SHENZHEN, China, Sept. 25, 2024 (GLOBE NEWSWIRE) — Huize Holding Restricted, (Huize, the Firm or we) (NASDAQ: HUIZ), a number one insurance coverage expertise platform connecting customers, insurance coverage carriers and distribution companions digitally via data-driven and AI-powered options in Asia, at this time introduced its unaudited monetary outcomes for the second quarter ended June 30, 2024.
Second Quarter 2024 Monetary and Operational Highlights
- Resilient enterprise efficiency: Gross written premiums (GWP) moderated barely to RMB1,336.9 million within the second quarter of 2024, in comparison with RMB1,377.7 million in the identical interval of 2023. Renewal premiums elevated by 42.8% year-over-year to RMB685.4 million within the second quarter of 2024, pushed by our high-quality buyer base and continued strong persistency ratios.
- Sequential enchancment in gross revenue margin: Gross revenue margin was 31.3% within the second quarter of 2024, up by 2.3 proportion factors sequentially, primarily pushed by our disciplined management on channel bills and optimization in product combine.
- Cumulative variety of insurance coverage purchasers served elevated to 9.8 million as of June 30, 2024. Huize cooperated with 125 insurer companions, together with 78 life and medical health insurance corporations and 47 property and casualty insurance coverage corporations, as of June 30, 2024.
- As of June 30, 2024, money and money equivalents have been RMB236.2 million (US$32.5 million).
Mr. Cunjun Ma, Founder and CEO of Huize, mentioned, Our enterprise demonstrated resilience amidst a difficult financial and working setting, with whole GWP reaching RMB1.34 billion within the second quarter of 2024. These outcomes mirror our strategic imaginative and prescient and core competencies in attracting high-quality clients, innovating custom-made merchandise, growing subtle AI options, and diversifying into worldwide markets.
Our long-term insurance coverage merchandise maintained a GWP contribution above 90% for the nineteenth consecutive quarter, underscoring our dedication to sustainable development. The general high quality of our clients continued to enhance, as evidenced by our record-high common first 12 months premiums (FYP) ticket dimension of RMB78,000 for financial savings merchandise and a sustainably excessive repeat buy charge for long-term insurance coverage merchandise of 40.5%. Furthermore, our high-quality buyer base additionally helped maintain our persistency ratio for long-term life and medical health insurance merchandise on the business’s highest ranges. As of the tip of June 2024, the thirteenth and Twenty fifth-month persistency ratios stood at above 95%.
Our growth into the worldwide market is gaining traction, with income contribution from our worldwide enterprise rising to 11% within the second quarter. We’re additionally happy to have accomplished the acquisition of a controlling stake in International Care, a number one Vietnam-based Insurtech firm specializing in digital transformation options for the insurance coverage business via our worldwide arm Poni Insurtech in September. These strategic initiatives will additional diversify our income streams and solidify our presence globally.
Wanting forward, we stay dedicated to enhancing the client expertise by leveraging cutting-edge expertise, additional solidifying our place as a number one pan-Asian digital insurance coverage platform. We’re targeted on diversifying our income streams by increasing into high-growth markets in Southeast Asia, reinforcing our technique for sustainable, long-term development.
Second Quarter 2024 Monetary Outcomes
GWP and working income
GWP facilitated on our platform was RMB1,336.9 million (US$184.0 million) within the second quarter of 2024, a lower of three.0% from RMB1,377.7 million in the identical interval of 2023. Inside GWP facilitated within the second quarter of 2024, FYP accounted for RMB651.5 million (or 48.7% of whole GWP), a lower of 27.4% year-over-year. Renewal premiums accounted for RMB685.4 million (or 51.3% of whole GWP), a rise of 42.8% year-over-year.
Working income was RMB283.0 million (US$38.9 million) within the second quarter of 2024, a lower of 23.2% from RMB368.2 million in the identical interval of 2023. The lower was primarily pushed by the lower in FYP facilitated.
Working prices
Working prices have been RMB194.4 million (US$26.7 million) within the second quarter of 2024, a lower of 20.2% from RMB243.6 million in the identical interval of 2023, primarily attributable to a lower in channel bills.
