专业，科技创造价值 Technology Creates Value Through Expertise 金 融 壹 账 通2024年 第1季 度 业 绩发布会 OCF T E ar nings Release - Fir st Quar ter Results 2 0 2 4 2 0 2 4年 5 月 2 1 日 M ay 2 1 , 2 0 2 4 ...

Financial Data and Key Metrics Changes - The net loss from continuing operations attributable to shareholders improved to RMB60 million from RMB80 million year-on-year, a reduction of 21.2% [8] - Revenue from continuing operations was RMB723 million, a decrease of 19.1% compared to the same period last year [22] - Gross profit margin increased by 0.3 percentage points year-on-year to 37.7% [23][30] Business Line Data and Key Metrics Changes - Revenue from digital banking decreased by 37.6% year-on-year, accounting for 22.3% of total revenue [29] - Revenue from digital insurance decreased by 25.3% year-on-year, making up 18.2% of total revenue [29] - Gamma Platform segment accounted for 59.4% of total revenue, decreasing by 6.2% in Q1 2024 [29] Market Data and Key Metrics Changes - Revenue contribution from overseas customers increased by approximately 14.8% year-on-year, with overseas customer revenue making up 20% of third-party revenue [16] - Business growth in regions such as Hong Kong, Southeast Asia, South Africa, and the Middle East showed strong momentum [16] Company Strategy and Development Direction - The company is focusing on broadening customer engagements and optimizing products and services around digital banking, digital insurance, and the Gamma platform [10][11] - The strategy includes enhancing cooperation with financial regulators and expanding into international markets [11] - The company aims to leverage technology to empower financial institutions and improve operational efficiency [20] Management Comments on Operating Environment and Future Outlook - Management noted that the financial industry is facing challenges but emphasized the importance of digital transformation for future opportunities [38] - The company expects to achieve profitability in the medium term by focusing on improving third-party revenue and enhancing gross margins [32] Other Important Information - The company completed the disposal of its virtual banking business for HKD933 million, which is expected to provide additional working capital [22][36] - The company released its 2023 ESG report, highlighting its commitment to sustainable practices and financial technology empowerment [17][18] Q&A Session Summary Question: What is the reason behind the termination of Ping An Insurance Group on the Gamma Platform? - The change is due to a shift in procurement strategy by the customer, and the company is in negotiations to ensure a smooth transition [35] Question: When can we expect benefits from the recurring premium insurance in the digital insurance business? - The insurance industry is under pressure, but digital transformation remains a priority, which could create new opportunities for the company [38] Question: What is the growth driver for the Gamma Platform? - The Gamma Platform has high customer stickiness, and future growth will leverage technology strengths and explore new opportunities [40] Question: What is the profit margin of the cloud business? - The cloud business has been relatively stable and profitable, contributing about 30% to overall revenue [42]

Financial Performance - For Q1 2024, OneConnect reported revenue from continuing operations of RMB 723 million, a decrease of 19.1% from RMB 894 million in the same period last year[8][18]. - The operating loss from continuing operations decreased by 15.1% to RMB 66 million, compared to RMB 78 million in the previous year[9]. - The net loss attributable to shareholders for continuing operations decreased by 25.9% to RMB 54 million, down from RMB 72 million in the previous year[23]. - The basic and diluted loss per American Depositary Share for continuing operations improved to RMB -1.48 from RMB -2.00 in the previous year[10][23]. - The net loss attributable to continuing operations decreased by 25.9% to RMB 54 million in Q1 2024, down from RMB 72 million in the same period last year, with a net profit margin of -7.4%[30]. - The company reported a net loss from continuing operations of RMB 60.375 million, compared to a loss of RMB 76.621 million in the previous year[69]. - For the three months ended March 31, 2024, the company reported a total comprehensive loss of RMB 101,504 thousand, compared to a loss of RMB 162,248 thousand for the same period in 2023, representing a 37.4% improvement year-over-year[70]. - The loss attributable to owners