the long form Audio as well. In addition to the online music services as well, we have been extending our rich and expanding capabilities along The entire music value chain, we have successfully developed our new monetization models to increase our target addressable market With the diversifying revenue streams and these include the live performances like concerts and music festivals, Artist Merchandisers and more. With all these initiatives still in their early stage, we believe that we have built A strong foundation to tap into more areas for the long term growth. So in a nutshell, I think that we are glad that our core businesses like the online music service Show great resilience amid the current macro environment, and we are confident that our content and platform dual engine strategy We'll continue to capture more opportunities for our future healthy growth.

Speaker 5

Congratulations management for very strong quarterly results, especially the subscription business. My question is related to our ARPU growth. So Q3, we have achieved record high Absolute number and also on a year over year and sequential growth basis. Going forward, Because our blended output is still even lower than our Double 11 promotion price and a lot of Users are paying the auto renewal price of RMB15. So how should we think about the Trajectory, how much visibility do we have for continuing this very strong ARPU growth in the next 2, 3 years?

Speaker 5

Maybe because there is also a macro issue, deflationary environment, also competition with NetEase, which is still charging at a lower price than

Speaker 6

Thank you very much. Thanks for the question. Well, regarding the RAB, actually we maintained RAB growth for 6 consecutive quarters. For this quarter, it's already RMB10.3. And because we also continue to downsize our promotional events and also make The membership benefits more attractive and we also adjusted the price policies.

Speaker 6

Well, at the same time, you can see that we actually Make some concessions regarding the discount rate for the consecutive subscription business, but we're also proactively adopting the effective operational strategies. Therefore, we will be able to retain our users. That's the reason our RAB in Q3 of this year actually show a very good performance. Well, at the same time, we are still very confident regarding our future subscription business revenue growth. You were also asking about the Q4 performance and we're also very happy and confident we're going to grow the number.

Speaker 6

In the second part of your question, you asked about the outlook for the next 3 to 5 years. And you mentioned actually our fee is around RMB 50. And we're going to keep an eye on the industrial competition, our own operations, and also factoring the elements you mentioned, for example, like inflations, And then to further optimize our performance.

Operator

Okay. The next question comes from the line of Zhang Lei from Bank of America Merrill Lynch. Zhang Lei?

Speaker 7

Thanks management for taking my question. Notice that our gross margin is pretty on track in past quarters and reached a Record high since 2019. And can you share with us the trend of music and social entertainment business in terms of gross margin and how should we look at the margin trend going forward? Thank you.

Speaker 3

Gross margin is 35.7% in Q3 increased by 4.1% year over year due to the factors as follows. 1st, MEWS subscription revenues had a significant growth expansion in paying user space and improvement in mass AR PPU Both had positive impact on our gross margin. 2nd, the robust growth of advertising revenues also has a favorable impact on gross margin. 3rd, we gradually ramp up our self owned content which benefit our gross margin. 4th, We optimized the content cost model of ROC and increased ROC requirement of content cost.

Speaker 3

Our online milk revenues growth ratio And 6th, after the adjustments to live streaming business, the proportion of revenues from raising membership And the advertising in social entertainment revenues have increased, which had a favorable impact on our gross margin. And the statement, the optimized technology and operation strategy related to bandwidth and the shortage capability And improved utilization of our service and equipment. Our gross margin has improved for 6 consecutive quarters. Looking forward Q4, we expect subscription revenue and advertisement revenue will continue to be strong growth. On the cost side, we expect our in house made content will have positive impact on gross margin continually, And we will continue to increase our operational efficiency and monitor cost items by our same model.

Speaker 3

Despite the live streaming revenue will be decreased in Q4, we expect our gross margin will be increased sequentially And look forward in next 3 to the next year, we expect our gross margin will be increased,

Operator

Okay. The next question comes from the line of Lincoln Kang from Goldman Sachs. Lincoln, please.

