Good evening, ladies and gentlemen. Welcome to China Literature's 2023 interim results conference call. A copy of the interim results announcement can be found and downloaded from the investor relations website ir.yuewen.com. At this time, all lines have been placed on listen-only mode, and the floor will be open for questions following today's presentation. I now would like to turn the conference over to your host today, Ms. Maggie Zhu, Head of Capital Markets and Investor Relations at China Literature. Maggie, please go ahead.
Thank you, operator. Ladies and gentlemen, welcome to our 2023 interim results conference call. Our speakers today are Mr. Hou Xiaonan, our CEO and President, and Mr. William Zheng, our VP of Finance. For today's call, Hou Xiaonan will discuss the company's strategy and business highlights. William will go through the financials. We will then open the call for questions. Before we begin, I'd also like to remind you that management's comments during the call will include forward-looking statements that are based on our current expectations. All statements other than statements of historical facts during the conference call are forward-looking statements, which are subject to a number of risks and uncertainties and may not be realized in the future for various reasons. Information about general market conditions is coming from a variety of sources outside of the company.
This presentation also contains some unaudited non-IFRS financial measures that should be considered in addition to and not as a substitute for measures of the company's financial performance prepared in accordance with IFRS. Please do take a minute to read the risk factors and non-IFRS measure discussion in China Literature's 2023 interim results earnings release. I'll now turn the call over to our CEO and President, Hou Xiaonan.
Thank you, Maggie. Hello, everyone. Thank you for joining our earnings call today. Before we begin the discussion on the results, I would like to share with you some of my thoughts on company strategy and business operations. Through the economic ups and downs of the past three years, we have formulated and implemented innovative programs to de-defend our leadership in a turbulent market. Our key observations from this experience include, first, the paid reading sector remains a rich environment for incubating IP content, improving the writer ecosystem, and growing the online reading platform are key long-term tasks for us. Second, the Matthew effect is more salient than ever in the IP and the content domains, as blockbuster plays an increasingly crucial role in the gaming, animation, film, and television industries. The demand for top-tier IP is growing rapidly. Third, the integrated development of IP is becoming increasingly important.
By quickly and systematically developing audio, visual, and merchandise derivatives soon after the incubation of text-based IP, we will be able to shorten development cycles, reduce development costs, and increase our odds of creating blockbuster IPs. First, in generative AI, we'll create new opportunities to make this process even faster and more efficient. Amidst this shift in the market, we developed what we call an IP metamorphosis strategy, which lays out our development system for the entire IP life cycle across various content formats. We have reconceived the company's vision and mission, which is to create good stories that will live forever. In addition, we took initiatives to optimize costs and improve efficiency and prioritize quality over quantity, as well as sharpen our focus on creating enduring, high-quality IP.
Through all these upgrades, China Literature has continuously reached new milestones over the past 3 years with the release of a series of blockbuster titles, such as Douluo Dalu , Qing Yu Nian, My Heroic Husband, Zhui Xu, and A Lifelong Journey, Ren Shi Jian . Now, we are embarking on another significant transformation. This year's critical breakthroughs in AI technology are a major turning point in our industry. We believe AI represents a once-in-a-generation opportunity and opens up entirely new and exciting possibilities for China Literature. Let me share a few of our key takeaways on AI. First, AI can supercharge content production, create multi-format user experience, and generally help us achieve the kind of integrated IP operations mentioned earlier. AI can facilitate the generation of content, such as text, audio-...
which can complement and be integrated with the China Literature's existing user operation system, helping China Literature reach a broader audience in a wider variety of formats, within enhanced user stickiness. Second, AI can play an integral role in IP innovation. Its ability to quickly convert text into visuals will allow us to front-load IP development work, increasing our success rate and creating blockbuster IP. Third, AI can be a highly efficient means of translating online literature into multiple languages, and therefore, achieving IP globalization and creating significant additional value. Last but not least, AI opens a vast new imaginative space and can be fully integrated into the IP ecosystem as a foundational capability that empowers upstream and downstream partners alike.
AI, especially generative AI, will empower us to build our content platform across multiple genres and media formats, and to build a new integrated upstream and a downstream IP ecosystem. This is a key part of China Literature's new medium to long-term business blueprint. Using generative AI as a new engine to improve efficiency and quality in the IP ecosystem. Recently, to better seize the once-in-a-generation opportunity brought by AI technology, strengthen the linkage between content and platforms, and continuously improve our success rate at creating film and television blockbusters, we have upgraded the company's organizational structure and established four major business units. Mainly, the Content Ecosystem Platform Business Unit, which is mainly responsible for driving the integration between original content creation and the various platforms.
The Film and TV Drama Business Unit, which is responsible for further integrating New Classics Media and China Literature, to develop serialized IP dramas and films across various categories, and to create a steady stream of blockbusters. The Intelligence and Platform R&D Business Unit, responsible for driving breakthroughs in AI large language model, and transforming them into cutting-edge generative AI applications, and the Corporate Development Business Unit, which will oversee decision-making processes related to our core business and coordinate integrated IP development and operations. We believe this new organizational structure will empower China Literature to leverage generative AI to reshape our products and the business processes. By improving IP mining and the production efficiency, shortening IP development cycles, and improving our success rate at creating blockbuster IP, we will ultimately help the entire industry chain benefit from this historical wave of innovation.
Last month, we released our Smart Pen, a AI Large Language Model, the first LLM designed specifically for the online literature industry. We also launched the new Smart Pen edition of our Author Assistant app, which is based on our proprietary large language model, and will support writers to in various aspects of content creation. This is merely our first step in embracing generative AI. We will continue to upgrade our large language model, leveraging AI technology to empower content creation and the IP ecosystem. We believe that China Literature's embrace of AI innovation will have far-reaching effects, well beyond our more conventional past corporate operates. However, it will require a period of investment for these innovations to gradually permeate every aspect of our business operations.
Before we reach a turning point and transform our business development momentum into quantifiable financial returns, we are creating a brand-new China Literature to seize this once-in-a-generation opportunity, and we are confident in our long-term prospects. Next, let me share with you our specific business progress during the first half of this year. First, in terms of IP creation, we continued to strengthen the content ecosystem of our online reading business. In the first half of this year, our online reading platform added approximately 200,000 writers, 350,000 literary works, and over 19.5 billion Chinese characters. Our high-quality content grew significantly as we focused on investing in premium content offers, effective anti-piracy measures, and improved user community.
