Eddy Wang

Eddy Wang from Morgan Stanley inquired about the recent overall recruitment demand, asking if the improving unemployment rate in September and October was seasonal or indicative of macro recovery, and the drivers behind BOSS Zhipin's accelerated growth in Q3. He also asked about key account (KA) renewal willingness, customer renewal rates, and renewal amounts as the year-end approaches.

Answer

Jonathan Peng Zhao, Founder, Chairman, and CEO of Kanzhun Limited, explained that recruitment activities recovered in Q3, with enterprise MAU growing faster than job seeker MAU, alleviating pressure. He noted improvements in fresh graduate job seeking demand and the overall job seeker-to-recruiter ratio, especially in white-collar postings, driving accelerated revenue growth. Yu Zhang, Executive Director and CFO, added that contract renewal rates have continuously improved, particularly in Q3, with company-level net dollar retention rates bottoming out for the first time in two years, signaling healthy recovery in hiring demand across both key accounts and SMEs.

Eddy Wang from Morgan Stanley inquired about the overall recruitment demand, asking if the improving unemployment rate in September and October was seasonal or indicative of macro recovery, and what factors drove BOSS Zhipin's accelerated growth in Q3. He also asked about the willingness of key account (KA) customers to renew contracts and any noticeable trends in renewal rates or amounts as the year-end approaches.

Answer

Jonathan Peng Zhao, Founder, Chairman, and CEO of Kanzhun Limited, confirmed a recovery in enterprise recruitment activities in Q3, noting faster growth in enterprise MAU than job seeker MAU, and reduced pressure from job seekers. He highlighted a significant increase in white-collar job postings compared to Q2 and Q3 2023. Yu Zhang, Executive Director and CFO, added that contract renewal rates have continuously improved, particularly in Q3, with company-level net dollar retention rate bottoming out for the first time in two years, driven by improved retention and higher renewal spending across both KA and small-to-medium enterprises.

Eddy Wang of Morgan Stanley inquired about the drivers behind the July recruitment demand recovery, its sustainability, and the impact of AI on the demand for white-collar roles like programmers.

Answer

Wenbei Wang, Head of Investor Relations, relayed that the recovery is driven by small and micro-sized enterprises and a rebound in the internet sector. The trend is considered sustainable, with Q3 growth expected to accelerate. Regarding AI, she explained that while hiring for entry-level programmers is slowing, the focus is shifting to higher-skilled senior talent, which may increase hiring costs for those roles but has a limited overall impact on the white-collar market.

Eddy Wang inquired about the evolution of hiring demand since the tariff war began, signs of recent recovery, and how current recruitment trends in April and May compare to the previous year across different industries and company sizes.

Answer

CEO Peng Zhao explained that the tariff war's impact on the overall job market is limited due to the company's diversified industry and location distribution. He noted that while export-related jobs saw a brief slowdown, they recovered by mid-May. Zhao confirmed that the overall recruitment trend continues to improve, with April and May showing stronger sequential growth than last year, particularly in the blue-collar urban services sector. He also expressed personal optimism for the upcoming graduation season.

Eddy Wang from Morgan Stanley inquired about the impact of the recent AI boom, particularly from technologies like DeepSeek, on the online recruitment industry. He asked about the potential transformation in technology and products, the influence on recruitment demand, BOSS Zhipin's competitive advantages, and any adjustments to the company's AI R&D investment strategy and product roadmap.

Answer

Founder, Chairman and CEO Peng Zhao responded that the AI boom has significantly increased demand, with AI-related job postings surging over 64%. He noted AI's dual impact: positively, it enhances the understanding of resumes and job descriptions, but negatively, it creates challenges with a massive influx of AI-generated content. Mr. Zhao stated BOSS Zhipin's advantages lie in its prior AI investments, proprietary models, and unique user data. He explained that open-source models like DeepSeek allow the company to focus on application layers and AI agents rather than competing on raw computing power, and hinted at a new paid AI product for recruiters that could improve efficiency by 60%.

Eddy Wang inquired about the tangible effects of recent government support policies on the recruitment market and asked how the company plans to sustain revenue growth into 2025 amid ongoing macroeconomic uncertainty.

Answer

CEO Peng Zhao observed positive signs from government policies, such as an increase in new enterprise users since late October and an improving job seeker-to-recruiter ratio, but cautioned that a full recovery will take time. For 2025 growth, he highlighted several drivers: targeting at least 15% user growth, an expected rebound in the paying ratio as the economy stabilizes, stable ARPU, and continued expansion of the blue-collar business, which now contributes over 38% of total revenue.

Eddy Wang inquired about the major drivers behind the 17.6% year-over-year increase in average monthly active shippers, which reached 3.35 million in Q3 2025.

Answer

Simon Chai, Chief Financing and Investment Officer, attributed the growth to efficient multi-channel user acquisition efforts, combining brand exposure and targeted conversion both online and offline, and strong organic growth driven by word-of-mouth referrals from existing shippers. He highlighted that referred shippers tend to be of higher quality with stronger engagement.

