Financial Highlights for the Second Quarter of 2023:
(In thousands, except per ADS data and percentages) | 2022Q2 (RMB) | 2023Q2 (RMB) | 2023Q2 (US$) | Change % |
Total net revenues | 703,116 | 1,132,640 | 156,198 | 61.1 |
Operating income | 31,028 | 86,032 | 11,864 | 177.3 |
Net income attributable to shareholders | 32,123 | 76,515 | 10,551 | 138.2 |
Adjusted EBITDA2 | 35,711 | 104,141 | 14,361 | 191.6 |
Diluted net income per ADS | 0.60 | 1.42 | 0.20 | 136.7 |
Diluted adjusted EBITDA per ADS3 | 0.66 | 1.93 | 0.27 | 192.4 |
Cash, cash equivalent, short-term investments at end of the period | 1,090,044 | 1,611,554 | 222,243 | 47.8 |
Key operating metrics | ||||
Total life gross written premiums (“GWP”) | 2,778,100 | 4,340,012 | 598,515 | 56.2 |
- First year premium (“FYP”) | 615,723 | 1,558,093 | 214,871 | 153.1 |
- Renewal premium | 2,162,376 | 2,781,918 | 383,644 | 28.7 |
Number of life insurance performing agents | 10,653 | 8,189 | - | - |
FYP per life insurance performing agent | 47,671 | 122,436 | - | 156.8 |
Mr.
“I am particularly pleased that our focus on quality services has resulted in a consistent improvement of our persistency ratio which is a positive outcome for our insurance partners. Our digitization and platform strategy continue to deliver operating efficiency for us and is a key driver of our financial results over the quarter.
“While the outlook for the industry in the second half of 2023 is likely to be adversely impacted by the recent pricing rate change, we remain confident that the medium- to long-term outlook of the life insurance industry and in particular, the third-party distribution channel that we operate in, remain promising.
“We have recently released a new version of our company mission statement and core values. In essence, our mission revolves around empowering the growth of independent financial advisors and fostering sustainable value creation for our clients. We seek to become a globally leading technology-driven financial services platform, distinguished by the highest standards of ethics and trust for all our stakeholders.”
“We will celebrate the 25th anniversary of our founding in
Commenting on the results, Mr. Ben Lin, Co-Chairman and Chief Strategy Officer, stated: “The second quarter and first half of 2023 results highlight that our organic and inorganic growth strategies are working well, helping us to grow significantly ahead of the Chinese insurance market.”
“As we enter the second half of 2023, our core strategy remains on fostering quality organic growth. We will continue to work closely with our insurance partners to launch new products and continue to execute on improving the quality and productivity of our advisory team.”
“With over 2,000 independent agencies and brokers in the market, we continue to see immense opportunity for inorganic growth. Our financial position is amongst the strongest within our industry with over
Open Platform and M&A Contributions over the Second Quarter of 2023
- The number of platform professional users who used our open-platform reached 721 during the second quarter of 2023, generating
RMB546.1 million in first year premiums, which accounted for 35.0% of our life insurance FYP; - 26.2% of our life insurance FYP and 25.3% of our net revenues for the life insurance business were generated from our acquisitions made within the past 12 months.
Share Repurchase Program
On
Acquisition of Minority Interests in
On
Business Outlook and Guidance
We expect to deliver 50% year-over-year growth in life insurance first year premiums and 50% year-over-year growth in adjusted EBITDA for 2023.
This forecast is based on the current market conditions and reflects FANHUA’s preliminary estimate, which is subject to change caused by various uncertainties.