For example, in the first half of this year, the number of online literary works that newly reached 10,000 average subscribers per chapter increased more than 120% year-over-year, and the number of literary works with more than 10,000 monthly votes from users increased more than 50% year-over-year. Our MPUs also achieved considerable growth, increasing 8.6% year-over-year and 12.8% sequentially to 8.8 million. We continue to make advances in IP visualization and monetization, presenting our users with a series of quality works during the first half of 2023.
In the TV and film segment, we launched the TV series, The Road to Ordinary, 平 凡 之 路 , and In Spite of the Strong Wind, 纵 有 疾 风 起 , both of which were highly popular during their broadcast run. The Road to Ordinary, 平 凡 之 路 , ranked first in the Tencent Video drama hit list for 16 consecutive days, and first in the popularity list of various third-party professional TV and movie data platforms, such as Maoyan, Dengta, and Datawin. In Spite of the Strong Wind, 纵 有 疾 风 起 , ranked in the top 2 for local TV drama jury ratings nationwide during its broadcast run on Beijing TV and the Jiangsu TV.
In the animation segment, we released new seasons in the first half of the year for our classic IP franchises, Stellar Transformations, 星 辰 变 , and Versatile Mage, 全 职 法 师 , both of which continued to prove popular with viewers. In July 2023, following the end of the 1st 52-week season of Battle Through the Heavens, 斗 破 苍 穹 , we immediately launched a 2nd 52-week season of the series, maintaining the title as one of the top 3 most popular animation series on Tencent Video through continuous content updates.
In the comic segment, while increasing the number of comics adapted from online literary works, we are focusing on enhancing our high-quality content offerings, among which works such as Da Feng Guardian, 大 奉 打 更 人, Since the Red Moon Appeared, 从 红 月 开 始, and Astral Pet Store, 超 神 宠 商 店, attained significant popularity. In the IP merchandise segment, we analyzed our IPs with respect to their genres, user demographics, and synergies among various media formats, such as novels, animation, comics, and merchandise, in order to improve our decision-making mechanism for IP screening and merchandise category selection. We are also exploring the possibility of frontloading the development of IP merchandise, that is, initiating the development of merchandise at an early stage of online novel creation, so that the IP content is better received and recognized by users.
We launched a number of key products during the first half of 2023, such as self-developed blind boxes for Lord of the Mysteries, 鬼 picture 二, and Battle Through the Heavens, 斗 破 苍 穹. In the game section, we continued to promote the adaptation of our quality IP into games through two business models: licensing and in-house game development. In terms of licensing, a remake of Immortal's Journey to Immortality, 凡 人 修 仙 传, and A Small and Star, 春 日 星 空, were successfully launched during the first half of this year. In addition, we licensed popular IPs such as Battle Through the Heavens, 斗 破 苍 穹, and Stellar Transformations, 星 辰 变, to game developers for adaptation, and we look forward to the release of these adapted games in the next few years.
In terms of in-house game development, we launched expansion packs for our classic IP game, New Soulland, 新 斗 罗 大 陆 , with new gameplays and upgraded artwork, successfully prolonging the life cycle of the game. Now, let's turn to our June 30, 2023. By novel or foreign language, only reading platform offered about 3,200 works translated from Chinese and about 560,000 original works created locally. We will continue to explore international markets and promote cultural exchange. I will now conclude my remarks and hand over to my colleague, William, who will discuss the company's financial performance. Thank you.
Thank you, Maggie. Hello, everyone. In the first half of 2023, our total revenues were RMB 3.3 billion, compared with RMB 4.1 billion in the first half of 2022. Let's start by taking a look at our online business. Online business revenues were RMB 2 billion, compared with RMB 2.3 billion in the first half of 2022. This year-over-year decrease was primarily due to the initiatives we rolled out last year to strategically decrease marketing spending on our user acquisition with low ROI and optimize content and distribution channels. When compared to the same period last year, these initiatives resulted in a decrease in online business revenue during the first half of 2023. At the same time, an improvement in our financial structure and margins.
To put this into context, on a sequential basis, online business revenues during the first half of 2023 were effectively stable. Breaking down our online business further, revenues from self-owned platform products increased slightly on a year-over-year basis to RMB 1.8 billion. This impact was more than offset by revenue growth from our core products, driven by our premium content offers, effective anti-piracy measures, and enhanced product operations. Revenues from our self-operated channels on Tencent products were RMB 177 million, compared with RMB 347 million in the same period last year.
Mainly due to the high base effect created during the first half of 2022, before the impact of initiatives to optimize distribution channels to close, and a decline in advertising revenues as more of our content was monetized through pay-to-read products with higher ROI. We also recorded a decrease in revenues from third-party platforms, from RMB 196 million to RMB 98 million, mainly due to the suspension of our collaboration with certain third-party distribution partners in order to more effectively address piracy issues. In terms of operating metrics, total MAUs for our online reading business were 212 million, compared to 265 million in the first half of 2022, reflecting our efforts to prioritize high quality users rather than quantity.
MPUs for our paid content were 8.8 million, up 8.6% year-over-year, mainly due to our effective anti-piracy measures, improved product operations, and continued investment in high quality content offers. Monthly ARPU for paid reading content was RMB 33.3, compared to RMB 38.8 in the first half of 2022, mainly due to changes in revenue mix from different product offerings, as well as lower user spend from newly converted paying users in the early stage of the payment cycle. Turning to the IP operations and other business. In the first half of 2023, revenues from IP operations and others were RMB 1.24 billion, compared to RMB 1.78 billion in the first half of 2022.
Within this, revenues from IP operations decreased from RMB 1.73 billion to RMB 1.19 billion, mainly due to an uneven release schedule for TV dramas, films, and animated series in 2023, as fewer projects were released during the first half of the year. While revenues from the other category, consisting mainly of sales of physical books, increased 10.7% year-over-year to RMB 54 million. Now let's look at costs and expenses. In the first half of 2023, our cost of revenues amounted to RMB 1.7 billion, down 13.5% year-over-year, due to lower production costs for TV series, films, and animated series, which was in line with the decrease in revenue and lower platform distribution costs for online business.
Our gross profit was RMB 1.6 billion, compared to RMB 2.1 billion in the same period last year. Gross margin was 48.9% in the first half of 2023, compared to 52% at 52.5% in the same period last year. Our selling and marketing expenses decreased 26% year-over-year to RMB 822 million in the first half of 2023. The decrease was mainly due to lower promotion and advertising expenses related to our online business as a part of our cost control and efficiency improvement initiatives, as well as the decrease in marketing expenses associated with our films and drama series, as fewer titles were released in the first half of 2023.
