Waterdrop Inc. (WDH.US) announced its unaudited financial results for the third quarter ended September 30, 2025. The company reported net revenue of RMB975 million, a year-over-year increase of 38.4%, and net profit attributable to shareholders of RMB158 million, up 60.1% YoY, marking 15 consecutive quarters of profitability. Operating expenses (including sales, administrative, and R&D expenses) accounted for 39.6% of revenue, down 8.3 percentage points YoY. Since initiating its share repurchase program in September 2021, Waterdrop has repurchased approximately 58.1 million ADSs (American Depositary Shares) as of November 30, 2025.

Insurance-related revenue grew 44.8% YoY to RMB870 million in Q3, with operating profit reaching RMB176 million, up 44% YoY. The adoption of AI in internal processes drove a 32.3% sequential increase in first-year premium scale for insurance operations. Waterdrop expanded AI applications across the insurance value chain, including its AI medical insurance assistant, which contributed to an 82% sequential growth in premium scale. The AI customer service platform "Baoxiaohui" handled over 600,000 inquiries monthly and introduced voice interaction capabilities. The AI underwriting system "KEYI.AI" provides instant responses and alternative solutions for rejected applicants.

On the product front, Waterdrop launched innovative offerings such as the "Family Fortune" health insurance, covering up to nine family members under one policy, and upgraded its "Worry-Free Guardian" disability insurance series to provide comprehensive coverage.

Waterdrop's crowdfunding platform, with 485 million users, facilitated donations totaling RMB71.2 billion for 3.61 million patients as of September 30, 2025. The company enhanced transparency and fraud prevention through AI-powered verification systems. It also partnered with Guangzhou's civil affairs bureau to streamline assistance applications for local residents.

The digital clinical trials business, Yifan Medicine, reported Q3 revenue of RMB31.9 million, up 31.3% YoY. It partnered with 216 pharmaceutical companies and CROs, completing 1,491 projects with 13,282 enrolled patients. This quarter marked the first time single-quarter patient enrollment exceeded 1,000.

Waterdrop published its 2024 ESG report, disclosing environmental metrics and improving governance frameworks. Its philanthropic arm collaborated with 119 charities on over 15,500 projects.

Founder and CEO Shen Peng stated, "AI has been pivotal in driving our double-digit growth this quarter. We will continue leveraging technological advancements to deepen AI integration across our operations, ensuring sustainable value for users, partners, and shareholders."