Analysis of our Financial Results for the Second Quarter of 2023
Revenues
Total net revenues were
- Net revenues for agency business were
RMB1,027.2 million (US$141.7 million ) for the second quarter of 2023, representing an increase of 70.2% fromRMB603.4 million for the corresponding period in 2022. Total GWP increased by 55.2% year-over-year toRMB4,423.9 million , of which FYP grew by 138.6% year-over-year toRMB1,642.0 million while renewal premiums increased by 28.7% year-over-year toRMB2,782.0 million .- Net revenues for the life insurance business were
RMB980.1 million (US$135.2 million ) for the second quarter of 2023, representing an increase of 71.7% fromRMB570.7 million for the corresponding period in 2022. The increase in net revenues for the life insurance business was mainly due to i) effective implementation of our strategy which resulted in strong growth in sales agent productivity and the increase in number of high-performing agents; ii) strong sales of higher-interest rate savings products during the quarter as result of a recent pricing rate change which lowered the pricing rate of traditional life insurance products from 3.5% to 3% effective onAugust 1, 2023 ; and iii) contribution from acquisitions completed in the first quarter of 2023 which generated revenues ofRMB247.8 million , partially offset by the decrease in renewal commission income as a result of the decreased weighted average renewal commission rate of renewal premiums collected, and to a lesser extent, due to changes in product mix. The decrease in weighted average renewal commission rate was mainly because renewal commission rates derived from long-term life insurance policies tend to recede over time throughout the policy payment period, particularly after the sixth year.
Net revenues generated from our life insurance business accounted for 86.5% of our total net revenues in the second quarter of 2023, as compared to 81.2% in the same period of 2022. - Net revenues for the non-life insurance business (formerly categorized as “property and casualty insurance business”) were
RMB47.1 million (US$6.5 million ) for the second quarter of 2023, representing an increase of 43.6% fromRMB32.7 million for the corresponding period in 2022. The increase was mainly due to the contribution from a brokerage firm which was acquired in the second half of 2022. Net revenues generated from the non-life insurance business accounted for 4.2% of our total net revenues in the second quarter of 2023, as compared to 4.6% in the same period of 2022. - Net revenues for the claims adjusting business were
RMB105.5 million (US$14.5 million ) for the second quarter of 2023, representing an increase of 5.8% fromRMB99.7 million for the corresponding period in 2022. Net revenues generated from the claims adjusting business accounted for 9.3% of our total net revenues in the second quarter of 2023, as compared to 14.2% in the same period of 2022.
- Net revenues for the life insurance business were
Gross profit
Total gross profit was
- Life insurance business recorded a gross profit of
RMB273.2 million (US$37.7 million ), representing an increase of 34.8% from the second quarter of 2022. Gross margin for the period was 27.9%, as compared with 35.5% in the same period of 2022. The decrease in gross margin was mainly due to the impact of a newly acquired managing general agency which earns relatively lower gross margin than our self-operated business. - Non-life insurance business recorded a gross profit of
RMB12.2 million (US$1.7 million ), an increase of 28.4% from the second quarter of 2022. Gross margin for the period was 25.9%, as compared with 28.9% in the same period of 2022. The decrease in gross margin was mainly due to changes in product mix. - Claims adjusting business recorded a gross profit of
RMB 37.7 million (US$5.2 million ), an increase of 11.2% from the second quarter of 2022. Gross margin for the period was 35.8%, as compared with 34.0% in the same period of 2022.
Operating expenses
- Selling expenses were
RMB64.3 million (US$8.9 million ) for the second quarter of 2023, representing a decrease of 3.7% fromRMB66.8 million for the corresponding period in 2022. The decrease was due to cost savings from personnel optimization and decreased number of sales outlets, partially offset by the increase in sales training events and the recognition ofRMB4.7 million (US$0.7 million ) share-based compensation expenses related to shares options granted to MDRT members from sales teams under the Company’s MDRT ("Million-Dollar Roundtable Members") Share Incentive Plan in the second quarter of 2023. - General and administrative expenses were
RMB172.8 million (US$23.8 million ) for the second quarter of 2023, representing an increase of 16.6% fromRMB148.2 million for the corresponding period in 2022. The increase was mainly contributed by the acquisitions completed in the first quarter of 2023 amounting to approximatelyRMB23.2 million (US$3.2 million ), partially offset by cost savings from personnel optimization and decrease in the number of branches since 2022.
As a result of the foregoing factors, we recorded operating income of
Operating margin was 7.6% for the second quarter of 2023, compared to 4.4% for the corresponding period in 2022.
Investment income was
Income tax expense was
Net income was
Net income attributable to the Company’s shareholders was
Net margin was 6.8% for the second quarter of 2023, as compared to 4.6% for the corresponding period in 2022.