As a percentage of revenues, our selling and marketing expenses decreased to 25% from 27.2% last year. Our G&A expenses decreased by 4.1% year-over-year to RMB 535 million in the first half of 2023, mainly due to lower employee benefit expenses. As a percentage of revenues, our G&A expenses were 16.3% in the first half of 2023, compared to 13.6% in the first half of 2022. As a result of the, of our factors, our operating profit increased 23.8% year-over-year to RMB 311 million. Our profit attributable to equity holders of the company increased 64.8% to RMB 377 million.
Non-IFRS profit attributable to equity holders of the company was RMB 603 million, compared with RMB 666 million in the first half of 2022. Non-IFRS net profit margin increased from 16.3% to 18.4%. That concludes the financial part. Let's move on to the Q&A session.
Yes. Thank you for the presentation. Now we will start the Q&A session. Please feel free to raise any questions. If you wish to ask a question, please press *, then 1 on your telephone and wait for your name to be announced. If you wish to cancel your request, please press * then 2. If you are on a speakerphone, please pick up the handset to ask your questions. If you wish to ask your question in Chinese, please ask us first and then ask your question again in English. The first question comes from Zhenchun Shang with CICC.
Thanks, management, for taking my question. In July, you released the Smart Pen for Author Assistant application. Could management share more insights into the company's exploration of AI application in other domains? Specifically regarding to the multimodal adaptation of IP, how can AIGC applications offer assistance at this time? Thank you.
Thanks for your question. Thank you for your question. Indeed, this AIGC, for Yuewen, is an unprecedented opportunity. We also plan to integrate this AI capability into various business segments of Yuewen. For example, assisting writers with their creative process, enhancing user interaction in our various products, promoting online literature overseas, and developing IP. I believe AI will play a significant role in all these aspects. First, as you mentioned earlier, in terms of assisting writers with their creative process, Yuewen launched the first large language model in the online literature industry in mid-July of this year. It is the model that best understands online literature, Yuewen Miaobi. Based on this large language model, we released the first application product, the Miaobi version for writers' assistants. This Miaobi version for writers' assistants aims to enhance writers' efficiency through AI technology. [Foreign Language]
Currently, this product provides various assistive functions to writers, such as collecting historical materials, professional knowledge, describing fixed scenes, describing characters, and providing inspiration for naming characters. These functions significantly reduce the repetitive and mundane work for writers, allowing them to focus more on story innovation and core content creation, thereby improving the quality and efficiency of their work. [Foreign Language]
Thank you for your question. Yes, AIGC is a big opportunity that China Literature never seen before. We plan to integrate AI into different parts of our business, in such as assisting our writers in their novel creation process, enriching user interactive experience, expanding our business into the overseas markets through AI translation, and driving our IP development progress. Firstly, as you mentioned, in terms of assisting our writers in their content creation, China Literature released our Smart Pen AI Large Language Model, the first LLM designed specifically for the online literature industry, which is also the model that best understands online literature in the mid of July.
We also launched the new Smart Pen Edition of our Author Assistant application, which is the first product based on our proprietary LLM, aiming at helping writers improve the efficiency of content creation with AI technology. Currently, this product is capable of supporting writers in various aspects of content creation, such as collecting historical information and professional knowledge, providing writers with inspirations like how to describe a certain scene or character, or name some of the characters. These functions help reduce part of the redundant and the boring work, and enable writers to focus on the creativity and the core idea of their stories, and therefore, to enhance the quality and efficiency of their creative process.
语，在 这 个 丰 富 用 户 的 互 动 方 面 呢，我 们 还 设 计 了 这 个 AI 的 虚 拟 角 色，并 已 经 开 始 在 内 测 了。这 个 用 户 呢，可 以 通 过 这 个，这 个 功 能 呢，跟 这 个 故 事 里 的 角 色 去 交 流，实 际 上 我 们 可 以 相 当 于 把 这 个 书 中 的 角 色 进 行 了 复 活，让 用 户 呢，能 够 获 得 这 个 书 中 的 内 容 的 沉 浸 式 的 体 验。此 外 呢，这 个 用 户 还 可 以 根 据 自 己 的 喜 好，这 个 创 作 角 色 的 形 象，并 通 过 这 个 聊 天 去 丰 富 这 个 角 色 形 象，甚 至 进 行 多 人 的 聊 天。 [Foreign Language]
我 们 也 期 望 呢，通 过 AI 这 些 相 关 功 能，能 够 增 进 用 户 的 互 动，提 升 用 户 的 参 与 度。在 这 个 网 文 出 海 的 方 面 呢，我 们 利 用 网 文 专 业 术 语 的 训 练 和 强 化 这 个 翻 译 模 型，来 优 化 这 个 AI 的 翻 译 结 果，从 而 大 幅 地 提 升 我 们 的 翻 译 的 这 个 速 度 和 效 率，降 低 翻 译 的 成 本。我 们 就 计 划 呢，把 这 个 AI 翻 译 扩 展，这 个，可 以 覆 盖 更 多 的 这 个 语 种 数 量。 [Foreign Language]
除 了 英 文、西 班 牙 语 以 外，也 覆 盖 更 多 的 一 些 小 语 种。AI 的 翻 译 呢，对 于 翻 译 速 度 的 大 幅 提 升 呢，可 以 加 快 我 们 海 外 阅 读 市 场 的 这 个 内 容 供 给。因 此 呢，我 们 也 会 继 续 去 优 化 这 个 AI 模 型，去 助 力 网 文 在 海 外 的 这 个 市 场 的 拓 展。 [Foreign Language]
In terms of enriching user interaction, we also designed AI virtual characters, which are now undergoing beta testing. Users can communicate with the characters in the stories and give life to them. In addition, users could even create their own characters according to their preference and enrich the characters through chatting with them. Moreover, users could even conduct group chatting with multiple characters. We expect to improve user interaction and enhance user engagement through these AI-enabled functions. In terms of overseas expansion, we are now training our AI translation model with the professional terminology and the vocabulary in our online literature content library and reinforcing the model for better output in order to greatly enhance the speed and efficiency of translation, as well as reducing the cost of translation. We intend to extend AI translation to more languages in addition to English and Spanish.
