Waterdrop (WDH) Q3 2025 earnings summary

Executive summary

• Achieved total revenue of CNY 975 million in Q3 2025, up 38.4% year-on-year, with net profit attributable to ordinary shareholders at CNY 158 million, a 60.1% increase year-on-year.

• Operating profit for Q3 was nearly CNY 114 million, a 329.8% year-on-year increase.

• Maintained GAAP profitability for 15 consecutive quarters since Q1 2022.

• AI integration and new product launches significantly enhanced business quality, efficiency, and operational performance.

• Expanded medical crowdfunding and clinical trial patient recruitment, with 485 million cumulative donors and 13,282 patients enrolled in trials.

Financial highlights

• Insurance business revenue reached CNY 870 million, up 44.8% year-on-year and 17.8% quarter-on-quarter, with an operating profit margin of 20.3%.

• Digital clinical trial solution income was CNY 31.9 million, up 31.3% year-on-year.

• Operating costs and expenses rose 27.1% year-on-year, below revenue growth rate.

• Adjusted net profit (non-GAAP) for Q3 was CNY 167.7 million, up from CNY 126 million a year ago.

• Cash position at period end was CNY 3.61 billion, with positive net operating cash flow.

Outlook and guidance

• Confident in achieving full-year revenue and profit guidance, with plans to further leverage AI for sustainable long-term growth.