Full Year 2025 Cheche Group Inc Earnings Call

April 2, 2026

Speaker #2: Should you need assistance, please signal a conference specialist by pressing the star key followed by 0. After today's presentation, there will be an opportunity to ask questions.

Speaker #2: To ask a question, you may press star, then 1 on a touchtone phone. To withdraw your question, please press star, then 2. Please note this event is being recorded.

Speaker #2: I would now like to turn the conference over to Cracker Coulson, Investor Relations. Please go ahead. Thank you, Betsy. Hello, everyone. Thank you for joining us to review Cheche's second half and full year 2025 results.

Crocker Coulson: Thank you, Betsy. Hello, everyone. Thank you for joining us to review Cheche's H2 and full year 2025 results. This morning, Cheche posted both the earnings release and a related updated investor presentation to our website, which you can find at ir.chechegroup.com. I'm very pleased to say that with us on the call today, we have Lei Zhang, Cheche's founder and CEO, and also Wenting Ji, Cheche's CFO. After the prepared remarks are concluded, we're gonna open up the call for your questions, and they'll be happy to address them. Before we begin, I'd like to remind you that some statements in this teleconference will be forward-looking within the meaning of the federal securities laws. Although we believe these statements are reasonable, we can provide no assurance that they will prove to be accurate because they're prospective in nature.

Speaker #2: This morning, Cheche posted both the earnings release and a related updated investor presentation to our website, which you can find at ir.chechegroup.com. I'm very pleased to say that with us on the call today, we have Lei Zhang, Cheche's founder and CEO, and also Sandra Ji, Cheche's CFO.

Speaker #2: After the prepared remarks are concluded, we're going to open up your call for questions, and they'll be happy to address them.

Speaker #2: But before we begin, I'd like to remind you that some statements in this teleconference will be forward-looking, within the meaning of the Federal Securities Laws.

Speaker #2: Although we believe these statements are reasonable, we can provide no assurance that they will prove to be accurate, because they are prospective in nature. Actual results could differ materially from those we discussed today.

Crocker Coulson: Actual results could differ materially from those we discuss today. We encourage you to review the most recent filings with the SEC for risk factors that could materially impact our future results. As I mentioned, the earnings release is available for you at ir.chechegroup.com. Again, we also encourage you to review the reconciliations of certain non-GAAP financial measures contained within that we're gonna discuss on the call today. With that, it's my great pleasure to turn the call over to Lei Zhang, Cheche's Chief Executive Officer. Lei, over to you.

Speaker #2: So, we encourage you to review the most recent filings with the SEC for risk factors that could materially impact our future results. As I mentioned, the earnings release is available for you at ir.chechegroup.com, and again, we also encourage you to review the reconciliations of certain non-GAAP financial measures contained within that we're going to discuss on the call today.

Speaker #2: With that, it's my great pleasure to turn the call over to Lei Zhang, Cheche's Chief Executive Officer. Lei, over to you.

Lei Zhang: Thank you, Crocker. Greetings, everyone. Thank you for joining us today to review Cheche's H2 and full year 2025 results. 2025 was a pivotal year for Cheche Group. One that validated both resilience of our business model and the power of the strategic transformation we have been executing despite ongoing fee rate compression driven by rapid growth of NEV premiums within our revenue mix. We delivered a gross profit growth, dramatically reduced the operating losses. For the first time, achieved adjusted net profitability on a full year basis. These are not incremental results. They marked an inflection point in our evolution from a transactional insurance platform to an AI-powered intelligent insurance ecosystem. Let me begin with that I believe is the most meaningful headline from this period.

Speaker #3: Thank you, Craig. Greetings, everyone. Thank you for joining us today to review Cheche's second half and full year 2025 results. 2025 was a pivotal year for Cheche Group, one that validated both the resilience of our business model and the power of the strategy transformation we have been executing, despite ongoing three-rated comparison driven by rapid growth of AEV premiums within our revenue mix.

Speaker #3: We delivered growth, profit growth, dramatically reduced the operating losses, and for the first time achieved a just net profitability on a full-year basis.

Speaker #3: There are not incremental results that marked an inflection point in our evolution from a transactional insurance platform to an AI-powered, intelligent insurance ecosystem. Let me begin with what I believe is the most meaningful headline from this period.

