Viomi Technology Co (NYSE:VIOT) Q2 2020 Earnings Conference Call - Final Transcript

Aug 24, 2020 • 08:00 am ET


Viomi Technology Co (NYSE:VIOT) Q2 2020 Earnings Conference Call - Final Transcript


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Shun Jiang

trend. We received our best-ever performance during the respective '618' sales season more than doubling related retail sales value across our entire product range on a year-over-year basis.

Various products, such as refrigerators, washing machines and air conditioners were ranked among the top 10 in terms of GMV on certain online ecommerce platforms. Such resilience and strong performance further demonstrate our ever increasing brand awareness and market penetration as well as consumers and sales channels ever growing interest in our products, concepts and value propositions.

The backbone of our constant growth has been our continued product innovation and new product launches under our IoT @ Home strategic framework. With the recent successful introductions of our air conditioning systems and 21Face Interactive Smart Screen TV, we now have a comprehensive presence across the entire range of major scenarios in the home environment. We also continued to make significant progress in the development and optimization of our 5G initiatives during the quarter. Two models of our recently launched 21Face Interactive Smart Screen TVs are already on the market. In addition, we expect to soon begin mass production about Wi-Fi 6 CPE together with other exciting 5G-related and enabled products in the second half of this year. With ever-increasing 5G network penetration and consumer adoption this will no doubt be one of the key transformational drivers of industry growth in the near term and beyond.

We believe our differentiated product and brand positioning together with our focus on technology R&D in the space will allow us to become a front runner in this imminent 5G plus IoT era, providing seamless next generation 5G IoT experiences to our users.

In terms of such user experiences, we have achieved numerous advancements in developing additional content applications and partnerships for our flagship 21Face large-screen refrigerators. We recently launched a significant upgrade of our 21Face refrigerator large-screen operating system, including additional content offerings such as short-form video recommendations, gourmet recipes and parenting workshops, among others, together with a number of voice recognition and user experience enhancements.

On this front, we've also established a number of related cooperation partnerships. In July, we entered into a strategic collaboration agreement with Kugou Music, a leading interactive digital music-related services provider and subsidiary of the Tencent Music Entertainment Group to offer innovative and trending music streaming content. Viomi's users can now enjoy Kugou Music offerings on 21Face large-screen refrigerators and enjoy relevant recommendations in smart play through voice control.

Such partnerships are in line without our 5G IoT strategy, and will enrich our content offerings as well as enhance the cross-scenario and cross-screen content interactivity of Viomi's various large-screen products.

To provide innovative and exciting content for the imminent 5G plus IoT era, we will continue to seek strategic partnerships with entertainment and social media platforms. We believe these collaborations will help further increase our user stickiness, create additional potential monetization channels and further differentiate us from our peers.

We've also continued to expand and diversify our sales channels through additional