ZTO Express (ZTO) Q1 2023 Earnings Call Transcript

For the period ending March 31, 2023

May 17, 2023 8:30 p.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Good day and welcome to the ZTO Express First Quarter 2023 Financial Results Conference Call. All participants will be in listen-only mode. [Operator Instructions] Please note this event is being recorded.

I would now like to turn the conference over to Sophie Li, Company Secretary. Please go ahead.

Sophie Li

Thank you, operator. Hello, everyone, and thank you for joining us today. The company's results and an investor relations presentation were released earlier today and are available on company's IR website at ir.zto.com.

On the call today from ZTO are Mr. Meisong Lai, Chairman and the Chief Executive Officer, and Ms. Huiping Yan, Chief Financial Officer. Mr. Lai, will give a brief overview of the company's business operations and highlights followed by Ms. Yan, who will go through the financials and guidance. They will both be available to answer your questions during the Q&A session that follows.

I remind you that this call may contain forward-looking statement made under the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements are based on management's current expectations and current market and operating conditions and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond the company's control, which may cause the company's actual results performance or achievements to differ materially from those in the forward-looking statement.

Further information regarding this and other risks, uncertainties and factors is included in the company's filings with the U.S. Securities and Exchange Commission. The company does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under law.

It is now my pleasure to introduce Mr. Mason Lai. Mr. Lai will read through his prepared remarks in their entirety in Chinese before I translate for him in English.

Meisong Lai

Thank you, Chairman Lai. Let me translate first. Hello, everyone. And thank you for joining us on today's conference call. In the first quarter of 2023, our business volume reached RMB6.3 billion, up 20.5% year-over-year, and our market share increased by 1.8 percentage points over the same period last year. We maintained our industry leading service quality ranking, while at the same time achieved an adjusted net income of RMB1.92 billion, up 82% year-over-year.