Working bills
Promoting bills have been RMB46.8 million (US$6.4 million) within the second quarter of 2024, a lower of 18.3% from RMB57.3 million in the identical interval of 2023, primarily attributable to a lower in salaries and employment advantages associated to workers with gross sales features.
Basic and administrative bills have been RMB49.7 million (US$6.8 million) within the second quarter of 2024, a rise of 33.9% from RMB37.1 million in the identical interval of 2023. This improve was primarily attributable to a rise in rental and utilities bills and share-based compensation bills.
Analysis and growth bills have been RMB18.1 million (US$2.5 million) within the second quarter of 2024, a lower of 17.7% from RMB22.0 million in the identical interval of 2023, primarily attributable to a lower in salaries and employment advantages for analysis and growth personnel, in addition to a lower in workplace bills.
Internet revenue and Non-GAAP web revenue for the interval
Internet loss was RMB23.3 million (US$3.2 million) within the second quarter of 2024, in comparison with web revenue of RMB14.1 million in the identical interval of 2023. Non-GAAP web loss was RMB13.0 million (US$1.8 million) within the second quarter of 2024, in comparison with non-GAAP web revenue of RMB19.0 million in the identical interval of 2023.
Money and money equivalents
As of June 30, 2024, the Firm’s money and money equivalents amounted to RMB236.2 million (US$32.5 million), in comparison with RMB249.3 million as of December 31, 2023.
Convention Name
The Firm’s administration group will maintain an earnings convention name at 8:00 A.M. Japanese Time on Wednesday, September 25, 2024 (8:00 P.M. Beijing/Hong Kong Time on Wednesday, September 25, 2024). Particulars for the convention name are as follows:
Occasion Huize Holding Restricted’s Second Quarter 2024 Earnings Convention Name
Registration Hyperlink: https://register.vevent.com/register/BId0560560e56046b6aebe3fdd2b12cd48
All contributors should use the hyperlink supplied above to finish the net registration course of prematurely of the convention name. Upon registration, every participant will obtain a affirmation e-mail containing dial-in numbers and a novel entry PIN, which might be used to hitch the convention name.
Moreover, a reside and archived webcast of the convention name will even be out there on the Firm’s investor relations web site at http://ir.huize.com.
About Huize Holding Restricted
Huize Holding Restricted is a number one insurance coverage expertise platform connecting customers, insurance coverage carriers and distribution companions digitally via data-driven and AI-powered options in Asia. Concentrating on mass prosperous customers, Huize is devoted to serving customers for his or her life-long insurance coverage wants. Its online-to-offline built-in insurance coverage ecosystem covers the complete insurance coverage life cycle and gives customers a large spectrum of insurance coverage merchandise, one-stop companies, and a streamlined transaction expertise throughout all eventualities. By leveraging AI, information analytics, and digital capabilities, Huize empowers the insurance coverage service chain with proprietary technology-enabled options for insurance coverage session, person engagement, advertising and marketing, danger administration, and claims service.
For extra info, please go to http://ir.huize.com.
Use of Non-GAAP Monetary Measure Assertion
In evaluating our enterprise, we think about and use non-GAAP web revenue/(loss) attributable to frequent shareholders as a supplemental measure to overview and assess our working efficiency. The presentation of the non-GAAP monetary measure isn’t meant to be thought-about in isolation or as an alternative to the monetary info ready and introduced in accordance with U.S. GAAP. We outline non-GAAP web revenue/(loss) attributable to frequent shareholders as web revenue/(loss) attributable to frequent shareholders excluding share-based compensation bills. Such changes don’t have any impression on revenue tax as a result of both the non-GAAP changes have been recorded at entities situated in tax free jurisdictions, such because the Cayman Islands or as a result of the non-GAAP changes have been recorded at working entities situated within the PRC for which the non-GAAP changes weren’t deductible for tax functions.
We current the non-GAAP monetary measure as a result of it’s utilized by our administration to judge our working efficiency and formulate enterprise plans. Non-GAAP web revenue/(loss) attributable to frequent shareholders allows our administration to evaluate our working outcomes with out contemplating the impression of share-based compensation bills and the curiosity on convertible bond. We additionally imagine that the usage of this non-GAAP monetary measure facilitates buyers’ evaluation of our working efficiency.
