WDH - Earnings call 3 2023

Due to licensing restrictions, you must log in to view earnings call transcripts.

Unknown Executive

Good morning, everyone. This is [indiscernible] from Waterdrop Investor Relations. It's my pleasure to welcome everyone to Waterdrop Third Quarter 2023 Earnings Conference Call. [Operator Instructions] As a reminder, today's conference call is being recorded.

Please note that the discussion today will contain forward-looking statements made under safe harbor provision of U.S. Litigation of the and Securities Reform XXXX. Act Private

risks that materially may statements our are actual uncertainties to subject differ Forward-looking cause and results expectations. current from to

our outlined but Potential Also, uncertainties does this release applicable of and statements, not earnings to discussion the not except in obligation company our certain any call Please any limited SEC. risks GAAP. includes consideration The public include, refer a non-GAAP law. to between update and undertake as with filings and to those for measures. forward-looking required non-GAAP

us Mr. questions Mr. Founder, the and I Joining the Mr. in today SVP Business; Peng, the call. on happy Co-Founder, of be at end Guang, of will Zetao, are the and CEO business; take Shen Crowdfunding and Zhu Board of some Pharmatech of International call the Mr. [indiscernible], Chairman Secretary; Director, conference to line GM our mandarin Yang GM and

Peng Shen

Hello, earnings for everyone. This is third call. conference quarter you our joining Shen Peng. Thank XXXX

This in the China recovery is quarter, still in process. domestic the economy

the including Our impacted have temporarily insurance business. product policies factors, adjustments in risk life

insurance opportunities With is development actively [indiscernible] in industry life product a efficiency. direction, business new in entering respond The and striving both challenge. improvement regulatory company The that stage and to the of facing market. new believes enhance health the policy transparency industry company to

the service certification, its user and industry key leveraged user efficient company innovation and with product either advertising stability, to approach. For dynamic insight an solidify chain into needs embracing

in trend maintaining the ] net financial of and performance September million, XX% XX.X the and context [ billion RMB sustainable value repurchase and Shenlanbao. continued operating past focus and sustainable demonstrating GAAP creating resilient of Q-over-Q X of users, high-quality quarter, acquisition for in end a share for quarters. positive achieving X.X cash development of with the company at continuous third growth a approximately the profitable to the the revenue reached profit the flow In with on profit a RMB showing

a growth. and robust RMB maintained for investments position these growth. and performed well cash, The flexibility organic industry. in are cash in our navigate company cash ability business to providing consolidating to models the long-term company billion, uncertainties combined stability reserves leading and X.X still All of the the support the equivalent and third about short-term the The quarter company

Waterdrop continued and insights Insurance demand on improvement Firstly, business focused quality and stable metrics health, Marketplace to the through it optimizing enhancing the profit. contribute product net excellent

of type, advantages. ] the E-Find well-known to Platform service-oriented with recruited consultants of expanding the Crowdfunding X first terms disease range and and platform accumulatively solution international digital clinical trial service improve the in principle risk emphasize actively to serving service commitment demonstrating consistently quality transparency on and allocating mechanism service enhancing Secondly, to for continued [indiscernible] our continue domestic with pharmaceutical, deepen our company collaboration and the adhered credibility, promote Medical leveraging transformation of to company's be The of control users [ over Waterdrop business. technological The million authenticity. patients, fund the

We in continue explore opportunities field. innovative pharmaceutical to

continue we to addition, R&D development. business to In invest in empower

quarter, technology of and AI and effects our the In the virus product, company third the across services. upgraded operations iterated

enhance information development with the industry. to company of [indiscernible] advantage. protection, the deal sustainable initiate the opportunity the collaborated technology, In disclosure Meanwhile, implementation insurance of company employee to to white with striving ESG ESG With corporate the industry. empowering contributing continued seek society, September, and company of the its of initiatives our the export related development company right, and also to industry the and to the to IIGF online efforts, governance virus will prioritize paper ESG environmental practice

to Beijing the assist [ use Beijing topic to the platform due company the in as ] our collaborated [indiscernible] well-known development, foundation welfare on business platform public to The addition flood and launched suppliers fulfilled area. with development homepage to the many In foundation. in [indiscernible] August donated CSR a actively charitable the we

over so we September XXX public medical with multilevel telephone X.X with XXXX, in on XX, billion and charitable of serious our such advantage, ] the in rapid education [indiscernible] raising participate emergency areas platform has construction [ organizations business technology many RMB implementing assistance, and of of total support, As a release collaborated as over and [indiscernible]. Leveraging system, cities. in actively illness the

open of our the In XX.X strong sustainable ESOP over million reflects USD business repurchase, as in continue to long-term promote about enhance a growth XXXX, used to performance The confidence XX.X QX. brief market value of share repurchased cumulatively has million. company's terms for XX, shares spending of ADSs This with and November company from dynamic will the our be development. review internal employees. [indiscernible] and mutual repurchase in the

in Although we're environment, and industry. our facing results the the in confident challenging still fully micro

this centric, to stock to we quarter and by preformation. forward business users firstly our of for efficiency, business team healthy strategies digital stable and striving year, by last user driven Looking be long-term insurance professional service. provide will enhance the and to consolidate the include online with continue continue foundation The and achieve will to Meanwhile, development.