Lei Zhang: The Cheche Group achieved adjusted operating profitability for the full year 2025 and delivered a positive net income in the second half of 2025. Our adjusted net income reached RMB 11.6 million or $1.7 million for the full year compared to adjusted net loss of RMB 24.8 million in the prior year. That is a swing of more than RMB 35 million, achieved while we focus on newer capabilities and adopt a meaningful structural change on our revenue mix. This reflects disciplined cost management across every line of operating expenses, which we reduced in total by more than 19% year-over-year, even as we grew total written premiums by 11% and the total policies insured by 3 million.

Speaker #3: Cheche Group achieved operating profitability for the full year 2025 and delivered a positive net income in the second half of 2025. Our adjusted net income reached RMB 11.6 million, or approximately $1.7 million.

Speaker #3: For the full year, compared to an adjusted net loss of RMB 24.8 million in the prior year, that is a swing of more than RMB 35 million.

Speaker #3: Achieved while we focus on newer capabilities and adopt a meaningful structural change in our revenue mix. This reflects cost management across every line of operating expenses.

Speaker #3: Which we reduced in total by more than 19 year over year, even as we grew total written premiums placed by 11% and total policies insured by 3 million.

Lei Zhang: We demonstrated that scale and efficiency can do and work together at Zhizhong, and we intend to continue building that foundation in 2026. The profitability story also has a structural dimension. NEV premiums, which carry a lower service fee risk than traditional auto insurance, now represent 23% of our total written premiums for the full year, up from the 13% in the prior year. This shift initially creates revenue headwinds as we are mentioning, but it also drives higher gross margins. As our AI-powered tools allow us to capture higher tech risks in the NEV insurance market and deploy capabilities that command premium pricing, we expected the margin profile to continue improving. I also want to highlight the significant progress we have made in translating our AI strategy into operational capability.

Speaker #3: We demonstrated that scale and efficacy can advance together at Cheche. And we intend to continue building that foundation in 2026. The profitability story also has a structural dimension.

Speaker #3: AEV premiums, which carry a lower service fee risk than traditional auto insurance, now present 23% of our total written premiums for the full year.

Speaker #3: Up from the 13% in the prior year. This shift initially creates a revenue headwind, as we mentioned, but it also drives higher gross margins.

Speaker #3: As our AI-powered tools allow us to capture higher take rates in the AEV insurance market and deploy capabilities that command premium pricing, we expect the margin profile to continue improving.

Speaker #3: I also want to highlight the significant progress we have made in translating our AI strategy into operational capability. We are actively deploying our AI pricing model in collaboration with several of China's leading insurance companies.

Lei Zhang: We are actively deploying AI pricing model in collaboration with several of China's leading insurance companies, as well as through the data partnerships with intelligent connected vehicles manufacturers. Our insurance anti-fraud and risk control model, which was recognized in the prestigious top 100 AI product of 2024 last year. It's one example that integrates a big data, artificial intelligence and the biometrics enabling insurers to identify fraud earlier, price risk more precisely, and process claims with greater efficiency. This partnership position us to expand our footprint in the renewal insurance market. Beyond our insurer-facing tools, we are developing and testing AI agents to fundamentally change how we engage with car owners at the point of renewal.

Speaker #3: As well as through data partnerships with intelligent connected works manufacturers. Our insurance anti-fraud and risk control model, which was recognized in the prestigious Top 100 AI Product of 2024 last year.

Speaker #3: It's one example that integrates big data, artificial intelligence, and biometrics, enabling insurers to identify fraud earlier, price risk more precisely, and process claims with greater efficiency.

Speaker #3: This partnership positions us to expand our footprint in the renewal insurance market. Beyond our insurer-facing tools, we are developing and testing an AI agent to fundamentally change how we engage with car owners at the point of renewal.

Lei Zhang: With AI agent, we can standardize, scale, and improve the dialogue with the car owners, deploying consistent intelligent real-time outreach that is more effective than traditional methods and significantly more cost efficiency. On the R&D side, our team leverage AI tools and LLM to accelerate product development and shorten development cycles. Their tools are expanding our capability roadmap without proportional increase in the headcount and spending. Looking ahead, we intend to enhance the operational and analytical capability across the full auto insurance value chain, from pre-policy risk assessment and pricing through in-policy risk monitoring and intervention to claim survey and loss assessment.

Speaker #3: With AI agents, we can standardize, scale, and improve the dialogue with car owners. Deploying consistent, intelligent, real-time outreach is more effective than traditional methods and significantly more cost efficient.

Speaker #3: On the R&D side, our team leverages AI tools and LLM to accelerate product development and shorten development cycles. These tools are expanding our capability roadmap without a proportional increase in headcount and spending.

