Waterdrop Inc. (WDH) shares surged 5.35% in pre-market trading following the release of its robust third-quarter 2025 financial results. The company reported a 38.4% year-over-year increase in net operating revenue to RMB974.9 million and a 60.1% rise in net profit attributable to shareholders to RMB158.5 million, marking its fifteenth consecutive quarter of profitability.
The strong performance was driven by significant growth in the insurance business, where revenue increased 44.8% YoY to RMB869.7 million. AI integration played a key role, with premiums facilitated by the AI Medical Insurance Expert rising 82% quarter-over-quarter. The company also repurchased approximately 58.1 million ADSs, demonstrating confidence in its long-term strategy.
Analysts have responded positively to Waterdrop's results, with the stock currently holding a consensus "buy" rating. The company's focus on AI and innovative insurance products, such as the Quan Jia Fu Family Protection Plan, is expected to sustain its growth momentum in the coming quarters.
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