Adjusted EBITDA2 was
Adjusted EBITDA margin5 was 9.2% for the second quarter of 2023, as compared to 5.1% for the corresponding period in 2022.
Basic and diluted net income per ADS were
Basic6 and diluted3 adjusted EBITDA per ADS were
As of
FANHUA’s Insurance Sales and Service Distribution Network:
- As of
June 30, 2023 , excluding newly acquired entities, FANHUA’s distribution network consisted of 606 sales outlets in 23 provinces and 89 services outlets in 31 provinces as ofJune 30, 2023 , compared with 712 sales outlets in 23 provinces and 104 services outlets in 31 provinces as ofJune 30, 2022 . The decrease in the number of sales outlets reflected our focus on growing profitable branches, coupled with the challenging decisions to close those which were not yielding profits. The number of the Company's in-house claims adjustors was 2,120 as ofJune 30, 2023 , compared with 2,197 as ofJune 30, 2022 .
Conference Call
The Company will host a conference call to discuss its second quarter 2023 financial results as per the following details.
Time:
or
Please pre-register online in advance to join the conference call by navigating to the link provided below and dial in 10 minutes before the call is scheduled to begin. Conference call details will be provided upon registration.
Conference Call Preregistration:
https://register.vevent.com/register/BId6d3ca220d82489bade7c973ed379772
Additionally, a live and archived webcast of the conference call will be available at FANHUA’s investor relations website:
https://edge.media-server.com/mmc/p/e3jg2sip
About
Driven by its digital technologies and professional expertise in the insurance industry,
With strategic focus on long-term life insurance products, we offer a broad range of insurance products, claims adjusting services and various value-added services to meet customers’ diverse needs, through an extensive network of digitally empowered sales agents and professional claims adjustors. We also operate Baowang (www.baoxian.com), an online insurance platform that provides customers with a one-stop insurance shopping experience.
For more information about
Forward-looking Statements
This press release contains statements of a forward-looking nature. These statements, including the statements relating to the Company’s future financial and operating results, are made under the “safe harbor” provisions of the
About Non-GAAP Financial Measures
In addition to the Company’s consolidated financial results under generally accepted accounting principles in
For more information on these non-GAAP financial measures, please see the tables captioned “Reconciliations of Net Income to Adjusted EBITDA and Adjusted EBITDA Margin” set forth at the end of this press release.
Unaudited Condensed Consolidated Balance Sheets (In thousands) | ||||||||
As of | As of | As of | ||||||
2022 | 2023 | 2023 | ||||||
RMB | RMB | US$ | ||||||
ASSETS: | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | 567,525 | 582,184 | 80,287 | |||||
Restricted cash | 59,957 | 57,251 | 7,895 | |||||
Short term investments | 347,754 | 1,029,370 | 141,957 | |||||
Accounts receivable, net | 667,554 | 913,052 | 125,916 | |||||
Other receivables | 231,049 | 183,509 | 25,307 | |||||
Other current assets | 419,735 | 24,066 | 3,318 | |||||
Total current assets | 2,293,574 | 2,789,432 | 384,680 | |||||