Speaker #3: Looking further ahead, we intend to extend the operational and analytical capability across the full auto insurance value chain—from pre-policy risk assessment and pricing, through in-policy risk monitoring and intervention, to claims survey and loss assessment.

Lei Zhang: Combined with our growing advantage in the driving behavior data from NEV ecosystem, we believe this positions us to move the industry from the static pricing towards to dynamic risk management and to build a data-driven, competitive moat and strengths over time. The quality of our OEM partnership continue to deepen. We currently have the partnership with 16 NEV manufacturers. As our business and relationships mature, our strategy focus on the shifting from adding new relations to the deepening existing ones. That means expanding the vehicle templates and the models we serve within the partnership, entering the dealer channel progress, and maximizing renewal premiums captured across installed base vehicles we already service. Our work with Volkswagen reflects our ability to partner with both domestic champions and the global automakers operating in China's intelligent connected vehicles market.

Speaker #3: Combined with our growing advantage in the driving behavior data from the AEV ecosystem, we believe this positions us to move the industry from static pricing towards dynamic risk management and to build a data-driven competitive moat and strength over time.

Speaker #3: The quality of our OEM partnership continues to depend. We currently have the partnership with 16 AEV manufacturers. And as our business and relationships mature, our strategy focuses on the shifting from aiding new relations to the dipping existing ones.

Speaker #3: That means expanding the works temple, temples, and the models we serve within the partnership. Ending the dealer channel progress and maximizing renewal premiums capture across installed base workers we already service.

Speaker #3: Our work with Volkswagen reflects our ability to partner with both domestic champions and the global automakers operating in China's intelligent connected works market. We are building full life cycle relationships with these partners, not transactional arrangements, and the depth of those relationships is what creates the durable and recurring value for the CCG and our shareholders.

Lei Zhang: We are building the full life cycle relationships with these partners, not transactional arrangements. The depth of those relationships is what creates the durable and recurring value for the CCG and our shareholders. Looking ahead, we expect to share additional partnership news in coming months that we believe will further demonstrate the strength of our position within China's most intelligent connected vehicles system. We are also preparing to announce the significant advance in our AI-driven auto pricing capabilities, a development that reflects our capabilities with data science and risk modeling, and that we believe significantly expands our addressable market in the renewal reinsurance segment. We look forward to sharing more details in the near term. Let's turn to the progress we are making internationally, which represents one of our most important long-term growth vectors.

Speaker #3: Looking ahead, we expect to share additional partnership news in the coming months that we believe will further demonstrate the strength of our position within China’s most intelligent connected works system.

Speaker #3: We are also preparing to announce the significant advances in our AI-driven auto pricing capabilities, a development that reflects our capabilities with data science and risk modeling, and that we believe will significantly expand our addressable market in the renewal insurance segment.

Speaker #3: We look forward to sharing more details in the near term. Let's turn to the progress we are making internationally, which represents one of our most important long-term growth vectors.

Lei Zhang: Chinese automakers now export over 8 million vehicles annually. As they expand globally, the demand for intelligent data-driven insurance and financial services infrastructure follows. Cheche Group is uniquely positioned to meet any demand, bringing the digital insurance capabilities and the financial technology capabilities we have built in China's most demanding market to the automotive ecosystem around the world. We are also advancing our international roadmap across the broader Asia Pacific and Latin American markets, leveraging our Fintech solution for automakers abroad.

Speaker #3: Chinese automakers now export over 8 million vehicles annually. And as they expand globally, the demand for intelligent, data-driven insurance and financial services infrastructure follows.

Speaker #3: Cheche Group is uniquely positioned to meet demand, bringing the digital insurance capabilities and the financial technology capabilities we have built in China's most demanding market to the automotive ecosystem around the world.

Speaker #3: We are also advancing our international roadmap across the border, ACR Pacific, and the Latin American markets, leveraging our fintech solution for automakers abroad. A toolkit of digital insurance and finance services infrastructure designed to support Chinese automakers and their global partners as they build out new market operations.

Lei Zhang: A toolkit of digital insurance and financial services infrastructure is designed to support Chinese automakers and their global partners as they build out new market operations. To summarize, 2025 demonstrated that what the Cheche Group is capable of. We achieved adjusted profitability, deepened our AI capabilities from the landmark partnership with a global automotive leader, and took our first meaningful step into the international markets.

