Interest Rate Risk Our exposure to interest rate risk primarily relates to the interest income generated by excess cash, which is mostly held in interest bearing deposits and short-term investments, and interest expenses incurred by short-term loan. Interest-earning instruments carry a degree of interest rate risk. We have not been exposed to material risks due to changes in interest rates. We have not used any forward contract, currency borrowings or derivative instruments to manage our interest risk exposure. Due to changes in market interest rates, our future interest expense may increase and our future interest income may fall short of expectations. Foreign Exchange Risk Most of our revenues and expenses are denominated in Renminbi. Our exposure to foreign exchange risk primarily relates to cash and cash equivalents, restricted cash, short-term investments, short-term loans, and other current assets and liabilities. The difference between the reporting currency and the denomination currency may expose us to additional uncertainties in connection with the foreign currency translation. In 2023, 2024 and 2025, we recorded exchange gain of RMB162.7 million, exchange loss of RMB24.8 million and exchange loss of RMB62.1 million (US$8.9 million), respectively. We used foreign exchange forward contracts to hedge our exposure to foreign currency exchange risk during 2023, 2024 and 2025, and may continue to use foreign currency swaps, forwards, or other derivative instruments to hedge our exposure to foreign currency risk. The conversion of Renminbi into other currencies, including U.S. dollars, is based on rates set by the People’s Bank of China. The Renminbi has fluctuated against other currencies, at times significantly and unpredictably. The value of Renminbi against other currencies is affected by changes in global economic conditions and foreign exchange policies, among other things. It is difficult to predict how market forces or government policies may impact the exchange rate between Renminbi and other currencies in the future. To the extent that we need to convert the U.S. dollars for our operations, acquisitions, or for other uses within China, appreciation of the Renminbi against the U.S. dollar would have an adverse effect on the Renminbi amount we receive from the conversion. On the other hand, a decline in the value of the Renminbi against the U.S. dollar could reduce the U.S. dollar equivalent of our financial results, the value of your investment in the company and the dividends that we may pay in the future, if any, all of which may materially and adversely affect the prices of our ADS. As of December 31, 2025, we had RMB-denominated cash and cash equivalents, restricted cash, and short-term investments of RMB27.37 billion and U.S. dollar-denominated cash and cash equivalents, restricted cash, and short-term investments of US$356.3 million. Assuming we had converted RMB27.37 billion into U.S. dollars at the exchange rate of RMB6.9931 for US$1.00 as of December 31, 2025, our U.S. dollar cash balance would have been US$4.27 billion. If the Renminbi had depreciated by 10% against the U.S. dollar, our U.S. dollar-denominated cash balance would have been US$3.91 billion instead. Assuming we had converted US$356.3 million into Renminbi at the exchange rate of RMB6.9931 for US$1.00 as of December 31, 2025, our RMB-denominated cash balance would have been RMB29.86 billion. If the Renminbi had depreciated by 10% against the U.S. dollar, our RMB-denominated cash balance would have been RMB30.11 billion instead.