Speaker 8

Thank you management for taking my question. So my question is about the online music business, the non subscription business. So first of all, can you elaborate a bit more on how this business in terms of different segments doing in the 3rd quarter, so including advertising, supply sense, digital album etcetera, we're particularly interested in advertising business trend into the Q4 As we just passed the singles day, so how do we see the advertising ramping up For the year or for this Q1 and when we think about the 2024, what are the areas we think still have

Speaker 6

Thank you very much. Thanks for your question. In Q4 of this year, and we do believe we're going to maintain a good growth for the subscription business As long as what we've seen performed in Q3 of this year, we're regarding the advertising business, because in Q4 of the year, we're going to have a Double 11 shopping festival. We do believe that Q4 performance would outperform Q3. Well, regarding the outlook of 2024, and in 2024, we believe our subscriber base will continue to grow, But maybe the growth rate would be slowed down compared with 2023.

Speaker 6

Regarding the subscription business model in 2024, besides working on the mobile I engine Solution, we're also going to intensify our efforts in the in car application and IoT application. We're also going to step up our efforts regarding the Super VIP business, Providing additional functions like the effect of the music and the tones of the music, and we're also going to continue to roll out Regarding the revenue from the advertising business and for next year in 2024, We still would like to give a positive attitude over the total economic growth. So we're going to maintain our revenue growth target Regarding the growth for next year and besides what we mentioned in the ad supported mood, we're also going to intensify our efforts Regarding the commercial promotion, I'm working to leverage the commercial promotion along with the Airfly events and concerts Because as of doing, we will be able to make sure we find a deep bond between our commercialization and aircraft events. This would also be a great growth driver for our next year advertising business.

Speaker 8

Okay.

Speaker 9

My question is relating to AI and LLM. Given we have been seeing AI is so important on content creation And also supporting our musicians and also driving the user engagement. I just want to get some color with regard to our 3 year strategies In LLM and AI. And what kind of what level of spending should we expect over the next

Speaker 6

Thank you very much. Thanks for the question. Regarding the AI related question, I believe we're going to in line with what has been provided by our parent company Tencent, we do believe AI is going to be a very strong and robust driving force We already know that due to our relationship with Tencent Group and for some basic models, Actually, we're not going to dive deep for more research because Tencent Group has already released its Huan Yuan system. And we're also going to leverage So what we're going to do in the near future is to leverage the existing RRM to fully support the solution with great integration, And we do believe that we will be able to seamlessly switch to the leading language models in the industry, including Bai Chuan, Kun Yuan and Yuan As you probably noticed, in Q3 of this year, we have already launched our music large module Connection Platform 2.0. And we are also fully committed in accelerating the model use and especially making the model be a part of our production system so that it can help us to trying to continue the low cost Well, you can also say that in the next 3 years, what we're trying to do is still leverage the existing LLM to continue to expand its application.

Speaker 6

For example, we already have the Listening Together product that is based on the updated LLM. In other words, it can allow the users to listen to the same music Well, at the same time, compared with what I mentioned in the fundamental LMM, what we're Trying to improve is actually our AIGC capacity, and we are also researching and adopting the leading engines in the industry, And some preliminary result has already been achieved in video, in graphics, and in audio. And, you know, some of the commercial result has already been harvested in our live

Speaker 2

streaming performance.

Speaker 6

In the near future, we will continue to invest and explore the improved innovation in the Institute. We're also going to join hands with our technical partners And music creators, so that we will continue to develop and to create in the content industry.

Operator

Thank you. The next question comes from Alice Yao from JPMorgan. Alice, please.

Speaker 10

Hi guys, can you hear me okay?

Speaker 8

Yeah. Yeah.

Speaker 10

Okay. Thank you management for taking my question and congrats on a good quarter. Successfully in the past few years sorry, past few quarters. Now that the revenue mix has significantly shifted towards Music, and on the back of potentially more online, offline, integration and, you know, The involvement in the offline music activities, how should we think about The sales marketing strategy going forward, for example, next year, are we still going to see a flattish or even slightly lower sales marketing Expenses versus this year, or should we think about as you focus increasingly more on music With more potential offline activities, sales marketing will gradually ramp up in the next few quarters. Thank you.

