Why did NEUP's operating expenses drop significantly in Q1 2025?

Niu Technologies reported a decrease in operating expenses for Q1 2025, which can be attributed to several key factors: 1. **International Market Dynamics**: Niu Technologies has experienced a significant increase in the sales of kick-scooters in international markets. However, these sales are characterized by lower sales prices and margins compared to the domestic market. This shift in product mix and pricing strategy contributes to a decrease in overall operating expenses. 2. **Cost Control Measures**: The company has implemented increased sales incentives to franchisees in the Chinese market. This strategic move likely includes cost-effective marketing and promotional activities, which help in managing the overall operating expenses. In summary, the decrease in Niu Technologies' operating expenses in Q1 2025 is primarily driven by a higher proportion of kick-scooter sales in international markets with lower prices and margins, and increased sales incentives to franchisees in China, which together lead to a more cost-effective sales and marketing strategy.