Non-current assets: | ||||||||
Restricted bank deposit – non-current | 20,729 | 22,152 | 3,055 | |||||
Contract assets, net - non-current | 385,834 | 595,250 | 82,089 | |||||
Property, plant, and equipment, net | 98,459 | 93,885 | 12,947 | |||||
109,997 | 481,536 | 66,407 | ||||||
Deferred tax assets | 20,402 | 35,886 | 4,949 | |||||
Investment in affiliates | 4,035 | 3,495 | 482 | |||||
Other non-current assets | 11,400 | 20,115 | 2,774 | |||||
Right of use assets | 145,086 | 112,396 | 15,500 | |||||
Total non-current assets | 795,942 | 1,364,715 | 188,203 | |||||
Total assets | 3,089,516 | 4,154,147 | 572,883 |
Current liabilities: | ||||||||
Short-term loan | 35,679 | 202,869 | 27,977 | |||||
Accounts payable | 436,784 | 620,652 | 85,592 | |||||
Insurance premium payables | 16,580 | 16,302 | 2,248 | |||||
Other payables and accrued expenses | 174,326 | 249,184 | 34,364 | |||||
Accrued payroll | 96,279 | 93,484 | 12,892 | |||||
Income tax payable | 130,024 | 114,184 | 15,747 | |||||
Current operating lease liability | 62,304 | 47,994 | 6,619 | |||||
Total current liabilities | 951,976 | 1,344,669 | 185,439 | |||||
Non-current liabilities: | ||||||||
Accounts payable – non-current | 192,917 | 328,260 | 45,269 | |||||
Other tax liabilities | 36,647 | 34,653 | 4,779 | |||||
Deferred tax liabilities | 102,455 | 144,094 | 19,871 | |||||
Non-current operating lease liability | 74,190 | 55,161 | 7,607 | |||||
Total non-current liabilities | 406,209 | 562,168 | 77,526 | |||||
Total liabilities | 1,358,185 | 1,906,837 | 262,965 | |||||
Ordinary shares | 8,091 | 8,675 | 1,196 | |||||
(10 | ) | (65 | ) | (9 | ) | |||
Additional Paid-in capital | 461 | 196,993 | 27,167 | |||||
Statutory reserves | 559,520 | 559,520 | 77,161 | |||||
Retained earnings | 1,087,984 | 1,224,951 | 168,928 | |||||
Accumulated other comprehensive loss | (32,643 | ) | (21,068 | ) | (2,905 | ) | ||
Total shareholders’ equity | 1,623,403 | 1,969,006 | 271,538 | |||||
Non-controlling interests | 107,928 | 278,304 | 38,380 | |||||
Total equity | 1,731,331 | 2,247,310 | 309,918 | |||||
Total liabilities and equity | 3,089,516 | 4,154,147 | 572,883 |
Unaudited Condensed Consolidated Statements of Income and Comprehensive Income (In thousands, except for shares and per share data) | |||||||||||||||||
For the Three Months Ended | For the Six Months Ended | ||||||||||||||||
2022 | 2023 | 2023 | 2022 | 2023 | 2023 | ||||||||||||
RMB | RMB | US$ | RMB | RMB | US$ | ||||||||||||
Net revenues: | |||||||||||||||||
Agency | 603,406 | 1,027,190 | 141,656 | 1,191,394 | 1,752,742 | 241,714 | |||||||||||
Life insurance business | 570,654 | 980,061 | 135,157 | 1,129,228 | 1,663,463 | 229,402 | |||||||||||
Non-life insurance business | 32,752 | 47,129 | 6,499 | 62,166 | 89,279 | 12,312 | |||||||||||
Claims adjusting | 99,710 | 105,450 | 14,542 | 198,109 | 207,635 | 28,634 | |||||||||||
Total net revenues | 703,116 | 1,132,640 | 156,198 | 1,389,503 | 1,960,377 | 270,348 | |||||||||||
Operating costs and expenses: | |||||||||||||||||
Agency | (391,258 | ) | (741,805 | ) | (102,300 | ) | (774,701 | ) | (1,229,172 | ) | (169,511 | ) | |||||
Life insurance business | (367,976 | ) | (706,886 | ) | (97,484 | ) | (731,503 | ) | (1,163,502 | ) | (160,455 | ) | |||||
Non-life insurance business | (23,282 | ) | (34,919 | ) | (4,816 | ) | (43,198 | ) | (65,670 | ) | (9,056 | ) | |||||