The substantial enhancement in the speed of translation powered by AI, will accelerate the growth in content supply to the overseas reading markets. Therefore, we will continue to optimize our AI model to drive the overseas expansion.
那 在 IP 的 开 发 方 面 呢 ， 我 们 正 在 探 索 这 个 有 声 漫 画 、 动 画 衍 生 品 ， 多 品 类 的 这 个 开 发 流 程 ， 在 AI 上 的 应 用 ， 也 来 提 升 这 个 IP 多 品 类 开 发 的 效 率 和 产 能 ， 让 更 多 的 这 个 好 作 品 呢 ， 得 到 更 多 改 编 的 机 会 。 我 们 也 希 望 在 不 久 的 将 来 ， 我 们 可 以 加 速 正 在 这 个 ... [Foreign Language]
加 速 为 正 在 更 新 中 的 这 些 网 文 ， 来 制 作 漫 画 ， 养 ， 衍 生 这 样 的 视 觉 形 象 ， 也 为 后 续 的 动 画 游 戏 开 发 视 觉 ， 呃 ， 建 立 基 础 。 那 目 前 呢 ， 我 们 在 这 方 面 呢 ， 已 经 取 得 一 些 进 展 ， 包 括 在 漫 画 方 面 呢 ， 过 去 要 超 过 两 个 小 时 以 上 的 这 个 单 格 的 漫 画 的 上 色 环 节 呢 ， [Foreign Language]
现 在 利 用 AI 技 术 可 以 缩 短 到 一 个 小 时 以 内 。 在 这 个 衍 生 品 方 面 呢 ， 由 于 AI 可 以 提 升 ， 呃 ， 形 象 制 作 的 效 率 ， 为 这 个 衍 生 品 打 下 这 个 ， 呃 ， 形 象 角 色 的 一 些 ， 呃 ， 这 个 ， 这 个 基 础 。 那 因 此 衍 生 品 呢 ， 能 够 为 故 事 的 更 新 阶 段 ， 能 够 在 后 ， 故 事 更 新 阶 段 就 介 入 ， 呃 ， 不 用 等 待 这 个 小 说 完 结 ， [Foreign Language]
或 者 说 动 漫 完 成 改 编 以 后 再 进 行 ， 那 可 以 争 取 这 个 ， 呃 ，IP 的 多 形 态 的 这 个 同 时 开 发 。 所 以 我 们 也 已 经 在 尝 试 了 一 些 ， 呃 ， 正 在 更 新 中 的 头 部 网 文 进 行 衍 生 品 的 爆 发 。 呃 ， 那 在 有 声 方 面 呢 ， 我 们 正 在 结 合 AI 技 术 ， 改 善 文 字 转 有 声 内 容 的 ， 呃 ， 音 色 的 质 量 。 [Foreign Language]
未 来 我 们 也 会 计 划 ， 呃 ， 计 划 通 过 AI 优 化 这 个 TTS， 呃 ， 有 声 的 这 种 类 人 声 的 ， 呃 ， 断 句 音 色 ， 呃 ， 并 且 呢 ， 和 影 视 进 行 这 个 IP 的 这 个 联 动 。 [Foreign Language]
In terms of IP development, we are exploring the possibilities of applying AI to IP development procedures across the board, including the productions of audiobooks, comic books, animation, merchandise, and so on, in order to improve the efficiency and speed of IP development in a variety of content formats, and enable more quality literature works to be adapted into IP products. In the near future, we expect to accelerate the visualization process by initiating the development of visual characters, comics, or even merchandise at an early stage of the online novel creation, and the visualized images could also lay the foundation for further adaptation into animation and games. So far, we have made some progress in this aspect, including, first of all, in terms of comics.
It took us over 2 hours to color 1 panel, but now it can be shortened to less than 1 hour with AI technology. Secondly, in terms of merchandise, the improved efficiency of image creation with the help of AI technology, lays a foundation for merchandise development, and therefore, the merchandise production can be initiated at an early stage without having to wait for the completion of the novel or anime. In this way, we can develop the IP into various media formats at the same time. Currently, we are exploring to develop merchandise for some top-tier novels that are still being updated. In terms of audiobooks, we are utilizing the AI technology to improve the sound quality of text to speech or the TTS audio.
In the future, we plan to further improve the TTS quality in sentence segmentation and the tone in the humanoid voice with the help of AI technology and also seek possibility to interact with IP drama series and films.
呃 ， 所 以 总 而 言 之 呢 ， 我 们 认 为 AIGC 呢 ， 是 一 项 非 常 重 要 的 技 术 变 革 ， 尤 其 是 对 于 ， 呃 ， 阅 文 这 样 一 家 公 司 ， 我 们 不 只 有 这 个 ， 呃 ， 作 家 创 作 的 场 景 ， 呃 ， 也 有 这 个 用 户 服 务 的 场 景 。 [Foreign Language]
那 我 们 内 部 的 团 队 呢 ， 呃 ， 会 这 个 密 切 地 去 跟 进 AIGC 的 发 展 ， 并 且 推 动 呢 ， 这 个 AIGC 在 我 们 的 文 字 、 图 像 、 呃 、 语 音 、IT 等 方 面 的 这 个 应 用 ， 啊 ， 来 赋 能 我 们 整 个 的 ， 呃 ，IP 生 态 。 好 ， 谢 谢 。 [Foreign Language]
In summary, we think generative AI or AIGC is a very substantial technological reform that will produce profound impacts on content creation, and especially for channel literature that has got not only business scenarios for content creation, as well as scenarios for user interaction. Our team is paying close attention to the development of generative AI and drive the application of the technology to the production of text, images, audios, and other various IP products, so as to empower our IP ecosystem as a whole. Thank you.
Thank you. The next question comes from Garmon Wang with CITIC Securities.
感谢管理层，回答我提问。这个问题我有2个问题，想咨询一下管理层。第一个呢，就是关于我们电视剧业务下半年的排期，那么以及呢，我们看到后面的这个整个电视剧，在 Douyin 上也会是，出了一些短剧，也获得很高的一些流量和商业的变现。那么我们在电视剧业务下半年的排期，以及后面的一些在短剧上的一些战略的问题。第二个呢，其实是还是关于 AIGC 的这一块，那么我们目前 AIGC，对于我们具体的这个 IP 的视觉，IP 可视化的这样的一个战略，目前，对一个应用的情况，以及我们的一些进展，或者说我们可能遇到的一些技术的一个难点上，有哪些吧。那么我，我翻译一下吧。Well, the first question is about the drama business, and how is the pipeline of the drama in the next half of year, next half, in the next half year? [Foreign Language]
We, we both see that the short drama very popular in the TikTok platform, is there any strategy on short, shorter, short, short drama of Xili? The second question is about AIGC, and well, the how the AIGC to make the IP visualization more efficiency and how is the what is the difficulties and the process of the AIGC AIGC using on the IP visualization? Thank you.