of the company from continuing operations was RMB 50,420 thousand, a decrease of 52.7% from RMB 106,337 thousand in the prior year[70]. Revenue Breakdown - The revenue from the digital banking segment fell by 37.6% to RMB 162 million, primarily due to a decrease in transaction volumes for customer service and risk management services[17]. - The revenue from the digital insurance segment decreased by 25.3% to RMB 132 million, attributed to changes in the business model from contractor to distributor[17]. - Revenue from the Ping An Group decreased by 21.4% to RMB 421.80 million, while revenue from third-party clients decreased by 14.8% to RMB 243.22 million[31]. - The company reported a 14.8% year-on-year increase in revenue from third-party overseas clients in Q1 2024[32]. - Implementation revenue fell by 25.0% year-over-year to RMB 157 million, primarily due to reduced demand for banking system products and data platform system products[55]. - Customer service revenue decreased by 73.8% year-over-year to RMB 13 million, attributed to a decline in transaction volume for marketing management and lending systems[55]. - Risk management service revenue declined by 15.8% year-over-year to RMB 65 million, due to lower transaction volumes in risk analysis solutions related to banking[55]. - Operating support service revenue dropped by 39.8% year-over-year to RMB 134 million, as the business model shifted from contractor to distributor in the automotive ecosystem[55]. - Cloud service platform revenue increased by 8.9% year-over-year to RMB 318 million, driven by higher transaction volumes in cloud services[55]. Cost and Expenses - The cost of revenue for continuing operations decreased by 19.4% to RMB 451 million, reflecting a greater reduction in costs than revenue due to the elimination of low-value projects[19]. - Total operating expenses for continuing operations decreased from RMB 416 million to RMB 342 million, with the percentage of expenses to revenue rising from 46.5% to 47.3%[59]. - General and administrative expenses increased slightly from RMB 80 million to RMB 81 million, with the percentage of these expenses to revenue rising from 9.0% to 11.1%[60]. - Research and development expenses were optimized by 22.8% year-over-year, reflecting a strategic allocation of resources towards high-quality products[15]. - Research and development expenses for continuing operations in Q1 2024 decreased from RMB 276 million to RMB 213 million, representing 29.5% of revenue, down from 30.9% in the previous year[38]. Assets and Equity - Total current assets increased to RMB 6,921 million from RMB 5,358 million year-on-year[50]. - Total assets rose to RMB 8,141 million compared to RMB 8,068 million in the previous year[52]. - Total equity decreased to RMB 2,847 million from RMB 2,947 million year-on-year[51]. - The total equity attributable to owners of the company was RMB 2,873,100 thousand, down from RMB 2,966,771 thousand year-over-year, a decline of 3.1%[73]. - Total non-current assets decreased to RMB 1,220,237 thousand from RMB 2,709,390 thousand year-over-year, reflecting a significant reduction in intangible assets[72]. Cash Flow - The net cash used in operating activities was RMB 155 million, while net cash from investing activities was RMB 256 million[62]. - The net cash used in operating activities was RMB (115,236) thousand, an improvement from RMB (613,264) thousand in the previous year, indicating a 81.2% reduction in cash outflow[76]. - The company reported a net cash inflow from investing activities of RMB 255,848 thousand, compared to RMB 407,066 thousand in the same period last year, reflecting a decrease of 37.0%[76]. - Cash and cash equivalents at the end of the period were RMB 1,420,891 thousand, down from RMB 1,646,431 thousand in the previous year, showing a decrease of 13.7%[76]. Strategic Focus - The company aims to enhance its self-research capabilities and develop high-value, high-threshold products in the evolving fintech industry[33]. - The company is actively monitoring the situation regarding the potential cessation of cloud services by several subsidiaries of Ping An Insurance Group[33]. - The company has established long-term partnerships with financial institutions to support their digital transformation needs and has successfully exported technology solutions to overseas financial institutions[42]. - The company is focused on maintaining and expanding its customer base while enhancing customer engagement, amidst various market and regulatory challenges[44].