Claims adjusting | (65,827 | ) | (67,726 | ) | (9,340 | ) | (133,076 | ) | (133,479 | ) | (18,408 | ) | |||||
Total operating costs | (457,085 | ) | (809,531 | ) | (111,640 | ) | (907,777 | ) | (1,362,651 | ) | (187,919 | ) | |||||
Selling expenses | (66,761 | ) | (64,281 | ) | (8,864 | ) | (141,629 | ) | (130,802 | ) | (18,038 | ) | |||||
General and administrative expenses | (148,242 | ) | (172,796 | ) | (23,830 | ) | (288,480 | ) | (320,537 | ) | (44,204 | ) | |||||
Total operating costs and expenses | (672,088 | ) | (1,046,608 | ) | (144,334 | ) | (1,337,886 | ) | (1,813,990 | ) | (250,161 | ) | |||||
Income from operations | 31,028 | 86,032 | 11,864 | 51,617 | 146,387 | 20,187 | |||||||||||
Other income, net: | |||||||||||||||||
Investment income | 2,220 | 12,325 | 1,700 | 6,274 | 24,957 | 3,442 | |||||||||||
Interest income | 1,158 | 3,770 | 520 | 1,837 | 9,097 | 1,255 | |||||||||||
Financial cost | — | (2,723 | ) | (376 | ) | — | (4,682 | ) | (646 | ) | |||||||
Others, net | (565 | ) | 3,940 | 543 | 9,408 | 6,482 | 894 | ||||||||||
Income from operations before income taxes and share income of affiliates | 33,841 | 103,344 | 14,251 | 69,136 | 182,241 | 25,132 | |||||||||||
Income tax expense | (7,641 | ) | (20,202 | ) | (2,786 | ) | (13,989 | ) | (38,289 | ) | (5,280 | ) | |||||
Share of income (loss) of affiliates, net of impairment | 2,500 | (209 | ) | (29 | ) | (68,134 | ) | (540 | ) | (74 | ) | ||||||
Net (loss) income | 28,700 | 82,933 | 11,436 | (12,987 | ) | 143,412 | 19,778 | ||||||||||
Less: net (loss) income attributable to non-controlling interests | (3,423 | ) | 6,418 | 885 | (7,272 | ) | 6,445 | 889 | |||||||||
Net (loss) income attributable to the Company’s shareholders | 32,123 | 76,515 | 10,551 | (5,715 | ) | 136,967 | 18,889 |
Unaudited Condensed Consolidated Statements of Income and Comprehensive Income-(Continued) (In thousands, except for shares and per share data) | ||||||||||||||||
For The Three Months Ended | For The Six Months Ended | |||||||||||||||
2022 | 2023 | 2023 | 2022 | 2023 | 2023 | |||||||||||
RMB | RMB | US$ | RMB | RMB | US$ | |||||||||||
Net (loss) income per share: | ||||||||||||||||
Basic | 0.03 | 0.07 | 0.01 | (0.01 | ) | 0.13 | 0.02 | |||||||||
Diluted | 0.03 | 0.07 | 0.01 | (0.01 | ) | 0.13 | 0.02 | |||||||||
Net (loss) income per ADS: | ||||||||||||||||
Basic | 0.60 | 1.42 | 0.20 | (0.11 | ) | 2.54 | 0.35 | |||||||||
Diluted | 0.60 | 1.42 | 0.20 | (0.11 | ) | 2.54 | 0.35 | |||||||||
Shares used in calculating net income per share: | ||||||||||||||||
Basic | 1,074,291,784 | 1,080,192,033 | 1,080,192,033 | 1,074,143,718 | 1,077,103,934 | 1,077,103,934 | ||||||||||
Diluted | 1,074,291,784 | 1,080,669,621 | 1,080,669,621 | 1,074,143,718 | 1,077,451,347 | 1,077,451,347 | ||||||||||
Net (loss) income | 28,700 | 82,933 | 11,436 | (12,987 | ) | 143,412 | 19,778 | |||||||||
Other comprehensive income, net of tax: | ||||||||||||||||
Foreign currency translation adjustments | 706 | 9,767 | 1,347 | 796 | 8,880 | 1,225 | ||||||||||
Share of other comprehensive loss of affiliates | 5,101 | — | — | 4,688 | — | — | ||||||||||
Unrealized net (loss) gains on available-for-sale investments | 4,502 | 2,515 | 347 | (610 | ) | 2,695 | 372 | |||||||||
Comprehensive (loss) income | 39,009 | 95,215 | 13,130 | (8,113 | ) | 154,987 | 21,375 | |||||||||