Speaker #3: To summarize, 2025 demonstrated what the Cheche Group is capable of. We achieved adjusted profitability, depending on our AI capabilities from the landmark partnership with a global automotive leader, and took our first meaningful step into the international markets.

Lei Zhang: We enter 2026 with clear priorities, continue growing renewing insurance penetration through the AI-powered tools, expand our platform relationships with Huawei, Volkswagen, and other NEV partners, and invest selectively in the international expansion where we see the clearest path to profitability. We are confident in the trajectory of the business and grateful for the support our investors and partners. I will now turn the call over to our CFO, Wenting Ji. Thank you.

Speaker #3: We enter 2026 with clear priorities: continue growing renewal insurance penetration through AI-powered tools. Expand our platform relationships with Huawei, Volkswagen, and other NEV partners.

Speaker #3: And invest selectively in the international expansion where we see the clearest path to profitability. We are confident in the trajectory of the business and grateful for the support of our investors and partners.

Speaker #3: I will announce in the call to our CFO, Sandra Ji. Thank you.

Wenting Ji: Thank you, Lei. I'd like to begin by touching on our H2 and full year 2025 operational and financial highlights before taking any questions. First, our operational updates. Our total written premium placed for H2 2025 increased 16.9% year over year to RMB 15.5 billion or $2.2 billion. For the full year 2025, the total written premium increased 11% to RMB 27 billion or $3.9 billion. The total number of policies issued increased from 9.3 million in the prior year period to 12 million in H2 2025. For the full year, total policies issued grew from 17.3 million to 20.3 million.

Speaker #2: Thank you, Lei. I'd like to begin by touching on our second half and full-year 2025 operational and financial highlights before taking any questions. First, as for our operational updates, our total rate and premium placed for the second half of 2025 increased 16.9% year over year to RMB 15.5 billion, or $2.2 billion.

Speaker #2: For the full year 2025, total written premium increased 11% to RMB 27 billion, or $3.9 billion. The total number of policies issued increased from 9.3 million in the prior year period to 12 million in the second half of 2025.

Speaker #2: For the four-year total, policies issued grew from 17.3 million to 20.3 million. On the NEV side, our 16 partnerships generated 1.2 million embedded policies and RMB 3.7 billion in corresponding written premiums in the second half of 2025.

Wenting Ji: On the NEV side, our 16 partnerships generated 1.2 million embedded policies and CNY 3.7 billion in corresponding written premiums in H2 2025, representing year-over-year growth of 61.8% and 63.9% respectively. For the full year 2025, NEV embedded policies reached 2.0 million, and the corresponding premium reached CNY 6.3 million, growing 85.3% and 91.0% respectively. Our NEV premiums represented 24.1% of total written premium placed in H2 2025, up from 17.2% in the prior year period, and 23.4% for the full year 2025, up from 13.6% in the prior year. Next is our financial results.

Speaker #2: Representing year-over-year growth of 61.8% and 63.9%, respectively. For the full year 2025, NEV embedded policies reached 2.0 million, and corresponding premium reached RMB 6.3 million.

Speaker #2: Growing 85.3% and 91.0%, respectively. Our NEV premiums represented 24.1% of total rate and premium placed in the second half of 2025, up from 17.2% in the prior year period.

Speaker #2: And 23.4% for the full year 2025, up from 13.6% in the prior year. Next is our financial results. The total net revenues for the second half of 2025 were RMB 1.7 billion, or US$237.5 million, representing a 9.4% year-over-year decrease.

Wenting Ji: Net revenues for H2 2025 were RMB 1.7 billion, or $237.5 million, representing a 9.4% year-over-year decrease. As Lei just mentioned, this decline reflects the higher proportion of NEV premiums within our mix, which carry lower service fee rates. We are actively managing this structural transition through AI enhanced pricing capabilities and a renewal market penetration. For the full year 2025, net revenues were RMB 3.0 billion, or $430.4 million, a decrease of 13.3% year-over-year, driven by the same NEV mix dynamics.

Speaker #2: As Lei just mentioned, this decline reflects the higher proportion of NEV premiums within our mix, which carry lower service fee rates. We are actively managing this structural transition through AI-enhanced pricing capabilities and renewal market penetration.

Speaker #2: For the full year 2025, net revenues were RMB 3.0 billion, or US$430.4 million. This represents a decrease of 13.3% year over year, driven by the same NEV mix dynamics.

