Ping An Healthcare and Technology Company (1833) H2 2024 earnings summary

Executive summary

• Achieved first full-year profitability in 2024 with net profit of RMB88.3 million, marking a historic milestone and reflecting improved operational efficiency and business model maturity.

• Total revenue grew 2.9% year-on-year to RMB4,808.1 million, driven by strong B-end (corporate) and F-end (integrated finance/individual) business growth.

• Senior care services revenue surged 413.5% year-on-year, unlocking new business potential and expanding to 75 cities.

• Strategic focus on AI empowerment, multi-scenario service delivery, and integration with Ping An Group for synergistic growth.

• Special dividend of HK$9.7 per share distributed, with Ping An Group opting for scrip dividend, resulting in formal consolidation into Ping An Group.

Financial highlights

• Revenue: RMB4,808.1 million, up 2.9% year-on-year; gross profit: RMB1,523.4 million, up 1.0%; gross margin: 31.7%.

• Net profit: RMB88.3 million (2023: loss of RMB334.9 million); adjusted net profit: RMB158.5 million.

• Operating cash flows turned positive at ~RMB99 million.

• Senior care revenue rose to RMB282.8 million, up 413.5% year-on-year; B-end business revenue grew 32.7%.

• Administrative expenses fell 37.2% year-on-year to RMB930.0 million; selling and marketing expenses down 8.6% to RMB763.5 million.

Outlook and guidance

• Continued investment in AI, digital operations, and scenario-based service expansion planned for 2025.

• Focus on high-margin businesses such as health checkups and home-based senior care to drive future profitability.

• Enhanced synergies with Ping An Group to support customer acquisition and retention, leveraging favorable policies and market opportunities in aging society.