哎 ， 好 ， 那 ， 那 个 ， 呃 ， 第 一 个 关 于 电 视 剧 的 问 题 ， 请 那 个 曹 总 来 回 答 一 下 。 [Foreign Language]
这 个 New Classics Media, 2023 年 下 半 年 的 电 视 剧 排 播 的 情 况 就 是 有 望 播 出 的, 应 该 有 4 部 左 右 的 电 视 剧. 七 月 份, 我 们 已 经 上 线 了 电 视 剧 The Infiltrator. 接 下 来, 下 半 年 还 待 播 的 有 Battle Through the Heavens Season 2, Sunshine by My Side 和 Yu Feng Xing, 一 共 4 部. [Foreign Language]
Regarding your question about the release schedule of drama series, in the second half, we expect about 4 projects to be released. Besides The Infiltrator, 《 潜 行 者 》, that was released in July, we further expect to release more drama series, including Battle Through the Heavens Season 2, 斗 破 苍 穹 2, Sunshine by My Side, 《 骄 阳 伴 我 》, and The Legend of Shen Li, 《 余 凤 行 》 in the second half. [Foreign Language]
我 也 补 充 一 下 ， 刚 才 这 位 对 于 短 剧 的 问 题 。 我 们 也 关 注 到 了 短 剧 的 市 场 也 是 增 长 比 较 快 ， 也 是 一 种 新 的 一 种 视 频 的 消 费 模 式 。 现 在 我 们 看 到 也 有 一 些 Yuewen 的 一 些 IP 被 改 编 成 短 剧 ， 我 们 后 续 呢 ， 也 会 积 极 地 去 关 注 短 剧 的 市 场 ， 包 括 呢 ， 也 会 筛 选 出 适 合 改 编 短 剧 的 这 样 一 些 Yuewen 的 一 些 IP， 和 我 们 的 一 些 合 作 伙 伴 一 起 打 造 一 些 短 剧 方 面 的 一 些 爆 款 的 一 些 作 品 。 [Foreign Language]
Okay. Regarding your question about the short drama, we actually have come to notice that the short drama market is actually growing very fast. This is a new consumption model of the video format. Actually some of the IP copyrights of China Literature's content library is actually suitable to be adapted into short dramas. For us, we will actively and pay much attention to the involvement of the short drama market, and we will select those proper IPs that are suitable to be adapted into short drama from our content library, and work closely with our business partners to create short dramas, especially those high-quality short dramas that could be blockbusters in the market. Thank you.
Uh, 语 AIGC, uh, 提 升 可 视 化 效 率 一 些 ， 这 个 难 点 ， 包 括 进 程 。 呃 ， 我 也 回 答 一 下 。 呃 ， 那 我 们 认 为 这 个 AIGC 的 这 个 突 破 性 的 发 展 呢 ， 实 际 上 可 以 在 未 来 能 够 大 量 减 少 这 种 可 视 化 这 个 过 程 中 的 一 些 这 个 重 复 性 的 劳 动 ， 这 样 让 我 们 的 这 些 资 源 和 精 力 可 以 放 在 更 有 创 意 性 、 想 象 力 ， 包 括 艺 术 性 的 这 些 高 附 加 值 的 环 节 ， 能 够 进 一 步 地 来 提 升 这 个 行 业 的 产 能 。 [Foreign Language]
那 过 去 呢 ， 在 这 个 文 字 IP 的 可 视 化 的 这 个 过 程 中 呢 ， 一 直 还 是 受 制 于 这 个 产 能 ， 那 这 个 AI 赋 能 的 这 个 辅 助 工 具 呢 ， 可 以 帮 助 我 们 更 快 地 把 这 个 文 字 转 化 成 音 频 、 图 片 、 视 频 这 样 一 些 多 模 态 的 形 式 ， 来 提 升 这 个 内 容 生 产 的 这 个 效 率 ， 降 低 成 本 ， 也 是 扩 大 这 个 内 容 生 产 的 这 个 未 来 的 空 间 。 [Foreign Language]
那 第 二 呢 ， 是 我 们 目 前 看 到 这 个 ， 呃 ， 应 用 AIGC 的 这 样 一 些 工 具 ， 在 这 个 视 觉 化 文 字 IP 的 过 程 中 呢 ， 主 要 有 这 个 几 个 难 点 。 [Foreign Language]
一 个 是 AIGC 生 成 的 这 个 ， 呃 ， 内 容 呢 ， 缺 乏 连 续 性 ， 那 无 法 呢 将 简 单 的 这 个 步 骤 呢 ， 就 是 说 通 过 简 单 步 骤 就 将 文 字 转 化 成 这 个 比 较 流 畅 的 或 者 是 长 篇 的 这 样 的 视 频 内 容 。 那 这 个 ， 呃 ， 由 于 这 个 视 频 ， 呃 ， 视 觉 内 容 的 这 个 制 作 的 流 程 繁 复 ， 而 且 某 些 工 序 的 创 意 性 和 专 业 性 要 求 比 较 高 ， 那 现 在 的 这 个 AI 技 术 的 阶 段 呢 ， 还 难 以 满 足 这 些 步 骤 的 制 作 。 [Foreign Language]
那 第 二 呢 ， 是 这 个 ， 呃 ， 目 前 既 能 够 这 个 理 解 AI 的 逻 辑 ， 能 够 给 到 AI 这 种 精 准 的 指 令 ， 呃 ， 同 时 呢 ， 又 懂 内 容 ， 能 讲 好 故 事 的 这 种 复 合 型 人 才 还 是 非 常 稀 缺 的 。 那 所 以 呢 ， 在 AIGC 呢 ， 在 动 漫 和 影 视 行 业 的 应 用 呢 ， 目 前 还 这 个 不 是 很 广 泛 。 [Foreign Language]
Regarding your questions about how AIGC could improve the efficiency of IP visualization, as well as the challenges we are seeing now, I think, we believe the breakthroughs in the development of AIGC, the generative AI, will be able to greatly reduce the repetitive labor in the visualization process in the future, and enable us to focus our resources and energies on high value-added parts, such as creativity, imagination, and artistry, and further expand the industry capacity. The IP visualization process has always been constrained by production capacity, while AI-powered tools can help us convert text into audio, images, videos, etc, more quickly, thereby, improving content production efficiency, reducing costs, and opening up space for content creation.