Wenting Ji: For the H2 2025, cost of revenues decreased 10% year-over-year to RMB 1.6 billion, or $224.0 million, driven by lower net revenues and a continued improvement in our gross margin profile. For the full year 2025, cost of revenues decreased 14% year-over-year to RMB 2.8 billion, or $407.5 million from the prior year. The gross profits in the H2 increased to 0.5% to RMB 94.6 million, or $13.5 million, despite the lower net revenues, which is a direct result of our improved business structure. This is an important signal, like even as revenue compresses through the fee rate transition, our gross profit is still growing.

Speaker #2: For the second half 2025, cost of revenues decreased 10% year over year to RMB 1.6 billion, or $224.0 million. Driven by lower net revenues and continued improvement in our gross margin profile.

Speaker #2: For the full year 2025, cost of revenues decreased 14% year over year to RMB 2.8 billion, or $407.5 million, from the prior year.

Speaker #2: The gross profits in the second half increased 0.5% to RMB 94.6 million, or US$13.5 million, despite the lower net revenues, which is a direct result of our improved business structure.

Speaker #2: This is an important signal—like even as revenue compresses through the fee rates transition, our gross profit is still growing. Gross margin expanded as the higher-margin NEV business represents an increased share of the mix.

Wenting Ji: Gross margin expanded as the higher margin NEV business represents an increased share of the mix. For the full year, the gross profit increased 1% to CNY 160.4 million, or $22.9 million, with gross margin expanding as NEV business grew as a proportion of the mix. For H2 2025, the selling and marketing expenses decreased 18.1% to CNY 31.0 million, or $4.4 million. General and administrative expenses decreased CNY 16.5 million to CNY 38.5 million, or $5.5 million. Research and development expenses decreased CNY 2.5 million to CNY 18.9 million, or $2.7 million.

Speaker #2: For the full year, gross profits increased 1% to RMB 160.4 million, or USD 22.9 million, with gross margin expanding as the NEV business grew as a proportion of the mix.

Speaker #2: For the second half of 2025, the selling and marketing expenses decreased 18.1% to RMB 31.0 million, or $4.4 million. General and administrative expenses decreased by RMB 16.5 million to RMB 38.5 million, or $5.5 million.

Speaker #2: Research and development expenses decreased by RMB 2.5 million to RMB 18.9 million, or $2.7 million. Total operating expenses decreased 14.4% to RMB 88.4 million, or $12.6 million.

Wenting Ji: The total operating expenses decreased to 14.4% to CNY 88.4 million, or $12.6 million, while the adjusted total operating expenses decreased by 22.2% to CNY 77.1 million, which is $11.0 million. The total operating expenses for the full year decreased to 19.6% to CNY 181.2 million, or $25.9 million, while adjusted total operating expenses decreased to 17.0% to CNY 156.9 million, or $22.4 million.

Speaker #2: While the adjusted total operating

Speaker #1: Spence's decreased by 22.2% to R&B , 77.1 million US dollar , which is US dollar 11.0 million . The total operating expenses for the full year decreased 19.6% to RMB 181.2 million , or US dollar 25.9 million , while adjusted total operating expenses decreased 17.0% to RMB 156.9 million , or US dollar 12.2 sorry , 12 .

Speaker #1: All US dollar $22.4 million. Operating income for the second half of 2025 was RMB 6.1 million, or US dollar $0.9 million, compared to an operating loss of RMB 9.3 million in the prior year period.

Wenting Ji: Operating income for H2 2025 was RMB 6.1 million, or $0.9 million, compared to an operating loss of RMB 9.3 million in the prior year period. Adjusted operating income was RMB 18.5 million, or $2.6 million, compared to an adjusted operating loss of RMB 1.5 million in the prior year period. Operating loss for the full year 2025 narrowed dramatically by 68.6% to RMB 20.9 million, or $3.0 million. The full year adjusted operating income was RMB 5.6 million, or $0.8 million, compared to adjusted operating loss of RMB 28.2 million in the prior year.

Speaker #1: Adjusted operating income was RMB 18.5 million , or US dollars 2.6 million , compared to adjusted operating operating loss of RMB 1.5 million in the prior year period .

Speaker #1: Operating loss for the full year 2025 narrowed dramatically by 68.6% to RMB 20.9 million , or US dollar 3.0 million . The full year adjusted operating income was RMB 5.6 million , or US dollar 0.8 million , compared to adjusted operating loss of R&B .

Speaker #1: 28.2 million in the prior year . Net income for the second half of 2025 was RMB 7.8 million , or US dollar 1.1 million , compared to a net loss of RMB 6.4 million in the prior year period .