Speaker 6

Thank you very much. Thanks for your question. Yes, indeed, for the past few quarters, Our sales expense being well managed because we always adopt ROC to well manage our expenses. Regarding the future, actually, we do believe we're going to improve our profitability regarding the Music business, And we're still going to invest in the music channel business. But as we are adopting the ROC, we will be able to confidently translate the investment into returns.

Speaker 6

And co creation content, and we're also going to launch more of like events or activities. So for sure, we're going to need more promotional activities to do so. But because we adopted the ROI management methodology, so in other words, our investment is highly efficient and effective. Well, regarding the Q4 of 2023, as you probably noticed, Q4 is always the season packed with marketing and promotional events. So I think our sales and marketing expenses in Q4 of this year Regarding the 2024, the sales and data marketing expenses, from the absolute value perspective, it might be some growth.

Speaker 6

But compared with the revenue growth, I do believe our investment is truly efficient.

Operator

Thank you. And next question coming from Zhang Xueqing from CICC. Xueqing please.

Speaker 4

Follow-up on the questions about IoT. As I was mentioned before, you will expand IoT membership in the Future. So I'd like to ask about the question that, what's the scale of IoT and EV Emilio And how many are paying users? What's your plan to convert them into paying user in the future? And how should we think about the long term monetization potential?

Speaker 4

Thank

Speaker 2

you.

Speaker 6

Thank you very much. Thanks for your question. Regarding the IoT business, Our strategy is to make sure we have a very healthy growth for the loudspeaker and the TV business, where at the same time, we're also going to step up our efforts So as you probably noticed, for the loudspeaker and the TV business, because the future growth potential might be limited, what we're doing now is to try and to dive deep into the existing user base, making sure we have a very good monetization And also making sure we can grow the app in the existing customer base. Well, regarding the in car service, actually we attached its grading potential to the new energy vehicle As the new energy vehicle industry continue to grow and we also believe that in China, we also see ever increasing growth regarding the intelligent costs. So actually regarding the strategies for the in car business, We are going to make sure our content could be well provided into their driver in the cockpit.

Speaker 6

Well, at the same time, you know that still for us, we lead the way regarding the sound quality and also the sound effect. So we really want to make sure we continue with our high quality sound quality and sound effect in the in car service. And we also have our indigenous technology regarding the primary sound quality and also the DUV sound effect, making sure the users, when they are in their car, they can also enjoy the high quality service from us. Well, for the past 2 years, we also clearly noticed that the user app From the absolute value perspective, the in car service is better than the mobile end service. While at the same time, We also noticed that what we're doing now is still trying to expand the user base for the in car service.

Speaker 6

When we grow our customer Based to certain number, we're going to leverage more commercial activities and strategies to turn them into the back paying user.

Speaker 8

Thank you.

Operator

With the interest of time, we take the last question from Wei Shiong from UBS. Wei Shiong, please.

Speaker 11

Thank you management for taking my question and congrats on a good quarter. My question is around shareholder returns. So good to see the The timing and maybe the pace of the buyback execution and also what are the ways do we think about to drive better shareholder returns? Thank you.

Speaker 6

Thank you very much. In Q1 of this year, we've announced a US500 million dollars share repurchase program For repurchasing the Class A ordinary shares, as of September 30, 2023, we made cash repurchases of approximately 50,800,000 ADS in the open market for a total consideration of USD 103,000,000. We will continue to keep an eye on the market, especially the latest market trend and also capture opportunities to create more value for our shareholders. By keeping an eye on the market, we will also consider further repurchase program if the time and opportunity allows.

Operator

Okay. With that, I'll turn the call over to Keshna for closing remarks.

Speaker 1

Thank you, everyone, for joining us today. If you have any further questions, please feel free to Thank you. Thank you.

Powered by Quartr
Earnings Conference Call
Nano Dimension Q3 2023
00:00 / 00:00