Currently, we have identified several challenges when we use the generative AI tools in our visualization process, including, first of all, the content generated by AI lacks consistency or continuity, and it's not possible to directly convert text to fluent and lengthy visualized content via single steps, as the visualization process involves sophisticated workflows, and some steps are very demanding regarding creativity and quality, which cannot be fulfilled by AI at its current stage. Secondly, currently, the number of talents who can understand AI logic and give precise in-instructions to AI, and at the same time are also good at content creation and can create good stories, are, are very little. As a result, the generative AI technology hasn't yet been widely used in the anime and the media production industries.
呃 ， 但 是 我 们 已 经 看 到 啊 ， 就 是 一 些 这 个 需 要 大 量 重 复 工 作 的 这 个 工 序 的 环 节 呢 ， 通 过 AIGC 还 是 有 ， 呃 ， 非 常 明 显 的 这 个 效 率 提 升 。 [Foreign Language]
呃 ， 像 我 刚 才 提 到 的 这 个 漫 画 创 作 方 面 ， 呃 ， 我 们 已 经 尝 试 在 这 个 精 草 图 、 线 稿 和 这 个 上 色 ， 呃 ， 这 样 环 节 中 呢 ， 通 过 AI 的 这 个 辅 助 的 创 作 功 能 来 去 这 个 实 现 。 [Foreign Language]
那 过 去 的 单 个 需 要 这 个 两 小 时 的 上 色 环 节 ， 现 在 可 以 做 到 在 一 小 时 以 内 。 我 们 想 呢 ， 这 个 ， 呃 ，AI 的 发 展 还 是 日 新 月 异 的 ， 日 新 月 异 的 ， 那 我 们 也 相 信 AI 技 术 会 持 续 地 去 突 破 。 [Foreign Language]
呃 ， 阅 文 作 为 ， 呃 ， 国 内 这 个 在 这 个 文 化 创 意 行 业 头 部 公 司 ， 那 我 们 有 很 多 的 业 务 可 以 借 助 AI 这 个 技 术 来 发 展 ， 那 所 以 也 会 继 续 在 这 个 ， 呃 ， 运 用 AI 技 术 的 过 程 中 呢 ， 频 繁 地 去 反 馈 和 训 练 AI 的 模 型 ， 那 因 此 呢 ， [Foreign Language]
是 这 个 在 业 内 最 有 机 会 来 去 突 破 这 些 难 点 ， 把 真 正 把 这 些 AI 技 术 ， 技 术 这 个 运 用 到 业 务 中 ， 呃 ， 帮 助 业 务 赋 能 业 务 这 样 的 一 个 企 业 。 好 ， 谢 谢 。 [Foreign Language]
Far we have seen that some workflows that require a large amount of repetitive work can be made much more efficient with the help of generative AI. For example, we are testing the technology in some steps during the comics creation process, including sketching, line drawing, and coloring. More specifically, it used to take us 2 hours to color 1 panel, while now it can be shortened to less than 1 hour. The AI innovation is progressing very quickly, and we believe that the technology will continue to make breakthrough. China Literature, as the leading player in China's culture creative industry, is well positioned to utilize the AI technology to drive the growth of different segments of our business, and constantly train the AI model by giving frequent feedbacks while using it.
Therefore, we have the largest potential to tackle the challenges and empower our business with AI technology application. Thank you.
Thank you. The next question comes from Philip Liu with UBS.
Sorry, let me translate myself. Thank you, management, for taking my question. My question is on the online business. I noticed that we had a little bit of the revenue decline for the business because of the channel optimization, but our cell phone platform remained healthy with good paying ratio increase. So, may I just check your, you know, outlook for the online business for second half on a year-on-year and half-on-half perspective? Yes, and may I also have your outlook on the paying ratio for the half, second half, and see if there is any room for further improvement in paying ratio? Thank you.
Uh, uh,
Okay, thank you for your question. Regarding your question about the outlook on the online, online business, I think I will discuss the outlook of our self-owned platform products and Tencent channels, as well as the third-party channels, respectively. First of all, in terms of our self-owned platform products, revenues from our self-owned platform products started to resume positive growth in the first half of this year, after more than a year of efforts to reduce costs and increase efficiency, combat piracy, and develop high quality content ecosystem. We will continue to strengthen the ecosystem of our self-owned platform products, focus on the incubation of high quality content and the diversification of content genres, and the cultivation of new generations of writers, and fight against piracy issues actively and effectively.
We will continue to optimize the efficiency of our community operations to enhance user engagement and stickiness. Our online reading business is strategically positioned as a platform to constantly incubate quality content at scale, which lays the foundation of content and users for our IP operations business. This represents our competitive advantages. Secondly, in terms of Tencent channel. Tencent channels mainly focus on the free-to-read model, but currently, more of our content is monetized through pay-to-read products, as the pay-to-read model bears a higher ROI and remains a rich environment for IP incubation. As now, we have sharpened our focus on the pay-to-read model for premium content, which leads to a decrease in the content supply to the free-to-read model, the advertising revenues from Tencent channels could be impacted. Lastly, in terms of the third-party channels, the revenues from third-party channels are relatively stable now.
We will continue to explore opportunities with new distribution partners to expand the user reach of our high quality content and enlarge their influence among users. On the other hand, unlike our self-owned platforms and channels, we don't directly engage in the operations of third-party channels, while the performance of third-party channels mainly depends on the capabilities of our partners, so the revenues from third-party channels contain some uncertainties. Our focus will still be centered on the dedicated operations of our self-owned platform products. Thank you.
语 ， 补 充 一 下 ， 在 2023 年 的 下 半 年 呢 ， 我 们 会 继 续 把 之 前 证 明 行 之 有 效 的 一 些 举 措 坚 持 下 去 ， 包 括 打 击 盗 版 ， 继 续 孵 化 多 品 类 的 优 质 内 容 ， 提 升 产 品 的 运 营 能 力 ， 来 吸 引 更 多 的 付 费 用 户 。 [Foreign Language]
In the second half of this year, we will continue to implement those measures that turn out to be very effective in improving the high quality growth of our business, including our anti-piracy measures and our focus on the incubation of high quality content, as well as the enhancement in the product operations. Through these efforts, we believe we will be able to attract more paying users to our platform. Thank you.
