PDD Holdings Inc. (PDD) Q4 2022 Earnings Call Transcript

PDD Holdings Inc. (NASDAQ:PDD) Q4 2022 Earnings Conference Call March 20, 2023 7:30 AM ET

Company Participants

Chen Pang - Investor Relations

Chen Lei - Chairman and Chief Executive Officer

Liu Jun - Vice President, Finance

Conference Call Participants

Joyce Ju - Bank of America

Kenneth Fong - Credit Suisse

Ellie Jiang - Macquarie

Operator

Ladies and gentlemen, thank you for standing by and welcome to PDD Holdings Inc. Fourth Quarter and Fiscal Year 2022 Earnings Conference Call. [Operator Instructions] I must advise that today’s conference is being recorded. I would now like to hand the conference over to your host today, Mr. Chen Pang. Sir, please go ahead.

Chen Pang

Thank you, operator. Hello, everyone and thank you for joining us today. My name is Chen and I will help host the earnings call. PDD Holdings earnings release was distributed earlier and is available on IR website at investor.pddholdings.com as well as through GlobeNewswire Services.

Before we begin, I would like to refer you to our Safe Harbor statement in the earnings press release, which applies to this call, as we will make certain forward-looking statements. Also, this call includes discussions of certain non-GAAP financial measures. Please refer to our earnings release, which contains a reconciliation of non-GAAP measures to GAAP measures.

Joining us today on the call are Chen Lei, our Chairman and Chief Executive Officer; Liu Jun, our VP of Finance. Lei will make some general remarks on our performance for the past quarter and our strategic focus. Jun will then take us through our financial results for the fourth quarter and fiscal year ended December 31, 2022. During the Q&A session, Lei will answer questions in Chinese and I will help translate. Please kindly note that all translations provided are for reference purposes only. In case of any discrepancy between the original remarks and the translated version, statements in the original remarks should prevail.

Now, it is my pleasure to introduce our Chairman and Chief Executive Officer, Chen Lei. Lei please go ahead.

Chen Lei

Hello, everyone. Thank you all for joining us on our earnings call for the fourth quarter and the fiscal year of 2022. Let me begin by summarizing our results for Q4 and the full year of 2022. Our total revenue for this quarter was RMB39.8 billion, which is a 46% increase compared to the previous year. Our total revenue over the past year was RMB130.6 billion, which would represent a growth of 39% year-over-year. In 2022, we focus on strengthening our core capabilities. We invested over RMB10 billion in research and development last year, which is the highest amount since our establishment. Our goal is to further improve our technological know-how and bring the benefit of digitalization to our users and ecosystem partners. We will continue to invest in R&D as a long-term commitment to better serve our users as a priority as a whole.