This non-GAAP monetary measure isn’t outlined beneath U.S. GAAP and isn’t introduced in accordance with U.S. GAAP. The non-GAAP monetary measure has limitations as an analytical device. One of many key limitations of utilizing adjusted web revenue/(loss) attributable to frequent shareholders is that it doesn’t mirror all objects of revenue and expense that have an effect on our operations. Additional, the non-GAAP monetary measure could differ from the non-GAAP monetary info utilized by different corporations, together with peer corporations, and due to this fact their comparability could also be restricted.
The non-GAAP monetary measure shouldn’t be thought-about in isolation or construed as an alternative choice to web revenue/(loss) attributable to frequent shareholders or every other measure of efficiency or as an indicator of our working efficiency. Traders are inspired to overview the historic non-GAAP monetary measure in gentle of probably the most immediately comparable GAAP measure, as proven under. The non-GAAP monetary measure introduced right here is probably not corresponding to equally titled measure introduced by different corporations. Different corporations could calculate equally titled measures otherwise, limiting the usefulness of such measures when analyzing our information comparatively. We encourage buyers and others to overview our monetary info in its entirety and never depend on a single monetary measure.
Change Fee Data
This announcement incorporates translations of sure RMB quantities into U.S. {dollars} at a specified charge solely for the comfort of the reader. Until in any other case famous, all translations from RMB to U.S. {dollars} and from U.S. {dollars} to RMB are made at a charge of RMB7.2672 to US$1.00, the change charge on June 28, 2024, set forth within the H.10 statistical launch of the Federal Reserve Board. The Firm makes no illustration that the RMB or U.S. {dollars} quantities referred might be transformed into U.S. {dollars} or RMB, because the case could also be, at any specific charge or in any respect.
Protected Harbor Assertion
This announcement incorporates forward-looking statements. These statements are made beneath the secure harbor provisions of the U.S. Non-public Securities Litigation Reform Act of 1995. Statements that aren’t historic information, together with statements about Huize’s beliefs and expectations, are forward-looking statements. These forward-looking statements may be recognized by terminology reminiscent of will, expects, anticipates, future, intends, plans, believes, estimates, assured and comparable statements. Amongst different issues, enterprise outlook and quotations from administration on this announcement, comprise forward-looking statements. Huize might also make written or oral forward-looking statements in its periodic stories to the U.S. Securities and Change Fee (the SEC), in its annual report back to shareholders, in press releases and different written supplies and in oral statements made by its officers, administrators or workers to 3rd events. Ahead-looking statements contain inherent dangers and uncertainties. Plenty of components may trigger precise outcomes to vary materially from these contained in any forward-looking assertion, together with however not restricted to the next: Huize’s purpose and techniques; Huize’s growth plans; Huize’s future enterprise growth, monetary situation and outcomes of operations; Huize’s expectation relating to the demand for, and market acceptance of, its on-line insurance coverage merchandise; Huize’s expectations relating to its relationship with insurer companions and insurance coverage purchasers and different events it collaborates with; normal financial and enterprise situations; and assumptions underlying or associated to any of the foregoing.
Additional info relating to these and different dangers is included in Huize’s filings with the SEC. All info supplied on this press launch is as of the date of this press launch, and Huize doesn’t undertake any obligation to replace any forward-looking assertion, besides as required beneath relevant regulation.
For investor and media inquiries, please contact:
Investor Relations
investor@huize.com
Media Relations
mediacenter@huize.com
Christensen Advisory
In China
Ms. Dee Wang
Cellphone: +86-10-5900-1548
E-mail: dee.wang@christensencomms.com
In U.S.
Ms. Linda Bergkamp
Cellphone: +1-480-614-3004
E-mail: linda.bergkamp@christensencomms.com
| Huize Holding Restricted Unaudited Condensed Consolidated Stability Sheets (all quantities in 1000’s, aside from share and per share information) |
|||||||||||
| As of December 31 | As of June 30 |
||||||||||
| 2023 | 2024 | ||||||||||
| … | |||||||||||