Thank you. The next question comes from Rebecca Shu with Morgan Stanley.
Hi, 感 谢 管 理 层 的 提 问 机 会. 我 有 2 个 问 题, 第 1 个 问 题 是 在 关 于 在 线 阅 读 的 问 题. 想 请 教 一 下 管 理 层, 在 AIGC [ Foreign Language]
之 后 的 时 代, 在 线 阅 读 的 这 个 业 务 的 竞 争 格 局 会 怎 么 改 变, 那 公 司 会 怎 么 保 持 或 者 是 进 一 步 增 长 这 个 竞 争 优 势? 这 是 第 1 个 问 题. 第 2 个 问 题 呢, 关 于 组 织 架 构 的 调 整, 能 不 能 请 管 理 层 展 开 讲 一 下, 新 建 立 的 内 容 生 态 平 台 事 业 部 以 及 影 视 事 业 部 会 怎 么 打 通 各 项 业 务. Now let me translate myself. [Foreign Language]
The first question is related to online reading business. Can management share your view on how competition, competition landscape on reading business will evolve going forward, especially in a post-AI era? What is the main driver for online reading business going forward? The second question is on the company organization risk, restructuring. Could you please explain how the company plans to improve the synergies across different departments? Thank you.
呃 ， 好 ， 谢 谢 你 的 问 题 啊 。 呃 ， 首 先 ， 呃 ， 回 答 一 下 第 一 个 问 题 ， 就 是 ， 呃 ， 我 们 对 于 这 个 AI 的 AIGC 的 理 解 呢 ， 呃 ， 我 们 觉 得 它 会 使 这 个 ， 呃 ， 内 容 的 供 给 会 增 加 。 [Foreign Language]
呃 ， 但 从 竞 争 上 呢 ， 包 括 从 这 个 ， 呃 ， 这 个 用 户 的 需 求 上 呢 ， 其 实 我 觉 得 最 重 要 的 还 是 这 个 优 质 的 这 个 文 学 作 品 ， 以 及 呢 ， 这 个 下 游 的 IP 改 编 呢 ， 也 是 还 是 非 常 看 重 这 个 原 , 原 著 小 说 这 个 质 量 的 。 [Foreign Language]
所 以 我 们 觉 得 在 内 容 市 场 上 呢 ， 这 个 质 量 还 是 要 这 个 远 比 这 个 数 量 重 要 得 多 。 呃 ， 而 这 个 ， 呃 ， 阅 文 呢 ， 也 一 直 是 致 力 于 这 个 优 质 内 容 的 这 个 生 产 ， 因 为 我 们 觉 得 优 质 内 容 的 生 产 呢 ， [Foreign Language]
是 高 度 依 赖 于 这 个 作 家 本 身 的 他 的 创 意 ， 呃 ， 想 象 力 、 情 感 ， 他 的 精 神 内 核 ， 那 这 些 呢 ， 都 是 这 个 AI 其 实 无 法 完 成 的 。 那 这 个 优 质 的 ， 同 时 优 质 的 内 容 呢 ， 永 远 是 这 个 稀 缺 的 。 [Foreign Language]
那 这 个 阅 文 的 核 心 竞 争 力 呢 ， 呃 ， 一 直 是 在 于 对 于 头 部 的 优 质 内 容 和 精 品 内 容 的 这 个 孵 化 的 能 力 。 那 我 们 打 造 这 个 ， 呃 ， 阅 文 妙 笔 大 模 型 的 初 衷 呢 ， 其 实 也 是 让 AI 去 帮 助 作 家 去 解 决 这 个 创 作 工 作 ， 呃 ， [Foreign Language]
创 作 过 程 中 的 一 些 这 个 重 复 性 的 和 消 耗 性 的 一 些 这 个 体 力 活 ， 然 后 让 ， 让 作 家 能 够 就 这 个 节 约 出 更 多 的 时 间 和 精 力 来 去 创 作 这 个 ， 这 个 ， 呃 ， 专 注 在 创 作 的 内 核 ， 和 提 高 这 个 创 作 的 效 率 和 质 量 。 [Foreign Language]
Thank you for your question. Regarding the first question, I think our understanding of AIGC is that it will increase the content supply. However, from the perspective of competitive advantage as well as the user demand, we believe what readers really need is high quality literature works. At the same time, for the downstream IP adaptation market, the quality of novel is also very important. For the content industry, quality is far more important than quantity. China Literature has always been very devoted to incubating high quality content, and the creation of high-quality content still highly depends on human creativity, imagination, emotion, and spirit, which cannot be completed by AI.
High quality content is always scarce, the core competitive advantages of China Literature lie in its ability to incubate top-notch premium content. Our original purpose of creating the Smart Pen large language model is to use AI as a tool to help our writers, to help them handle some dirty work that is repetitive and time-consuming during the content creation process. Therefore, they will be able to allocate more time and energy to the core parts of content creation. In this way, both the efficiency and the quality of content creation can be improved.
那 作 为 这 个 在 内 容 创 作 领 域 的 头 部 公 司 呢 ， 阅 文 的 优 势 呢 ， 一 直 在 于 我 们 在 网 文 、 动 漫 、 影 视 积 累 了 大 量 的 这 个 创 作 的 经 验 和 know-how。 所 以 呢 ， 在 训 练 这 个 AI 模 型 的 时 候 呢 ， 我 想 我 们 应 该 会 有 更 丰 富 、 更 优 质 的 这 个 资 源 。 [Foreign Language]
那 同 时 呢 ， 我 们 的 这 个 编 辑 同 事 、 制 作 人 ， 以 及 在 这 个 各 类 的 内 容 生 产 者 呢 ， 会 这 个 和 我 们 的 这 个 AI 大 模 型 进 行 非 常 高 频 的 交 互 和 反 馈 ， 啊 包 括 呢 ， 也 是 在 这 个 大 模 型 的 应 用 场 景 中 呢 ， [Foreign Language]
会 产 生 非 常 多 的 这 个 使 用 的 反 馈 ， 不 断 地 对 大 模 型 进 行 微 调 、 优 化 ， 还 有 这 个 强 化 的 训 练 ， 那 也 使 这 个 大 模 型 呢 ， 可 以 更 符 合 我 们 所 需 的 这 样 的 一 些 应 用 场 景 。 所 以 这 我 想 是 我 们 作 为 行 业 头 部 平 台 这 个 独 有 的 竞 争 优 势 。 谢 谢 。 [Foreign Language]
As the leading company in the content creation industry, China Literature's advantage lies in a great amount of experience and know-how accumulated in the creative, creative process of online literature, comics, animations, drama series, and films. Therefore, we have richer and higher quality resources when we train the AI models. At the same time, our editors, producers, and the creators for various content formats can interact with the AI model with high frequency and give a huge amount of feedback to the model, including the feedback generated from using the AI applications. The continuous supervised fine-tuning, optimization, and reinforcement learning will make the model more intelligent in fulfilling the tasks required by our specific business scenarios, which is a unique advantage of us as the leading platform in the industry. Thank you for your question.