high-quality first ] industry towards will [ Secondly, service user ease continue and doing to adhere model, development. business leading the the of crowdfunding

strict We adhere also management, implement transparent fulfilling operations to and actively risk will CFR. will

data. globally long-term pharmaceutical to industry growth big penetration business continue in increase construct leveraging will to a order The engine. Thirdly,

our accelerating of the not long-term AI enhance supporting strategies and of competitiveness, and and the implementation [indiscernible] company healthcare the build Fourthly, thereby opportunities organic company use summary, and the will will the investment cooperation empower healthcare will to core boundaries seek technology and of development abilities we're to Last around empowerment insurance company cash make to I constantly least, technology reserves sectors. high-quality but service pass business bring to next, [indiscernible] on the expanding value, in focusing insurance insurance advancing industry. In prioritize growth this to better continue quarter. and And user business synergy will [indiscernible] technology. And development. business and

Unknown Executive

X billion with quarter, the the RMB rate them, the billion. first XX% backdrop, reached billion, propulsion. business go Among XX.X ] reached short-term RMB of long-term insurance RMB the FYP [ profit growth insurance down reached this of the life against X.X in X.X quarters, RMB Insurance-related insurance and operating income the FYP In reached XX.XX billion.

During the acquisition technology this quarter, company service the the utilized to user quality. enhance AI actively and capabilities,

further The in company by acquisition customer increase a the The renewal of XX%. Long-term chat year-over-year capabilities, intelligent achieving premium model the rate the content The chat for per number significant the developed increased XX% ] users quarter, of upgrade short-term X% and channel driving a of numbers. [indiscernible] sequential also sequentially. growth continued XX% and income XX% to year-over-year the in X% increase enhance third by dialogue XX% a [ year-over-year. policy average developed sequentially. On X% with FYP year-over-year our production and views in RMB insurance above XX% side, of driving million, increased new sequential and quarter-over-quarter. business the by the XX% is to actively an company bot, XXX of insurance remaining increased in increase is Brokerage following

average the around team interest the monthly conditions. In the planning quarter, rates, users the and of of sequentially, continues in online company In insurance. service X% to planners achieving company tools. increase And driving long-term build content planning towards service brokerage third rate. company to quarter, by new company optimizing renewal the X% continued proportion team domain service The quality, XX% expanded the first XX% operations. The FYP of in combination advancing continuously long-term year-over-year. grow continued service developing increase the year-over-year. in a enhance demonstrated and by of in to an FYP industry-leading capability new almost challenging our of products of capabilities functionality sector, insurance the improving market life to of per achieving private offerings record platform's productivity increased despite with the resilience improved the models insurance In market adheres a our sequential capita the online FYP further this year increased offline declining life like The the life brokerage insurance in and segment app,

Cancer Shenlanbao, a monthly content capability. preexisting introducing coverage Regarding the core flexible this range quarter. In QX, product in in by is business marketing what township synergy, shortcomings first of [indiscernible] hospitals during upgraded preliminary -- of The insurance high condition. The Waterdrop Insurance. in high marketplace optimized Shenlanbao, our new industry product FYP in amount market, of Recurrence drives company its significantly the enhancing cover insurance company It is ]. coverage to options targeting rising the is its In wide the in the users. products introduced insurance demand. and Ai ground product meet company comprehensive the Waterdrop service provides for a with Emergency health Wuyou This below medical breaking that users community sector, expenses the insurance a Outpatient existing and hospitals, level secondary Launching which with and [

related so QX, business create salesmen service. on, data. Additionally, our segmental able Blue also with to insurance to unit improved technology the big addressing can savings the assistance high-quality to model to insurance launched concerns. efficiency experience product [indiscernible]. by more offering investing module insurance refined achieve continued answer company potential and capabilities, and users further Waterdrop questions is users. The In in enhance promptly engaged user Ocean to XX% premiums deliver AI launched application were of insurance empower in assisting intention an number X its AI options responsibilities, knowledge large automatically actively The to shift company users. The insurance diverse on the to coverage Waterdrop enhancing with and This utilized claims, presales insurance responds Waterdrop algorithms policy our Salesmen insurance, significantly company to technology AI segmentation, a large our technology. and identify technology assistance to based in [indiscernible] for assistant company the public also tailored process, other to by series different

assist successfully salesmen Over improved company utilized our salesmen significantly and with content professional, intelligent to launched. addressing the is This capabilities an content. this accurate launched more in assistant efficiency. personalized tool, XXXX has copywriting our Additionally, production

Waterdrop QX. business solutions. of The above clinical performance was [indiscernible] insurance digital about trial and crowdfunding in

Unknown Executive

you, Thank [indiscernible].