Wenting Ji: Net income for H2 2025 was RMB 7.8 million, or $1.1 million, compared to a net loss of RMB 6.4 million in the prior year period. Adjusted net income was RMB 22.2 million, or $3.2 million, compared to adjusted net loss of RMB 0.3 million in the prior year period. Net loss for the full year 2025 was RMB 17.8 million, representing improvement of 71.0% from RMB 61.2 million in the prior year. Adjusted net income was RMB 11.6 million, or $1.7 million, compared to an adjusted net loss of RMB 24.8 million in the prior year.

Speaker #1: Adjusted net income was RMB 22.2 million, or US$3.2 million, compared to an adjusted net loss of RMB 0.3 million in the prior year period.

Speaker #1: Net loss for the full year 2025 was RMB 17.8 million, representing an improvement of 71.0% from RMB 61.2 million in the prior year.

Speaker #1: Adjusted net income was RMB 11.7 11.6 million , or US dollar 1.7 million , compared to an adjusted net loss of R&B 24.8 million in the prior year .

Wenting Ji: This marks the first full year adjusted profitability in Cheche's history as a public company. Let's turn to our balance sheet. We reported RMB 160.8 million, or $24.4 million in cash equivalents, restricted cash and short-term investments as of 31 December 2025. Looking ahead to the full year of 2026, we are anticipating approximate range of RMB 3.0 billion to 3.2 billion for net revenues, a range of RMB 28.0 billion to 30.0 billion for total return premiums.

Speaker #1: This marks the first full year adjusted profitability in church's history as a public company Let's turn to our balance sheet . We reported RMB 160.8 million , or US dollar , 24.4 million in cash , cash equivalents , which and restricted cash and short term investments .

Speaker #1: As of December 31st, 2025, looking ahead to the full year of 2026, we are anticipating an approximate range of RMB.

Speaker #1: The 3.0 billion, or RMB 3.2 billion, for net revenues. Our range of RMB 28.0 billion to 30.0 billion for total return premiums, and a range of RMB 10.5 billion to 12.0 billion for new written premiums.

Wenting Ji: A range of RMB 10.5 billion to 12.0 billion for NEV written premium. We also expect adjusted net income to multiply several folds compared to the full year of 2025. I think that concludes our remarks. Next, we'll be happy to take any of your questions. Thank you.

Speaker #1: And we also expect adjusted net income to multiply several folds compared to the full year of 2025 . I think we that concludes our remarks Next , we'll be happy to take any of your questions .

Speaker #1: Thank you .

Operator: We will now begin the question and answer session. To ask a question, you may press star, then 1 on your touch-tone phone. If you are using a speakerphone, please pick up your handset before pressing the keys. If at any time your question has been addressed and you would like to withdraw your question, please press star, then 2. At this time, we will pause momentarily to assemble our roster.

Speaker #2: We will now begin the question and answer session . To ask a question , you may press star . Then one on your touchtone phone If you are using a speakerphone , please pick up your handset before pressing the keys If at any time your question has been addressed and you would like to withdraw your question , please press star .

Speaker #2: Then, two. At this time, we will pause momentarily to assemble our roster.

Wenting Ji: Hello. Operator, please go ahead.

Speaker #1: Hello, operator, please go ahead.

Operator: The first question comes from Wenzhu Xiao with Citic. Please go ahead. It appears we've lost that questioner. The next question comes from Alan Klee with Maxim Group. Please go ahead.

Speaker #2: The first question comes from Wenzhou Jiao with Cedex. Please go ahead. It appears we've lost that questioner. The next question comes from Alan Kelly with Maxim Group.

Speaker #2: Please go ahead

Allen Klee: Yes. Hi. Congratulations on your progress and the advances with NEVs and moving to profitability. In your guidance, you said that you're projecting 2026 NEV premiums to increase between 66.7% to 90.5% year-over-year. Can you just highlight what in your offerings is gonna result in such strong adoption? Maybe highlighting how you're helping with pricing, risk, and fraud. Thank you.

Speaker #3: Yes. Hi, congratulations on your progress and advances with Nabs and moving to profitability. In your guidance, you said that you're projecting 2026.

Speaker #3: Any premiums to increase between 66.7% to 90.5% year over year. Can you just highlight what in your offerings is going to result in such strong adoption?

Speaker #3: Maybe highlighting how you're helping with pricing, risk, and fraud. Thank you.