Exhibit 99.1 | --- | --- | |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------| | | | | 壹 账 通 金 融 科 技 有 限 公 司ONECONNECT FINANCIAL TECHNOLOGY CO., LTD. (Incorporated in the Cayman Islands with limited liability)Stock Code : 6638 NYSE: OCFT | | | | | | Annual Report 2023 | | Contents Corporate Information 2 Financial Performance Highlights 4 Chairman's Statement 7 Management Disc ...

Table of Contents OCFT 6638 The New York Stock Exchange The Stock Exchange of Hong Kong Limited UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 20-F (Mark One) ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12 (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023. OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF ...

Financial Performance - The company's net loss narrowed by 58.4% to RMB 362.7 million for the year ended December 31, 2023, compared to RMB 872.3 million for the previous year[5]. - Total revenue decreased by 17.8% to RMB 3,667.5 million, down from RMB 4,464.0 million in the previous year[6]. - The operating loss for the year ended December 31, 2023, narrowed by 62.5% to RMB 368.2 million, compared to RMB 981.6 million for the year ended December 31, 2022[26]. - The basic and diluted loss per ordinary share for the year ended December 31, 2023, was RMB -0.33, compared to RMB -0.80 for the year ended December 31, 2022[46]. - Total revenue decreased by 17.8% to RMB 3,667.5 million year-on-year, while the net loss attributable to shareholders narrowed by 58.4% to RMB 362.7 million[31]. - Gross profit decreased by 17.5% from RMB 1,635.0 million in 2022 to RMB 1,349.4 million in 2023, while gross margin improved from 36.6% to 36.8%[120]. - Cash and cash equivalents as of December 31, 2023, were RMB 1,379.5 million, down from RMB 1,907.8 million in 2022[101]. - The capital-to-debt ratio as of December 31, 2023, was 10.3%, a decrease from 11.6% in 2022[109]. - Income tax expenses increased by 115.7% from a tax benefit of RMB 62.1 million in 2022 to an expense of RMB 9.8 million in 2023 due to increased taxable profits[95]. - The company did not recommend a final dividend for the year ending December 31, 2023[92]. Revenue Breakdown - Revenue from Ping An Group fell by 17.2% to RMB 2,091.0 million, while revenue from Lufax decreased by 41.4% to RMB 269.1 million[6]. - Revenue from the technology solutions segment fell by 19.2% to RMB 3,521.6 million, primarily due to declines in customer service and operational support services[161]. - Customer service revenue dropped by 65.6% to RMB 132.1 million, attributed to decreased transaction volumes and the elimination of low-value products in the digital banking business[161]. - Operational support services revenue decreased by 24.5% to RMB 861.1 million, mainly due to reduced demand from insurance and banking clients[161]. - Virtual banking revenue increased by 136.7% from RMB 56.7 million in 2022 to RMB 134.2 million in 2023 due to rapid growth in virtual banking operations[125]. - Interest and commission income from virtual banking increased from RMB 106.5 million in 2022 to RMB 145.9 million in 2023, driven by increased customer demand for loans and advances[113]. - The revenue contribution from the consolidated affiliated entities accounted for 88.9% of the company's total revenue during the reporting period[156]. Cost Management - Sales and marketing expenses decreased by 33.1% to RMB 275.4 million from RMB 411.4 million in the previous year, primarily due to a reduction in labor costs[79]. - General and administrative expenses decreased by 38.8% from RMB 824.7 million in 2022 to RMB 505.0 million in 2023 due to ongoing cost optimization measures[80]. - Research and development expenses decreased by 32.6% from RMB 1,417.7 million in 2022 to RMB 955.2 million in 2023, primarily due to reduced labor costs and selective investment in profitable projects[129]. Strategic Initiatives - The company launched a comprehensive end-to-end car insurance