XX.X page the members disclosures, donors, of with end [indiscernible] Committee of like and displayed and different has fund million [ to amounts raising Operating assisted Waterdrop yielding RMB verification, X models enhanced patients ] million [indiscernible]. and information simulated grow. In As platform over platform both public billion, platform QX, XXX Crowdfunding continue combination Transparency raised information Waterdrop X QX, further over Medical

of service. and risk key improved awareness. provide Handbook This standardized overall release of representation first month We August. the Service Waterdrop ] [ the our service to in more with enhance and consultant consulting quality comprehensive operations details a and conduct service consultant We

company's enhance trial The in the XX.X of showed a revenue quarter, listen praise we QX, high honor quality. We continued result, company fundraising will will million, Shen overall The with experience donor on of transition first hospitals consultants from this while both fundraisers donors every the representing with stable year-on-year the development healthy experience quarterly their ] XX% a focused service strategic to hosting in and consultants efficiency certification further from innovation to approach prioritized RMB to and will deep to user service-oriented and feedback, user As [indiscernible] business the user. Digital [ improve XX The on This continue the service and trust have solutions transparency patients. and rose the to platform September user for [indiscernible]. communication with nationwide. [indiscernible]. fundraiser fundraising about NPS growth Peng hospitals was of increased XX%. In in and transparency to Day XX.X%. and same on Open received CEO, service-oriented maintaining the XX% clinical technology and to efficiency case

and During XX [indiscernible] the E-Find over of of top QX, signing participate XXX cooperations one really expanded ability new with entered top with this recruitment given projects management, MNC. a the trial an quarter. leading CRO, excellent rapid MNCs product with psoriasis The platform clinical recruitment collaboration project over into X with pharmaceutical with exclusive worlds Platform its and expansion patients

service. tire formal E-Find cutting with edge expected Platform accelerating initiated projects. application leveraging supply of data unit platform to X new service efficient system enhance MNCs technology domain used private information in patient matching structured continues have medical collaboration patient management were platform [indiscernible] to an and big the process connecting we in top to about AI-driven core expertise base, suitable Additionally, clinical and In expand with drug development, efficiency from to The with due developed projects. patient patients in QX. The X

to digital data service, offers solutions and entire marketing and insight medication providing chronic solution formal and the part. patient health product patient The management for has of now a MNC disease that's service platform so life such on, circle. In on and integrated Guang covers collaboration focused as the management, action, innovative I payment management QX, medical pass commenced with patients. And the been next all leading the Yang

Guang Yang

Hello, walk our through now [indiscernible]. Thanks, for I financial the will quarter. third you everyone. headlines

Before reminded demonstrated segment. revenue and RMB, performance a reported RMB I that numbers quoted report, detailed that robust unique release and XXX in and for consolidate was segment profitability. From we results basis, it go our Q-o-Q started refer Shenlanbao million, insurance-related company the assessment, that quarter-over-quarter both from earnings our the to of please product is a the -- the all respectively. In The a first the and company into XXX RMB year-over-year to results million. financial here increase of please slightly quarter financial period be be in details, on will QX, information despite the on

a Our Q-o-Q fees XX.X a increase. X.X% year-over-year by the was was related decreased and to, X.X% RMB RMB mutual aid income The million million, a were due million, quarter cost the service of with X.X% million year-over-year in by firstly, decrease insurance-related Operating Crowdfunding income XX.X% X-year health which in XX was clinical X.X% plan, XXX XX.X to increased year-over-year coverage about by showing growth. Operating of year. same in RMB costs million. RMB Q-o-Q. insurance decreased termination cost expenses last occurred to solution remarkable XXX mainly RMB

RMB S&M be increased referral of expense costs consolidation XXX.X due decrease of primarily million. by million, year-over-year and X.X will expenses in of fee. XX.X% a generated Second to, service RMB reason and it was which to firstly, -- was the million Shenlanbao, RMB S&M XX.X

[indiscernible] by XX.X% marketing of in RMB strategies. perpetually major expenses marketing to S&M channels. increase in advertising by primarily and million costs company to professional XX.X% share-based to comprehensive the this costs G&A sequentially. decreased increase of RMB the and million fees. R&D Q-o-Q third-party year-over-year Both decrease expenses. In Y-o-Y share-based increase RMB by XX.X a million million. in and and channels, by decrease year-over-year And consolidation due was increased expenses thirdly, the service RMB Shenlanbao X.X% personnel The traffic certain RMB due XX.X expenses XX.X to net expenses the profit GAAP in There to QX Adjusted X.X% consolidation RMB GAAP was and we profit quarters. million positive company Shenlanbao, XX.X have net partially third-party adjusted XXX.X Secondly, to was offset and million expenses. decreased XX.X comprehensive quarter, over the generated in The attributed expenses X personnel traffic RMB by million. the profit was increased sequentially. to X.X

the sufficient and XXXX, in equivalents had Overall, the the X.X of September was end cash reserves. short-term company cash, of investments As of cash billion, indicating combined business RMB stable. performance QX

development. to continue will sustainable we high-quality and ahead, user Looking focus on value

Unknown Executive

good this present time. [Statements transcript were gentlemen, Have a the you by that, interpreter thank and joining. ladies English on We And call.] in live an conference conclude spoken will call. do with for we today's on

Waterdrop (WDH) 7 Dec 232023 Q3 Earnings call transcript