| Segment Information |
Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker (“CODM”), or decision-making group, in deciding how to allocate resources and in assessing performance. The Group concluded that the Group’s CODM is Mr. Fang, Chairman of the Board of Directors and CEO. The CODM uses consolidated net income in deciding whether to reinvest profits into certain parts of the business or return a portion of such profits to shareholders. The measure of segment assets is reported on the consolidated balance sheet as total assets, although the CODM does not evaluate asset information for purposes of allocating resources or evaluating performance. The following represents the selected financial information regularly reviewed by the CODM to assess performance of the Group for the years ended December 31, 2023, 2024 and 2025: | | | | | | | | | For the year ended December 31, | | | 2023 | | 2024 | | 2025 | | | RMB | | RMB | | RMB | Revenue | | 2,045,152 | | 3,284,525 | | 4,373,153 | Less: | | | | | | | Marketing and promotional expenses | | (1,424,629) | | (1,743,121) | | (2,158,833) | Labor cost - Selling and marketing expenses | | (37,144) | | (46,787) | | (58,326) | Labor cost - Operations and support expenses | | (77,887) | | (93,551) | | (110,920) | Labor cost - Research and development expenses | | (121,868) | | (219,013) | | (334,194) | Labor cost - General and administrative expenses | | (98,122) | | (193,488) | | (221,894) | Other segment items (i) | | (80,316) | | (122,719) | | (181,446) | | | | | | | | Consolidated net income from continuing operations | | 205,186 | | 865,846 | | 1,307,540 |
(i) | Includes channel fee, cloud service and bandwidth costs, utility fees, and other expenses. |
18. | Segment Information (Continued) |
Key revenues streams are as below: | | | | | | | | | For the year ended December 31, | | | 2023 | | 2024 | | 2025 | | | RMB | | RMB | | RMB | Insurance distribution services | | 711,849 | | 1,081,291 | | 1,446,843 | Short-term insurance | | 681,972 | | 1,064,059 | | 1,440,894 | - Medical insurance | | 504,178 | | 776,424 | | 1,018,798 | - Critical illness insurance | | 164,274 | | 256,436 | | 397,451 | - Others | | 13,520 | | 31,199 | | 24,645 | Long-term insurance | | 29,877 | | 17,232 | | 5,949 | - Life insurance and others | | 29,877 | | 17,232 | | 5,949 | | | | | | | | System services (i) | | 1,320,816 | | 2,194,189 | | 2,922,724 | - Marketing and related analytics services | | 1,256,576 | | 2,138,826 | | 2,512,403 | - Post-sale support services | | 59,766 | | 55,046 | | 408,953 | - Other system services | | 4,474 | | 317 | | 1,368 | | | | | | | | Others | | 12,487 | | 9,045 | | 3,586 | Total | | 2,045,152 | | 3,284,525 | | 4,373,153 |
(i) | Due to the expansion of system service offerings, system services are classified into three categories: marketing and related analytics services, post-sale support services and other system services. Prior period amounts have been reclassified to conform to the current period presentation. |
All revenues are derived from Chinese mainland based on the geographical locations where services are provided to customers. In addition, the Group’s long-lived assets are substantially all located in Chinese mainland. Therefore, no geographical segments are presented.
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