solution, expanding its offerings beyond just claims to include underwriting and services[13]. - In 2023, the company signed new project collaborations with 16 major banks, enhancing its penetration in the digital banking sector[18]. - The company established a new operational agreement with a leading insurance institution in Hong Kong, marking a significant entry into the local insurance market[14]. - The company continues to enhance its digital banking solutions, focusing on digital retail, credit, and operations to support the digital transformation of financial institutions[32]. - A strategic partnership was established with a well-known global insurance company to promote digital transformation in the insurance sector, enhancing customer experience and operational efficiency[58]. - The company is focused on expanding its digital financial services and regulatory platforms to enhance financial inclusion and optimize market risk control[56]. Product Development and Innovation - The "Super Brain" product has received multiple certifications and is being implemented in 18 major state-owned and joint-stock banks, aiding in operational decision-making and risk management[34]. - The company is focused on product upgrades and enhancing customer experience through improved application efficiency and system compatibility[17]. - The company achieved recognition for its digital banking solutions, winning multiple market awards, including the second prize in the People's Bank of China "Financial Technology Development Award" for its financial data privacy computing platform[60]. - The company’s digital credit platform was recognized as an outstanding case in financial technology innovation for inclusive finance in 2023[57]. Corporate Governance and Compliance - The company’s board of directors confirmed that there are no significant uncertainties affecting the group's ability to continue as a going concern[74]. - The company has adjusted its American Depositary Share ratio, with one ADS representing thirty ordinary shares, effective from December 2022[27]. - The company agreed to sell its stake in Ping An OneConnect Bank (Hong Kong) for HKD 933.0 million, allowing the company to focus on technology-driven products and services[134]. - The estimated gain from the sale of the stake is projected to be RMB 262 million, subject to final audit and currency conversion adjustments[134]. - The company has established service and product agreements with Ping An's subsidiaries, which will pay for services related to banking and non-banking fintech solutions[141]. Risk Management - Financial and contract asset impairment losses increased from RMB 33.6 million in 2022 to RMB 54.0 million in 2023, primarily due to an increase in receivable days[81]. - The group will ensure that deposit rates will not be lower than rates published by the People's Bank of China for similar deposits[146]. - The group will ensure that the terms for derivative products provided by Ping An's subsidiaries are comparable to those offered to independent third-party buyers[173]. - The group has entered into an insurance service procurement agreement with Ping An Property & Casualty Insurance Company, extended to December 31, 2024[175].

OneConnect Financial Technology Co., Ltd. (NYSE:OCFT) Q4 2023 Earnings Call Transcript March 18, 2024 8:00 AM ET Company Participants Rick Chan - Head of IR Shen Chong Feng - Chairman and CEO Luo Yongtao - CFO Li Jie - CTO Conference Call Participants Lydia Lin - Morgan Stanley Yixuan Li - Guotai Junan Operator Ladies and gentlemen, thank you for standing by, and welcome to OneConnect's Fourth Quarter and Full Year 2023 Earnings Call. [Operator Instructions]. Please note this event is being recorded. Now I ...

Exhibit 99.1 Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement. OneConnect Financial Technology Co., Ltd. 壹賬通金融科技有限公司 (Incorporated in the Cayman Islands with limited liability) (Stock Code: 663 ...

