Waterdrop Inc. (NYSE:WDH) reported fourth-quarter results that came in above market expectations.
The company’s shares rose about 3.59% in after-hours trading following the earnings release.
The insurance and healthcare technology platform posted adjusted earnings per share of $0.01 for the quarter, while revenue totaled $201.8 million, representing a 105.5% year-over-year increase from $686.8 million in the same period a year earlier.
Income from insurance-related services jumped 125.0% year over year to $187.4 million, mainly driven by a sharp rise in technical service income, which reached $91.5 million compared with $1.8 million in the same quarter last year. Net profit attributable to ordinary shareholders increased 62.7% year over year to $23.2 million.
The company said its performance was supported by the strategic integration of artificial intelligence across its operations. Chief Executive Officer Peng Shen said, “2025 marked a year of renewed acceleration for Waterdrop, driven by the strategic integration of AI into our core operational infrastructure. This technological alignment has materially enhanced our operational efficiency and reinforced our competitive positioning.”
For the full year 2025, Waterdrop reported revenue of $568.8 million, a 43.5% increase compared with the previous year, while adjusted net profit reached $88.6 million compared with $440.2 million in 2024. Operating profit for the quarter totaled $12.0 million, rising 58.4% year over year from $53.0 million.
The company’s board approved a cash dividend of $0.03 per ADS, representing a total payout of about $10.8 million. As of February 28, 2026, Waterdrop had repurchased around 60.7 million ADSs worth $118.1 million under its ongoing share buyback programs.