Lei Zhang: Okay. Thank you, Alan. This question, first, we think AI as a key tool for upgrading the company's innovation and operational capabilities. The first, at the R&D level, AI is being integrated across the entire workflow from requirements analysis and development, testing and delivery, significantly improving our overall efficiency and stability of outcomes. The second, at the business application level, our company will continue to promote the coordinated use of multiple AI tools and further leverage our advantage in the driving behavior data within the NEV ecosystem. This will gradually extend AI capabilities across the full insurance value chain from the pre-underwriting risk assessment and pricing to in policy risk monitoring and intervention and intelligent claims inspection and loss assessment.

Speaker #4: Okay . Thank you Alan This question The first we think the AI as a key tool for the upgrade . Upgrading the company's innovation and operational capabilities .

Speaker #4: First, at the R&D level, AI is being integrated across the entire workflow, from requirements analysis and development to testing and delivery, significantly improving our overall efficiency and stability.

Speaker #4: Of outcomes , the second , at the business application level , our company will continue to promote the coordinated use multiple AI tools and further leverage our advantages in the driving behavior data within the EV ecosystem This will gradually extend AI capabilities across full insurance value chain from the pre underwriting risk assessment and pricing to in policy risk monitoring and intervention , and intelligent claims inspection .

Speaker #4: And loose assessment through its . Initiative . We aim to drive a transformation transformation of auto insurance from static pricing to the dynamic risk management .

Lei Zhang: Through this initiative, we aim to drive a transformation of auto insurance from static pricing to the dynamic risk management, while continuously strengthening our long-term competitive advantage. Thank you.

Speaker #4: While continuously strengthening our long-term competitive advantage. Thank you.

Allen Klee: Thank you very much. You also said on the call that internationally, there's a large demand, and you said you're gonna advance across Asia and Latin America with fintech solutions. Could you explain what you mean by what your fintech solutions are?

Speaker #3: Thank you very much. You also said on the call that internationally there's a large demand, and you said you're going to advance across Asia and Latin America with fintech solutions.

Speaker #3: Could you explain what you mean by what your fintech solutions are?

Lei Zhang: Okay. In terms of global expansion, the company has formed a strategic partnership with several automotive brands that focus on international growth. We have already established a solid presence in markets such as Australia, New Zealand, Latin America, and the Middle East. We have successfully launched the business operations in collaboration with partners including GAC Group, Chery, BYD, and Great Wall Motor. By supporting Chinese automakers in their overseas expansion, we leverage our mature digital insurance capabilities and the financial technology capabilities to bring our technology to the international markets as a China solution, helping build a global financial and insurance ecosystem in such country. Thank you.

Speaker #4: Okay In terms of global expansion , company has formed a strategic strategic partnership with several automotive brands that focus on international growth We have already established a solid presence in markets such as Australia , New Zealand , Latin America and the Middle East Have successfully launched a business operations in the collaboration with partners , including Guangzhou Auto Company and Chery , and BYD , and Gradual Model .

Speaker #4: By supporting Chinese automakers in their overseas expansion, we leverage our mutual digital insurance capabilities and financial technology capabilities to bring our technology to international markets.

Speaker #4: As a China solution, helping build a global financial and insurance ecosystem in such countries. Thank you.

Allen Klee: Thank you. I just can comment. I was talking to somebody from Australia yesterday, and they said the demand for Chinese Electric vehicle cars is dramatic. The waiting list, especially with what's going on with oil prices.

Speaker #3: Thank you. I just couldn't comment. I was talking to somebody from Australia yesterday, and they said the demand for Chinese electric vehicle cars is dramatic.

Speaker #3: The waiting list, especially with what's going on with oil prices,

Crocker Coulson: Lei, do you wanna tell, Alan where you're joining us from?

Speaker #5: Do you want to tell Allen where you're joining us from?

Lei Zhang: Yeah. Because the oil price is increased.

Speaker #4: Yeah, because the oil price has increased.

Crocker Coulson: Lei is actually in Australia today, so.

Speaker #5: So there's actually in Australia today. So,

Lei Zhang: Yeah.

Allen Klee: Okay.

Lei Zhang: Yeah. I just traveled to Australia for the Great Wall Motor and the Chery Auto in Australia.

Speaker #4: Yeah, yeah, I traveled with Australia for Great Wall Motor and the Chery Auto in Australia.

Allen Klee: That's great. Okay.

Lei Zhang: Thank you.