呃 ， 第 二 个 问 题 呢 ， 是 关 于 我 们 在 ， 呃 ， 六 月 十 九 号 进 行 了 一 次 这 个 阅 文 的 组 织 变 革 。 呃 ， 您 问 到 的 ， 呃 ， 呃 ， 这 个 两 个 我 们 ， 呃 ， 非 常 重 要 的 这 个 事 业 部 。
呃 ， 一 个 是 内 容 生 态 平 台 事 业 部 ， 那 它 主 要 呢 ， 是 负 责 这 个 深 度 来 去 融 合 我 们 原 创 内 容 和 各 个 我 们 的 产 品 平 台 。 那 在 这 个 ， 呃 ， 原 先 的 这 个 组 织 架 构 下 呢 ， 呃 ， 我 们 的 文 学 创 作 ， 阅 读 产 品 的 运 营 ， 包 括 各 类 IP 的 改 编 的 作 品 呢 ， 是 分 属 不 同 的 这 个 部 门 管 理 ， 那 这 个 ， 呃 ， 不 是 特 别 有 利 于 这 个 实 时 的 协 作 ， 尤 其 是 在 刚 才 讲 到 的 通 过 这 个
AIGC 的 一 个 时 代 呢 ， 我 们 觉 得 这 个 对 于 文 字 IP 的 这 个 ， 呃 ， 可 视 化 和 商 业 化 ， 啊 ， 可 能 会 有 一 些 滞 后 性 ， 那 这 个 通 常 呢 ， 都 是 已 经 成 名 了 一 些 IP， 再 去 进 行 一 些 后 续 的 开 发 。 那 在 这 个 新 的 组 织 架 构 下 呢 ， 我 们 会 ， 呃 ， 完 全 打 通 文 学 的 内 容 的 创 作 和 各 个 的 这 个 阅 读 平 台 ， 并 且 呢 ， 通 过 这 个 [Foreign Language]
AIGC 技 术 快 速 地 去 覆 盖 动 漫 、 有 声 衍 生 品 这 样 多 品 类 的 内 容 ， 呃 ， 促 使 这 个 IP 改 编 的 这 个 前 置 化 ， 呃 ， 同 ， 呃 ， 呃 ， 同 时 呢 ， 提 高 [Foreign Language]
IP 挖 掘 和 生 产 的 效 率 ， 能 够 建 立 这 个 更 统 一 的 这 个 IP 形 象 ， 能 够 在 ， 呃 ， 呃 ， 文 学 作 品 的 早 期 就 聚 拢 更 广 泛 的 IP 受 众 ， 提 升 ， 呃 ，IP 的 爆 款 的 这 个 成 功 率 。 那 举 个 例 子 ， 我 们 在 衍 生 品 的 这 个 业 务 上 ， 我 们 可 以 通 过 [Foreign Language]
AIGC 将 衍 生 品 的 开 发 ， 呃 ， 进 行 前 置 化 ， 在 这 个 文 学 IP 创 作 的 早 期 呢 ， 就 介 入 衍 生 品 的 开 发 ， 在 这 个 文 字 内 容 正 在 热 卖 的 时 候 ， 就 同 步 开 始 售 卖 衍 生 品 和 相 关 的 形 象 ， 这 样 的 话 呢 ， 来 提 升 IP 的 影 响 力 、 辨 识 度 ， 包 括 它 的 热 度 。 [Foreign Language]
On the 19th of June, we upgraded our organizational structure, and you mentioned 2 of our very important business units, which are respectively the Content Ecosystem Platform Business Unit, as well as the Film and TV Drama Business Unit. First of all, the Content Ecosystem Platform Business Unit is mainly responsible for driving deep integration between original content creation and various platforms. Under the previous organizational structure, literature, literature, content creation, reading, product operation, and the different categories of IP-adapted media products belong to different departments, which didn't allow real-time collaboration and specifically caused a lag for the visualization and commercialization of text IP. For most of the time, the selection of content for adaptation was only made from those well-known IPs.
While under the new organizational structure, we will integrate the literature, content creation, and the various reading platforms, and apply the generative AI technology to IP development in multiple content formats, covering anime, audio, merchandise, and others to front-load the IP development with higher efficiency of IP mining and production. In this way, we will be able to build more unified IP images, aggregate broader IP users at the early stage of novel content creation, and improve our success rate at creating blockbusters. For example, in terms of the merchandise business, we can utilize the generative AI technology to front load the development of IP merchandise. That is initiating the development of merchandise at an early stage of online novel creation, and selling the merchandise and licensing the relevant images when the novel gets popular, so that the IP content is better received and recognized by users. Thank you.
Garmon, in terms of our media production business, under the new organizational structure, NCM and the China Literature constitute the Film and TV Drama Business Unit led by Hou Tao, indicating that New Classics Media and the China Literature will be further integrated to formulate an integrated media production model. I believe this adjustment will further expand NCM's premium production capability, combined with China Literature's high-quality IPs, to continuously develop serialized IP dramas and films across various categories, enhance the popularity and influence of China Literature's IP, and replicate the success of blockbusters like Joy of Life and My Heroic Husband. Thank you.
Thank you. This concludes the question and answer session. I would like to return the floor to Maggie Zhu for any closing comments.
Thank you, operator. As there are no further questions, we will now conclude today's call. On behalf of the entire China Literature management, I'd like to thank you for your participation on today's conference call. If you have further questions about China Literature, please feel free to contact us. Thank you and goodbye.
Thank you. As mentioned, the conference has concluded. Thank you for attending today's presentation. You may now disconnect your lines.