In summary, we remain confident with the growth perspective in medical aesthetics market for 2024 and further into the future. Even though our business is occasionally impacted by volatile market, its remained resilient. We will continue investing in acquiring high-quality users and institutions to create value for the industry and are confident in our long-term growth perspective. Thank you.
Operator: Thank you. And our next question today comes from Chloe Wei at CICC. Please go ahead. Hello, Chloe. Your line is open. Chloe Wei? I’m sorry, we’re not able to hear your audio at this time so we’ll move to the next question, which is from [indiscernible] with CITIC.
Unidentified Analyst: [Foreign Language] Let me translate my questions. As profitability has improved for two consecutive quarters, how do you expect margins to trend next quarter and going forward? Thank you.
Hui Zhao: Thank you for your question. With a soft consumer sentiment, we will focus on driving revenue growth with a gradual diversification of revenue streams. Our supply chain business and So-Young Prime is showing a solid performance each quarter and reflects this focus. The improvement in our profitability for the past two consecutive quarters reflect the improvements we have made in operating efficiency. We will continue to execute this strategy and remain confident that we will be able to maintain profitability next quarter. 2023 is a critical year for our business transformation. We have made steady progress in laying a solid foundation for future growth and creating long-term sustainable value for our shareholders. Looking forward to 2024, we will continue to grow revenue, improve operating efficiency and carefully manage costs.
We will be well positioned to increase our competitiveness and maintain healthy cash flows as we leverage opportunities to generate returns for our shareholders. Thank you.
Unidentified Analyst: Thank you.
Operator: Thank you. And our next question comes from Chloe Wei with CICC. Please go ahead.
Chloe Wei: [Foreign Language] So I will translate myself. Mr. Xing Jin, what do you think of the future competitive landscape? And given the thoughts, how do we position ourselves in the long run? Thank you.
Xing Jin: [Foreign Language] [interpreted] Thank you for your question. We have been exploring new business models across different verticals within the industry that are outside the traditional Internet business models. We are trying to find new ways to think about industry development and exploring value creation. First, looking midway upstream, we are seeing that a major short video platform tapped into medical aesthetics in the third quarter. We believe these platforms as well as the major e-commerce platforms are mainly applying a low-priced purchase model, which fits their operation models. Based on our expectation of industry popularization in the future, we are adopting a different operating strategy with our POP business to focus on the demand of high-end users by providing them a better consumption experience, which will also improve our margins.
Downstream adds to the institutional end of the spectrum, users are increasingly seeking products with a high quality to cost ratio, which our operations will be able to cater to add this space growth. We believe the chain stores of light medical aesthetics will have a huge market growth space in the future. Domestic competitors in the vertical are few and far between with only two brands owning over 20 chain stores with limited standardized products and low margins. There are successful models already deployed outside China, which provides a premium consumption experience for low- to mid-tier users. We are working on deploying a standardized management system for light medical aesthetics institutions through So-Young Prime with high-quality to cost product ratios for our users.
This positions us as an all-around partner for a large number of small and midsized light medical aesthetics institutions. Upstream competition is getting fierce in the injections category, but in numerous key market, potential remains intact for medical lasers, particularly in the ultrasonic anti-aging category. Based on our observations, we customized and launched the ultrasonic anti-aging product called as the Micro-focused ultrasound device during the first quarter. For injections, we see enormous growth potential in the regenerative market, driven by new materials and have expanded our offering in the category. In summary, in addition to developing the Internet business model, we’re also exploring growth potential along the industry supply chain with a focus on the long term.