Less: Comprehensive (loss) income attributable to the non-controlling interests | (3,423 | ) | 6,418 | 885 | (7,272 | ) | 6,445 | 889 | ||||||||
Comprehensive (loss) income attributable to the Company’s shareholders | 42,432 | 88,797 | 12,245 | (841 | ) | 148,542 | 20,486 |
Unaudited Condensed Consolidated Statements of Cash Flow (In thousands, except for shares and per share data) | |||||||||||||||||
For the Three Months Ended | For the Six Months Ended | ||||||||||||||||
2022 | 2023 | 2023 | 2022 | 2023 | 2023 | ||||||||||||
RMB | RMB | US$ | RMB | RMB | US$ | ||||||||||||
OPERATING ACTIVITIES | |||||||||||||||||
Net (loss) income | 28,700 | 82,933 | 11,436 | (12,987 | ) | 143,412 | 19,778 | ||||||||||
Adjustments to reconcile net income to net cash generated from operating activities: | |||||||||||||||||
Investment income | (149 | ) | (3,460 | ) | (477 | ) | (1,798 | ) | (6,989 | ) | (964 | ) | |||||
Share of income of affiliates | (2,500 | ) | 209 | 29 | 68,134 | 540 | 74 | ||||||||||
Other non-cash adjustments | 44,394 | 44,565 | 6,147 | 80,049 | 74,859 | 10,324 | |||||||||||
Changes in operating assets and liabilities | (20,324 | ) | (71,862 | ) | (9,910 | ) | (170,351 | ) | (178,173 | ) | (24,572 | ) | |||||
Net cash used in operating activities | 50,121 | 52,385 | 7,225 | (36,953 | ) | 33,649 | 4,640 | ||||||||||
Cash flows from investing activities: | |||||||||||||||||
Purchase of short-term investments | (686,000 | ) | (1,487,980 | ) | (205,203 | ) | (1,541,000 | ) | (2,103,010 | ) | (290,019 | ) | |||||
Proceeds from disposal of short-term investments | 765,884 | 1,361,816 | 187,803 | 1,834,331 | 1,823,149 | 251,423 | |||||||||||
Prepayment for acquisition of short-term investments | (100,000 | ) | — | — | (100,000 | ) | — | — | |||||||||
Cash rendered for loan receivables from a third party | (100,000 | ) | (80,000 | ) | (11,032 | ) | (100,000 | ) | (80,000 | ) | (11,032 | ) | |||||
Repayment of loan receivables from a third party | — | 180,000 | 24,823 | — | 180,000 | 24,823 | |||||||||||
Cash acquired from business acquisitions | — | — | — | — | 21,208 | 2,925 | |||||||||||
Others | (6,392 | ) | (4,235 | ) | (584 | ) | (68,156 | ) | (6,185 | ) | (852 | ) | |||||
Net cash generated from (used in) investing activities | (126,508 | ) | (30,399 | ) | (4,193 | ) | 25,175 | (164,838 | ) | (22,732 | ) | ||||||
Cash flows from financing activities: | |||||||||||||||||
Dividends paid | (52,069 | ) | — | — | (52,069 | ) | — | — | |||||||||
Proceeds from bank and other borrowings | — | 12,000 | 1,655 | — | 182,268 | 25,136 | |||||||||||
Repayment of bank and other borrowings | — | (18,026 | ) | (2,486 | ) | — | (18,026 | ) | (2,486 | ) | |||||||
Interests paid | — | (2,425 | ) | (334 | ) | — | (4,128 | ) | (569 | ) | |||||||
Acquisition of additional equity interests in non-wholly owned subsidiaries | — | — | — | — | (110 | ) | (15 | ) | |||||||||
Repurchase of ordinary shares from open market | — | (22,107 | ) | (3,049 | ) | — | (22,107 | ) | (3,049 | ) | |||||||
Net cash generated from financing activities | (52,069 | ) | (30,558 | ) | (4,214 | ) | (52,069 | ) | 137,897 | 19,017 | |||||||
Net increase in cash, cash equivalents and restricted cash | (128,456 | ) | (8,572 | ) | (1,182 | ) | (63,847 | ) | 6,708 | 925 | |||||||
