Waterdrop(US:WDH) Zheng Quan Ri Bao·2025-09-04 12:41Core Insights - Waterdrop Inc. reported a significant increase in insurance-related revenue for Q2, reaching 739 million yuan, a year-on-year growth of 28.7% [1] - The company's operating profit for the same period was 171 million yuan, reflecting a 39% increase compared to the previous year [1] - The first-year premium scale for insurance business surged to 3.204 billion yuan, marking an impressive year-on-year growth of 80.2% [1] Insurance Business Performance - Short-term insurance saw a remarkable first-year premium scale growth of 95% due to increased customer acquisition efforts and deeper AI integration [1] - Long-term insurance also benefited from AI applications, with first-year premium scale growing by 45.4% [1] - Waterdrop launched an innovative medical insurance product that does not require health declarations and guarantees renewal for five years, targeting chronic and sub-healthy individuals [1] Fundraising and Social Impact - Waterdrop's fundraising platform, Waterdrop筹, has played a crucial role in emergency assistance, with approximately 480 million users donating 70 billion yuan to 3.54 million patients since its launch [1] - The company has integrated AI capabilities into its fundraising operations to enhance the verification of case authenticity and ensure transparency in fund usage [1][2] AI Integration and Innovation - The application of AI in the insurance sector has led to a 155% quarter-on-quarter increase in scale premium through AI medical insurance experts [2] - Waterdrop developed an AI-based insurance product knowledge database for advisors, containing information on around 7,000 insurance products, facilitating real-time contract queries [2] - The CEO expressed optimism about the ongoing integration of AI in the insurance and health sectors, aiming for continued innovation as a growth driver [2][3] Financial Performance - For Q2, Waterdrop achieved a net operating revenue of 838 million yuan, a year-on-year increase of 23.9% [3] - The net profit attributable to shareholders reached 140 million yuan, reflecting a substantial year-on-year growth of 58.7%, marking the 14th consecutive quarter of profitability [3] - Operating expenses as a percentage of revenue decreased by 6.4 percentage points to 38.7% [3] Shareholder Returns - Since initiating a stock buyback program in September 2021, Waterdrop has repurchased approximately 55.7 million ADS from the open market [3] - The company has announced a new round of cash dividend distribution, emphasizing its commitment to shareholder returns [3]