Financial Performance - For the fiscal year ending December 31, 2023, the operating loss narrowed by 62.5% to RMB 368.2 million, compared to RMB 981.6 million for the fiscal year ending December 31, 2022[2]. - The net loss attributable to shareholders decreased by 58.4% to RMB 362.7 million for the fiscal year ending December 31, 2023, from RMB 872.3 million in the previous year[12]. - The company reported a total comprehensive loss of RMB 344.76 million for the year ended December 31, 2023, compared to a loss of RMB 496.56 million in 2022[104]. - The company's loss before income tax decreased to RMB 361.7 million in 2023 from RMB 990.2 million in 2022[63]. - The company recorded a net loss of RMB 648,461 thousand for the year 2023, compared to a loss of RMB 745,984 thousand in 2022, indicating an improvement in performance[155]. Revenue and Profitability - Total revenue for the fiscal year ending December 31, 2023, was RMB 3,667.5 million, a decrease of 17.8% from RMB 4,464.0 million in 2022[4]. - The company's gross profit for the year was RMB 1,349.4 million, down from RMB 1,635.0 million in 2022, indicating a decrease of about 17.5%[127]. - The gross profit margin for the fiscal year ending December 31, 2023, was 36.8%, slightly up from 36.6% in 2022[11]. - The company's technology solutions revenue decreased by 19.2% year-on-year to RMB 3,521.6 million in 2023, primarily due to a decline in customer service and operational support service revenue[52]. - The company reported a decrease in contract assets from RMB 182,480 thousand in 2022 to RMB 153,204 thousand in 2023, reflecting a decline of approximately 16%[171]. Expenses and Cost Management - Research and development expenses decreased by 32.6% from RMB 1,417.7 million in 2022 to RMB 955.2 million in 2023, mainly due to lower labor costs[83]. - Sales and marketing expenses decreased by 33.1% from RMB 411.4 million in 2022 to RMB 275.4 million in 2023, primarily due to a decline in labor costs[84]. - General and administrative expenses decreased by 38.8% from RMB 824.7 million in 2022 to RMB 505.0 million in 2023, mainly due to ongoing cost optimization measures[85]. - Employee benefits expenses for the year amounted to RMB 1,302.8 million, reflecting the company's commitment to employee compensation and welfare[125]. Market and Business Development - The company is continuously expanding its international business and enhancing its digital infrastructure offerings[9]. - The company is actively pursuing market expansion in the Middle East, having entered the market in 2022 to develop a financing platform for SMEs in Abu Dhabi[28]. - The company aims to enhance its solutions by integrating new, rigorously tested product modules to empower clients' digital transformation[48]. - The company aims to expand its overseas business and establish new customer relationships to enhance market coverage and diversify its customer base[75]. Technology and Innovation - The company provides comprehensive technology solutions to financial institutions, helping them accelerate digital transformation[9]. - The digital banking solutions are designed to enhance overall digital capabilities for banks, focusing on retail, credit, and operational management to drive business growth and improve management efficiency[33]. - The AI customer service module has been recognized for its advanced technology, helping financial institutions reduce staffing needs and improve efficiency in customer service centers[25]. - The company has successfully implemented the "Super Brain" solution in 18 major state-owned and joint-stock banks, providing strong support for operational decision-making and asset management[20]. Financial Position and Liquidity - As of December 31, 2023, the company's debt-to-equity ratio was 10.3%, down from 11.6% as of December 31, 2022[94]. - The company's cash and cash equivalents as of December 31, 2023, were RMB 1,379.5 million, down from RMB 1,907.8 million as of December 31, 2022[114]. - The company’s net cash used in operating activities for the year ended December 31, 2023, was RMB 648.5 million, compared to RMB 746.0 million in the same period of 2022[113]. - The company’s weighted average interest rate on outstanding borrowings was 4.48% as of December 31, 2023, down from 4.61% in the previous year[115]. Future Outlook - The company plans to maintain a cautious approach in 2024, prioritizing revenue growth from third-party clients and improving profit margins[50]. - The company expects significant reduction in losses, reflecting its proactive efforts to improve financial conditions[74]. - The digital economy in China is projected to exceed RMB 60 trillion (approximately USD 8.84 trillion) by 2025, indicating significant growth potential in the sector[30].

