So for disaster recovery. So the last one we just launched smallest card size, checking and the Wi-Fi product. And this product can go to the daily life of people. So all these three new products, I think demonstrate our R&D has a very strong capability even during the last painful years, we still can launch our new product in the second quarter. So I believe this new product I just mentioned in the following quarter and the next year, we are generating more revenue and users for us. Thank you.
Vivian Zang: Okay. Okay. I understand. So next question is that could you elaborate on like what drove the company’s revenue growth in China and your products and growth strategy there, because I see the proportion of our revenue from China increased a lot this quarter. Can we expect this growth momentum to continue? Thank you.
Chaohui Chen: Yes, we — as we disclosed the third quarter’s guidance, the growth rate is will be — go to 30% around, compared to the same period of 2022. We expect the — this is a peak season for some holiday and yes same for Chinese outbound tourists. So some of the — some product is peak time for years — for this year. So we expect the growth momentum came from international travel, this pickup time. So that’s the main still a driver for our gross revenue in the third quarter and also will contribute our improving our service gross margins and contribute to our strongest financial position in terms of operating cash flow, and this adjusted net income.
Yimeng Shi: Yes. So I still add more to comment. First, we can see the report from the government. The first-half year of China outbound tourists only recover 30%. So you can see it’s a smaller, compared year before COVID-19, only 30% recovery. So people — the government forecast during the next holiday, like National Day, we go to the 50% around this figure, almost another bigger groups. Another reason we understand, because of the visa issue and the possible issue during the COVID-19. So we haven’t seen a big increase from the Chinese people, even these smaller percentage already give us a good revenue. We believe once the visa problem and passport problem and opening of the [Indiscernible] boundary become more I think this barrier was overcome, I believe in the third quarter and fourth quarter we will get a much better revenue from the China market for Roamingman brand.
Vivian Zang: Okay, that’s help. Thank you. That’s all my questions.
Yimeng Shi: Thank you.
Operator: Our next question comes from Yanxin Li with Great Wall Securities. Please go ahead.
Yanxin Li: Hi, this is from Great Wall Securities. And I have a question about the PaaS/SaaS service, because we see the revenue of this part — like doesn’t have obviously increased, compared to the First Quarter. So I want to know the — maybe the process of the PaaS/SaaS service development at this time, yes.
Yimeng Shi: Yes, yes. So you see we in the second quarter, ’23, our service revenue segment increased significantly with a mix of three main types service revenues. International roaming connect service; a local connect service and PaaS/SaaS service. Among the three categories, roaming service is the increase, number one, in terms of growth rate. And PaaS/SaaS is third place in terms of growth rate, but it’s growth as we report our daily app terminal in the second quarter reached a historical record high more over 310,000. So that’s our foundation to reflect our growth foundation and activity is growing. Why is this PaaS/SaaS revenue growth rate is in the third place. It depends on our monetized business models. We have three main business models, once the B2C retail business model and the thickest B2B2C wholesale business model and third PaaS/SaaS platform.
So it depends if the business product choose, which business models is suitable for them. So people that choose B2B2C wholesale model in roaming sectors, so we will have a more roaming service generated from this commercial term. And we don’t — sometimes, we don’t double charge wholesale packets to the partner and PaaS/SaaS platform. So that’s — but overall, our activity is growing in line of the growth total. And as we disclosed as well, we launched three products in this quarter and GlocalMe SIM card and this smallest Wi-Fi — portable Wi-Fi with the GPC track function and IoT modules delivered to a main operator of the mobile network operate in Japan. So this IoT modules deliveries most will generate more PaaS/SaaS service in the future to our accounts.
And for this other functions like GPS tracker will also generate platform service PaaS/SaaS service to account as well in the future. So the momentum for PaaS/SaaS revenue growth is still strong. So — but we managing our performance in terms of overall of three main categories, of service sector.
Chaohui Chen: Yes. I think because we launched new products and new service, I think we are expecting our PaaS/SaaS revenue not on where traditional is come from the connection services and the data volume, but now we expansion to the new area, like I just mentioned a GPS checking, high resolution and high availability tracking. So that’s our unique services. Also in the future about SOS in the high percentage for emergency services. So all these type of — also like high reliable CPE, high-level CPE, high-reliable router, even the data usage is quite smaller, but people buy or buy for emergence. So far, I think, like as we buy insurance for the high-quality connection. And I think this kind of the services more be aware by the people, more easy understanding rather than the connections and this type of the services will generate more PaaS/SaaS services revenue in the future.
Yanxin Li: Yes. I got it. Okay, thank you very much.
Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Jillian Zing for closing remarks.
Jillian Zeng: Thank you once again for joining us today. If you have further questions, please feel free to contact uCloudlink Investor Relations through the contact information provided on our website or contact our IR relation firm, The Equity Group. We look forward to speaking to you again on our next quarter. Thank you.
Chaohui Chen: Thank you.
Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.