Allen Klee: I'll pass it along to let other people ask questions. Congratulations. Thank you.

Speaker #3: That's great. Okay, I'll pass it along to let other people ask questions. Congratulations. Thank you.

Lei Zhang: Thank you very much.

Speaker #4: Thank you very much .

Operator: The next question comes from Wenzhou Zhou with CITICS. Please go ahead.

Speaker #2: The next question comes from Wenzhou. Zhao with Cynics, please go ahead.

Speaker #6: To Thanks for thanks for taking my question . I'm curious about your ability to leverage AI internally to reduce operating costs . I'd also appreciate an update on how AI solutions are supported in internal operations and any comments on plans for international expansion .

Wenzhou Zhou: Thanks for taking my question. I'm curious about your ability to leverage AI internally to reduce operating costs. I'd also appreciate an update on how AI solutions are supporting in internal operations, and any comments on plans for international expansion. Thank you.

Speaker #6: Thank you

Lei Zhang: 谢谢。首先第一方面，就是我们刚才提到用AI工具的话，对于我们的内部的研发和创新，是有非常大的帮助。一方面可以降低成本，另外一方面，在很多产品的设计，包括用户的交互方面，都可以使用AI工具快速地实现。所以，这是从内部的角度。然后从外部的产品和应用侧来说，因为我们服务的中国的智能网联这种新能源汽车，它拥有大量的数据，包括驾驶行为、车机的数据，以及它的各种传感器数据，可以有效地帮助我们的保险的风险定价，从过去的传统精算师的模式转向了动态的、实时的这种精算定价体系。同时，在发生理赔的时候，可以通过车机的物联网和这个传感器，快速地在几分钟或者是一分钟之内，就可以将事故的所有的这种数据影像进行固定，来解决传统理赔上的这种欺诈，减少它的这种赔付率，会起到非常明显的效果。这里面都依赖于AI agent的能力，依赖于智能网联汽车海量数据的这种基础。所以，AI对于整个保险行业或者金融科技行业，都有非常大的一个创新和变革。这是第一个问题。第二个问题，就是在出海方面，刚才我们也简单地提到，目前我们已经跟随中国车企，在主要的全球四个地区，拉美，包括亚太、中东，还有部分的欧洲地区，我们都在和这些主流的车企进行业务的落地。那么2026年，我们预计海外会有三到五个国家，当地的汽车制造商，我们叫OEM，和当地的经销商，就是dealer，会全面地使用我们的解决方案。届时，我们也会进行新闻的发布。主要的问题就简单回答一下。谢谢。

Speaker #4: Yeah, AI for the me to do that for me, AI the for the you woman. The, the fashion. The. One.

Speaker #4: 20 . I g . If . D . Like The . Cheetah Painfully Do you . Agent . Only So you know . AI Do you Dong .

Speaker #4: How often will the auto buy-in send the OEM dealer? We...

Wenzhou Zhou: 非常感谢，非常清楚，没有其他问题了。 Thanks for your answer. Very clear. No more question. Thank you.

Speaker #6: Thank you for your answer. Very clear. No more questions.

Lei Zhang: Thank you.

Speaker #7: Thank you

Operator: This concludes our question and answer session. I would like to turn the conference back over for any closing remarks.

Speaker #2: This concludes our question and answer session. I would like to turn the conference back over for any closing remarks.

Crocker Coulson: Well, we'd like to thank everyone for joining us today. If you didn't have a chance to ask your questions, or if you'd like to have a follow-up call with management, please feel free to reach out to me or the Cheche Investor Relations team, and we'll be more than happy to arrange a Zoom call at mutual convenience. Thanks everyone for joining us, and I look forward to coming back to you with the future updates. Thank you, operator.

Speaker #5: Well , we'd like to thank everyone for joining us today . If you didn't have a chance to ask your questions , or if you'd like to have a follow up call with management , please feel free to reach out to me or the investor relations team .

Speaker #5: And we'll be more than happy to arrange a Zoom call at at Mutual convenience . Thanks , everyone , for joining us , and I look forward to coming back to you with a future updates Thank you .

Speaker #5: Operator .

Operator: The conference is now concluded. Thank you for attending today's presentation. You may now disconnect.

Speaker #2: The conference is now concluded. Thank you for attending today's presentation. You may now disconnect.

Lei Zhang: Thank you. Thank you.

Full Year 2025 Cheche Group Inc Earnings Call

Request DemoDemo

Cheche Group

Earnings