Financial Performance - The net loss attributable to shareholders for Q4 2023 was RMB 81 million, an improvement from RMB 177 million in the same period last year, resulting in a net profit margin of -8.8%, up 5.5 percentage points from -14.3% year-over-year [5]. - For the full year 2023, the net profit margin improved to -9.9%, compared to -19.5% in the previous year [18]. - The operating loss for Q4 2023 narrowed significantly to RMB 79 million, compared to RMB 194 million in the same period last year, with an operating profit margin improvement from -15.6% to -8.6% [22]. - The net loss attributable to the parent company improved to RMB 363 million from RMB 872 million in the previous year [26]. - The basic and diluted loss per American depositary share was RMB -9.99, compared to RMB -23.90 in the previous year [27]. - The total comprehensive loss for the three months ended December 31, 2023, was RMB (109,348) thousand, compared to RMB (219,852) thousand for the same period in 2022 [82]. Revenue and Segments - Total revenue for Q4 2023 decreased by 25.6% to RMB 924.6 million, down from RMB 1,242.4 million in the same period last year [36]. - Revenue from the digital banking segment decreased by 33.3% year-over-year to RMB 247 million, primarily due to a decline in customer service and risk management service transaction volumes [21]. - Revenue from the digital insurance segment fell by 46.8% year-over-year to RMB 141 million, mainly due to reduced demand for automotive ecosystem services [21]. - Revenue from third-party customers decreased by 17.8% to RMB 363.4 million in Q4 2023, compared to RMB 441.9 million in Q4 2022 [29]. - Revenue from overseas customers grew by 37.2% to RMB 182 million in 2023, contributing significantly to overall revenue [32]. - The technology solutions segment reported a revenue of RMB 881,899 thousand, down 27.1% year-over-year from RMB 1,209,877 thousand [82]. - The virtual banking segment saw revenue increase by 31.1% year-over-year to RMB 43 million [21]. - The virtual banking business revenue increased by 31.1% to RMB 42,666 thousand for the three months ended December 31, 2023, compared to RMB 32,557 thousand in the same period of 2022 [82]. Cost and Expenses - R&D expenses for Q4 2023 decreased to RMB 197 million from RMB 390 million, with R&D expenses as a percentage of revenue dropping to 21.3% from 31.4% [40]. - In Q4 2023, general and administrative expenses decreased from RMB 255 million to RMB 169 million, representing 18.3% of revenue, down from 20.6% in the previous year [41]. - The cost of revenue in Q4 2023 decreased by 23.6% to RMB 566 million, aligning with the revenue decline, while gross profit fell from RMB 501 million to RMB 358 million, resulting in a gross margin of 38.7%, down from 40.3% [58]. - Operating expenses in Q4 2023 totaled RMB 436 million, down from RMB 745 million in the previous year, with the percentage of operating expenses to revenue decreasing from 59.9% to 47.1% [59]. - Sales and marketing expenses in Q4 2023 decreased to RMB 69 million from RMB 99 million, with the percentage of these expenses to revenue dropping from 8.0% to 7.5% [60]. Cash and Assets - The total available cash as of December 31, 2023, was RMB 2,072 million, compared to RMB 2,082 million at the end of 2022 [20]. - The total current assets decreased to RMB 5,358,968 thousand from RMB 6,374,276 thousand year-over-year [70]. - The total assets of the company decreased to RMB 8,068,358 thousand from RMB 8,882,382 thousand year-over-year [70]. - The total liabilities as of December 31, 2023, were RMB 5,120.6 million, down from RMB 5,604.3 million in the previous year [51]. - Non-current assets increased from RMB 2,508.1 million to RMB 2,709.4 million year-over-year [49]. - The total equity as of December 31, 2023, was RMB 2,947,792 thousand, down from RMB 3,278,055 thousand in the previous year [86]. Strategic Focus and Outlook - The company remains focused on improving its revenue structure and is confident in achieving sustainable growth and long-term value [20]. - The company plans to continue focusing on enhancing third-party customer revenue and improving profit margins in 2024 [32]. - The company has established long-term partnerships with financial institutions to support their digital transformation needs and has successfully exported technology solutions to overseas financial institutions [44]. - The company aims to maintain and expand its customer base while enhancing customer engagement, despite the challenges posed by regulatory changes and market conditions [45]. - The company continues to focus on optimizing its business processes and implementing strict cost control measures to improve profitability [41]. - The company expects to leverage artificial intelligence to enhance financial services and improve operational efficiency in 2024 [81]. - The company aims to support financial institutions in improving productivity and reducing costs through innovative technology solutions [81].