Eddy Wang from Morgan Stanley asked about the major drivers contributing to the 17.6% year-over-year increase in average monthly active shippers, which reached 3.35 million in Q3 2025.

Answer

Simon Chai, Chief Financing and Investment Officer, explained that growth was driven by efficient multi-channel user acquisition, combining online app store campaigns and offline advertising in high-traffic areas, and strong organic growth through word-of-mouth referrals. He noted that referred shippers tend to be of higher quality with stronger fulfillment rates and lower acquisition costs.

Eddy Wang of Morgan Stanley inquired about the primary drivers for the 24% year-over-year growth in fulfilled orders and the record 41% fulfillment rate, seeking an outlook for the second half of the year.

Answer

Simon Chong Cai, Chief Financing & Investment Officer, attributed the strong performance to three factors: rapid expansion of both the shipper and trucker user bases, optimization of the shipper structure with direct shippers now contributing 53% of orders, and product upgrades like the 'close-to-far' intelligent matching system. Mr. Cai expressed confidence for continued growth in the second half, citing the company's market leadership and the low online penetration rate in the freight industry.

Eddy Wang from Morgan Stanley inquired about the main drivers behind the significant and consecutive increase in the platform's fulfillment rate, which reached a record 39.2% in Q1.

Answer

Chief Financing and Investment Officer Chong Cai attributed the improved fulfillment rate to a combination of user structure optimization, with direct shippers now contributing 51% of orders, refined operational strategies like clearer pricing, and enhanced matching efficiency, which reduced average order matching time by over 35% YoY.

Eddy Wang from Morgan Stanley asked for the key drivers behind the fulfillment rate reaching a new record of 34.5% and the specific operational strategies that were implemented to achieve this improvement.

Answer

CFO Chong Cai explained that the record-high fulfillment rate was primarily driven by a structural shift in the user base, with direct shippers now contributing nearly 49% of orders. These shippers tend to place orders in higher-fulfillment categories. Operationally, Mr. Cai highlighted a renewed focus on foundational data, improved trucker profiling at registration, and the expansion of the premium cargo bidding logic to all freight postings, which better incentivizes truckers through the credit rating system.

Eddy Wang of Morgan Stanley asked for details on the learning devices business, including its Q1 performance, the strategy behind launching three new models, the margin impact of lower-priced devices, and the competitive landscape.

Answer

Alex Peng, President & CFO, stated that Q1 is a seasonal low for devices but still saw healthy year-over-year growth. He detailed the strategy for the new P, S, and T series models, which aim to reach a broader user base with varied price points and features, from value-focused to high-end. Peng emphasized the long-term goal of integrating TAL's teaching expertise with AI and technology, viewing the intensifying competition as a positive catalyst for industry-wide improvement and innovation.

Eddy Wang inquired about the Q4 performance of the Peiyou enrichment learning business and its growth strategy and expansion plans for fiscal year 2026.

Answer

President and CFO Alex Peng stated that the Peiyou business continues to see steady year-over-year growth and expects this positive momentum to continue, driven by market demand and product quality. Peng emphasized that technology, such as dual-screen smart classrooms, will play a larger role. Expansion of learning centers will remain prudent, balancing local demand with operational efficiency. He anticipates the growth rate will gradually moderate from its current high baseline, with a focus on sustainable, healthy growth rather than hyper-growth.

Eddy Wang of Morgan Stanley inquired about the sales contribution from the new trade-in program and asked about any changes to the Shanshan Outlets strategy following the issuance of a REIT.

Answer

CEO Eric Shen (interpreted by Jessie Fan) clarified that the trade-in program's impact is minimal, contributing around 1% of total GMV, as it focuses on home appliances, a non-core category. CFO Mark Wang explained that the Shanshan REIT is a financing platform that will help the company efficiently expand its offline outlet business through reinvestment in new projects and potential M&A.

Eddy Wang asked about the key advantages driving the rapid growth in the Home Rental business and how Beike plans to maintain stability and improve profitability amid market challenges like declining rents and oversupply.

Answer

Tao Xu, Executive Director and CFO, attributed the 135% YoY revenue growth to the 'Carefree Rent' service, which exceeded 420,000 units. He explained that operational efficiency is driven by role specialization and AI-powered systems that have improved property turnover. Financially, Xu highlighted improved tenant renewal rates and reduced vacancy periods as key to enhancing resilience. The 2025 plan involves balancing scale with operational improvements to boost service quality and leasing efficiency.

Eddy Wang questioned the growth strategy for the home transaction service, the specific emphasis on Lianjia versus the broader platform, feedback from the store level, and any innovations in mature city markets.

Answer

CEO Yongdong Peng detailed a dual strategy of promoting growth and fostering a harmonious ecosystem. He reported a net increase of 2,400 active stores and 40,000 active agents since year-end 2023, with new stores achieving positive ROI. For Lianjia, innovations include a 'large store model' to improve agent retention, new store formats like low-cost convenience stations in Shanghai to increase service density, and integrating home renovation experts into stores to advance the 'one-stop' residential service model.