Waterdrop (WDH) Q4 2024 earnings summary

Executive summary

• Achieved net profit attributable to ordinary shareholders of RMB99.6 million in Q4 2024, up 68.7% year-over-year; full-year net profit doubled to RMB367.5 million, a 119.8% increase year-over-year.

• Delivered solid performance in 2024, driven by integrated scenario ecosystem, sustained AI investments, and new benchmarks for AI implementation.

• Net operating revenue for Q4 2024 was RMB686.8 million, up 4.2% year-over-year; full-year revenue rose 5.4% to RMB2,771.8 million.

• Board approved a third cash dividend and continued share repurchases, totaling 52.1 million ADSs repurchased for US$104 million as of February 2025.

• Maintained profitability for 12 consecutive quarters.

Financial highlights

• Q4 total revenue reached RMB 687 million, up 4.2% year-over-year; annual revenue was RMB 2.77 billion, up 5.4%.

• Q4 net profit attributable to ordinary shareholders exceeded RMB 99.6 million; annual net profit doubled year-over-year to RMB367.5 million.

• Non-insurance business contributed nearly 15% of total revenue in 2024.

• Operating costs and expenses in Q4 were RMB 634 million, stable year-over-year; full-year costs decreased by 1.7%.

• Cash position at year-end was RMB 3.67 billion.

Outlook and guidance

• Targeting 20% annual revenue growth for 2025, with stable Q1 growth and sustained profitability.

• Aims for faster growth and scaling up business operations in 2025, with continued focus on profitability and leveraging technology.

• Plans for semi-annual dividend distribution if healthy operations continue.

• Expecting strategic investments in subsequent quarters to accelerate revenue growth.