Cash, cash equivalents and restricted cash at beginning of period | 721,388 | 660,781 | 91,126 | 656,522 | 648,211 | 89,392 | |||||||||||
Effect of exchange rate changes on cash and cash equivalents | (507 | ) | 9,378 | 1,293 | (250 | ) | 6,668 | 920 | |||||||||
Cash, cash equivalents and restricted cash at end of period | 592,425 | 661,587 | 91,237 | 592,425 | 661,587 | 91,237 |
FANHUA INC. Reconciliations of Net Income to Adjusted EBITDA and Adjusted EBITDA Margin (In thousands, except for shares and per share data) | |||||||||||||||||
For The Three Months Ended | For The Six Months Ended | ||||||||||||||||
30-Jun | 30-Jun | ||||||||||||||||
2022 | 2023 | 2023 | 2022 | 2023 | 2023 | ||||||||||||
RMB | RMB | USD | RMB | RMB | USD | ||||||||||||
Net income | 28,700 | 82,933 | 11,436 | (12,987 | ) | 143,412 | 19,778 | ||||||||||
Income tax expense | 7,641 | 20,202 | 2,786 | 13,989 | 38,289 | 5,280 | |||||||||||
Share of income and impairment of affiliates, net | (2,500 | ) | 209 | 29 | 68,134 | 540 | 74 | ||||||||||
Investment income | (2,220 | ) | (12,325 | ) | (1,700 | ) | (6,274 | ) | (24,957 | ) | (3,442 | ) | |||||
Interest income | (1,158 | ) | (3,770 | ) | (520 | ) | (1,837 | ) | (9,097 | ) | (1,255 | ) | |||||
Financial cost | — | 2,723 | 376 | — | 4,682 | 646 | |||||||||||
Depreciation | 5,248 | 4,241 | 585 | 10,023 | 8,371 | 1,154 | |||||||||||
Amortization of intangible assets | — | 4,864 | 671 | — | 8,797 | 1,213 | |||||||||||
Compensation expenses associated with stock option | — | 5,064 | 698 | — | 8,184 | 1,129 | |||||||||||
Adjusted EBITDA | 35,711 | 104,141 | 14,361 | 71,048 | 178,221 | 24,577 | |||||||||||
Total net revenues | 703,116 | 1,132,640 | 156,198 | 1,389,503 | 1,960,377 | 270,348 | |||||||||||
Adjusted EBITDA Margin | 5.1 | % | 9.2 | % | 9.2 | % | 5.1 | % | 9.1 | % | 9.1 | % | |||||
Adjusted EBITDA per ADS : | |||||||||||||||||
Basic | 0.66 | 1.93 | 0.27 | 1.32 | 3.31 | 0.46 | |||||||||||
Diluted | 0.66 | 1.93 | 0.27 | 1.32 | 3.31 | 0.46 | |||||||||||
Shares used in calculating adjusted EBITDA per share: | |||||||||||||||||
Basic | 1,074,291,784 | 1,080,192,033 | 1,080,192,033 | 1,074,143,718 | 1,077,103,934 | 1,077,103,934 | |||||||||||
Diluted | 1,074,291,784 | 1,080,669,621 | 1,080,669,621 | 1,074,143,718 | 1,077,451,347 | 1,077,451,347 | |||||||||||
For more information, please contact:
Investor Relations
Tel: +86 (20) 8388-3191
Email: qiusr@fanhgroup.com
Source:
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1 | This announcement contains currency conversions of certain Renminbi (“RMB”) amounts into | |
2 | Adjusted EBITDA is defined as net income before income tax expense, share of income and impairment from affiliates, interest income, financial cost, investment income, depreciation, amortization of intangible assets and share-based compensation expenses. | |
3 | Diluted adjusted EBITDA per ADS is defined as adjusted EBITDA divided by total weighted average number of diluted ADSs of the Company outstanding during the period. | |
4 | Including cash, cash equivalent and short-term investments | |
5 | Adjusted EBITDA margin is defined as adjusted EBITDA as a percentage of net revenues. | |
6 | Basic adjusted EBITDA per ADS is defined as adjusted EBITDA divided by total weighted average number of ADSs of the Company outstanding during the period. |
Source:
2023 GlobeNewswire, Inc., source