Core Insights - Cheche Group Inc. reported a 10.5% year-over-year increase in net revenues for Q3 2023, reaching RMB823.3 million (US$112.8 million) [2] - The company experienced a net loss of RMB55.4 million (US$7.6 million) for the quarter, which is an increase of RMB27.6 million compared to the prior-year quarter [2][8] - Adjusted net loss for Q3 2023 significantly decreased by 96.4% to RMB0.6 million (US$0.1 million) [2][8] Financial Performance - Net revenues for the first nine months of 2023 increased by 27.7% to RMB2.4 billion (US$333.6 million) [2] - Total written premiums for Q3 2023 grew by 30.4% year-over-year to RMB5,639.3 million (US$773.0 million) [2] - The total number of policies issued in Q3 2023 increased by 23.5% to 4.0 million [2] Business Highlights - Cheche established partnerships with 10 New Energy Vehicle (NEV) manufacturers, leading to over 117,000 embedded insurance policies in new NEV deliveries, generating premiums of RMB399.0 million (US$54.7 million) [2][11] - The company added over 50,000 new referral partners in the quarter, increasing active intermediaries to approximately 4,500 [2] - Cheche's gross margin improved by 70 basis points in Q3 2023 due to operational efficiencies and enhanced technology [4] Market Position and Strategy - Cheche is positioned as a leader in providing embedded insurance solutions within the NEV sector, capitalizing on the rapid growth of NEV sales in China [4][10] - The company aims to leverage its extensive network of insurer relationships and referral partners to capture market share and enhance underwriting and claims management [4] - Cheche's management anticipates continued momentum in Q4 2023, driven by promotions from insurers and manufacturers [4] Outlook - The company updated its 2023 financial outlook, expecting net revenues to meet or exceed RMB3.1 billion (US$454.0 million) and total written premiums to be between RMB21.0 billion and RMB22.0 billion [18] - The strategic focus remains on increasing NEV market share while controlling operating expenses for long-term growth [18]
Cheche Group Reports Third Quarter 2023 Unaudited Financial Results