#China #Beijing #Insurance Services #Waterdrop Inc. #Medical Crowdfunding

Waterdrop Inc. Reports Strong Q4 2024 Financial Results

On March 12, 2025, Waterdrop Inc., a prominent technology platform focused on insurance and healthcare services, announced its unaudited financial results for the fourth quarter and full fiscal year of 2024. The company, known for its commitment to social impact, achieved remarkable profitability in the last quarter, highlighting its continued growth and success in the industry.

Key Financial Highlights

The fourth quarter exhibited a significant boost in profitability, with net profit attributable to ordinary shareholders amounting to RMB 99.6 million (approximately US$ 13.6 million), signifying a year-over-year increase of 68.7%. Waterdrop also announced that its insurance business has generated first-year premiums (FYP) of RMB 1,897.9 million (US$ 260.0 million), marking an impressive 24.5% year-over-year growth. The net operating revenue for this quarter rose 4.2% to reach RMB 686.8 million (US$ 94.1 million).

These results reflect not just a phase of recovery, but a substantive foundation for sustainable long-term growth as the company optimized its customer acquisition channels and diversified its product offerings. Notably, the company emphasized enhancing accessibility through new short-term insurance products tailored for individuals with pre-existing conditions.

Operational Performance and Expansion

Throughout 2024, Waterdrop maintained an impressive record in medical crowdfunding by facilitating contributions for 3.4 million patients, amassing a total donation of RMB 67.5 billion through its platform. This initiative has solidified Waterdrop's role as a leader in China’s growing medical crowdfunding sector, supported by a recent designation from the Ministry of Civil Affairs.

The company also reported the inclusion of 10,395 patients into various clinical trials via its E-Find platform, signaling robust operational capabilities in patient recruitment methodologies.

Peng Shen, the Founder and CEO, proudly highlighted the company’s sustained profitability trajectory and expressed optimism regarding future growth by leveraging innovative technologies and strategic expansion within the insurance and healthcare markets. He confirmed the company’s commitment to maximizing shareholder returns, evidenced by the purchase of 52.1 million American Depositary Shares (ADS) and the declaration of a cash dividend totaling approximately US$ 7.3 million, set to be distributed to shareholders in late April 2025.

Financial Overview and Future Outlook

Examining the entirety of fiscal year 2024, Waterdrop reported a net operating revenue of RMB 2,771.8 million (US$ 379.7 million), up 5.4% from 2023, driven predominantly by increased crowdfunding service fees and insurance income growth. Additionally, the overall operating costs saw a slight decrease of 1.7%, bolstering its operational efficiency and financial resilience.

For stakeholders, these developments illustrate Waterdrop's determination to capitalize on emerging opportunities within the insurance and healthcare landscape. The management team, comprising specialists and technology experts, will continue to drive innovation, ensuring the company remains at the forefront of the industry.

“As we move into 2025, we are optimistic about our potential for rapid expansion and enhanced profitability through technological advancements,” Shen concluded.

With a strong cash position of approximately RMB 3,670.3 million (US$ 502.8 million) as of December 31, 2024, Waterdrop is poised to further its mission of providing critical insurance and medical support for many while ensuring sustainable profitability and shareholder satisfaction into the future.

Conclusion

Waterdrop Inc. continues to make waves in the insurance and healthcare sector, demonstrating that innovative solutions and strategic execution can yield successful outcomes both financially and socially. As they embark on new growth strategies in 2025, both investors and stakeholders will certainly be watching closely to witness the evolution of this influential platform.